Improvement of open innovation processes: case Nokia

Open innovation is becoming increasingly popular in academic literature and in business life, but even if people heard about it, they might not understand what it really is, they may over-estimate it thinking that it is savior or underestimate it, concentrating on limitations and risks. Current work sheds light on most important concepts of open innovation theory. Goal of current research is to offer business processes improvement for both inbound and outbound modes in case company. It is relevant as open innovation proved to affect firms‘ performance in general case and in case company, and Nokia planned to develop open innovation implementation since 2008 but still competitors succeed in it more, therefore analysis of current situation with open innovation in Nokia and recommendations how to improve it are topical. Case study method was used to answer the question ―How open innovation processes can be improved?‖. 11 in-depth interviews with Nokia senior managers and independent consultants were used to reach the goal of the thesis, as well as secondary sources. Results of current work are as-is and to-be models (process models of today and best practices models) of several open innovation modes, and recommendation for case company, which will be presented to company representatives and checked for practical applicability.

Focusing on the quality of learning processes

S. 327-333

Patterns and processes of littoral zooplankton composition in relation to the trophic state of the environment

Avhandlingen handlar om hur kompositionen hos litoralt djurplankton varierar med omgivningens trofiska nivå (m.a.o. eutrofieringsgrad). Arbetets inledande mål är att beskriva hur mängden och artmångfalden hos djurplankton i strandnära vattnen och de omgivande organismsamhällen ändras med närsaltshalter. Huvudsyftet är att utreda allmänna mekanismer som styr dessa mönster och som på så sätt kan vara viktiga i att reglera samhällen även i andra ekologiska system. Undersökningarna gjordes i åländska flador över flera tillväxtsäsonger samt i laboratorier där omgivningsförhållanden i fladorna kunde simuleras och manipuleras. Djurplankton i dessa lagunlika vikar är lägliga modellsystem. Flador är lämpligt avgränsade från det omgivande havet och förekommer allmänt i norra Östersjöregionen. Således kan de inom ett litet område som Åland representera hela regionala gradienten från näringsfattiga till näringsrika förhållanden. De små kräft- och hjuldjuren som djurplankton består av befinner sig i mitten av näringsväven. De sammankopplar olika typer av mikrobiell produktion vidare till högre konsumenter och är på så sätt centrala för organismsamhällens struktur och funktion i nästan alla akvatiska miljöer. I likhet med primärproducenterna (d.v.s. växter och alger som direkt påverkas av närsaltshalterna, och som bl.a. utgör föda och habitat för djurplankton) samvarierar kompositionen hos djurplankton tydligt med omgivningens trofiska nivå tills den blir hög. Sedan börjar hela samhällskompositionen utveckla sig åt två skilda håll. Dessa mönster kan för djurplanktonets del förklaras med att dess komposition ingalunda styrs endast av primärproducenterna, utan av ett komplicerat samspel mellan dessa resurser samt konkurrerande och högre konsumenter (d.v.s. predatorer på flera högre trofinivåer). Detta kom fram speciellt i laboratorieförhållanden då kompositionen hos dessa samhällskomponenter manipulerades. Både deras sammansättning och relativa tätheter i sig, samt en kombination av båda visade sig styra djurplanktonkompositionen. Lokala processer (inom fladorna) och synnerligen förändringar hos olika fundament- (speciellt vass, borstnate och rödsträfse), kärn- (speciellt yngel av a bborre och mört) och nyckelarter (stora predatorer som gädda) verkar kunna avgöra till vilken grad djurplanktonkompositionen samvarierar med omgivningens trofiska nivå. Inte bara samhällen utan också de mekanismer som styr dem ändras med omgivningens trofiska nivå. Flador är ypperliga naturliga laboratorier för att studera dessa och även andra allmänekologiska mönster och mekanismer. De är också oerhört viktiga miljöer för hela kustregionens natur.

