Value creation in project business relationships: Supplier and customer's perspectives

The purpose of this study is to analyze supplier’s value creation ability in project business in order to enhance customer’s business. In addition, the aim is to identify the role of business relationships in value creation and analyze the applicability of key account management in project business. The study considers value from the customer’s point of view. The concepts of value and value creation are widely discussed in marketing literature. Theory emphasizes the importance of value creation and business relationships in business markets. The empirical part of the study is conducted as a case study research. The empirical evidence is collected by interviewing one supplier organization and their three customer organizations. These companies operate in Finnish and global industrial markets. Data is collected through semi-structured interviews and analyzed by using qualitative content analysis. The study identifies several customer value drivers influencing on the value creation, which can be divided into product, service and relationship elements. One of the recognized value drivers is customer-supplier relationship. The findings show that a closer relationship enhances value creation possibilities and the key account management program allows effective managing of business relationships. As managerial implications, suppliers should seek to create continuous and conversational relationships with the key account customers.

Visual Customer Segmentation and Data Exploration with the Self-Organizing Map

Advancements in information technology have made it possible for organizations to gather and store vast amounts of data of their customers. Information stored in databases can be highly valuable for organizations. However, analyzing large databases has proven to be difficult in practice. For companies in the retail industry, customer intelligence can be used to identify profitable customers, their characteristics, and behavior. By clustering customers into homogeneous groups, companies can more effectively manage their customer base and target profitable customer segments. This thesis will study the use of the self-organizing map (SOM) as a method for analyzing large customer datasets, clustering customers, and discovering information about customer behavior. Aim of the thesis is to find out whether the SOM could be a practical tool for retail companies to analyze their customer data.

CRM system implementation supporting the management of customer relationships

The purpose of this thesis is to examine customer relationship management in a large, global organization. The aim is to deepen the understanding on how CRM-system implementation can support customer relationship management in strategic, operational and analytical levels.

Tulosohjauksen kehittämiskohteet Rikosseuraamuslaitoksella

Diplomityön tavoitteena on Rikosseuraamuslaitoksen tulosohjauksen kuvaaminen, mää-rittely, arviointi ja kehitysehdotusten tekeminen. Lisäksi määritellään normi- ja informaa-tio-ohjaus sekä tarkastellaan kuinka ne näkyvät tulosohjauksessa. Informaatio-ohjauksesta tuodaan esille keskeisimpiä kehityskohteita. Toiminnan tehostamistarpeet johtuvat yleisestä taloustilanteesta ja sitä seuraavasta määrärahojen pienenemisestä. Aluksi pidettiin puolistrukturoidut haastattelut, joiden perusteella kuvattiin laitoksen pro-sessikartta. Tämän jälkeen tulos- ja normiohjauksesta tehtiin eritasoisia prosessikuvauk-sia. Kuvauksilla rajattiin ja selvennettiin tarkasteltavia prosesseja. Kirjallisuuden, tutki-musten ja selvitysten avulla kartoitettiin tulosohjauksen yleisiä kehityskohteita. Niitä ver-rattiin haastattelutietoihin, arvioitiin tulosohjauksen nykytilaa ja tehtiin kehitysehdotuksia. Tulosohjauksesta löytyi useita kehityskohteita. Strategisen toimenpidesuunnitelman edis-tymiseen tulisi tehdä raportointiaikataulu. Tulostavoitteita voisi valmistella enemmän työntekijälähtöisesti ja yksiköille tulisi laatia omat strategiat. Asiakaspalautekyselyä tulisi kehittää, toteuttaa se verkkopohjaisena ja ottaa käyttöön kaikissa yksiköissä. Mittarit tuli-si liittää ydinprosesseihin ja jakaa ne laitos-alue-yksikkö -tasoille. Säännölliset raportit tulisi automatisoida ja antaa niiden tulostusoikeudet käyttäjille. Lisäksi kehittämishankkeita ja projekteja voisi hieman vähentää mutta viedä ne tehokkaammin läpi. Normi- ja informaatio-ohjaus ovat kiinteä osa tulosohjausta. Normiohjaus perustuu pääasiassa säädöksiin ja informaatio-ohjaus tiedolla ohjaamiseen. Informaatio-ohjauksessa tulisi kiinnittää huomiota aluekeskuksen tiedottamiseen, ettei yksiköitä ohjata keskushallinnosta aluekeskuksen ohi. Keskushallinnon tulisi myös päivittää ohjeistukset nopeammin erityisesti lakimuutosten yhteydessä. Myös vastuuta voisi jakaa enemmän alueille. Käyttöön voisi ottaa uuden tiedotuskanavan, esimerkiksi sähköinen uutislehtinen tai info-näytöt taukotiloissa.

