State of Logistics and Operations Management in Finnish and Swedish Companies – Survey Research Findings

In this research we are examining what is the status of logistics and operations management in Finnish and Swedish companies. Empirical data is based on the web based questionnaire, which was completed in the end of 2007 and early 2008. Our examination consists of roughly 30 answers from largest manufacturing (highest representation in our sample), trade and logistics/distribution companies. Generally it could be argued that these companies operate in complex environment, where number of products, raw materials/components and suppliers is high. However, usually companies rely on small amount of suppliers per raw material/component (highest frequency is 2), and this was especially the case among Swedish companies, and among those companies, which favoured overseas sourcing. Sample consisted of companies which mostly are operating in an international environment, and are quite often multinationals. Our survey findings reveal that companies in general have taken logistics and information technology as part of their strategy process; utilization of performance measures as well as system implementations have followed the strategy decisions. In the transportation mode side we identify that road transports dominate all transport flow classes (inbound, internal and outbound), followed by sea and air. Surprisingly small amount of companies use railways, but in general we could argue that Swedish companies prefer this mode over Finnish counterparts. With respect of operations outsourcing, we found that more traditional areas of logistics outsourcing are driving factors in company's performance measurement priority. In contrary to previous research, our results indicate that the scope of outsourcing is not that wide in logistics/operations management area, and companies are not planning to outsource more in the near future. Some support is found for more international operations and increased outsourcing activity. From the increased time pressure of companies, we find evidence that local as well as overseas customers expect deliveries within days or weeks, but suppliers usually supply within weeks or months. So, basically this leads into considerable inventory holding. Interestingly local and overseas sourcing strategy does not have that great influence on lead time performance of these particular sourcing areas - local strategy is anyway considerably better in responding on market changes due to shorter supply lead times. In the end of our research work we have completed correlation analysis concerning items asked with Likert scale. Our analysis shows that seeing logistics more like a process rather than function, applying time based management, favouring partnerships and measuring logistics within different performance dimensions results on preferred features and performance found in logistics literature.

Risk Management in Sustainable Supply Chain

Growing awareness in corporate responsibility and issues related to sustainability is seen to increase innovativeness in a company as well as in its supply chain. The stakeholders’ awareness on sustainability has increased, and they demand the companies to identify sustainability risks and adapt procedures for mitigating them. The purpose of this thesis is to examine how risks are managed in sustainable supply chain. Definition of sustainability risks and risk management procedures construct the framework of the study. It is done through an empirical study conducted on 95 Finnish companies operating in the manufacturing industry. The data is acquired via an online questionnaire. The research has been conducted as a quantitative study utilizing the methods of statistical analysis, such as correlation analysis and factor analysis. The essential results of this thesis are identified risk-procedure connections, and the importance of different risks and procedures in the respondent companies.

Pienten osuuskuntien taloudellinen suoriutuminen

Tämän kandidaatintutkielman tarkoituksena on tutkia suomalaisia pienosuuskuntia niiden taloudellisen suoriutumisen näkökulmasta. Taloudellista suoriutumista tutkitaan tunnuslukujen avulla osuuskuntien tilinpäätöksissä olevien lukujen perusteella. Lisäksi tutkitaan, onko taloudellisessa suoriutumisessa eroavaisuuksia alueen, toimialan tai osuuskunnan koon välillä. Tutkimuksen aineisto on peräisin suomalaisten osuuskuntien tilinpäätöksistä, jotka ovat saatavilla Patentti- ja rekisterihallituksen Virre-tietokannasta. Aineistoa analysoidaan SAS Enterprise Guide -ohjelman avulla käyttäen apuna jakauma-analyysiä, yhteenvetotilastoja, Kruskal-Wallisin testiä sekä Spearmanin korrelaatioanalyysiä. Jakauma-analyyseillä ja yhteenvetotilastoilla muodostetaan aineistosta kokonaiskuva ja analysoidaan suomalaisten pienosuuskuntien tunnuslukuja. Kruskal-Wallis testillä analysoidaan taloudellisen suoriutumisen eroa alueellisesti ja toimialakohtaisesti ja Spearmanin korrelaatiokertoimella mitataan korrelaatiota liikevaihdon ja tunnuslukujen välillä. Tulosten perusteella osuuskuntien taloudellinen suoriutuminen ei ole sidoksissa toimialaan eikä alueeseen. Koon ja quick ration välillä löytyi negatiivinen korrelaatio. Suomalaisten pienosuuskuntien maksuvalmius on hyvällä tasolla. Myös vakavaraisuus on kohtalainen. Kannattavuuden tunnusluvut jäivät osuuskunnilla hyvin alhaisiksi ja osin jopa negatiivisiksi. Koska osuuskuntien toiminnan tarkoitus ei ole maksimoida voittoa, voidaan kannattavuuden tunnuslukuja pitää hyvällä tasolla, kunhan ne ovat positiivisia.

