Innovation process management of complex consumer products and services in new innovation paradigm – case location based business

Innovation is the word of this decade. According to innovation definitions, without positive sales impact and meaningful market share the company’s product or service has not been an innovation. Research problem of this master thesis is to find out what is the innovation process of complex new consumer products and services in new innovation paradigm. The objective is to get answers to two research questions: 1) What are the critical success factors what company should do when it is implementing the paradigm change in mass markets consumer business with complex products and services? 2) What is the process or framework one firm could follow? The research problem is looked from one company’s innovation creation process, networking and organization change management challenges point of views. Special focus is to look the research problem from an existing company perspective which is entering new business area. Innovation process management framework of complex new consumer products and services in new innovation paradigm has been created with support of several existing innovation theories. The new process framework includes the critical innovation process elements companies should take into consideration in their daily activities when they are in their new business innovation implementing process. Case company location based business implementation activities are studied via the new innovation process framework. This case study showed how important it is to manage the process, look how the target market and the competition in it is developing during company’s own innovation process, make decisions at right time and from beginning plan and implement the organization change management as one activity in the innovation process. In the end this master thesis showed that all companies need to create their own innovation process master plan with milestones and activities. One plan does not fit all, but all companies can start their planning from the new innovation process what was introduced in this master thesis.

Business Process Reengineering - Liiketoimintaprosessin uudistaminen Helsingin ja Uudenmaan sairaanhoitopiirin laboratorioliikelaitoksessa

Tutkimuksen tavoitteena on selvittää laboratoriotutkimuksien liiketoimintaprosessin uudistamisen hyödyt ja haitat Helsingin ja Uudenmaan sairaanhoitopiirin laboratorioliikelaitokselle. Tutkimuksessa selvitetään myös, kannattaako HUSLAB:n uudistaa nykyistä laboratoriotutkimuksien liiketoimintaprosessiaan sekä mitkä ovat liiketoimintaprosessin uudistamisen vaikutukset HUSLAB:lle. Tutkimuksessa mallinnetaan laboratoriotutkimuksien nykyinen liiketoimintaprosessi, jonka pohjalta muodostetaan kuvaus uudistettavasta prosessista. Prosessien välisiä eroja tutkitaan tarkemmin HUSLAB:n yhdessä toimipisteessä. Tutkimuksessa selvitetään, kuinka toimipisteen kustannusrakenne ja toimintamalli muuttuisivat prosessin uudistamisen myötä. Tutkimuksen empiiristen tulosten mukaan HUSLAB:n ei kannata uudistaa laboratoriotutkimuksien liiketoimintaprosessiaan tutkimuksessa kuvatulla tavalla. Liiketoimintaprosessin uudistaminen osoittautui kannattamattomaksi, koska uudistamisen haitat muodostuivat hyötyjä suuremmiksi. Vaikka BPR:ää ei kannatta toteuttaa tutkimuksessa esitetyllä tavalla, voi BPR kuitenkin olla tulevaisuudessa varteenotettava vaihtoehto HUSLAB:n toimintaa muutettaessa.

Palvelun laadun rooli brandistrategian kehittämisessä

Tutkimuksen päätavoitteena on selvittää palvelun laadun rooli brandistrategian kehittämisessä. Tutkimuksen tekeminen nähtiin tarpeelliseksi, sillä palvelun laadun roolia brandistrategian kehittämisessä ei ole aiemmin paljolti tutkittu. Normatiivisella case-tutkimuksella pyritään löytämään konkreettisia brandistrategian kehittämiskohteita case-yritykselle niin strategisella kuin myös operationaalisella tasolla. Case-yrityksen toimiala ja tilanne huomioiden normatiiviselle case-tutkimukselle luodaan perusta tutkimuksen teoreettisessa osassa sovellettavilla teoreettisilla näkemyksillä ja malleilla. Tutkimusta käsitellään sekä kvalitatiivisten että kvantitatiivisten tutkimusmenetelmien keinoin. Tutkimuksen empiirinen osio perustuu yrityksen henkilökunnan haastatteluihin, tutkijan havainnointiin sekä case—yrityksen asiakkaille suoritettavaan asiakastutkimukseen. Tutkimus osoittaa, että palvelun laadun rooli on merkittävässä asemassa palveluyritysten brandistrategian kehittämisessä ja on samalla tärkein yksittäinen asiakastyytyväisyyteen vaikuttava tekijä. Tutkimus tuo esille konkreettisia toimenpide-ehdotuksia, jotka auttavat case-yritystä kehittämään brandistrategiaansa ja auttaa siten yritystä saavuttamaan kilpailuetua muuttuvassa toimintaympäristössä.

