Armen Badalov, Schneider Electric, on the importance of automation and modernization of industry and energy systems for ordinary consumers

Armen Badalov— Deputy General Director for Strategy, Innovation and Regional Development in

Russia and the CIS.He graduated from the Plekhanov Russian University of Economics in 1997 and received an MBA degree from Mendoza College of Business in 2003. Since 2014 - at Schneider Electric in the position of Deputy General Director for Strategy, Innovation and Regional Development in Russia and the CIS.

Schneider electricis a global expert in energy management andindustrial automation. The history of Schneider Electric in Russia goes back more than 100 years, and its experience of working with the Russian fuel and energy sector is 40 years. 160 thousand employees work for Schneider Electric in 100 countries. Schneider Electric in Russia has 9 thousand employees, 5 factories, several logistics and engineering centers, offices in 35 largest cities, and a software R&D center in Skolkovo and Innopolis. Investments in Russia - more than 1 billion euros over the past 7 years.

Since 2014, Schneider Electric is a member of the Advisory Council on Foreign Investment in Russia under the Government of the Russian Federation.

HR and production potential

- How can you estimate the percentage of Russian staff engaged in intellectual work - the developer of a new product and directly involved in R&D?

- In Russia today manypromising technological and knowledge-based startups, exceptional specialists graduate from universities. In our country there are many talented engineers and developers, scientific workers, it seems to me, therefore, Russian technical specialists are highly appreciated all over the world.

— Foreign investors often regard Russia as just another sales market. Does Schneider Electric have localization programs?

— Russia is a country of unique technologies with colossal achievements in industry and energy. Personally, we take a long-term strategic vision and look beyond the year or quarter.

Today we have five factories in Russia,producing products with the status “Made in Russia”, and two R&D centers aimed at local development of software solutions. Over the past five years, we have invested more than a billion euros in localization.

But we only localize modern technology. In other words, in Russia we are launching a new product at the same time as it is being launched at our facilities in Europe or Asia. All localized products must comply with both international and Russian standards and requirements. The same principle applies to the level of organization of the production itself - in Russia we invest heavily in the technical re-equipment of our plants, increase their environmental friendliness and energy efficiency. Thirdly, we are very demanding on product quality. Now we understand that this is not enough, that we must not only bring innovations to Russia, but also create them here.

Photo: Vladislav Shatilo / High Tech

In the case of software localizationthe situation is slightly different - it is impossible to transfer production to the territory of the country so that the software becomes localized. For these purposes, we launched two Schneider Electric R&D centers - in Skolkovo and Innopolis - which are engaged in the development of directly Russian software products, which are subsequently exported.

In Skolkovo, our research sitefocuses on the development and adaptation of technologies in the field of digital substations and energy management, as well as adapting cloud solutions together with the largest Russian cloud service providers.

In Innopolis, we have relied on the latestdigital technologies for the oil and gas industry. We are talking about developments in the field of automation, software and cybersecurity of production. In this area, we work closely with leading players in the Russian information security market.

Collaboration with universities creates a talent pool

- Do you invite students of energy universities to Schneider Electric units in Russia?

- Collaboration with universities is a separate and extremely important area. Such a partnership significantly expands the company's capabilities in the field of personnel selection.

It is important that graduates go to work, includingincluding our customers, prepared and trained to operate the equipment. Students must participate in real business projects, fulfilling set goals and objectives under the supervision of experienced company managers. Mentors should help students realize their full potential and complete tasks on time. This is a great way to get your first real job experience.

Moreover, the company is ready to take students of differentcourses and directions. Of course, if a specialist is already familiar with our technologies, it will be easier for him to adapt. And he will have more motivation to work for Schneider Electric, rather than somewhere else. In addition, we are looking for talent among the participants of the annual international competition of business solutions Go Green in the City, which was created for students of engineering and business specialties. Young specialists offer new solutions for the energy industry, ensuring efficiency and sustainable development.

We started with subsidies to universities, but graduallyrevised this approach. Now we have moved to a new level of interaction - we transfer our technologies and solutions to educational institutions, jointly work out a curriculum plan and the possibility of further development of the laboratory by the university.

Everything that is produced in our competence centers,belongs to universities, this is their intellectual property. A product becomes ours only if we initially act as a customer. Universities often take the initiative, and we, in turn, support joint research projects.

Photo: Vladislav Shatilo / High Tech

- Is there an “order” for the best students who graduated from high schools?

— Schneider Electric employs more than 8 thousand people.Human. Obviously, they all have very different backgrounds and specialize in different areas. It cannot be said that we give preference to any specific educational institutions. During an interview for any position at a company, the recruitment team evaluates skills and technical competencies, such as knowledge of a particular technology.

