Knowledge creation and transfer in an iterative project environment

This Master’s Thesis examines knowledge creation and transfer processes in an iterative project environment. The aim is to understand how knowledge is created and transferred during an actual iterative implementation project which takes place in International Business Machines (IBM). The second aim is to create and develop new working methods that support more effective knowledge creation and transfer for future iterative implementation projects. The research methodology in this thesis is qualitative. Using focus group interviews as a research method provides qualitative information and introduces the experiences of the individuals participating in the project. This study found that the following factors affect knowledge creation and transfer in an iterative, multinational, and multi-organizational implementation project: shared vision and common goal, trust, open communication, social capital, and network density. All of these received both theoretical and empirical support. As for future projects, strengthening these factors was found to be the key for more effective knowledge creation and transfer.

Runkoelementtitehtaan materiaalitoimintojen kehittäminen prosessiajattelun näkökulmasta

Työn tavoitteena on ollut selvittää runkoelementtitehtaan materiaalien hankinnanorganisointi ja ohjaus nykytilanteessa. Tutkimuksessa on pyritty löytämään materiaaliprosessin kannalta toimintaa rajoittavia pullonkauloja sekä etsitty kehitystoimenpiteitä ongelmakohtiin prosessiajattelun näkökulmasta. Tarkastelun kohteena on ollut yrityksen operatiivinen materiaaliprosessi nimikkeiden tilauksesta varastointiin. Työssä on käytetty kvalitatiivista tutkimusmenetelmää ja empiirisen osuuden tiedot on hankittu haastatteluilla ja laatuohjeistuksesta. Yrityksen nykytilanne on mallinnettu prosessikaavioiden avulla, ja on selvitetty mitkä ovat prosessin tieto- ja materiaalivirrat sekä mitkä ovat tärkeimmät toiminnot materiaaliketjussa. Prosessianalyysin ja haastatteluiden pohjalta määriteltiin kehitysehdotukset prosessin suorituskyvyn tehostamiseksi. Nykytilan kartoituksen jälkeen suurimmat ongelmat materiaaliprosessissa liittyvät tilausten ajoitusten hallintaan, muutoksien vaikutukseen prosessissa sekä vastuiden ja kokonaishallinnan puuttumiseen. Ongelmat johtuvat pääosin rakennusalan projektimaisesta luonteesta. Yhdeksi kehityskohteeksi nousi myös tiedonhallinnan tehostaminen, etenkin prosessin vaiheiden automatisointi tietojärjestelmiä hyödyntäen. Toimintaan on pyritty etsimään ratkaisuja prosessiajattelun avulla, mikä osoittautui sopivaksi menetelmäksi toiminnan kehittämisessä. Tutkimuksen tuloksena syntyi kehitysehdotuksia, joiden pohjalta muodostettiin uusi materiaalien ohjauksen toimintamalli. Toimintamallissa tärkeimpänä on ennakkotiedon hyödyntäminen tilaussuunnittelun tukena. Alustavat materiaalimäärät välitetään ennakkotietona myös toimittajille, jotka voivat paremmin suunnitella omaa tuotantokapasiteettiaan. Tilausten suunnittelu tapahtuu tarkentuvasti ja lopullinen materiaalimäärä ja tarveajankohta välitetään kotiinkutsun yhteydessä. Toimintamalliin liittyy lisäksi materiaalien vastaanoton ja varastoinnin kehittäminen sekä muutoksien hallinta tietojärjestelmää paremmin hyödyntäen. Kriittisintä materiaaliprosessissa tulee olemaan prosessin tiedonhallinta ja siihen liittyvät vastuukysymykset.

MANAGING STRATEGIC CHANGE:New Business Models Applying Wireless Technology as a Source of Competitive Edge