Keskeiset suorituskyvyn mittarit asiantuntijaorganisaation strategialähtöisessä tulosyksikköohjauksessa

The subject of the study is a performance measurement system design of a profit center guided expert organization. Successful performance measurement system allows management to focus on the most important issues and guide the opera-tion of activities towards the objectives. The aim of this study is to examine the profit center organization´s performance measurement, what are the challenges associated with the scorecard, which issues the planning process should take into account, in the case of an expert organization. The study was conducted as a qualitative case study, for a one case study organ-ization. The study was made by interviewing personnel from top management to experts in the case organization. Balanced Scorecard as well as ready-made in-strument implementation models, that are presented in the theoretical part of the study, are being used as the design of the indicators. The target company's performance has been measured so far mainly on financial measures and there have also occasionally been measured employee satisfaction and customer satisfaction. The design of the indicators focused on non-economic, and mainly in the organization´s internal performance measurement. Learning and growth, client and processes were elected as the specific perspectives. The or-ganization's vision and strategy were the basis of the perspectives and the suc-cess factors. The thesis ends on selected indicator proposals derived from the success factors and on proposal for further actions for the case organization. Goal-setting, communication and staff commitment rose as matters should be taken into account in the design process. The results of the empirical study are consistent with the theory.

Industry specific lifecycle services for process critical motors

This Master’s Thesis examines industrial service business and studies how Global Technical Support Center Finland, part of ABB Oy, can develop its lifecycle services based on availability related customer needs. Focus is in three most business critical industry segments OGP (Oil, Gas and Petrochemical), Power and Metals. The research was conducted as a qualitative case study, including literature review and empirical part. The literature review explores industrial service business, product lifecycle services and related customer needs, product effectiveness and maintenance. This study contains also characteristics of constructive research. Primary material was gathered through internal and external interviews. Both theme and semi-structured interviews were performed. This research has shown that customers have different needs depending of the industry segment where they operate. Most remarkable differences are related to maintenance schedules. The main outcomes of the study are the industry specific lifecycle service models that combine company recommendations with customer specific needs. Other development needs were related to proactivity, condition based monitoring, information sharing and lifecycle estimations.

Model to Build a Service Quality Centric Customer Reference Portfolio in a Software as a Service Company

The goal of the master’s thesis was to develop a model to build a service quality centric customer reference portfolio for a software as a service company. The case company is Meltwater Finland Oy that leverages customer references externally but there is no systematic model to produce good quality customer references that are in line with the company strategy. The project was carried out as a case study, where the primary source of information were seventeen internal interviews with the employees of the case company. The theory part focuses on customer references as assets and service quality in software as a service industry. In the empirical part the research problem is solved. As a result of the case study, the model to build a service quality centric customer reference portfolio was created and further research areas were suggested.

Production Quality Analysis of Special Elevator Cars Based on Six Sigma Approach

Project scope is to utilize Six Sigma DMAIC approach and lean principles to improve production quality of the case company. Six Sigma tools and techniques are explored through a literature review and later used in the quality control phase. The focus is set on the Pareto analysis to demonstrate the most evident development areas in the production. Materials that are not delivered to the customer or materials that damaged during transportation comprise the biggest share of all feedbacks. The goal is set to reduce these feedbacks by 50 %. Production observation pointed out that not only material shortages but also over-production is a daily situation. As a result, an initial picking list where the purchased and own production components can be seen, is created, reduction of over- and underproduction and material marking improvement are seen the most competitive options so that the goal can be reached. The picking list development should still continue to make sure that the list can be used not only in the case study but also in the industrial scale. The reduction of material missing category can be evaluated reliably not sooner than in few years because it takes time to gather the needed statistical information.