Facilitating coordination improvement efforts in cross-functional process development programs

Business process improvement is a common approach in increasing the effectiveness of an organization. It can be seen as an effort to increase coordination between units. Process improvement has proved to be challenging, and most management consultation firms facilitate organizations in this kind of initiatives. Cross-functional improvement is one of the main areas for internal consultants as well. However, the needs, challenges and means of cross-functional help have been rarely discussed in the literature. The objective of this thesis is on one hand to present a conceptual and descriptive framework to help understand the challenges of facilitating coordination improvement efforts in cross-functional improvement programs, and on the other hand to develop and test feasible solutions for some facilitation situations. The research questions are: 1. Why and in what kind of situations do organizations need help in developing coordination in cross-functional processes? 2. How can a facilitator help organizations in improving coordination to develop cross-functional processes? The study consists of two parts. The first part is an overview of the dissertation, and the second part comprises six research publications. The theoretical background for the study are the differentiation causing challenges in cross-functional settings, the coordination needed to improve processes, change management principles, methods and tools, and consultation practises. Three of the publications introduce tools for helping in developing prerequisites, planning responsibilities and supporting learning during the cross-functional program. The three other papers present frameworks to help understand and analyse the improvement situation. The main methodological approaches used in this study are design science research, action research and case research. The research data has been collected from ten cases representing different kinds of organizations, processes and developing situations. The data has been collected mainly by observation, semi-structured interviews and questionnaires. The research contributes to the rare literature combining coordination theories and process improvement practises. It also provides additional understanding of a holistic point of view in process improvement situations. The most important contribution is the addition to the theories of facilitating change in process improvement situations. From the managerial point of view, this study gives advice to managers and consultants in planning and executing cross-functional programs. The main factors increasing the need for facilitation are the challenges for differentiation, challenges of organizational change in general, and the novelty of initiatives and improvement practices concerning process development. Organizations need help in creating the prerequisites to change, in planning initiatives, easing conflict management and collaboration between groups, as well as supporting the learning of cross-functional improvement. The main challenges of facilitation are combining the different roles as a consultant, maintaining the ownership for the improvement project with the client, and supporting learning in the client organization.

Tuotannon kehitysinvestointiprojektien läpivientimalli

Tämän diplomityön tarkoituksena oli tutkia ja etsiä kehityskohteita kohdeyrityksen kehitysinvestointiprojektien toimintamallissa. Diplomityön tavoitteena oli tutkia nykyistä investointikäytäntöä ja luoda eri linjastoissa tehtäville kehitysinvestointiesityksille edellytykset tukea yhteisesti yrityksen tulevia suhdannenäkymiä ja strategiaa. Työn tavoitteena oli myös pyrkiä välillisesti kasvattamaan investointiin sijoitettavan pääoman tuottoprosenttia pienentämällä kustannuksia huolellisen valmistelun keinoin jo investointiprojektin kehityksen alkuvaiheessa. Työkaluksi tähän todettiin olevan läpivientimalli. Tutkimusmenetelminä käytettiin kvantitatiivisia ja kvalitatiivisia tiedonkeruumenenelmiä. Näistä ylemmän johdon ja keskijohdon haastattelut, sekä omat kokemukset yrityksen käytännöistä vuosilta 2004-2008 näyttelivät pääroolia. Työn tuotoksena laadittiin aiheeseen liittyvä ohjeistus ja läpivientimalli osaksi yrityksen laatujärjestelmää. Malli sijoitettiin template tyyppisesti dokumentinhallinnointiohjelmistoon. Työn tuloksena on esitetty kehitysinvestointiprojektien läpivientimalli siten, että se tukee yrityksen strategiaa kestävän kehityksen ympäröimänä. Työlle asetetut tavoitteet saavutettiin sille tarkoitetussa aikavälissä.

