Customer asset management in action: using customers portfolio for allocating resources across business-to-business relationships for improved shareholder value

Suvi Nenonen Customer asset management in action: using customer portfolios for allocating resources across business-to-business relationships for improved shareholder value Customers are crucial assets to all firms as customers are the ultimate source of all cash flows. Regardless this financial importance of customer relationships, for decades there has been a lack of suitable frameworks explaining how customer relationships contribute to the firm financial performance and how this contribution can be actively managed. In order to facilitate a better understanding of the customer asset, contemporary marketing has investigated the use of financial theories and asset management practices in the customer relationship context. Building on this, marketing academics have promoted the customer lifetime value concept as a solution for valuating and managing customer relationships for optimal financial outcomes. However, the empirical investigation of customer asset management lags behind the conceptual development steps taken. Additionally, the practitioners have not embraced the use of customer lifetime value in guiding managerial decisions - especially in the business-to-business context. The thesis points out that there are fundamental differences between customer relationships and investment instruments as investment targets, effectively eliminating the possibility to use financial theories in a customer relationships context or to optimize the customer base as a single investment portfolio. As an alternative, the thesis proposes the use of customer portfolio approach for allocating resources across the customer base for improved shareholder value. In the customer portfolio approach, the customer base of a firm is divided into multiple portfolios based on customer relationships’ potential to contribute to the shareholder value creation. After this, customer management concepts are tailored to each customer portfolio, designed to improve the shareholder value in their own respect. Therefore, effective customer asset management with the customer portfolio approach necessitates that firms are able to manage multiple parallel customer management concepts, or business models, simultaneously. The thesis is one of the first empirical studies on customer asset management, bringing empirical evidence from multiple business-to-business case studies on how customer portfolio models can be formed, how customer portfolios can be managed, and how customer asset management has contributed to the firm financial performance.

Customer asset management in action: using customers portfolio for allocating resources across business-to-business relationships for improved shareholder value

Suvi Nenonen Customer asset management in action: using customer portfolios for allocating resources across business-to-business relationships for improved shareholder value Customers are crucial assets to all firms as customers are the ultimate source of all cash flows. Regardless this financial importance of customer relationships, for decades there has been a lack of suitable frameworks explaining how customer relationships contribute to the firm financial performance and how this contribution can be actively managed. In order to facilitate a better understanding of the customer asset, contemporary marketing has investigated the use of financial theories and asset management practices in the customer relationship context. Building on this, marketing academics have promoted the customer lifetime value concept as a solution for valuating and managing customer relationships for optimal financial outcomes. However, the empirical investigation of customer asset management lags behind the conceptual development steps taken. Additionally, the practitioners have not embraced the use of customer lifetime value in guiding managerial decisions - especially in the business-to-business context. The thesis points out that there are fundamental differences between customer relationships and investment instruments as investment targets, effectively eliminating the possibility to use financial theories in a customer relationships context or to optimize the customer base as a single investment portfolio. As an alternative, the thesis proposes the use of customer portfolio approach for allocating resources across the customer base for improved shareholder value. In the customer portfolio approach, the customer base of a firm is divided into multiple portfolios based on customer relationships’ potential to contribute to the shareholder value creation. After this, customer management concepts are tailored to each customer portfolio, designed to improve the shareholder value in their own respect. Therefore, effective customer asset management with the customer portfolio approach necessitates that firms are able to manage multiple parallel customer management concepts, or business models, simultaneously. The thesis is one of the first empirical studies on customer asset management, bringing empirical evidence from multiple business-to-business case studies on how customer portfolio models can be formed, how customer portfolios can be managed, and how customer asset management has contributed to the firm financial performance.

Slip line field analysis of a simple plane strain closed‐die forging

A slip line field is proposed for symmetrical single‐cavity closed‐die forging by rough dies. A compatible velocity field is shown to exist. Experiments were conducted using lead workpiece and rough dies. Experimentally observed flow and load were used to validate the proposed slip line field. The slip line field was used to simulate the process in the computer with the objective of studying the influence of flash geometry on cavity filling.

