Total cost model to compare own and partner manufacturing

Target of this study was to develop a total cost calculation model to compare all costs from manufacturing and logistics from own factories or from partner factories to global distribution centers in a case company. Especially the total cost calculation model was needed to simulate an own factory utilization effect in the total cost calculation context. This study consist of the theoretical literature review and the empirical case study. This study was completed using the constructive research approach. The result of this study was a new total cost calculation model. The new total cost calculation model includes not only all the costs caused by manufacturing and logistics, but also the relevant capital costs. Using the new total cost calculation model, case company is able to complete the total cost calculations taking into account the own factory utilization effect in different volume situations and volume shares between an own factory and a partner factory.

Business intelligence – enabling self-service: A case study in a global manufacturing company

Business intelligence (BI) is an information process that includes the activities and applications used to transform business data into valuable business information. Today’s enterprises are collecting detailed data which has increased the available business data drastically. In order to meet changing customer needs and gain competitive advantage businesses try to leverage this information. However, IT departments are struggling to meet the increased amount of reporting needs. Therefore, recent shift in the BI market has been towards empowering business users with self-service BI capabilities. The purpose of this study was to understand how self-service BI could help businesses to meet increased reporting demands. The research problem was approached with an empirical single case study. Qualitative data was gathered with a semi-structured, theme-based interview. The study found out that case company’s BI system was mostly used for group performance reporting. Ad-hoc and business user-driven information needs were mostly fulfilled with self-made tools and manual work. It was felt that necessary business information was not easily available. The concept of self-service BI was perceived to be helpful to meet such reporting needs. However, it was found out that the available data is often too complex for an average user to fully understand. The respondents felt that in order to self-service BI to work, the data has to be simplified and described in a way that it can be understood by the average business user. The results of the study suggest that BI programs struggle in meeting all the information needs of today’s businesses. The concept of self-service BI tries to resolve this problem by allowing users easy self-service access to necessary business information. However, business data is often complex and hard to understand. Self-serviced BI has to overcome this challenge before it can reach its potential benefits.

Business intelligence – enabling self-service: A case study in a global manufacturing company

Business intelligence (BI) is an information process that includes the activities and applications used to transform business data into valuable business information. Today’s enterprises are collecting detailed data which has increased the available business data drastically. In order to meet changing customer needs and gain competitive advantage businesses try to leverage this information. However, IT departments are struggling to meet the increased amount of reporting needs. Therefore, recent shift in the BI market has been towards empowering business users with self-service BI capabilities. The purpose of this study was to understand how self-service BI could help businesses to meet increased reporting demands. The research problem was approached with an empirical single case study. Qualitative data was gathered with a semi-structured, theme-based interview. The study found out that case company’s BI system was mostly used for group performance reporting. Ad-hoc and business user-driven information needs were mostly fulfilled with self-made tools and manual work. It was felt that necessary business information was not easily available. The concept of self-service BI was perceived to be helpful to meet such reporting needs. However, it was found out that the available data is often too complex for an average user to fully understand. The respondents felt that in order to self-service BI to work, the data has to be simplified and described in a way that it can be understood by the average business user. The results of the study suggest that BI programs struggle in meeting all the information needs of today’s businesses. The concept of self-service BI tries to resolve this problem by allowing users easy self-service access to necessary business information. However, business data is often complex and hard to understand. Self-serviced BI has to overcome this challenge before it can reach its potential benefits.

PRODUCT DATA MANAGEMENT FOR FINNISH SMALL AND MEDIUM-SIZED MANUFACTURING ENTERPRISES - Towards a viable information system concept

Product Data Management (PDM) systems have been utilized within companies since the 1980s. Mainly the PDM systems have been used by large companies. This thesis presents the premise that small and medium-sized companies can also benefit from utilizing the Product Data Management systems. Furthermore, the starting point for the thesis is that the existing PDM systems are either too expensive or do not properly respond to the requirements SMEs have. The aim of this study is to investigate what kinds of requirements and special features SMEs, operating in Finnish manufacturing industry, have towards Product Data Management. Additionally, the target is to create a conceptual model that could fulfill the specified requirements. The research has been carried out as a qualitative case study, in which the research data was collected from ten Finnish companies operating in manufacturing industry. The research data is formed by interviewing key personnel from the case companies. After this, the data formed from the interviews has been processed to comprise a generic set of information system requirements and the information system concept supporting it. The commercialization of the concept is studied in the thesis from the perspective of system development. The aim was to create a conceptual model, which would be economically feasible for both, a company utilizing the system and for a company developing it. For this reason, the thesis has sought ways to scale the system development effort for multiple simultaneous cases. The main methods found were to utilize platform-based thinking and a way to generalize the system requirements, or in other words abstracting the requirements of an information system. The results of the research highlight the special features Finnish manufacturing SMEs have towards PDM. The most significant of the special features is the usage of project model to manage the order-to-delivery –process. This differs significantly from the traditional concepts of Product Data Management presented in the literature. Furthermore, as a research result, this thesis presents a conceptual model of a PDM system, which would be viable for the case companies interviewed during the research. As a by-product, this research presents a synthesized model, found from the literature, to abstract information system requirements. In addition to this, the strategic importance and categorization of information systems within companies has been discussed from the perspective of information system customizations.