The use of future-oriented knowledge in regional innovation processes: Research on knowledge generation, transfer and conversion

The importance of the regional level in research has risen in the last few decades and a vast literature in the fields of, for instance, evolutionary and institutional economics, network theories, innovations and learning systems, as well as sociology, has focused on regional level questions. Recently the policy makers and regional actors have also began to pay increasing attention to the knowledge economy and its needs, in general, and the connectivity and support structures of regional clusters in particular. Nowadays knowledge is generally considered as the most important source of competitive advantage, but even the most specialised forms of knowledge are becoming a short-lived resource for example due to the accelerating pace of technological change. This emphasizes the need of foresight activities in national, regional and organizational levels and the integration of foresight and innovation activities. In regional setting this development sets great challenges especially in those regions having no university and thus usually very limited resources for research activities. Also the research problem of this dissertation is related to the need to better incorporate the information produced by foresight process to facilitate and to be used in regional practice-based innovation processes. This dissertation is a constructive case study the case being Lahti region and a network facilitating innovation policy adopted in that region. Dissertation consists of a summary and five articles and during the research process a construct or a conceptual model for solving this real life problem has been developed. It is also being implemented as part of the network facilitating innovation policy in the Lahti region.

Transforming Maritime Safety Culture. Evaluation of the impacts of the ISM Code on maritime safety culture in Finland

The purpose of the METKU Project (Development of Maritime Safety Culture) is to study how the ISM Code has influenced the safety culture in the maritime industry. This literature review is written as a part of the Work Package 2 which is conducted by the University of Turku, Centre for Maritime Studies. The maritime traffic is rapidly growing in the Baltic Sea which leads to a growing risk of maritime accidents. Particularly in the Gulf of Finland, the high volume of traffic causes a high risk of maritime accidents. The growing risks give us good reasons for implementing the research project concerning maritime safety and the effectiveness of the safety measures, such as the safety management systems. In order to reduce maritime safety risks, the safety management systems should be further developed. The METKU Project has been launched to examine the improvements which can be done to the safety management systems. Human errors are considered as the most important reason for maritime accidents. The international safety management code (the ISM Code) has been established to cut down the occurrence of human errors by creating a safety-oriented organizational culture for the maritime industry. The ISM Code requires that a company should provide safe practices in ship operation and a safe working environment and establish safeguards against all identified risk. The fundamental idea of the ISM Code is that companies should continuously improve safety. The commitment of the top management is essential for implementing a safety-oriented culture in a company. The ISM Code has brought a significant contribution to the progress of maritime safety in recent years. Shipping companies and ships’ crews are more environmentally friendly and more safety-oriented than 12 years ago. This has been showed by several studies which have been analysed for this literature research. Nevertheless, the direct effect and influence of the ISM Code on maritime safety could not be isolated very well. No quantitative measurement (statistics/hard data) could be found in order to present the impacts of the ISM Code on maritime safety. In this study it has been discovered that safety culture has emerged and it is developing in the maritime industry. Even though the roots of the safety culture have been established there are still serious barriers to the breakthrough of the safety management. These barriers could be envisaged as cultural factors preventing the safety process. Even though the ISM Code has been effective over a decade, the old-established behaviour which is based on the old day’s maritime culture still occurs. In the next phase of this research project, these cultural factors shall be analysed in regard to the present safety culture of the maritime industry in Finland.

