The role of network coordination in business incubation - Comparative evidence from Finland and Russia

Business incubators (BIs) have an important role in promoting entrepreneurship and innovation. Networks have been identified as one of the main factors influencing business incubation success; however, their management has not been widely covered in previous business incubation research. Therefore, the main objective of this research is to investigate the role of network coordination in business incubation. Thus, the research aims to understand how the BI as a hub firm coordinates, i.e. manages and orchestrates, the business incubation process. As business incubation is also claimed to be affected by country specific factors, a cross-country comparison of Finland and Russia is conducted. Based on previous scientific literature on networks, network management, network orchestration and business incubation, a theoretical model combining business incubation and network coordination is developed. Through a qualitative multiple-case study evidence from a cross-country sample of BI managers and their residents was collected via semi-structured interviews. Based on the empirical data the network coordination mechanisms used by BIs are identified, yet only minor differences in network coordination in different countries are found. The results suggest that network coordination enables value creation in business incubation.

Customer value assessment in business markets

Understanding how firms create, communicate, and deliver value to customers is a key factor when firms seek to differentiate in increasingly competitive and commoditized business markets. As product and price have become less important differentiators in many industries, suppliers are increasingly seeking ways to differentiate themselves based on delivered customer value. Therefore, to gain a holistic understanding on what their offerings are worth to the customer, suppliers need to conduct customer value assessment, which quantifies the impact of a supplier´s offering to customers’ costs and returns. However, from a managerial perspective, customer value assessment is the single most critical challenge for firms in business markets. Consequently, developing holistic frameworks for customer value assessment is seen as one of the most important research priorities for marketing research. The purpose of this study is to explore the process of customer value assessment in business markets. Business markets represent a context where an increasing number of industrial firms are transitioning from basic product offerings towards service-based and solution-oriented hybrid offerings, which emphasize value co-creation and realization in the long term, thus making it difficult to quantify their monetary value. This study employs exploratory and qualitative research design by applying inductive and discovery-oriented grounded theory and multiple case research methods. The empirical data comprise interviews with 61 managers from 12 industrial firms, including seven best practice firms in customer value assessment. The findings of this study show that customer value assessment is essentially a crossfunctional process, which involves several organizational functions. The process begins well before and continues long after the actual delivery, often until the end of a supplier´s offering’s life-cycle. Furthermore, the findings shed light on alternative strategies that firms in business markets can adopt to implement the customer value assessment process. Overall, the findings contribute to customer value research, the sales and organizational management literature, the service marketing and solutions business literature, and suggest several managerial implications on how firms in business markets can adopt a holistic approach to assess value created for customers.

Business intelligence and management control

The purpose of this study is to explore the possibilities of utilizing business intelligence (BI)systems in management control (MC). The topic of this study is explored trough four researchquestions. Firstly, what kind of management control systems (MCS) use or could use the data and information enabled by the BI system? Secondly, how the BI system is or could be utilized? Thirdly, has BI system enabled new forms of control or changed old ones? The fourth and final research question is whether the BI system supports some forms of control that the literature has not thought of, or is the BI system not used for some forms of control the literature suggests it should be used? The study is conducted as an extensive case study. Three different organizations were interviewed for the study. For the theoretical basis of the study, central theories in the field of management control are introduced. The term business intelligence is discussed in detail and the mechanisms for governance of business intelligence are presented. A literature analysis of the uses of BI for management control is introduced. The theoretical part of the study ends in the construction of a framework for business intelligence in management control. In the empirical part of the study the case organizations, their BI systems, and the ways they utilize these systems for management control are presented. The main findings of the study are that BI systems can be utilized in the fields suggested in the literature, namely in planning, cybernetic, reward, boundary, and interactive control. The systems are used both as the data or information feeders and directly as the tools. Using BI systems has also enabled entirely new forms of control in the studied organizations, most significantly in the area of interactive control. They have also changed the old control systems by making the information more readily available to the whole organization. No evidence of the BI systems being used for forms of control that the literature had not suggested was found. The systems were mostly used for cybernetic control and interactive control, whereas the support for other types of control was not as prevalent. The main contribution of the study to the existing literature is the insight provided into how BI systems, both theoretically and empirically, are used for management control. The framework for business intelligence in management control presented in the study can also be utilized in further studies about the subject.

Balancing creativity and risk intelligence in professional knowledge-intensive business services

The main strengths of professional knowledge-intensive business services (P-KIBS) are knowledge and creativity which needs to be fostered, maintained and supported. The process of managing P-KIBS companies deals with financial, operational and strategic risks. That is why it is reasonable to apply risk management techniques and frameworks in this context. A significant challenge hides in choosing reasonable ways of implementing risk management, which will not limit creative ability in organization, and furthermore will contribute to the process. This choice is related to a risk intelligent approach which becomes a justified way of finding the required balance. On a theoretical level the field of managing both creativity and risk intelligence as a balanced process remains understudied in particular within KIBS industry. For instance, there appears to be a wide range of separate models for innovation and risk management, but very little discussion in terms of trying to find the right balance between them. This study aims to shed light on the importance of well-managed combination of these concepts. The research purpose of the present study is to find out how the balance between creativity and risk intelligence can be managed in P-KIBS. The methodological approach utilized in the study is strictly conceptual without empirical aspects. The research purpose can be achieved through answering the following research supporting questions: 1. What are the characteristics and role of creativity as a component of innovation process in a P-KIBS company? 2. What are the characteristics and role of risk intelligence as an approach towards risk management process implementation in a P-KIBS company? 3. How can risk intelligence and creativity be balanced in P-KIBS? The main theoretical contribution of the study conceals in a proposed creativity and risk intelligence stage process framework. It is designed as an algorithm that can be applied on organizational canvas. It consists of several distinct stages specified by actors involved, their roles and implications. Additional stage-wise description provides detailed tasks for each of the enterprise levels, while combining strategies into one. The insights driven from the framework can be utilized by a vast range of specialists from strategists to risk managers, and from innovation managers to entrepreneurs. Any business that is designing and delivering knowledge service can potentially gain valuable thoughts and expand conceptual understanding from the present report. Risk intelligence in the current study is a unique way of emphasizing the role of creativity in professional knowledge-intensive industry and a worthy technique for making profound decisions towards risks.