Subjectivity in the valuation : Case study on the Finnish biotechnology industry

The thesis combines valuation and behavioral economics literature, which is not common among the Finnish management accounting research. Furthermore, the valuation is studied in biotechnology context and those type of studies are rather rare as well. The thesis studies the valuation in the Finnish biotechnology industry. The concepts of behavioral finance are employed in the empirical part of the study to explore decision-makers’ behavior in valuation processes. The main interest of this study is to explore how subjectivity of a decision-maker affects the valuation in the biotechnology industry. The valuation is studied from two perspectives. First, what is the best valuation model for biotechnology companies suggested by the valuation literature? Second, how the valuation in biotechnology industry is done in practice and how the decision-makers subjectivity affects the valuation? The literature review aims at seeking the best valuation model. The real options were found to be the most suitable valuation model for biotechnology companies, especially in the early stages of product development. The real option’s ability to take the value of the inherent options into account results in theoretically most correct valuations. The only disadvantage is the model’s complexity when compared to other models, such as discounted cash flow models. The empirical part of the study consists of a case study, which examines the valuation practices of the Finnish biotechnology companies. When it comes to the valuation models used in practice, it was found that the companies were using rather simple valuation models, which was due to two reasons. First, the interviewees did not believe in the valuation models and second, they were familiar neither with the most sophisticated models nor with all the theoretical aspects of the models they were using. The material for the study was collected with theme interviews. Four CEO’s of highly successful Finnish biotechnology companies. Strong signs of the decision-makers’ subjectivity in valuation were observed. Most obvious were the signs of framing. Furthermore, herding, excessive optimism, and overconfidence were present. All the behavioral concepts observed most likely have a severe effect on the valuation. As a result, the valuation can easily become overly optimistic, which leads to overvalued investments and to continuation of already unprofitable projects. Framing had the strongest evidence. If the product being valued is framed successfully, the risk of overvaluation is high, thus a strong belief can justify almost any value.

Developing the measurement and management of knowledge: applying the constructive research approach in a knowledge intensive service environment

Intellectual assets have attained continuous attention in the academic field, as they are vital sources of competitive advantage and organizational performance in the contemporary knowledge intensive business environment. Intellectual capital measurement is quite thoroughly addressed in the accounting literature. However, the purpose of the measurement is to support the management of intellectual assets, but the reciprocal relationship between measurement and management has not been comprehensively considered in the literature. The theoretical motivation for this study rose from this paradox, as in order to maximise the effectiveness of knowledge management the two initiatives need to be closely integrated. The research approach of this interventionist case study is constructive. The objective is to develop the case organization’s knowledge management and intellectual capital measurement in a way that they would be closely integrated and the measurement would support the management of intellectual assets. The case analysis provides valuable practical considerations about the integration and related issues as the case company is a knowledge intensive organization in which the know-how of the employees is the central competitive asset and therefore, the management and measurement of knowledge are essential for its future success. The results suggest that the case organization is confronting challenges in managing knowledge. In order to appropriately manage knowledge processes and control the related risks, support from intellectual capital measurement is required. However, challenges in measuring intellectual capital, especially knowledge, could be recognized in the organization. By reflecting the knowledge management situation and the constructed strategy map, a new intellectual measurement system was developed for the case organization. The construction of the system as well as its indicators can be perceived to contribute to the literature, emphasizing of the importance of properly considering the organization’s knowledge situation in developing an intellectual capital measurement system.