Development of tender information process by business intelligence in a global company unit

The purpose of this Thesis was to study what is the present situation of Business Intelligence of the company unit. This means how efficiently unit uses possibilities of modern information management systems. The aim was to resolve how operative informa-tion management of unit’s tender process could be improved by modern information technology applications. This makes it possible that tender processes could be faster and more efficiency. At the beginning it was essential to acquaint oneself with written literature of Business Intelligence. Based on Business Intelligence theory is was relatively easy but challenging to search and discern how tender business could be improved by methods of Busi-ness Intelligence. The empirical phase of this study was executed as qualitative research method. This phase includes theme and natural interviews on the company. Problems and challenges of tender process were clarified in a part an empirical phase. Group of challenges were founded when studying information management of company unit. Based on theory and interviews, group of improvements were listed which company could possible do in the future when developing its operative processes.

Arvopaperistaminen ja luottojohdannaiset luottoriskin ja omien varojen hallinnan välineenä

Tässä tutkimuksessa selvitetään, voisiko Pohjola Pankki tehostaa omien varojen käyttöään ja luoda taloudellista lisäarvoa osakkeenomistajilleen hyödyntämällä arvopaperistamista tai luottojohdannaisia rahoitustaseen yritys-lainasaamisiin sisältyvän luottoriskin hallintaan. Työssä pohditaan myös ko. instrumenttien soveltuvuutta ja transaktion toteutusprosessia Pohjola Pankin näkökulmasta. Tutkimus on empiirinen tapaustutkimus, jossa on hyödynnetty kvantitatiivista tutkimusmetodia. Tulosten valossa Pohjola Pankki pystyy alentamaan omien varojen määrä luomaan lisäarvoa ja parantamaan riskipainotettua kannattavuuttaan arvopaperistamalla yrityslainasaataviaan tai ostamalla luottojohdannaisen. Huomioiden kohdeyrityksen luottoportfolion rakenteen ja transaktion toteuttamiseen vaadittavat toimenpiteet, soveltuu luottojohdannainen arvopaperistamista paremmin luottoriskin johtamiseen kohdeyrityksessä – edellyttäen, että suojaus-kustannukset eivät nouse liian korkeiksi ja vapautuvat omat varat saadaan hyödynnettyä mahdollisimman tehokkaasti.

Maahantuonnin logistisen prosessin analysointi ja kilpailukyvyn parantaminen

Kodintekniikka-alan kilpailutilanne on kiristynyt viime vuosina merkittävästi uusien kilpailijoiden ja myymälämäärän lisääntymisen myötä. Myös vuonna 2008 alkanut talouskriisi ja sen vaikutukset heikentävät alan näkymiä tulevina vuosina. Yritysten onkin täytynyt etsiä vaihtoehtoisia toimintatapoja kannattavuuden ja asiakasmäärien parantamisen vuoksi. Kohdeyritys on harjoittanut maahantuontia omien tuotemerkkien sekä virallisen maahantuonnin muodossa jo pitkään. Yrityksessä ei kuitenkaan ole aikaisemmin selvitetty logistisen prosessin tehokkuutta, joten yrityksessä on esiintynyt tarve selvittää prosessin kustannusrakenne ja mahdolliset heikkoudet. Tutkimuksessa tarkastellaan kohdeyrityksen oman maahantuonnin logistista prosessia sekä pyritään löytämään maahantuonnin kilpailukykyä lisääviä tekijöitä. Päätutkimustyyppinä on tapaustutkimus ja sen lisäksi tutkimusmenetelmänä käytettiin toimintatutkimusta. Tutkimuksen aineisto on sekä kvalitatiivista että kvantitatiivista. Tutkimuksen tuloksista ilmenee, että logistinen prosessi on kohdeyrityksessä monelta osin hoidettu hyvin, mutta joitain parannuskohteitakin löytyi. Myös maahantuonnin kilpailukyvyn parantamiseksi löydettiin useita keinoja. Parannustoimilla on mahdollista säästää kustannuksissa sekä parantaa maahantuonnin palveluastetta.