Strategiaprosessi monikansallisessa yrityksessä

Tämän kandidaatintutkielman tavoitteena on tunnistaa strategiaprosessin eri vaiheet sekä kuvailla, miten prosessi toteutettiin tapausyritys Suominen Oyj:llä. Tavoitteina on myös analysoida, miten Suominen Oyj:n henkilöstö kokee oman suhteensa organisaatioon, sen strategiaan, tavoitteisiin ja arvoihin. Analyysin pohjalta pyritään muodostamaan kuva siitä, kuinka strategian implementoinnissa on onnistuttu. Lisäksi tarkastellaan, eroavatko nämä kokemukset eri maissa tapausyrityksessä. Tutkimuksessa käytetään sekä kvalitatiivisia että kvantitatiivisia tutkimusmenetelmiä. Suominen Oyj:n strategiaprosessista hankitaan informaatiota kahdella laadullisella puolistrukturoidulla teemahaastattelulla. Kvantitatiivisen analyysin kohteena puolestaan on tapausyrityksen yhdeksältäkymmeneltä ylimmässä asemassa työskentelevältä henkilöltä kerätty tilastollinen kyselydata, jota analysoidaan muun muassa Kruskal-Wallisin testillä sekä Spearmanin korrelaatioanalyysillä. Tutkielmassa muodostetaan kuva prosessista, jossa hyvin muotoiltu strategia sekä selkeät tavoitteet luovat pohjan strategian implementoinnille. Onnistuneen implementoinnin keinoja ovat muun muassa kehitysohjelmat, tarkka rekrytointi, tavoitteiden ja palkkioiden sitominen strategiaan, strategian kanssa yhteensopiva organisaatiokulttuuri, useamman eri hierarkiatason osallistuminen ja erilaisten kontrollijärjestelmien sekä implementointityökalujen hyödyntäminen. Havaitaan, että tapausyritys käyttää näistä keinoista useampaa. Yrityksen monikansallisuus vaikuttaa erityisesti organisaatiokulttuuriin sekä sisäiseen viestintään. Tutkielman kvantitatiivisen analyysin tulokset näyttävät, ettei maiden välillä ole tilastollisesti merkittäviä eroja siinä, miten henkilöstö kokee oman suhteensa tapausyritykseen, sen strategiaan, tavoitteisiin ja arvoihin. Kvantitatiivisen analyysin perusteella Suominen Oyj:n strategiaprosessi on onnistunut hyvin. Tutkimuksessa esitellään vielä muutamia kehitysajatuksia yritystä sekä mahdollisia jatkotutkimuksia varten.

Quantitative market and sales forecast accuracy analysis

The main objective of this master’s thesis was to quantitatively study the reliability of market and sales forecasts of a certain company by measuring bias, precision and accuracy of these forecasts by comparing forecasts against actual values. Secondly, the differences of bias, precision and accuracy between markets were explained by various macroeconomic variables and market characteristics. Accuracy and precision of the forecasts seems to vary significantly depending on the market that is being forecasted, the variable that is being forecasted, the estimation period, the length of the estimated period, the forecast horizon and the granularity of the data. High inflation, low income level and high year-on-year market volatility seems to be related with higher annual market forecast uncertainty and high year-on-year sales volatility with higher sales forecast uncertainty. When quarterly market size is forecasted, correlation between macroeconomic variables and forecast errors reduces. Uncertainty of the sales forecasts cannot be explained with macroeconomic variables. Longer forecasts are more uncertain, shorter estimated period leads to higher uncertainty, and usually more recent market forecasts are less uncertain. Sales forecasts seem to be more uncertain than market forecasts, because they incorporate both market size and market share risks. When lead time is more than one year, forecast risk seems to grow as a function of root forecast horizon. When lead time is less than year, sequential error terms are typically correlated, and therefore forecast errors are trending or mean-reverting. The bias of forecasts seems to change in cycles, and therefore the future forecasts cannot be systematically adjusted with it. The MASE cannot be used to measure whether the forecast can anticipate year-on-year volatility. Instead, we constructed a new relative accuracy measure to cope with this particular situation.

