Improving ERP change tool processes to align business processes and ERP system

Nopea teknologian kehitys sekä kansainvälistymisen mukana tuoma kilpailupaine pakottavat yritykset jatkuvaan liiketoimintaprosessien kehittämiseen. Muutoksista organisaation rakenteissa sekä yrityksen prosesseissa on tullut yleisiä toimenpiteitä. Yksi näkyvimmistä toiminnallisista uudistuksesta on ollut toiminnanohjausjärjestelmän käyttöönotto. Toiminnanohjausjärjestelmän rakenne ja kehitys aiheuttaa yleensä suurimmat vaikeudet pyrittäessä rakentamaan liiketoimintaprosessien läpinäkyvyyttä esittävä tietojärjestelmäympäristö. Tässä tutkimuksessa liiketoiminnan sekä toiminnanohjausjärjestelmän prosessien yhdistäminen on tehty ns. toiminnanohjausjärjestelmä muutostyökaluilla. Kyseiset muutostyökalut on järjestetty yrityksissä tietojärjestelmä ympäristöön ja niiden avulla voidaan korjata teknisiä ongelmia sekä muuttaa itse prosesseja. Tutkimuksen empiria osuudessa on käytetty case-tutkimusmenetelmää Kone Oyj:n prosessien kehittämisosastolla. Tutkimuksen tavoitteena oli parantaa toiminnanohjausjärjestelmän muutostyökalujen prosesseja, liiketoimintaprosessien sekä toiminnanohjausjärjestelmän yhdistämiseksi ja harmonisoimiseksi. Tutkimuksen tavoitteiden täyttämiseksi, prosessijohtamisen käsitteitä käytettiin muutostyökaluprosessien parannusehdotusten löytymiseksi. Prosessijohtamisen käsitteet tarkoittavat prosessikartan, prosessin toimintojen, sekä prosessin kustannusten tutkimista ja hyväksikäyttöä. Prosessijohtamisen käsitteeseen kuuluu myös liiketoimintaprosessien jatkuvan parantamisen sekä uudelleenjärjestämisen mallien kuvaus. Toiminnanohjausjärjestelmäympäristön kuvaus teorian toisena osuutena antaa pohjaa muutostyökalujen prosessien käytölle. Tutkimuksen tuloksina voidaan todeta että tutkimusalue on hyvin monimutkainen ja vaikea. Toimintajärjestelmistä ei ole kirjoitettu teoriaa kovinkaan runsaasti, lukuunottamatta yritysten itse tekemiä tutkimuksia. Tutkimuksessa tarkasteltaville prosesseille löytyi kuitenkin parannusehdotuksia sekä ns. optimaalisen prosessimallin ominaisuuksia.

Small business management in English

The goal was to define how growth creates problems in small companies with a staff of uner 20, and how the problems are solved. It is not about fast growing companies, but about smoothly or even slowly growing companies. The growth is started through the turnover and the main motive is to have a economic stability. Almost all the companies felt that the main reason for this strate-gic growth was to increase the competitivety. Growth was mainly from the domestic market, and new products and new markets. The biggest problem with this growth was providing capital and also a lack of reas-surance. In additinon to this it was dificult to find suitable personnel and there was a lack of time needed to plan and develop the operation. The lack of product develop-ment, was found to be a problem to some extent, particulary in smaller companies. The follow-up of the finances take place mainly through the profit and loss account, income statement and balance sheets. Apart from that they find the follow up by pro-duct was important. Another important element was to have company tailor-made consulting/sparring in order to develop the operation.

Factors of customer project profitability in an engineering industrial enterprise

The purpose of the study is to find factors affecting projects' profitability in project business. The issue is approached from customer profitability and project management point of view. The study has been made for a big Finnish company acting in a global market place. The research method is quantitative. Research hypotheses are based on the literature. The used database is originated from the company's ERP- (enterprise resource planning) and project financial follow-up —system. The findings of the study supported the hypotheses weakly. Obviously profitability fluctuated depending on a customer and a project manager. The reasons could not be justified with the variables used in the research.