Customer Value Creation in Born Global Companies

The purpose of this master's thesis is to study customer value creation in born global companies. The main objective is to identify the types of value enabling customer value creation in born global companies, and to establish their relative importance. After an introduction to the born global academic literature and the customer value creation literature, the empirical part consists of a multiple case study, examining the state of customer value creation in the case companies, along with the subsequent analysis. The results of this research indicate that high-tech born global companies perceive customer value creation as a crucial function of their operations, but their value creation thinking is often one-dimensional. Technology based born globals often place high value on the product and the technology behind it, mainly striving to incorporate performance- and relationship value in their value offerings, but they're unable to utilize their opportunity creation to the fullest, and they lag behind their more established competitors that are able to diversify their value offerings.

Yhteiskehittelyn käynnistäminen sosiaali- ja terveystoimen lähipalvelutuotannossa – Ristiinan kuntataajaman tapaustutkimus

Työssä tutkitaan asiakkaan ja käyttäjän mukaan ottamista sosiaali- ja terveyspalveluiden kehittämiseen. Opinnäytetyö on osa sosiaali- ja terveyspalveluiden uudistamista Mikkelin seudulla. Työn pääfokus on lähipalveluiden kehittämisessä. Tutkimuksen tavoitteena on ollut luoda sosiaali- ja terveystoimeen toimintamalli ja rakenteet jatkuvalle kehittämisyhteistyölle palveluiden käyttäjien ja palveluiden tuottajien välille kuntataajamassa. Teoreettisena viitekehyksenä tukeudutaan co-creation – menetelmään eli yhteiskehittelyyn. Tutkimus toteutettiin laadullisena tutkimuksena, jossa valittuna menetelmänä oli toimintatutkimuksena toteutettu tapaustutkimus. Tutkimuksen tuloksena syntyi runsaasti ideoita koskien lähipalveluiden kehittämistä. Palvelumuotoilun menetelmin toteutettu työpaja osoittautui toimivaksi menetelmäksi käynnistää yhteiskehittelyä. Yhteiskehittely suositellaan otettavaksi käyttöön sosiaali- ja terveystoimen lähipalvelupisteissä.

Organisational purchasing of service design – Agency and client perspectives

There has been an increase in the interest in service design, as companies have become more customer-centric and their focus has shifted to customer experiences. The actual organisational purchasing of service design has been given little attention, until recent years. The purpose of this study is to explore the purchasing of service design from the perspectives of sellers (service design agencies) and buying clients (business organisations). In order to understand the phenomenon, also agencies and clients’ approaches to service design discipline, purchasing processes, challenges related to purchasing and ways of facilitating the purchasing are explored. The research follows qualitative research method and utilises abductive reasoning. A proposition framework was formed by combining services marketing, design and organisational buying behaviour literatures, and was tested against real-life business cases. Empirical data was gathered by interviewing eight service design agency representatives and five client representatives in Finland. The results of semi-structural interviews were analysed by finding repetitive themes. The proposition framework was updated according to interview findings. There were both similarities and differences in service design agencies and clients’ approaches to service design. Service design represents a strategic activity to both parties, and it helps in clients’ business development and in discovering opportunities. It is an ideology; a way of thinking and working. The driving force for purchasing service design seemed to be something else than service design itself. Projects have been bought for 1) change and innovation related development, 2) channel related development or for 3) customer experience related development. Seven purchasing challenge themes were recognised: 1) poor or differing service design understanding, 2) selling of service design, 3) varying expectations, 4) difficulty of pre-evaluation, 5) buyers and buying companies, 6) project process and nature and 7) unclear project results. These all can be considered to cause challenges in organisational service design purchasing. Challenges can be caused by either participant, the agency or the client, and take place at any point of the purchasing process. Some of the challenges could be considered as barriers to purchasing or they play a role in an unsuccessful service project – and therefore, result in an unsuccessful organisational purchase. Purchasing could be facilitated in various ways by either participant; some ways are more attitude based, others actionable improvements. Thesis’s theoretical and managerial findings can be utilised to both improve the selling and purchasing of service design services.