Catching up with competitiveness in emerging markets – An analysis of the role of the firm’s technology management strategies

Emerging markets have experienced rapid economic growth, and manufacturing firms have had to face the effects of globalisation. Some of the major emerging economies have been able to create a supportive business environment that fosters innovation, and China is a good example of a country that has been able to increase value-added investments. Conversely, when we look at Russia, another big emerging market, we witness a situation in which domestic firms struggle more with global competitiveness. Innovation has proven to be one of the most essential ingredients for firms aiming to grow and become more competitive. In emerging markets, the business environment sets many constraints for innovation. However, open strategic choices in new product development enable companies in emerging markets to expand their resource base and capability building. Networking and close inter-firm cooperation are essential in this regard. In this dissertation, I argue that technology transfer is one of the key tools for these companies to become internationally networked and to improve their competitiveness. It forces companies to reach outside the company and national borders, which in many cases, is a major challenge for firms in emerging markets. This dissertation focuses on how companies can catch up with competitiveness in emerging markets. The empirical studies included in the dissertation are based on analyses of survey data mainly of firms and their strategies in the Russian manufacturing industry. The dissertation contributes to the current strategic management literature by further investigating technology management strategies in manufacturing firms in emerging markets and the benefits of more open approaches to new product development and innovation.

Characterization of design of a product for additive manufacturing

The purpose of conducting this thesis is to gather around information about additive manufacturing and to design a product to be additively manufactured. The specific manufacturing method dealt with in this thesis, is powder bed fusion of metals. Therefore when mentioning additive manufacturing in this thesis, it is referred to powder bed fusion of metals. The literature review focuses on the principle of powder bed fusion, the general process chain in additive manufacturing, design rules for additive manufacturing. Examples of success stories in additive manufacturing and reasons for selecting parts to be manufactured with additive manufacturing are also explained in literature review. This knowledge is demanded to understand the experimental part of the thesis. The experimental part of the thesis is divided into two parts. Part A concentrates on finding proper geometry for building self-supporting pipes and proper parameters for support structures of them. Part B of the experimental part concentrates on a case study of designing a product for additive manufacturing. As a result of experimental part A, the design process of self-supporting pipes, results of visual analysis and results of 3D scanning are presented. As a result of experimental part B the design process of the product is presented and compared to the original model.

Developing Supply Chain Process Management and Measurement in Global Manufacturing Company

The objective of this research is to create a current state analysis of pulp supply chain processes from production planning to deliveries to customers. A cross-functional flowchart is being used to model these processes. These models help finding key performance indicators (KPIs) which enable examinations of the supply chain efficiency. Supply chain measures in different processes reveal the changes need processes that affect the whole supply chain and its efficiency and competitiveness. Structure of pulp supply chain differs from most of the other supply chains. The fact that there are big volumes of bulk products, small product variations and supply forecasts are made for the year ahead make the difference. This factor brings different benefits but also challenges when developing supply chain. This thesis divides pulp supply chain in three different main categories: production planning, warehousing and transportation. It provides tools for estimating the functionality of supply chain as well as developing the efficiency for different functions of supply chain. By having a better understanding of supply chain processes and measurement the whole supply chain structure can be developed significantly.