Acidic dissolution of iron oxides and regeneration of a ceramic filter medium

The dewatering of iron ore concentrates requires large capacity in addition to producing a cake with low moisture content. Such large processes are commonly energy intensive and means to lower the specific energy consumption are needed. Ceramic capillary action disc filters incorporate a novel filter medium enabling the harnessing of capillary action, which results in decreased energy consumption in comparison to traditional filtration technologies. As another benefit, the filter medium is mechanically and chemically more durable than, for example, filter cloths and can, thus, withstand harsh operating conditions and possible regeneration better than other types of filter media. In iron ore dewatering, the regeneration of the filter medium is done through a combination of several techniques: (1) backwashing, (2) ultrasonic cleaning, and (3) acid regeneration. Although it is commonly acknowledged that the filter medium is affected by slurry particles and extraneous compounds, published research, especially in the field of dewatering of mineral concentrates, is scarce. Whereas the regenerative effect of backwashing and ultrasound are more or less mechanical, regeneration with acids is based on chemistry. The chemistry behind the acid regeneration is, naturally, dissolution. The dissolution of iron oxide particles has been extensively studied over several decades but those studies may not necessarily be directly applicable in the regeneration of the filter medium which has undergone interactions with the slurry components. The aim of this thesis was to investigate if free particle dissolution indeed correlates with the regeneration of the filter medium. For this purpose, both free particle dissolution and dissolution of surface adhered particles were studied. The focus was on acidic dissolution of iron oxide particles and on the study of the ceramic filter medium used in the dewatering of iron ore concentrates. The free particle dissolution experiments show that the solubility of synthetic fine grained iron oxide particles in oxalic acid could be explained through linear models accounting for the effects of temperature and acid concentration, whereas the dissolution of a natural magnetite is not so easily explained by such models. In addition, the kinetic experiments performed both support and contradict the work of previous authors: the suitable kinetic model here supports previous research suggesting solid state reduction to be the reaction mechanism of hematite dissolution but the formation of a stable iron oxalate is not supported by the results of this research. Several other dissolution mechanisms have also been suggested for iron oxide dissolution in oxalic acid, indicating that the details of oxalate promoted reductive dissolution are not yet agreed and, in this respect, this research offers added value to the community. The results of the regeneration experiments with the ceramic filter media show that oxalic acid is highly effective in removing iron oxide particles from the surface of the filter medium. The dissolution of those particles did not, however, exhibit the expected behaviour, i.e. complete dissolution. The results of this thesis show that although the regeneration of the ceramic filter medium with acids incorporates the dissolution of slurry particles from the surface of the filter medium, the regeneration cannot be assessed purely based upon free particle dissolution. A steady state, dependent on temperature and on the acid concentration, was observed in the dissolution of particles from the surface even though the limit of solubility of free iron oxide particles had not been reached. Both the regeneration capacity and efficiency, with regards to the removal of iron oxide particles, was found to be temperature dependent, but was not affected by the acid concentration. This observation further suggests that the removal of the surface adhered particles does not follow the dissolution of free particles, which do exhibit a dependency on the acid concentration. In addition, changes in the permeability and in the pore structure of the filter medium were still observed after the bulk concentration of dissolved iron had reached a steady state. Consequently, the regeneration of the filter medium continued after the dissolution of particles from the surface had ceased. This observation suggests that internal changes take place at the final stages of regeneration. The regeneration process could, in theory, be divided into two, possibly overlapping, stages: (1) dissolution of surface-adhered particles, and (2) dissolution of extraneous compounds from within the pore structure. In addition to the fundamental knowledge generated during this thesis, tools to assess the effects of parameters on the regeneration of the ceramic filter medium are needed. It has become clear that the same tools used to estimate the dissolution of free particles cannot be used to estimate the regeneration of a filter medium unless only a robust characterisation of the order of regeneration efficiency is needed.

Open-book accounting - hyödyt ja haasteet erityyppisissä liiketoimintasuhteissa

Tutkimuksessa tarkastellaan OBA:n soveltamisen hyötyjä ja haasteita erityyppisissä yritysten välisissä suhteissa.Tutkimuksen tavoitteena on vastata kysymykseen, mitä erilaisia tavoitteita liiketoimintasuhteiden taustalla esiintyy, tyypitellä liiketoimintasuhteet tavoitteiden ja yritysten välisten toimintojen näkökulmasta ja arvioida miten OBA voi auttaa erityyppisien suhteiden johtamista tukevan informaation tuottamisessa ja hyödyntämisessä. Markkinaperustaisissa suhteissa vaihdannan avulla tavoitellaan tehokkuutta jonka perustana on markkinoilla vallitsevan kilpailun tehokkuus. Neuvotteluvoimaan perustuvissa suhteissa tavoitteena on hankkia resursseja sisäisiä tuotantokustannuksia edullisemmin markkinavoimaa hyväksikäyttämällä. Yhteistyösuhteissa toimittajan kyky tuottaa resurssi sisäisiin tuotantokustannuksiin nähden kilpailukykyisellä hinnalla perustuu vallitseviin mittakaavaetuihin tai erikoistumisen tuomaan osaamiseen ja niissä pyritään saavuttamaan kilpailuetua yritysten osaamista ja resursseja yhdistämällä. Yhteistyösuhteet voidaan jakaa operatiivisiin, taktisiin ja strategisiin yritysten välisten toimintojen integroituneisuuden ja strategisen merkityksen perusteella. Tutkimus antaa viitteitä siitä että OBA:n soveltamisen suurin potentiaali liittyy taktisiin ja strategisiin yhteistyösuhteisiin, koska niissä yritysten välisten toimintojen määrä on merkittävä ja yhteiset tavoitteet lisäävät yritysten välistä luottamusta.