Comparative Analysis of Solar PV Business Models

The goal of the thesis is to analyze the strengths and weaknesses of solar PV business model and point out key factors that affect the efficiency of business model, the results are expected to help in creating new business strategy. The methodology of case study research is chosen as theoretical background to structure the design of the thesis indicating how to choose the right research method and conduction of a case study research. Business model canvas is adopted as the tool for analyzing the case studies of SolarCity and Sungevity. The results are presented through the comparison between the cases studies. Solar services and products, cost in customer acquisition, intellectual resource and powerful sales channels are identified as the major factors for TPO model.

OA business models for Finnish scholarly journals?

Presentation given at the Nordic Open Access Forum meeting in Copenhagen, June 24, 2014.

Sustainable Business models for Open Access Services

Panel at Open Repositories 2014, Helsinki, Finland, June 9-13, 2014

New business models for open research

Presentation at Open Repositories 2014, Helsinki, Finland, June 9-13, 2014

Service paradox in a product oriented company: A service business development case

The master´s thesis had three aims; to develop a service portfolio, to support the management of services through the developed portfolio, and evaluate effects of service differentiation strategy on the future selection of services. The product oriented case company in service paradox is Hilti (Suomi) Oy, which is entering systematic service management era, supported by the late strategic change. Low return on service business investments is referred as service paradox. The project was carried out as a case study, where the primary information source was twenty-one conducted interviews. The theory part focuses on marketing logics, service strategies, and categorization of services. The empirical part contributes in solving the aim related research questions. As a result of the case study a service portfolio was created, next further steps in service management were suggested, and the effect on selection of services by service differentiation strategy was evaluated. The main goal of creating service portfolio contributes to systematic management of services, which required revising at the case company.

The usage of experimental research in business-to-business marketing context in academic marketing journals

The aim of this master’s thesis is to introduce what is experimental research and how the researcher is able to use this researching method in business-to-business context. This work has been done with analyzing articles of four academic marketing journals from years 1992-2012. In the literature part there is introduction of the nature of the experimental research, its terminology and design. There is also discussion about limitations of experimental research and comparison of experimental research to quasi-experimental design. In the results part there is a review how experimental research has been used in the business-to-business context in the past two decades. In the analysis there is introduction of themes, samplings, different kinds of variables and main findings. The work offers a good understanding to nature of experimental research and useful data for organizing a real experimental study.

Collaborative Customer Relationship Management in Business-to-Business Firm's Strategy

The objective of this thesis is to study the presence of collaborative customer relationship management in a firm’s strategy. In addition the thesis explains specific implementations of collaborative CRM, and CRM in general, by each case company. The sample consists of five Finnish business-to-business companies through applying multiple-case study method. The data is collected through face-to-face interviews with employees knowledgeable of the case company’s CRM processes. The qualitative data is analyzed through coding and shows that two out of five case companies have adopted and are using collaborative CRM in their strategy and operations. These case companies see collaborative CRM as an important driver for the company, through customer focus and market orientation. The rest of the case companies are either in the process of moving towards collaborative CRM or have given little consideration to it. The results show that collaborative CRM is in use, and that each company modifies it to meet their exact aspirations. The major challenge in the process is to fully grasp the importance of a shared vision that can translate into collaborative efforts in CRM and business strategy.

On advancing business intelligence in the electricity retail market

In recent decades, business intelligence (BI) has gained momentum in real-world practice. At the same time, business intelligence has evolved as an important research subject of Information Systems (IS) within the decision support domain. Today’s growing competitive pressure in business has led to increased needs for real-time analytics, i.e., so called real-time BI or operational BI. This is especially true with respect to the electricity production, transmission, distribution, and retail business since the law of physics determines that electricity as a commodity is nearly impossible to be stored economically, and therefore demand-supply needs to be constantly in balance. The current power sector is subject to complex changes, innovation opportunities, and technical and regulatory constraints. These range from low carbon transition, renewable energy sources (RES) development, market design to new technologies (e.g., smart metering, smart grids, electric vehicles, etc.), and new independent power producers (e.g., commercial buildings or households with rooftop solar panel installments, a.k.a. Distributed Generation). Among them, the ongoing deployment of Advanced Metering Infrastructure (AMI) has profound impacts on the electricity retail market. From the view point of BI research, the AMI is enabling real-time or near real-time analytics in the electricity retail business. Following Design Science Research (DSR) paradigm in the IS field, this research presents four aspects of BI for efficient pricing in a competitive electricity retail market: (i) visual data-mining based descriptive analytics, namely electricity consumption profiling, for pricing decision-making support; (ii) real-time BI enterprise architecture for enhancing management’s capacity on real-time decision-making; (iii) prescriptive analytics through agent-based modeling for price-responsive demand simulation; (iv) visual data-mining application for electricity distribution benchmarking. Even though this study is from the perspective of the European electricity industry, particularly focused on Finland and Estonia, the BI approaches investigated can: (i) provide managerial implications to support the utility’s pricing decision-making; (ii) add empirical knowledge to the landscape of BI research; (iii) be transferred to a wide body of practice in the power sector and BI research community.