Monitoring Directed Energy Deposition Processes in Additive Manufacturing

The purpose of this study is to find out how laser based Directed Energy Deposition processes can benefit from different types of monitoring. DED is a type of additive manufacturing process, where parts are manufactured in layers by using metallic powder or metallic wire. DED processes can be used to manufacture parts that are not possible to manufacture with conventional manufacturing processes, when adding new geometries to existing parts or when wanting to minimize the scrap material that would result from machining the part. The aim of this study is to find out why laser based DED-processes are monitored, how they are monitored and what devices are used for monitoring. This study has been done in the form of a literature review. During the manufacturing process, the DED-process is highly sensitive to different disturbances such as fluctuations in laser absorption, powder feed rate, temperature, humidity or the reflectivity of the melt pool. These fluctuations can cause fluctuations in the size of the melt pool or its temperature. The variations in the size of the melt pool have an effect on the thickness of individual layers, which have a direct impact on the final surface quality and dimensional accuracy of the parts. By collecting data from these fluctuations and adjusting the laser power in real-time, the size of the melt pool and its temperature can be kept within a specified range that leads to significant improvements in the manufacturing quality. The main areas of monitoring can be divided into the monitoring of the powder feed rate, the temperature of the melt pool, the height of the melt pool and the geometry of the melt pool. Monitoring the powder feed rate is important when depositing different material compositions. Monitoring the temperature of the melt pool can give information about the microstructure and mechanical properties of the part. Monitoring the height and the geometry of the melt pool is an important factor in achieving the desired dimensional accuracy of the part. By combining multiple different monitoring devices, the amount of fluctuations that can be controlled will be increased. In addition, by combining additive manufacturing with machining, the benefits of both processes could be utilized.

Development of a New Welding Product Quality Control and Management System Model for China

The Chinese welding industry is growing every year due to rapid development of the Chinese economy. Increasingly, companies around the world are looking to use Chinese enterprises as their cooperation partners. However, the Chinese welding industry also has its weaknesses, such as relatively low quality and weak management. A modern, advanced welding management system appropriate for local socio-economic conditions is required to enable Chinese enterprises to enhance further their business development. The thesis researches the design and implementation of a new welding quality management system for China. This new system is called ‗welding production quality control management model in China‘ (WQMC). Constructed on the basis of analysis of a survey and in-company interviews, the welding management system comprises the following different elements and perspectives: a ‗Localized congenital existing problem resolution strategies‘ (LCEPRS) database, a ‗human factor designed training system‘ (HFDT) training strategy, the theory of modular design, ISO 3834 requirements, total welding management (TWM), and lean manufacturing (LEAN) theory. The methods used in the research are literature review, questionnaires, interviews, and the author‘s model design experiences and observations, i.e. the approach is primarily qualitative and phenomenological. The thesis describes the design and implementation of a HFDT strategy in Chinese welding companies. Such training is an effective way to increase employees‘ awareness of quality and issues associated with quality assurance. The study identified widely existing problems in the Chinese welding industry and constructed a LCEPRS database that can be used in efforts to mitigate and avoid common problems. The work uses the theory of modular design, TWM and LEAN as tools for the implementation of the WQMC system.

Improving purchasing process for small purchases at a manufacturing company in chemical industry

This thesis was conducted on assignment by a multinational chemical corporation as a case study. The purpose of this study is to find ways to improve the purchasing process for small purchases at the case company. The improvements looked after are mainly cost and time savings. Purchasing process is the process that starts from the requisition of goods or services and ends when the invoice is paid. In this thesis the purchases with value less than 1000€ are considered to be small. The theoretical framework of the thesis consists of general theoretical view of costs and performance of the purchasing process, different types of purchasing processes and a model for improving purchasing processes. The categorization to small and large purchases is the most important followed by the division between direct and indirect purchases. Also models that provide more strategic perspective for categorization were found to be useful. Auditing and managerial control are important parts of the purchasing process. When considering the transaction costs of purchasing from the costs–benefits perspective large and small purchases should not have the same processes. Purchasing cards, e-procurement and vendor managed inventory are seen as an alternative to the traditional purchasing process. The empirical data collection was done by interviewing the company employees that take part of the purchasing process in their daily work. The interviews had open-ended questions and the answers were coded and analyzed. The results consist of process description and assessment as well as suggestions for potential improvements. At the case company the basic purchasing process was similar to the traditional purchasing process that is entirely done with computers and online. For some categories there was already more sophisticated e-procurement solutions in use. To improve the current e-procurement based solutions elimination of authorization workflow and better information exchange can be seen as potential improvements for most of the case purchases. Purchasing cards and a lightweight form of vendor managed inventory can be seen as potential improvements for some categories. Implementing the changes incurs at least some cost and the benefits might be hard to measure. This thesis has revealed that the small purchases have potential for significant cost and time savings at the case company.