Quantitation of serological cross-reactivity between two geographical isolates of Oryctes baculovirus by a modified ELISA

An assay was developed for quantitation of the antigenic relationship between viruses, by modification of the indirect ELISA. The principle of this method is to estimate the epitopes not shared between the related viruses, after titration of the antibodies specific to the common epitopes as in a blocking ELISA. In practice, varying concentrations of purified virus are preincubated with a fixed dilution of heterologous or homologous antiserum and the unbound antibodies present in the mixture are back titrated with virus particles bound to microtitre plates. The antigenic relationship is described in terms of differentiation index (DI) and total antigenic reactivity (TAR). This method has been used to quantitate cross-reactivity between two geographically different isolates of Oryctes baculovirus.

Computer simulation of protein—carbohydrate complexes: application to arabinose-binding protein and pea lectin

The CCEM method (Contact Criteria and Energy Minimisation) has been developed and applied to study protein-carbohydrate interactions. The method uses available X-ray data even on the native protein at low resolution (above 2.4 Å) to generate realistic models of a variety of proteins with various ligands.The two examples discussed in this paper are arabinose-binding protein (ABP) and pea lectin. The X-ray crystal structure data reported on ABP-β-l-arabinose complex at 2.8, 2.4 and 1.7 Å resolution differ drastically in predicting the nature of the interactions between the protein and ligand. It is shown that, using the data at 2.4 Å resolution, the CCEM method generates complexes which are as good as the higher (1.7 Å) resolution data. The CCEM method predicts some of the important hydrogen bonds between the ligand and the protein which are missing in the interpretation of the X-ray data at 2.4 Å resolution. The theoretically predicted hydrogen bonds are in good agreement with those reported at 1.7 Å resolution. Pea lectin has been solved only in the native form at 3 Å resolution. Application of the CCEM method also enables us to generate complexes of pea lectin with methyl-α-d-glucopyranoside and methyl-2,3-dimethyl-α-d-glucopyranoside which explain well the available experimental data in solution.

Analysis of effects of ambients (temperature and light intensity) on the electrical breakdown in bipolar transistors

This paper presents an analysis of the effects of ambients-temperature and light intensity on the V-l characteristics of bipolar transistors under electrical breakdown. The analysis is based on the transportation and storage of majority carriers in the base region. It is shown that this analysis can explain the observed shift in the V-l characteristics to lower voltages with increase in either temperature or light intensity.

Effect of electric field on ammonium perchlorate decomposition

A novel method of detecting the charge-carrying species in inorganic decomposable salts is described. In ammonium perchlorate it is observed that the charge-carrying species at temperatures 150 and 230°C are oppositely charged; i.e., they are negatively charged (ClO−4 ions) at 230°C and positively charged (H+ or NH+4) at 150°C.

Chicken prealbumin: Nature of its heterogeneity and binding of plasma retinol-binding protein and thyroid hormones

The heterogeneity of chicken prealbumin (PA) has been shown to be due to the occurrence of three different plasma proteins (PA1 PA2 and PA3). Equilibrium dialysis studies revealed that the thyroid hormones bind specifically to PA2. These hormones bind at the same site on PA2. Circular dichroism studies failed to reveal conformational changes on interaction of retinol-binding protein and thyroid hormone with PA2. Both retinol-binding protein and thyroid hormone are independently transported by PA2.

Transport properties of phosphomolybdate and phosphotungstate glasses

The d.c. conductivity of phosphomolybdate and phosphotungstate glasses is discussed. The conductivity of these glasses is due to the hopping of electrons between two valence states (Mo5+ to Mo6+ or W5+ W6+). In some of the glasses, the activation energy itself is found to be a function of temperature. This appears to be due to thermally activated and variable-range hopping mechanisms operating in different temperature regimes. The relation between conductivity and the [M5+]/[Mtotal](M ≡ Mo, W) ratio does not show any systematic variation. This anomaly can be understood using the structural models of these glasses. In contrast, Mott's theory and the Triberis and Friedman model have been used to obtain conductivity parameters such as the percolation distance Rij and 2agrRij (agr is the tunnelling probability). The conductivity parameter 2agrRij is quite useful to resolve the controversy regarding the tunnelling term exp(2agrRij) existing in the literature. For low values of 2agrRij, it is shown that the exp (2agrRij) term is very significant.