The diffusion of mobile telephony began in 1971 in Finland, when the first car phones, called ARP1 were taken to use. Technologies changed from ARP to NMT and later to GSM. The main application of the technology, however, was voice transfer. The birth of the Internet created an open public data network and easy access to other types of computer-based services over networks. Telephones had been used as modems, but the development of the cellular technologies enabled automatic access from mobile phones to Internet. Also other wireless technologies, for instance Wireless LANs, were also introduced. Telephony had developed from analog to digital in fixed networks and allowed easy integration of fixed and mobile networks. This development opened a completely new functionality to computers and mobile phones. It also initiated the merger of the information technology (IT) and telecommunication (TC) industries. Despite the arising opportunity for firms' new competition the applications based on the new functionality were rare. Furthermore, technology development combined with innovation can be disruptive to industries. This research focuses on the new technology's impact on competition in the ICT industry through understanding the strategic needs and alternative futures of the industry's customers. The change speed inthe ICT industry is high and therefore it was valuable to integrate the DynamicCapability view of the firm in this research. Dynamic capabilities are an application of the Resource-Based View (RBV) of the firm. As is stated in the literature, strategic positioning complements RBV. This theoretical framework leads theresearch to focus on three areas: customer strategic innovation and business model development, external future analysis, and process development combining these two. The theoretical contribution of the research is in the development of methodology integrating theories of the RBV, dynamic capabilities and strategic positioning. The research approach has been constructive due to the actual managerial problems initiating the study. The requirement for iterative and innovative progress in the research supported the chosen research approach. The study applies known methods in product development, for instance, innovation process in theGroup Decision Support Systems (GDSS) laboratory and Quality Function Deployment (QFD), and combines them with known strategy analysis tools like industry analysis and scenario method. As the main result, the thesis presents the strategic innovation process, where new business concepts are used to describe the alternative resource configurations and scenarios as alternative competitive environments, which can be a new way for firms to achieve competitive advantage in high-velocity markets. In addition to the strategic innovation process as a result, thestudy has also resulted in approximately 250 new innovations for the participating firms, reduced technology uncertainty and helped strategic infrastructural decisions in the firms, and produced a knowledge-bank including data from 43 ICT and 19 paper industry firms between the years 1999 - 2004. The methods presentedin this research are also applicable to other industries.

Messaging Application Engine for Symbian Platform

Tämä diplomityö kuvaa viestintä sovelluksen ytimen kehitystyön Symbian-alustalle. Koko sovelluksen vaatimuksena oli vastaamattomiin puheluihin vastaaminen ennalta määritellyillä tekstiviesteillä käyttäjän määrittelemien sääntöjen mukaisesti. Ei-toiminnallisia vaatimuksia olivat resurssien käytön vähentäminen ja uudelleenkäytön mahdollistaminen. Täten tämän työn tavoitteena oli kehittää ydin, joka kapseloi sovelluksen sellaisen toiminnallisuuden, joka on käyttöliittymästä riippumatonta ja uudelleenkäytettävää. Kehitystyössä ohjasi Unified Process, joka on iteroiva, käyttötapauksien ohjaama ja arkkitehtuurikeskeinen ohjelmistoprosessi. Se kannusti käyttämään myös muita teollisuudenalan vakiintuneita menetelmiä, kuten suunnittelumalleja ja visuaalista mallintamista käyttäen Unified Modelling Languagea. Suunnittelumalleja käytettiin kehitystyön aikana ja ohjelmisto mallinnettiin visuaalisesti suunnittelun edistämiseksi ja selkiyttämiseksi. Alustan palveluita käytettiin hyväksi kehitysajan ja resurssien käytön minimoimiseksi. Ytimen päätehtäviksi määrättiin viestien lähettäminen sekä sääntöjen talletus ja tarkistaminen. Sovelluksen eri alueet, eli sovelluspalvelin ja käyttöliittymää, pystyivät käyttämään ydintä ja sillä ei ollut riippuvuuksia käyttöliittymätasolle. Täten resurssien käyttö väheni ja uudelleenkäytettävyys lisääntyi. Viestien lähettäminen toteutettiin Symbian-alustan menetelmin. Sääntöjen tallettamiseen tehtiin tallennuskehys, joka eristää sääntöjen sisäisen ja ulkoisen muodon. Tässä tapauksessa ulkoiseksi tallennustavaksi valittiin relaatiotietokanta. Sääntöjen tarkastaminen toteutettiin tavanomaisella olioiden yhteistoiminnalla. Päätavoite saavutettiin. tämä ja muut hyviksi arvioidut lopputulokset, kuten uudelleenkäytettävyys ja vähentynyt resurssien käyttö, arveltiin juontuvan suunnittelumallien ja Unified Processin käytöstä. Kyseiset menetelmät osoittivat mukautuvansa pieniinkin projekteihin. Menetelmien todettiin myös tukevan ja kannustavan kehitystyön aikaista oppimista, mikä oli välttämätöntä tässä tapauksessa.