Design Process of Packaging Laboratory at Lappeenranta University of Technology

The layout design process of the packaging laboratory at Lappeenranta University of Technology is documented in this thesis. Layout planning methods are discussed in general. The systematic layout planning procedure is presented in more detail as it is utilised in the case of layout planning of the packaging laboratory. General demands for research laboratory are discussed both from the machine and product perspectives. The possibilities for commercial food processing in the laboratory are discussed from the point of view of foodstuff processing regulations and hygiene demands. The layout planning process is documented and different layout possibilities are presented. Different layout drafts are evaluated and one layout draft is developed to be the final layout of the packaging laboratory. Guideline for technical planning and implementation based on the final layout is given

The Innovation Process – Aiming towards Innovativeness in a Construction Company

The bachelor’s thesis concentrates on the innovativeness in the construction industry. The purpose of the thesis is to define the innovation as a concept reflected on a context of the construction industry. The second objective is to examine how the construction companies could foster and increase the innovativeness. The third objective was to find out tools, methods and phases of the front-end of the innovation process. The construction industry is often considered as a traditional and an old-fashioned manufacturing industry. The innovation or the innovativeness rarely linked to the construction industry. Productivity is a common problem in the construction industry. The construction industry needs to increase the productivity to compete in a globalized world. The productivity can be increased by the innovation. The thesis based on a literature review. The findings from the literature include a description of the innovation as a concept, the innovative culture and the innovation process as a context of the construction industry. The phases of the front-end of the innovation process were explained. Customers centered approach was taken into account in the innovation process. The required tools and methods for managing the front-end of the innovation process were illustrated. The thesis ensures the importance of the innovation facing challenges of the construction industry. Managing the front-end of the innovation is the most important aspect to stand out from the less innovative companies. To take a full advantage of the innovation companies cannot fear of changes. The innovation process requires a full support of the top management of the company. Taking into consideration a theoretical aspect of the thesis a further research is required to respond practical needs of the company. Tools and methods should be considered according the company’s needs and activities. Company’s existing state and culture should be examined before implementing the front-end of the innovation process to ensure the functionality.

Analyzing customer profitability: an empirical study

The purpose of this study was to define the customer profitability of the case company as well as to specify the factors that explain customer profitability. The study was made with a quantitative research method. The research hypotheses were formulated mainly on the grounds of previous research, and were tested with statistical research methods. The research results showed that customer profitability is not equally distributed among the customers of the case company, and the majority of its customers is profitable. The interpreters for absolute customer profitability were sales volume and the customer’s location region. The interpreters for relative customer profitability were the customer’s location region and the product segment into which a customer can be classified on the basis of the products that were sold to this customer.

Creating and implementing a financial management process to an international company

The objectives of this thesis areto identify the best elements from Information Technology Infrastructure Library financial management for an international company. The elements need to be customized to fit existing elements and the thesis needs to provide implementation proposal. The new IT financial management needs to improve cost visibility and bring benefits to the company. In order to find the best elements for IT financial management, there needs to be a research to discover the companys business needs. The ITIL library is used to find answers and solutions to the companys issues in IT financial management. Other IT frameworks can and will be used as well, if they are able to work with ITIL model. ITIL consists from budgeting, accounting and charging in IT financial management, which all needs to be investigated. In addition more ITIL elements such as contract management and supplier management can be used, in order to make IT financial management work better.

Welding of Sheet metal using Modified short arc MIG/MAG welding process

In this research work, the results of an investigation dealing with welding of sheet metals with diverse air gap using FastROOT modified short arc welding method and short circuit MAG welding processes have been presented. Welding runs were made under different conditions and, during each run, the different process parameters were continuously monitored. It was found that maximum welding speed and less HAZ are reached under specific welding conditions with FastROOT method with the emphasis on arc stability. Welding results show that modified short arc exhibits a higher electrode melting coefficient and with virtually spatter free droplet transition. By adjusting the short circuit duration the penetration can be controlled with only a small change in electrode deposition. Furthermore, by mixing pulsed MIG welding with modified arc welding the working envelope of the process is greatly extended allowing thicker material sections to be welded with improved weld bead aesthetics. FastROOT is a modified short arc welding process using mechanized or automated welding process based on dip transfer welding, characterized by controlled material deposition during the short circuit of the wire electrode to the workpiece.