A numerical survey of relativistic rotating neutron star structures using the Hartle-Thorne formalism

A broad numerical survey of relativistic rotating neutron star structures was compiled using an exhaustive list of presently available equation of state models for neutron star matter. The structure parameters (spherical deformations in mass and radii, the moment of inertia and quadrupole moment, oblateness, and free precession) are calculated using the formalism proposed by Hartle and Thorne (1968). The results are discussed in relation to the relevant observational information. Binary pulsar data and X-ray burst sources provide information on the bulk properties of neutron stars, enabling the derivation of constraints that can be put on the structure of neutron stars and equation of state models.

Effect of electric field on ammonium perchlorate decomposition

A novel method of detecting the charge-carrying species in inorganic decomposable salts is described. In ammonium perchlorate it is observed that the charge-carrying species at temperatures 150 and 230°C are oppositely charged; i.e., they are negatively charged (ClO−4 ions) at 230°C and positively charged (H+ or NH+4) at 150°C.

An excitonic mechanism for high-temperature. Superconductivity in YBa2Cu3O7

We propose an excitonic mechanism for high temperature superconductivity in YBa2Cu3O7. We feel that in this material, nature has provided a very elegant system, closely simulated by the model proposed by Allender, Bray and Bardeen1 using Ginzburg's ideas.2 In this system the excitonic layer and the conduction electron layers are indeed atomic planes making contacts on atomic level, an ideal version of the situation envisaged by Allender et al. Further, since these layers are physically separated, the question of screening of charges is avoided.

Wegener's granulomatosis in Finland in 1981-2000

Objectives: Wegener s granulomatosis (WG) is a vasculitis with a predilection for the airways and kidneys. An increasing incidence and improved prognosis of WG has been shown. The aim of this study was to evaluate the incidence, clinical presentation, diagnostic delay, risk of dialysis-dependent renal insufficiency and mortality of WG in 1981-2000. Patients and methods: Data was retrieved from the Finnish hospital discharge register and hospital case reports. Patients diagnosed with WG in 1981-2000 were included, and their demographic and clinical data recorded. The patients were crossed with the national kidney dialysis register and the national mortality statistics. Results: A total of 492 patients (243 ♂ , 249 ♀) were diagnosed at a mean age of 54 years (SD 18). The incidence increased from 1.9 to 9.3/ million/ year. The median diagnostic delay decreased from 17 to 4 months. Patients presented most often with symptoms of the ear, nose and throat (ENT) (45%), lung (36%), musculoskeletal system (22%) and kidney (11%). Initial lung involvement, constitutional symptoms, high erythrocyte sedimentation rate (ESR) and high ELK scores [(number of simultaneously involved organ groups (ENT, Lung, Kidney)] were associated with a shorter diagnostic delay. Medical treatment of WG patients remained similar in the 1980s and 1990s. Almost 90% of patients received cyclophosphamide (CYC) and more than 90% glucocorticoid medication at some point during the course of the disease. Eighty-four patients (17%) needed dialysis. Initial renal involvement and elevated serum creatinine values were related to an increased risk of dialysis-dependent kidney disease. In two-thirds of the patients, renal impairment was reversible. Dialysis became chronic (>3 months) in 32 patients (6.5%). Nineteen patients (3.9%) received a kidney transplant. Altogether 203 patients (99 men, 104 women) died before 30 June 2005. WG was the underlying cause of death in 37%. The crude one-year and five-year survival rates were 83.3% and 74.2%, respectively. The standardized mortality ratio was 3.43 (95% CI = 2.98 to 3.94). Older age and elevated creatinine level at diagnosis predicted shorter survival. ENT symptoms at presentation and treatment with CYC were associated with better outcome. There was no additional risk associated with male gender or with either of the decades (1981-1990 and 1991-2000) Conclusions: In 1981-2000, the incidence of WG increased ca. 4.5-fold and diagnostic delay decreased to ca. one-fourth, reflecting increased recognition of the disease and improved diagnostic means. WG patients are at great risk of developing dialysis-dependent renal insufficiency and an increased risk of dying. During the study period the treatment of WG did not change markedly, nor did the prognosis improve.