Asiakkuudenhallinnan tukeminen neuroverkkoteknologian avulla

CRM on yritysten tietojärjestelmä, jolla voidaan tukea asiakkuuden hallintaa ja kehittämistä. Monilla suuryrityksillä on paljon asiakkaita ja niiden on mahdotonta tunnistaa asiakkaitaan yksilöinä. Kuitenkin asiakkaat arvostavat yhä enemmän henkilökohtaista palvelua ja kontakteja. Yritysten asiakastietokantoihin kertyy runsaasti tietoa asiakkaista ja heidän ostokäyttäytymisestään. Suuresta informaatiomäärästä johtuen tarvitaan kehittynyttä tietotekniikkaa asiakkaiden tyypittelyyn ja asiakastarpeiden tunnistamiseen. Tässä diplomityössä kehitetään neuroCRM-teoriaa määrällisesti suuren ja monimutkaisen asiakasinformaation hallintaan. Teoria perustuu itseorganisoituvien neuroverkkojen käyttöön asiakasinformaation analysoimiseksi CRM-järjestelmässä. Asiakkaat segmentoidaan ja personoidaan iteratiivisia SOM-analyysejä suorittamalla. Tulosten perusteella kehitetään asiakkaiden yksilöllisyyttä huomioivia markkinointikeinoja ja käytetään uusia kanavia, esimerkiksi mobiilia viestintätekniikkaa asiakkaiden tavoittamiseen. Asiakaskannattavuuden parantamiseksi voi- daan tehdä strategisia valintoja ja päätöksiä markkinoinnin kohdentamista varten.

Heterogeenisen palveluverkon kuvaus ja käyttö XML-kielen avulla

Tämän diplomityön tarkoituksena on käydä läpi XML:n tarjoamia mahdollisuuksia heterogeenisen palveluverkon integroinnissa. Työssä kuvataan XML-kielen yleistä teoriaa ja perehdytään etenkin sovellusten välisen kommunikoinnin kannalta tärkeisiin ominaisuuksiin. Samalla käydään läpi sovelluskehitysympäristöjen muuttumista heterogeenisemmiksi ja siitä seurannutta palveluarkkitehtuurien kehittymistä ja kuinka nämä muutokset vaikuttavat XML:n hyväksikäyttöön. Työssä suunniteltiin ja toteutettiin luonnollisen kielen palvelukehitykseen Fuse-palvelualusta. Työssä kuvataan palvelualustan arkkitehtuuri ja siinä tarkastellaan XML:n hyödyntämistä luonnollisen kielen tulkin ja palvelun integroinnissa. Samalla arvioidaan muita XML:n käyttömahdollisuuksia Fuse-palvelualustan parantamiseksi.

Ohjelmistoarkkitehtuurien vertailu ja valinta monimediatuotteelle. CASE: AVO

Työn tavoitteena oli tutkia ja vertailla komponenttipohjaisia ohjelmistoarkkitehtuureita (Microsoft .NET ja J2EE). Työn tarkoituksena oli valita ohjelmistoarkkitehtuuri uudelle neuroverkkopohjaiselle urasuunnittelupalvelulle. Tässä työssä selvitettiin myös, miten luodaan kansainvälistettäviä ja lokalisoitavia sovelluksia, sekä kuinka Web-, Windows-, mobiili-, puhe- ja Digi-TV -käyttöliittymät soveltuvat uudelle urasuunnittelupalvelulle. Tutkimustyössä käytettiin alan kirjallisuutta, Microsoftin ja Sun Microsystemsin Web-sivuja. Tutkimustyössä analysoitiin Microsoft Pet Shop- ja Sun Microsystemsin Java Pet Store -esimerkkisovellusten suorituskykyvertailua. Analyysituloksiin perustuen urasuunnittelupalvelussa suositellaan käytettäväksi J2EE-arkkitehtuuria. Uudelle urasuunnittelupalvelulle toimenpide-ehdotus on komponenttipohjainen järjestelmä Web-, puhe- ja Digi-TV -käyttöliittymillä ja personoidulla sisällöllä. Järjestelmä tehdään viisivaiheisena hankkeena, johon sisältyy pilottitestejä. Uuteen urasuunnittelupalveluun liitetään mukaan opiskelijat, oppilaitokset ja työnantajat sekä asiantuntijoita neuroverkon opetusdatan määrittämiseen. Palvelu perustuu integroituun tietokantaan. Eri osajärjestelmissä tuotettua tietoa voidaan hyödyntää kaikkialla urasuunnittelupalvelussa.