Co-creating Value For Smart Phone Operating Systems Via Virtual Discussion Forums

In the traditional way, value is created by manufacturer or producer of a product without engaging the customers. So, traditionally value creation is a monopoly in the part of a manufacturer. After gathering all the raw materials the manufacturers are inserting value to a product. And the inserted value is recognized in the time of consuming the product. In the modern time though there is traditional way of value creation but with the increase of more educated, smart, and technically sound customers the idea of value creation has changed. Now, customers are also contributing in value creation as value co-creator even before the product is consumed. This scenario has been encountered in the thesis with the main purpose of how value is cocreated in smart phone operating systems. The purpose is further divided into the following supobjectives: o What is value co-creation in smart phone operating systems? o Who participates in value co-creation in smart phone operating systems? o What are the procedures that are involved in value co-creation in smart phone operating systems? The research was conducted as a qualitative desk study by observing two of the leading smart phone operating system providers. Data has been collected from the official discussion forum of both the operating system providers. Other general concepts relating to the purpose of the study has been encountered through literature review. The research findings reveal that customers and companies both together co-create value of anticipated level when they communicate and interact with each other. However, most of the time customer to customer interactions, dialogues and discussions that come out in the core conversation help the value co-creation. The value co-creation framework sets up the customer at the main focus of value creation theory. By nullifying the inherited notion that companies only create value within its boundary and provide it to their customers in exchange of currencies. Rationally, it has been commenced that the firms are merely compromising value propositions to its customers. But the value has been co-created in a point where offerings are combined and interacted with customers’ capabilities, knowledge, resources and perceptions. This new perspective has radically altered the prospect of firms towards its customers. Typically customers are now taking part in value cocreation as a crucial member.

Possibilities and challenges in utilization of information provided by Industrial Internet applications

Global digitalization has affected also industrial sector. A trend called Industrial Internet has been present for some years and established relatively steady position in businesses. Industrial Internet is also referred with the terminology Industry 4.0 and in consumer businesses IoT (Internet of Things). Eventually, trend consists of many traditionally proven technologies and concepts, such as condition monitoring, remote services, predictive maintenance and Internet customer portals. All these technologies and information related to them are estimated to change the rules of business in industrial sector. This may result even a new industrial revolution. This research has its focus on Industrial Internet products, services and applications. The study analyses four case companies and their digital service offerings. According to this analysis the comparison of these services is done to find out if there is still space for companies to gain competitive advantage through differentiation with these state of the art solutions. One of the case companies, Case Company Ltd., is working as a primary case company and a subscriber of this particular research. The research and results are analyzed primarily from this company’s perspective and need. In empirical part, the research clarifies how Case Company Ltd. has allocated its development resources through last five years. These allocations in certain categories are then compared to other case companies’ current customer offering and conclusions are made how the approach of different companies differ from each other. Existing theoretical knowledge of Industrial Internet is about to find its shape. In this research we take a look how the case company analysis and findings correlate with the existing knowledge and literature of the topic.

Incorporating Sustainability in Global Sourcing Process, Industry Focus- Apparel / Textile

This is a Master’s thesis research, which mainly aims at identifying the sustainability issues in sourcing process and to identify the core competencies in sourcing process through triple bottom line adaptation. The focus of this thesis is on apparel industry’s sourcing process. The purpose of this thesis is to examine global apparel industry’s reality in their sourcing process and how buyers-suppliers are cooperating with their sourcing process to incorporate sustainability. Other goal of this research paper is to provide recommendation for sustainable sourcing process for companies and how the stakeholders can be benefitted by sustainable sourcing. The literature review part of this paper has presented the research gaps from the earlier researches along with the key concepts, academic purposes and key definitions. Theoretical framework chapter has focused on global sourcing strategies and firm’s competencies and sustainable strategies. From the theoretical framework, author has presented essential theory which establishes the link between research questions and proposed hypotheses. Main results and findings have been presented in empirical findings and in data analysis chapter. This study is an exploratory research followed by deductive method and primary data has been used to evaluate the current situation of apparel industry; which will assist to build the recommendation model. Primary data has been collected through online questionnaires and secondary data has used to cover the literature and theoretical parts. Therefore, the potential outcome of this paper will display the importance of sustainable sourcing from academic point of view and also from the business perspective. As a final point, this paper has followed the research objectives and has generated some new directions for further studies.