Reliability analysis of medium voltage feeder

Distribution companies are facing numerous challenges in the near future. Regulation defines correlation between power quality and revenue cap. Companies have to take measures for reliability increase to successfully compete in modern conditions. Most of the failures seen by customers originate in medium voltage networks. Implementation of network automation is the very effective measure to reduce duration and number of outages, and consequently, outage costs. Topic of this diploma work is study of automation investments effect on outage costs and other reliability indices. Calculation model have been made to perform needed reliability calculations. Theoretical study of different automation scenarios has been done. Case feeder from actual distribution company has been studied and various renovation plans have been suggested. Network automation proved to be effective measure for increasing medium voltage network reliability.

GPRS/EDGE Session Tracing and Analysis in Abis and AGPRS Interfaces

Efficient problem solving in cellular networks is important when enhancing the network performance and liability. Analysis of calls and packet switched sessions in protocol level between the network elements is an important part of this process. They can provide very detailed information about error situations which otherwise would be difficult to recognise. In this thesis we seek solutions for monitoring GPRS/EDGE sessions in two specific interfaces simultaneously in such manner that all information important to the users will be provided in easily understandable form. This thesis focuses on Abis and AGPRS interfaces of GSM radio network and introduces a solution for managing the correlation between these interfaces by using signalling messages and common parameters as linking elements. ~: Finally this thesis presents an implementation of GPRS/EDGE session monitoring application for Abis and AGPRS interfaces and evaluates its benefits to the end users. Application is implemented as a part of Windows based 3G/GSM network analyser.

Sampling in chemical analysis

The uncertainty of any analytical determination depends on analysis and sampling. Uncertainty arising from sampling is usually not controlled and methods for its evaluation are still little known. Pierre Gy’s sampling theory is currently the most complete theory about samplingwhich also takes the design of the sampling equipment into account. Guides dealing with the practical issues of sampling also exist, published by international organizations such as EURACHEM, IUPAC (International Union of Pure and Applied Chemistry) and ISO (International Organization for Standardization). In this work Gy’s sampling theory was applied to several cases, including the analysis of chromite concentration estimated on SEM (Scanning Electron Microscope) images and estimation of the total uncertainty of a drug dissolution procedure. The results clearly show that Gy’s sampling theory can be utilized in both of the above-mentioned cases and that the uncertainties achieved are reliable. Variographic experiments introduced in Gy’s sampling theory are beneficially applied in analyzing the uncertainty of auto-correlated data sets such as industrial process data and environmental discharges. The periodic behaviour of these kinds of processes can be observed by variographic analysis as well as with fast Fourier transformation and auto-correlation functions. With variographic analysis, the uncertainties are estimated as a function of the sampling interval. This is advantageous when environmental data or process data are analyzed as it can be easily estimated how the sampling interval is affecting the overall uncertainty. If the sampling frequency is too high, unnecessary resources will be used. On the other hand, if a frequency is too low, the uncertainty of the determination may be unacceptably high. Variographic methods can also be utilized to estimate the uncertainty of spectral data produced by modern instruments. Since spectral data are multivariate, methods such as Principal Component Analysis (PCA) are needed when the data are analyzed. Optimization of a sampling plan increases the reliability of the analytical process which might at the end have beneficial effects on the economics of chemical analysis,

Economic Geographical Analysis of The Finnish Paper Industry

The purpose of this academic economic geographical dissertation is to study and describe how competitiveness in the Finnish paper industry has developed during 2001–2008. During these years, the Finnish paper industry has faced economically challenging times. This dissertation attempts to fill the existing gap between theoretical and empirical discussions concerning economic geographical issues in the paper industry. The main research questions are: How have the supply chain costs and margins developed during 2001–2008? How do sales prices, transportation, and fixed and variable costs correlate with gross margins in a spatial context? The research object for this case study is a typical large Finnish paper mill that exports over 90 % of its production. The economic longitudinal research data were obtained from the case mill’s controlled economic system and, correlation (R2) analysis was used as the main research method. The time series data cover monthly economic and manufacturing observations from the mill from 2001 to 2008. The study reveals the development of prices, costs and transportation in the case mill, and it shows how economic variables correlate with the paper mills’ gross margins in various markets in Europe. The research methods of economic geography offer perspectives that pay attention to the spatial (market) heterogeneity. This type of research has been quite scarce in the research tradition of Finnish economic geography and supply chain management. This case study gives new insight into the research tradition of Finnish economic geography and supply chain management and its applications. As a concrete empirical result, this dissertation states that the competitive advantages of the Finnish paper industry were significantly weakened during 2001–2008 by low paper prices, costly manufacturing and expensive transportation. Statistical analysis expose that, in several important markets, transport costs lower gross margins as much as decreasing paper prices, which was a new finding. Paper companies should continuously pay attention to lowering manufacturing and transporting costs to achieve more profitable economic performance. The location of a mill being far from markets clearly has an economic impact on paper manufacturing, as paper demand is decreasing and oversupply is pressuring paper prices down. Therefore, market and economic forecasting in the paper industry is advantageous at the country and product levels while simultaneously taking into account the economic geographically specific dimensions.