On Variational Ensemble Kalman Filtering

The Extended Kalman Filter (EKF) and four dimensional assimilation variational method (4D-VAR) are both advanced data assimilation methods. The EKF is impractical in large scale problems and 4D-VAR needs much effort in building the adjoint model. In this work we have formulated a data assimilation method that will tackle the above difficulties. The method will be later called the Variational Ensemble Kalman Filter (VEnKF). The method has been tested with the Lorenz95 model. Data has been simulated from the solution of the Lorenz95 equation with normally distributed noise. Two experiments have been conducted, first with full observations and the other one with partial observations. In each experiment we assimilate data with three-hour and six-hour time windows. Different ensemble sizes have been tested to examine the method. There is no strong difference between the results shown by the two time windows in either experiment. Experiment I gave similar results for all ensemble sizes tested while in experiment II, higher ensembles produce better results. In experiment I, a small ensemble size was enough to produce nice results while in experiment II the size had to be larger. Computational speed is not as good as we would want. The use of the Limited memory BFGS method instead of the current BFGS method might improve this. The method has proven succesful. Even if, it is unable to match the quality of analyses of EKF, it attains significant skill in forecasts ensuing from the analysis it has produced. It has two advantages over EKF; VEnKF does not require an adjoint model and it can be easily parallelized.

Evaluation of Implementation of BSc IT Curriculum at Tumaini University

In Tanzania computer knowledge is vital to supplement the pace fast growing economic and development activities, which demands high and reliable level of expertise in com- puting field. In 2006, a research carried out at Tumaini University with purpose to design and implement a contextualized curriculum that can supplement for such needs hence facilitate development in Tanzanian context. A contextualized curriculum took advantage of six principles namely curriculum contex- tualization, projects, practical, interdisciplinary orientation, international recognition and continuous research for the program’s formative and development. Implementation of the curriculum followed the CATI (Contextualize, Apply, Transfer, and Import) model with emphasis on students to identify societal expectations at the early stage in learning process, in which case the graduates will potentially cater for societal expertise needs on ICT. This study adopts an emergent exploratory cross-section research design, while employ- ing a qualitative approach. This study was conducted at Tumaini University in Iringa where by purposeful sampling was used to obtain participants such as students, teach- ers, administrators and employers who participated in several focus group discussions, in-depth interviews and participant observation. The study reveals that six principles are satisfactorily met,despite of bottlenecks such as incompatibility in pedagogical thinking and technology availability for e-learning, learning attitudes, insufficient experts with actual skills and experience,in academic field among the others. The study recommends that iterative longitudinal study should be car- ried out to design for proper intervention in response to these problems which will help in improving and stabilize the curriculum.

On performance persistence in emerging markets: Empirical evidence from Asia-Pacific

The purpose of this study is to investigate the performance persistence of international mutual funds, employing a data sample which includes 2,168 European mutual funds investing in Asia-Pacific region; Japan excluded. Also, a number of performance measures is tested and compared, and especially, this study tries to find out whether iterative Bayesian procedure can be used to provide more accurate predictions on future performance. Finally, this study examines whether the cross-section of mutual fund returns can be explained with simple accounting variables and market risk. To exclude the effect of the Asian currency crisis in 1997, the studied time period includes years from 1999 to 2007. The overall results showed significant performance persistence for repeating winners when performance was tested with contingency tables. Also the annualized alpha spreads between the top and bottom portfolios were more than ten percent at their highest. Nevertheless, the results do not confirm the improved prediction accuracy of the Bayesian alphas.