Potential and motivation based onThree A approach - ability, agility, ambition (ability, agility, ambition). Ability shows if an employee can cope with tasks in a new position; agility - how flexible he is, whether he can develop the necessary skills; ambition - the desire to achieve a particular result. If all the components are present in one person, then he has the opportunity to build a career within the company.

In relation to directly technicalThere are two key specializations for us - energy distribution and industrial automation. On the one hand, I’m sure that an engineer should be well versed in one direction, and on the other, it’s obvious that in the modern world multifunctionality is required. There is an active integration of different sciences, therefore, there is an increasing need for specialists who are equally well oriented in the technological process and in information technology.

In terms of industry affiliation for uspriority is the oil and gas, metallurgical, mining, chemical and food industries. Our competence centers are built around these areas.

Ecology and resource conservation

- Tell us about the technologies, products and services that you offer today to customers.

- If we consider Schneider Electric from the point of view of the technological approach, then about 70% of all solutions are products for IoT technologies with the possibility of remote control.

The same goes for the consumption approach.electricity. First, our solutions help reduce carbon dioxide emissions. We set ourselves the task: in three years, from 2018 to 2020, to help customers reduce carbon dioxide emissions by 120 million tons, and already in 2018 they decreased by 51 million tons. All solutions are aimed at improving energy efficiency; they allow you to optimize the energy consumption cycle through automation.

Secondly, Schneider Electric is committed todecarbonization. Our goal is to reduce this indicator at our production facilities by 80% from today until 2020, and by 2030 become a company with a neutral level of carbon emissions.

Photo: Vladislav Shatilo / High Tech

In general, the company now operates in three mainareas: the first - everything related to industrial automation; the second is the transmission and distribution of energy from the power plant to the outlet; the third is work with data centers. Separately, you can also mention buildings, they involve all types of solutions.

The solutions we supply to Russia are notvery different from other countries. Of course, there are specific features - Russia has long focused on the mining industry, so for a long time solutions for critical sectors of the country's economy, for example, the oil and gas sector and metallurgy, were more in demand. However, today the state is faced with the task of more intensively developing other industries, building up its own base and making it more competitive on the world stage. Without digitalization and automation, this is unlikely to succeed. And we must help transform Russia into a global player. Our key solution is the comprehensive EcoStruxure architecture.

It integrates equipment at the facility at alllevels. At the lower level - plug-in, for example, shields, flow meters, sensors and more. Products and solutions for the collection and processing of primary data - the second level. Third - various applications and services that evaluate all the processes on the site and give recommendations for optimizing the work. This is the embodiment of the concept of the Internet of things, which allows to improve the efficiency and safety of the enterprise or building.

- What are the values ​​in the company that you adhere to - and broadcast to the world?

- Our global mission is to provide access toenergy for people all over the world. We are sure that this is an unconditional right of every person. It's hard to believe, but in the modern world, where high technology is already becoming a part of our daily lives, about a billion people do not have access to energy. We are developing and improving technologies to help people deal with these problems.

There is a fairly stable connection betweenenergy consumption and living standards in the country. For example, in the USA, England, Germany, France, Japan, energy supply is more than 5 thousand kW per year. While in India and Kenya - less than 30 kW.

In the first half of 2019, the turnover under the programSchneider Electric’s “access to energy” increased 1.42 times compared to the same period in 2017. These results were achieved in particular in Southeast Asia, where home solar systems (solar panels for power supply to residential buildings) were distributed, and in West Africa, where Schneider Electric distributes training materials as part of the European Union's Women entrepreneurship in renewable project energies ”(Women's Entrepreneurship in Renewable Energy).

Photo: Vladislav Shatilo / High Tech

There is also another acute issue - ecology andthe well-being of our planet. Schneider Electric sees the future as more electric, more digital, more "connected", in this world everything is connected through information technology. We see the world much more efficient and environmentally friendly. And we are working to make this a reality. Every industry strives to become more efficient and more digital. And our task is to help them.

Schneider Electric is currently underTowards Zero Waste to Landfill (TZWL) initiatives are actively developing waste management programs, initiating a shift from basic recycling to advanced materials reuse and reduction solutions in general.

The plans by 2020 to transfer 200 enterprises tonon-waste production. In 2019, this figure reached 185 - in the first quarter, seven more production sites joined the initiative. An example of this initiative is the Schneider Electric company in Mexico, where, together with suppliers, the company introduced an innovative, cyclical approach to logistics, which already this year prevented the appearance of more than 800 tons of garbage, thereby reducing the actual generation of waste to less than 400 tons.