Master data quality management in a global enterprise

In a networked business environment the visibility requirements towards the supply operations and customer interface has become tighter. In order to meet those requirements the master data of case company is seen as an enabler. However the current state of master data and its quality are not seen good enough to meet those requirements. In this thesis the target of research was to develop a process for managing master data quality as a continuous process and find solutions to cleanse the current customer and supplier data to meet the quality requirements defined in that process. Based on the theory of Master Data Management and data cleansing, small amount of master data was analyzed and cleansed using one commercial data cleansing solution available on the market. This was conducted in cooperation with the vendor as a proof of concept. In the proof of concept the cleansing solution’s applicability to improve the quality of current master data was proved. Based on those findings and the theory of data management the recommendations and proposals for improving the quality of data were given. In the results was also discovered that the biggest reasons for poor data quality is the lack of data governance in the company, and the current master data solutions and its restrictions.

Quality standards in e-business software development

Large enterprises have for many years employed eBusiness solutions in order to improve their efficiency. Smaller companies, however, have not been able to leverage these technologies due to the high level of know-how and resources required in implementing them. To solve this, novel software services are being developed to facilitate eBusiness adoption for the small enterprise with the aim of making B2Bi feasible not only between large organisations but also between trading partners of all sizes. The objective of this study was to find what standards and techniques on eBusiness and software testing and quality assurance fit best for building these new kinds of software considering the requirements their unique eBusiness approach poses. The research was conducted as a literature study with focus on standards on software testing and quality assurance together with standards on eBusiness. The study showed that the current software testing and quality assurance standards do not possess such characteristics as would make select standards evidently better fitted for building this type of software, which were established to be best developed as web services in order for them to meet their requirements. A selection of eBusiness standards and technologies was proposed to support this approach. The main finding in the study was, however, that these kinds of web services that have high interoperability requirements will have to be able to carry out automated interoperability and conformance testing as part of their operation; this objective dictates how the software are built and how testing during software development is to be done. The study showed that research on automated interoperability and conformance testing for web services is still limited and more research is needed to make the building of highly-interoperable web services more feasible.

Technological and business challenges of smart grids

Growing recognition of the electricity grid modernization to enable new electricity generation and consumption schemes has found articulation in the vision of the Smart Grid platform. The essence of this vision is an autonomous network with two-way electricity power flows and extensive real-time information between the generation nodes, various electricity-dependent appliances and all points in-between. Three major components of the Smart Grids are distributed intelligence, communication technologies, and automated control systems. The aim of this thesis is to recognize the challenges that Smart Grids are facing, while extinguishing the main driving factors for their introduction. The scope of the thesis also covers possible place of electricity Aggregator Company in the current and future electricity markets. Basic functions of an aggregator and possible revenue sources along with demand response feasibility calculations are reviewed within this thesis.

On Doing Successful ICT Business with Russian Manufacturing Enterprises

This Master’s thesis addresses different approaches using which a foreign IT company could enter Russian manufacturing industry with its enterprise information systems and IT services. In order to define the most suitable market entry approach, several aspects related to Russian manufacturing enterprises are studied. These aspects include challenges of doing ICT business with the previously mentioned enterprises, their perception of ICT role and their ICT preferences, as well as their buying behavior related to acquisition of information systems (IS). The study results show that there are several challenges that can be faced by a foreign IT vendor when starting conducting ICT business with Russian manufacturing enterprises. The results also show that Russian manufacturing industry is still rather immature in sense of business process automation, and its IT buying behavior is rather specific and complicated. The results suggest that an efficient way to approach these enterprises is through a network of trusted partners that consists of reliable Russian IS integrators and business consultants having established connections to Russian manufacturing companies and possessing the needed competence.