Knapsack sets for cryptography

The basic goal of this study is to extend old and propose new ways to generate knapsack sets suitable for use in public key cryptography. The knapsack problem and its cryptographic use are reviewed in the introductory chapter. Terminology is based on common cryptographic vocabulary. For example, solving the knapsack problem (which is here a subset sum problem) is termed decipherment. Chapter 1 also reviews the most famous knapsack cryptosystem, the Merkle Hellman system. It is based on a superincreasing knapsack and uses modular multiplication as a trapdoor transformation. The insecurity caused by these two properties exemplifies the two general categories of attacks against knapsack systems. These categories provide the motivation for Chapters 2 and 4. Chapter 2 discusses the density of a knapsack and the dangers of having a low density. Chapter 3 interrupts for a while the more abstract treatment by showing examples of small injective knapsacks and extrapolating conjectures on some characteristics of knapsacks of larger size, especially their density and number. The most common trapdoor technique, modular multiplication, is likely to cause insecurity, but as argued in Chapter 4, it is difficult to find any other simple trapdoor techniques. This discussion also provides a basis for the introduction of various categories of non injectivity in Chapter 5. Besides general ideas of non injectivity of knapsack systems, Chapter 5 introduces and evaluates several ways to construct such systems, most notably the "exceptional blocks" in superincreasing knapsacks and the usage of "too small" a modulus in the modular multiplication as a trapdoor technique. The author believes that non injectivity is the most promising direction for development of knapsack cryptosystema. Chapter 6 modifies two well known knapsack schemes, the Merkle Hellman multiplicative trapdoor knapsack and the Graham Shamir knapsack. The main interest is in aspects other than non injectivity, although that is also exploited. In the end of the chapter, constructions proposed by Desmedt et. al. are presented to serve as a comparison for the developments of the subsequent three chapters. Chapter 7 provides a general framework for the iterative construction of injective knapsacks from smaller knapsacks, together with a simple example, the "three elements" system. In Chapters 8 and 9 the general framework is put into practice in two different ways. Modularly injective small knapsacks are used in Chapter 9 to construct a large knapsack, which is called the congruential knapsack. The addends of a subset sum can be found by decrementing the sum iteratively by using each of the small knapsacks and their moduli in turn. The construction is also generalized to the non injective case, which can lead to especially good results in the density, without complicating the deciphering process too much. Chapter 9 presents three related ways to realize the general framework of Chapter 7. The main idea is to join iteratively small knapsacks, each element of which would satisfy the superincreasing condition. As a whole, none of these systems need become superincreasing, though the development of density is not better than that. The new knapsack systems are injective but they can be deciphered with the same searching method as the non injective knapsacks with the "exceptional blocks" in Chapter 5. The final Chapter 10 first reviews the Chor Rivest knapsack system, which has withstood all cryptanalytic attacks. A couple of modifications to the use of this system are presented in order to further increase the security or make the construction easier. The latter goal is attempted by reducing the size of the Chor Rivest knapsack embedded in the modified system. '

Agile CRM System Implementation Project

The application of information technology (IT) in customer relationship management (CRM) is growing rapidly as many companies implement CRM systems to support their numerous customer facing activities. However, failure rates of CRM projects remain notably high as they deliver scant solutions and poor user acceptance. As a consequence, it is justified to study previously researched CRM success factors and apply them to CRM system implementation. The aim of this master’s thesis was to get acquainted with relevant academic theories, frameworks and practices concerning CRM and agile development, and use them to generate a modified CRM project strategy to support the successful execution of the case company’s, Process Vision Oy, CRM implementation project. The empirical CRM system implementation project was conducted simultaneously with writing this thesis. Its theoretical findings could be transferred into practice through active participation in the CRM system development and deployment work. The project’s main goal was to produce and take into use a functioning CRM system. The goal was met, since at the time of printing this thesis the first system release was successfully published to its users at Process Vision’s marketing and sales departments. The key success elements in the CRM project were cyclic, iterative system development, customer oriented approach, user inclusion and flexible project management. Implying agile development practices ensured being able to quickly respond to changes arising during the progress of the CRM project. Throughout modelling of the core sales process formed a strong basis, on which the CRM system’s operational and analytical functionalities were built. End users were included in the initial specification of system requirements and they provided feedback on the system’s usage. To conclude, the chosen theoretical CRM roadmaps and agile development practices proved as beneficial in the successful planning and execution of the agile CRM system implementation project at Process Vision.