Application of morphometry, static DNA ploidy analysis, and steroid receptor expression in diagnosis and prognosis of Libyan breast cancer

The aim of this study was to describe the demographic, clinicopathological, biological and morphometric features of Libyan breast cancer patients. The supporting value of nuclear morphometry and static image cytometry in the sensitivity for detecting breast cancer in conventional fine-needle aspiration biopsies were estimated. The findings were compared with findings in breast cancer in Finland and Nigeria. In addation, the value of ER and PR were evaluated. There were 131 histological samples, 41 cytological samples, and demographic and clinicopathological data from 234 Libyan patients. The Libyan breast cancer is dominantly premenopausal and in this feature it is similar to breast cancer in sub-Saharan Africans, but clearly different from breast cancer in Europeans, whose cancers are dominantly postmenopausal in character. At presention most Libyan patients have locally advanced disease, which is associated with poor survival rates. Nuclear morphometry and image DNA cytometry agree with earlier published data in the Finnish population and indicate that nuclear size and DNA analysis of nuclear content can be used to increase the cytological sensitivity and specificity in doubtful breast lesions, particularly when free cell sampling method is used. Combination of the morphometric data with earlier free cell data gave the following diagnostic guidelines: Range of overlap in free cell samples: 55 μm2 -71 μm2. Cut-off values for diagnostic purposes: Mean nuclear area (MNA) >54 μm2 for 100% detection of malignant cases (specificity 84 %), MNA < 72 μm2 for 100% detection of benign cases (sensitivity 91%). Histomorphometry showed a significant correlation between the MNA and most clinicopathological features, with the strongest association observed for histological grade (p <0.0001). MNA seems to be a prognosticator in Libyan breast cancer (Pearson’s test r = - 0.29, p = 0.019), but at lower level of significance than in the European material. A corresponding relationship was not found in shape-related morphometric features. ER and PR staining scores were in correlation with the clinical stage (p= 0.017, and 0.015, respectively), and also associated with lymph node negative patients (p=0.03, p=0.05, respectively). Receptor-positive (HR+) patients had a better survival. The fraction of HR+ cases among Libyan breast cancers is about the same as the fraction of positive cases in European breast cancer. The study suggests that also weak staining (corresponding to as few as 1% positive cells) has prognostic value. The prognostic significance may be associated with the practice to use antihormonal therapy in HR+ cases. The low survival and advanced presentation is associated with active cell proliferation, atypical nuclear morphology and aneuploid nuclear DNA content in Libyan breast cancer patients. The findings support the idea that breast cancer is not one type of disease, but should probably be classified into premenopausal and post menopausal types.

Analysis of value drivers behind CRM adoption projects in financial services industry

This research is focused on deriving framework for the value thought for from the Customer Relationship Management system adopted by an enterprise operating in the financial services industry. It will analyze existing academic work to derive a conceptual value model, while applying secondary industry specific case studies provided by the CRM vendors to check the validity and commonality of these drivers. Furthermore this work locates the variances and correlation between value thought for from CRM system, scope of enterprise operations and size of the enterprise.