Development of Cost Estimation with Feedback Information in EPCM Business

Target company of this study is a large machinery company, which is, inter alia, engaged in energy and pulp engineering, procurement and construction management (EPCM) supply business. The main objective of this study was to develop cost estimation of the target company by providing more accurate, reliable and up-to-date information through enterprise resource planning (ERP) system. Another objective was to find cost-effective methods to collect total cost of ownership information to support more informed supplier selection decision making. This study is primarily action-oriented, but also constructive, and it can be divided in two sections: theoretical literature review and empirical study on the abovementioned part of the target company’s business. Development of information collection is, in addition to literature review, based on nearly 30 qualitative interviews of employees at various organizational units, functions and levels at the target company. At the core of development was to make initial data more accurate, reliable and available, a necessary prerequisite for informed use of the information. Certain development suggestions and paths were presented in order to regain confidence in ERP system as information source by reorganizing work breakdown structure and by complementing mere cost information with quantitative, technical and scope information. Several methods to use the information ever more effectively were also discussed. While implementation of the development suggestions outreached the scope of this study, it was forwarded in test environment and interest groups.

Working capital management in the small and medium-sized enterprises Case: Project-based business environment in Flowrox Oy

This Master´s thesis illustrates how growing a business ties up the company´s working capital and what the cost of committed capital. In order to manage a company´s working capital in rapid business growth phase, the thesis suggests that by monitoring and managing the operating and cash conversion cycles of customers´ projects, a company can find ways to secure the required amount of capital. The research method of this thesis was based on literature reviews and case study research. The theoretical review presents the concepts of working capital and provides the background for understanding how to improve working capital management. The company in subject is a global small and medium-sized enterprise that manufactures pumps and valves for demanding process conditions. The company is expanding, which creates lots of challenges. This thesis concentrates to the company´s working capital management and its efficiency through the supply chain and value chain perspective. The main elements of working capital management are inventory management, accounts receivable management and accounts payable management. Prepayments also play a significant role, particularly in project-based businesses. Developing companies´ working capital management requires knowledge from different kind of key operations´ in the company, like purchasing, production, sales, logistics and financing. The perspective to develop and describe working capital management is an operational. After literature reviews the thesis present pilot projects that formed the basis of a model to monitor working capital in the case company. Based on analysis and pilot projects, the thesis introduces a rough model for monitoring capital commitments in short time period. With the model the company can more efficiently monitor and manage their customer projects.

DEVELOPING SOCIAL CAPITAL WITHIN COMPANIES THROUGH ENTERPRISE 2.0

Whereas external social media has been studied, hyped and integrated into companies´ strategies, an insignificant concentration has been put on internal social solutions, which companies provide increasingly to their personnel. An enterprise focusing solely on the benefits of external social media might end up underestimating the true potential embedded in social business. The purpose of this thesis was to examine how social collaboration can be depicted as a structuration process in an Enterprise 2.0 environment. Furthermore, this thesis sought to reveal the benefits, challenges and possibilities of social business. This thesis focused on researching Enterprise 2.0 at the workplace. The studied Enterprise 2.0 solution was IBM Connections. The qualitative research methodology was an extensive case study. Three companies took part into this thesis and all in all 12 employees were interviewed. Additionally, seven IBM Social Business Experts were interviewed in order to receive a better understanding of the phenomenon. Three research questions were designed to fulfill the purpose of this thesis. The research questions were: 1. How are the dimensions of social capital structured through collaboration? 2. How does agency form in Enterprise 2.0? 3. How does social collaboration emerge as a result of the interplay between agency and dimensions of social capital in an Enterprise 2.0 environment and creates outcomes such as trust, identification and knowledge? The main research findings indicate that social collaboration increases trust, identification and knowledge by giving employees more capabilities to do their work. Consequently, social collaboration increases company performance by making individuals and groups more effective. The support of top management is crucial in making Enterprise 2.0 successful, because it is more a cultural than a technological change. Power agency, the lack of top management support and old established work ways such as email and databases work as barriers to social collaboration.