Application of the scrum framework in non-software project management

Scrum is an agile project management approach that has been widely practiced in the software development projects. It has proven to increase quality, productivity, customer satisfaction, transparency and team morale among other benefits from its implementation. The concept of scrum is based on the concepts of incremental innovation strategies, lean manufacturing, kaizen, iterative development and so on and is usually contrasted with the linear development models such as the waterfall method in the software industry. The traditional approaches to project management such as the waterfall method imply intensive upfront planning and approval of the entire project. These sort of approaches work well in the well-defined stable environments where all the specifications of the project are known in the beginning. However, in the uncertain environments when a project requires continuous development and incorporation of new requirements, they do not tend to work well. The scrum framework was inspiraed by Nonaka’s article about new product developement and was later adopted by software development practitioners. This research explores conditions for and benefits of the application of scrum framework beyond software development projects. There are currently a few case studies on the scrum implementation in non-software projects, but there is a noticeable trend of it in the scrum practitioners’ community. The research is based on the real-life context multiple case study analysis of three different non-software projects. The results of the research showed that in order to succeed within scrum projects need to satisfy certain conditions – necessary and sufficient. Among them the key factors are uncertainty of the project environment, not well defined outcomes, commitment of the scrum teams and management support. The top advantages of scrum implementation identified in the present research include improved transparency, accountability, team morale, communications, cooperation and collaboration. Further researches are advised to be carried out in order to validate these findings on a larger sample and to focus on more specific areas of scrum project management implementation.

Overcoming the Complexity of Software Product Management

This thesis describes an approach to overcoming the complexity of software product management (SPM) and consists of several studies that investigate the activities and roles in product management, as well as issues related to the adoption of software product management. The thesis focuses on organizations that have started the adoption of SPM but faced difficulties due to its complexity and fuzziness and suggests the frameworks for overcoming these challenges using the principles of decomposition and iterative improvements. The research process consisted of three phases, each of which provided complementary results and empirical observation to the problem of overcoming the complexity of SPM. Overall, product management processes and practices in 13 companies were studied and analysed. Moreover, additional data was collected with a survey conducted worldwide. The collected data were analysed using the grounded theory (GT) to identify the possible ways to overcome the complexity of SPM. Complementary research methods, like elements of the Theory of Constraints were used for deeper data analysis. The results of the thesis indicate that the decomposition of SPM activities depending on the specific characteristics of companies and roles is a useful approach for simplifying the existing SPM frameworks. Companies would benefit from the results by adopting SPM activities more efficiently and effectively and spending fewer resources on its adoption by concentrating on the most important SPM activities.

Price spike forecasting in a competitive day-ahead energy market

Electricity price forecasting has become an important area of research in the aftermath of the worldwide deregulation of the power industry that launched competitive electricity markets now embracing all market participants including generation and retail companies, transmission network providers, and market managers. Based on the needs of the market, a variety of approaches forecasting day-ahead electricity prices have been proposed over the last decades. However, most of the existing approaches are reasonably effective for normal range prices but disregard price spike events, which are caused by a number of complex factors and occur during periods of market stress. In the early research, price spikes were truncated before application of the forecasting model to reduce the influence of such observations on the estimation of the model parameters; otherwise, a very large forecast error would be generated on price spike occasions. Electricity price spikes, however, are significant for energy market participants to stay competitive in a market. Accurate price spike forecasting is important for generation companies to strategically bid into the market and to optimally manage their assets; for retailer companies, since they cannot pass the spikes onto final customers, and finally, for market managers to provide better management and planning for the energy market. This doctoral thesis aims at deriving a methodology able to accurately predict not only the day-ahead electricity prices within the normal range but also the price spikes. The Finnish day-ahead energy market of Nord Pool Spot is selected as the case market, and its structure is studied in detail. It is almost universally agreed in the forecasting literature that no single method is best in every situation. Since the real-world problems are often complex in nature, no single model is able to capture different patterns equally well. Therefore, a hybrid methodology that enhances the modeling capabilities appears to be a possibly productive strategy for practical use when electricity prices are predicted. The price forecasting methodology is proposed through a hybrid model applied to the price forecasting in the Finnish day-ahead energy market. The iterative search procedure employed within the methodology is developed to tune the model parameters and select the optimal input set of the explanatory variables. The numerical studies show that the proposed methodology has more accurate behavior than all other examined methods most recently applied to case studies of energy markets in different countries. The obtained results can be considered as providing extensive and useful information for participants of the day-ahead energy market, who have limited and uncertain information for price prediction to set up an optimal short-term operation portfolio. Although the focus of this work is primarily on the Finnish price area of Nord Pool Spot, given the result of this work, it is very likely that the same methodology will give good results when forecasting the prices on energy markets of other countries.