Pretreatment processes in gold recovery by thiosulphate leaching

This thesis describes several different pretreatment processes for gold concentrates and ores. The thesis is divided to theoretical part and experimental part. The theoretical part presents the operating principle of the main pretreatment methods and their suitability for thiosulphate leaching. In the theoretical part also the whole recovery process for gold from ore to elemental gold is presented. In the experimental part the study is focused on pretreatment of sulphidic refractory concentrates with mechanical activation and chemical oxidation under alkaline environment; and their effect on leachability in the thiosulphate leaching. In the experimental part a combined 2-step process, where chemical oxidation under ammoniacal environment is cascaded with thiosulphate leaching in the same conditions, is also tested. The main sulphuric mineral components in the studied refractory concentrate are pyrite (49.4 %) and arsenopyrite (27.7 %). The gold content in the concentrate is 11.3 ppm and silver content is 90 ppm. Without pretreatment the gold conversion in thiosulphate leaching was 30 %, which was analyzed at the time point of 9 hours. At that time the silver conversion was 17 %. By using mechanical activation the gold conversion reached was 59 % and silver conversion 26 %. With chemical oxidation under alkaline environment, where the used chemical was sodium hydroxide, the reached conversion of gold was 72 % and 31 % for silver. In the combined oxidation and leaching experiment the conversion of gold remained at 49 % and 18 % for silver.

Theorizing Formal and Informal Feedback Practices in Management Accounting Through Three Dimensions

The purpose of this doctoral thesis is to widen and develop our theoretical frameworks for discussion and analyses of feedback practices in management accounting, particularly shedding light on its formal and informal aspects. The concept of feedback in management accounting has conventionally been analyzed within cybernetic control theory, in which feedback flows as a diagnostic or comparative loop between measurable outputs and pre-set goals (see e.g. Flamholtz et al. 1985; Flamholtz 1996, 1983), i.e. as a formal feedback loop. However, the everyday feedback practices in organizations are combinations of formal and informal elements. In addition to technique-driven feedback approaches (like budgets, measurement, and reward systems) we could also categorize social feedback practices that managers see relevant and effective in the pursuit of organizational control. While cybernetics or control theories successfully capture rational and measured aspects of organizational performance and offer a broad organizational context for the analysis, many individual and informal aspects remain vague and isolated. In order to discuss and make sense of the heterogeneous field of interpretations of formal and informal feedback, both in theory and practice, dichotomous approaches seem to be insufficient. Therefore, I suggest an analytical framework of formal and informal feedback with three dimensions (3D’s): source, time, and rule. Based on an abductive analysis of the theoretical and empirical findings from an interpretive case study around a business unit called Division Steelco, the 3Dframework and formal and informal feedback practices are further elaborated vis-á-vis the four thematic layers in the organizational control model by Flamholtz et al. (1985; Flamholtz 1996, 1983): core control system, organizational structure, organizational culture, and external environment. Various personal and cultural meanings given to the formal and informal feedback practices (“feedback as something”) create multidimensional interpretative contexts. Multidimensional frameworks aim to capture and better understand both the variety of interpretations and their implications to the functionality of feedback practices, important in interpretive research.