Integration of Electronic Commerce and Enterprise Systems

The necessity of EC (Electronic Commerce) and enterprise systems integration is perceived from the integrated nature of enterprise systems. The proven benefits of EC to provide competitive advantages to the organizations force enterprises to adopt and integrate EC with their enterprise systems. Integration is a complex task to facilitate seamless flow of information and data between different systems within and across enterprises. Different systems have different platforms, thus to integrate systems with different platforms and infrastructures, integration technologies, such as middleware, SOA (Service-Oriented Architecture), ESB (Enterprise Service Bus), JCA (J2EE Connector Architecture), and B2B (Business-to-Business) integration standards are required. Huge software vendors, such as Oracle, IBM, Microsoft, and SAP suggest various solutions to address EC and enterprise systems integration problems. There are limited numbers of literature about the integration of EC and enterprise systems in detail. Most of the studies in this area have focused on the factors which influence the adoption of EC by enterprise or other studies provide limited information about a specific platform or integration methodology in general. Therefore, this thesis is conducted to cover the technical details of EC and enterprise systems integration and covers both the adoption factors and integration solutions. In this study, many literature was reviewed and different solutions were investigated. Different enterprise integration approaches as well as most popular integration technologies were investigated. Moreover, various methodologies of integrating EC and enterprise systems were studied in detail and different solutions were examined. In this study, the influential factors to adopt EC in enterprises were studied based on previous literature and categorized to technical, social, managerial, financial, and human resource factors. Moreover, integration technologies were categorized based on three levels of integration, which are data, application, and process. In addition, different integration approaches were identified and categorized based on their communication and platform. Also, different EC integration solutions were investigated and categorized based on the identified integration approaches. By considering different aspects of integration, this study is a great asset to the architectures, developers, and system integrators in order to integrate and adopt EC with enterprise systems.

Process modeling method for electric accessories manufacturing enterprise

The theoretical research of the study focused to business process management and business process modeling, the goal was to found a new business process modeling method for electrical accessories manufacturing enterprise. The focus was to find few options for business process modeling methods where company could have chosen the best one for its needs The study was carried out as a qualitative research with an action study and a case study as the most important ways collect data. In the empirical part of the study examples of company’s processes modeled with the new modeling method and process modeling process are presented. The new way of modeling processes improves especially visual presentation of the processes and improves the understanding how employees should work in the organizational interfaces of the process and in the interfaces between different processes. The results of the study is a new unified way to model company’s processes, which makes it easier to understand and create the process models. This improved readability makes it possible to reduce the costs that were created from the unclear old process models.

Emotional intelligence and multicultural project leadership in Finnish-Chinese MNC context

The main goal of this thesis was to examine how the emotional intelligence skills and multicultural project leadership style of a project manager interrelate and affect the success of a project. The research methods used are literature review in theoretical part of the thesis and semi-structured interviews in empirical part of the thesis. This study is a single case study i.e. one case company was selected to be the secondary level of analysis. Within the case company, four project managers were selected as research units to form the primary level of analysis. Literature review formed the basis for the empirical research and the interview questions were derived from the literature. Findings from the interviews were mirrored against the literature review findings, based on which both conclusions and generalisations could be made. Thus, both deductive and inductive methods were utilised to get more complete picture about the research topic. In the first part of the literature review the general leadership theories and the project leadership terminology are introduced as a background for the concept of emotional intelligence and the integrated leadership model. Emotional intelligence and its interrelation to different leadership concepts are discussed during the literature review. Chinese cultural aspects affecting the way of making business, and the multicultural leadership styles of the Finnish project managers are introduced in the following part of the literature review. It was found that the most successfully used multicultural leadership styles in Finnish-Chinese context are synergistic and polycentric, and these require emotional intelligence skills. In the empirical part on this thesis the findings from the semi-structured interviews are introduced, discussed and analysed. Interviews were done in private meeting rooms, and they were recorded and transcripted to add reliability and validity. Although the sample was only four project managers, the results show that the sample is quite saturated as the responses to several questions followed the same pattern. It was found that Finnish project managers in the case company are democratic and take cultural differences into account in their project leadership. Both synergistic and polycentric leadership styles are used with Chinese team members. Emotional intelligence capabilities and the emphasis of those differ a bit depending on the interviewee. Though, the results show that EI skills and the multicultural project leadership style used in Chinese context are interrelated. The findings from the literature review and the empirical research in this thesis are similar. Though, there is need for further research as the sample was small, and this thesis is a single case study. It is recommendable to make a multi-company study with larger sample of project managers. Also multi-industry perspective is recommendable for further research.