Analysis and validation of space averaged drag model for numerical simulations of gas-solid flows in fluidized beds

This thesis presents an approach for formulating and validating a space averaged drag model for coarse mesh simulations of gas-solid flows in fluidized beds using the two-fluid model. Proper modeling for fluid dynamics is central in understanding any industrial multiphase flow. The gas-solid flows in fluidized beds are heterogeneous and usually simulated with the Eulerian description of phases. Such a description requires the usage of fine meshes and small time steps for the proper prediction of its hydrodynamics. Such constraint on the mesh and time step size results in a large number of control volumes and long computational times which are unaffordable for simulations of large scale fluidized beds. If proper closure models are not included, coarse mesh simulations for fluidized beds do not give reasonable results. The coarse mesh simulation fails to resolve the mesoscale structures and results in uniform solids concentration profiles. For a circulating fluidized bed riser, such predicted profiles result in a higher drag force between the gas and solid phase and also overestimated solids mass flux at the outlet. Thus, there is a need to formulate the closure correlations which can accurately predict the hydrodynamics using coarse meshes. This thesis uses the space averaging modeling approach in the formulation of closure models for coarse mesh simulations of the gas-solid flow in fluidized beds using Geldart group B particles. In the analysis of formulating the closure correlation for space averaged drag model, the main parameters for the modeling were found to be the averaging size, solid volume fraction, and distance from the wall. The closure model for the gas-solid drag force was formulated and validated for coarse mesh simulations of the riser, which showed the verification of this modeling approach. Coarse mesh simulations using the corrected drag model resulted in lowered values of solids mass flux. Such an approach is a promising tool in the formulation of appropriate closure models which can be used in coarse mesh simulations of large scale fluidized beds.

Post-processing and analysis of tracked hand trajectories

In this thesis, the suitability of different trackers for finger tracking in high-speed videos was studied. Tracked finger trajectories from the videos were post-processed and analysed using various filtering and smoothing methods. Position derivatives of the trajectories, speed and acceleration were extracted for the purposes of hand motion analysis. Overall, two methods, Kernelized Correlation Filters and Spatio-Temporal Context Learning tracking, performed better than the others in the tests. Both achieved high accuracy for the selected high-speed videos and also allowed real-time processing, being able to process over 500 frames per second. In addition, the results showed that different filtering methods can be applied to produce more appropriate velocity and acceleration curves calculated from the tracking data. Local Regression filtering and Unscented Kalman Smoother gave the best results in the tests. Furthermore, the results show that tracking and filtering methods are suitable for high-speed hand-tracking and trajectory-data post-processing.

Forecasting financial weather - can we foresee market sentiment? Quantitative analysis of nodal prices in the New Zealand Electricity Spot Market

Time series of hourly electricity spot prices have peculiar properties. Electricity is by its nature difficult to store and has to be available on demand. There are many reasons for wanting to understand correlations in price movements, e.g. risk management purposes. The entire analysis carried out in this thesis has been applied to the New Zealand nodal electricity prices: offer prices (from 29 May 2002 to 31 March 2009) and final prices (from 1 January 1999 to 31 March 2009). In this paper, such natural factors as location of the node and generation type in the node that effects the correlation between nodal prices have been reviewed. It was noticed that the geographical factor affects the correlation between nodes more than others. Therefore, the visualisation of correlated nodes was done. However, for the offer prices the clear separation of correlated and not correlated nodes was not obtained. Finally, it was concluded that location factor most strongly affects correlation of electricity nodal prices; problems in visualisation probably associated with power losses when the power is transmitted over long distance.

Liquidity levels of Finnish SME’s from 2007 to 2013 and a closer analysis of the IC sector

TAVOITTEET: Tämän tutkielman tarkoitus on tarkastella eri toimialojen likviditeettitasoja vuosien 2007 ja 2013 välillä. Se tarkastelee myös kassanhallinnan ja likviditeetin kirjallisuutta, erilaisia likviditeettiä kuvaavia tunnuslukuja sekä asioita, joilla on vaikutusta likviditeettiin. Tämän lisäksi se tutkii informaatio ja kommunikaatio sektoria tarkemmin. DATA: Data on kerätty Orbis tietokannasta. Toimialakohtaiset keskiarvot on laskettu joko kappaleen 2 esittämillä kaavoilla tai noudettu suoraan tietokannasta. Hajonta kuvaajat on tehty Excelillä ja korrelaatio matriisi ja regressioanalyysit SAS EG:llä. TULOKSET: Tämä tutkimus esittää toimialakohtaiset keskiarvot liquidity ratiosta, solvency ratiosta sekä gearingista, kuten monista muista likviditeettiä kuvaavista tai siihen vaikuttavista tunnusluvuista. Tutkimus osoittaa, että keskimäärin likviditeetti ja maksuvalmius ovat säilyneet melko samana, mutta toimialakohtaiset muutokset ovat voimakkaita. IC sektorilla likviditeettiin vaikuttaa katetuotto, työntekijöiden määrä, liikevaihto, taseen määrä sekä maksuaika.