Towards novel biogas upgrading processes

Biogas production has considerable development possibilities not only in Finland but all over the world since it is the easiest way of creating value out of various waste fractions and represents an alternative source of renewable energy. Development of efficient biogas upgrading technology has become an important issue since it improves the quality of biogas and for example facilitating its injection into the natural gas pipelines. Moreover, such upgrading contributes to resolving the issue of increasing CO2 emissions and addresses the increasing climate change concerns. Together with traditional CO2 capturing technologies a new class of recently emerged sorbents such as ionic liquids is claimed as promising media for gas separations. In this thesis, an extensive comparison of the performance of different solvents in terms of CO2 capture has been performed. The focus of the present study was on aqueous amine solutions and their mixtures, traditional ionic liquids, ‘switchable’ ionic liquids and poly(ionic liquid)s in order to reveal the best option for biogas upgrading. The CO2 capturing efficiency for the most promising solvents achieved values around 50 - 60 L CO2 / L absorbent. These values are superior to currently widely applied water wash biogas upgrading system. Regeneration of the solvent mixtures appeared to be challenging since the loss of initial efficiency upon CO2 release was in excess of 20 - 40 vol %, especially in the case of aqueous amine solutions. In contrast, some of the ionic liquids displayed reversible behavior. Thus, for selected “switchable” ionic and poly(ionic liquid)s the CO2 absorption/regeneration cycles were performed 3 - 4 times without any notable efficiency decrease. The viscosity issue, typical for ionic liquids upon CO2 saturation, was addressed and the information obtained was evaluated and related to the ionic interactions. The occurrence of volatile organic compounds (VOCs) before and after biogas upgrading was studied for biogas produced through anaerobic digestion of waste waters sludge. The ionic liquid [C4mim][OAc] demonstrated its feasibility as a promising scrubbing media and exhibited high efficiency in terms of the removal of VOCs. Upon application of this ionic liquid, the amount of identified VOCs was diminished by around 65 wt %, while the samples treated with the aqueous mixture of 15 wt % N-methyldiethanolamine with addition of 5 wt % piperazine resulted in 32 wt % reduction in the amounts of volatile organic compounds only.

Lean Accounting

Lean-filosofian keskeinen ajatus on tuottaa asiakkaalle enemmän arvoa vähentämällä turhuuksia tuotannosta. Keskeisessä roolissa lean-filosofiassa ovat arvo, arvovirta, flow, pull ja täydellisyys. Lean accounting on lean-tuotantofilosofiaa tukeva työkalu ja sen avulla voidaan kehittää sekä seurata lean-tuotantoa. Lean accountingissa tuotetaan selkeitä ja yksinkertaisia raportteja, joita koko organisaatio voi ymmärtää. Oleellista lean accountingissa on keskittyä yhden tuotteen kannattavuuden sijaan koko arvovirran kannattavuuteen. Tässä kandidaatintyössä käsitellään lean accountingia yleisesti. Työssä perehdytään perinteisen laskentatoimen ongelmiin lean-tuotannossa sekä esitellään sopivia työkaluja ja menetelmiä, jotka sopivat lean-yritykselle. Työssä on haasteltu Suomessa toimivia lean-yrityksiä heidän lean accounting ja lean-työkalujen tuntemuksesta. Työn tärkeyttä korostaa se, että lean accounting on huonosti tunnettu. Useat yritykset hyödyntävät lean-tuotantoa, mutta hyöty saattaa jäädä huomaamatta ilman lean accountingia. Lean accounting on havaittu hyväksi menetelmäksi ja siitä voi olla apua lean-yrityksille.

Knowledge, processes and relationships in organizational change: Understanding how to facilitate management of intellectual capital in diverse organization structures and cultures.

This study examined relationships of organizational dependencies, change management and developed intellectual knowledge resources, in different intellectual capital based development programs on ICT-sector. Study was carried out in a research context, where high degree of external organizational contingencies existed and lots of changes in several development programs had taken place in the last years. From a scientific perspective the main contribution was that evidence between relationships of organizational dependencies, change model portfolio and developed knowledge resources could be suggested. From managerial perspective the primary implication was that in situations where sustainable competitive advantage is pursued by means of increasing knowledge based productivity of labor, firms should seek to pursue organizational settings where external dependencies have minimal amount of effect.