Project Controlling and Management in IT Consulting Enterprise

Liiketoiminnan organisoiminen projekteiksi on erittäin yleistä nykyisin. Suuri osa projekteista erityisesti IT-alalla epäonnistuu kuitenkin saavuttamaan tavoitteensa. Projektin menestys on tyypillisesti mitattu budjetin, aikataulun, laadun ja sidosryhmien tyytyväisyyden perusteella. Tämän Pro Gradu -tutkielman tarkoituksena on etsiä tyypillisimpiä syitä projektien epäonnistumiseen ja löytää projektien seurannan ja mittaamisen avulla keinoja näiden epäonnistumisten ehkäisemiseen. Tutkimusmenetelmänä on laadullinen tapaustutkimus. Empiirinen aineisto on kerätty haastattelujen, eri materiaalien analysoinnin ja havainnoinnin avulla. Teoriaosuus tarjoaa kattavan yhteenvedon projektiliiketoiminnan ja yksittäisten projektien johtamiseen sekä projektien seurantaan ja mittaamiseen aikaisemman kirjallisuuden perusteella. Empiirisessä osiossa suoritetaan analyysi Case -yrityksen projektien seurantaan ja valittuihin projekteihin. Analyysien, haastattelujen ja havainnoinnin pohjalta tehdään johtopäätökset tyypillisimmistä, ongelmia projekteissa aiheuttavista tekijöistä sekä näiden esiintymisestä projektin elinkaaren eri vaiheissa. Mahdolliset ongelmia ehkäisevät keinot esitetään myös. Ehdotuksia kehityskohteiksi esitetään lopuksi teorian ja empirian pohjalta.

Building a Roadmap for a Market Intelligence function in a Global B2B company

Tämän diplomityötutkimuksen tarkoituksena on luoda markkinaälyyn (MI) erikoistunut funktio suurelle, globaalisti toimivalle B2B-yritykselle. Tämän päivän muut-tuvilla markkinoilla, teollisuusyrityksen on oltava markkinalähtöinen selviytyäkseen. Markkinatiedon tehokas hyödyntäminen ei pelkästään luo tietoa markkinoista, vaan tuottaa kilpailukykyistä tietoa ja toimii strategisen päätöksenteon tukena pitkällä aikavälillä. Tämä tutkimus on kvalitatiivinen toimintatutkimus, joka sisältää kirjallisuuskat-sauksen, yritystapaustutkimuksen sekä syväanalyysin yrityksen MI-ympäristöstä. Kirjallisuuskatsaus pitää sisällään teoriaa liittyen markkinaälyyn useassa eri kon-tekstissa, asiakassuhteeseen, sekä prosessinmallintamiseen. Empiiriseen osaa seuraa tutkimusmenetelmäkappale, joka sisältää kaksivaiheisen tutkimuksen mukaan lu-kien 20 päällikkötason haastattelua sekä yhden laaja-alaisen työryhmätapaamisen. Työn tuloksena syntyy kolmivaiheinen tiekartta, jonka tarkoitus on toimia pohjana uuden MI-funktion rakentamiselle Case-yrityksessä. Tuloksen mukaan MI-funktio tulisi sijoittaa yrityksen asiakasrajapintaan sekä tukea yksiköiden välistä integraa-tiota. Markkinaälyn jakaminen yrityksen sisällä vaatii käytäntöjen, tarpeiden ja ta-voitteiden systemaattista viestintää eri organisaatiotasoille, jotta yritys voi edelleen saada asiakkaalta tarpeeseen vastaavaa tietoa. Viestintä yrityksen ja asiakkaan välil-lä on oltava molemminpuolista, jotta tulokset voisivat parantaa asiakassuhdetta. Kun asiakassuhde paranee, yritys voi oppia asiakkaalta arvokasta tietoa, markkinaälyä.