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.

Technical and economic analysis of replacing artificial lighting system to induction of photoperiod effect in begonia's seedlings in greenhouse

The type of artificial light used for inducing photoperiod effect in begonia's seedlings at greenhouse has fundamental importance in the growth and development of these plants and directly reflects in the electrical energy consumption used in this production process. The objective of this research was to analyze the technical and economic feasibility of replacing the current technology of artificial lighting used by the producers (incandescent lamps), by the technology of discharge lamps with the purpose of inducing photoperiod in a greenhouse. The analysis results indicate that the discharge lamp of 32 W Tubular Fluorescent discharge lamp was the one that presented the lower peak demand and lower average energy consumption of 85.01% compared to incandescent filament lamp of 100 W that is the technology of bigger consumption and currently used by the producer.

Potential of utilization of rain water excess for irrigation of green roofs in Mato Grosso, Brasil

The aim of this study was to identify the relation between the evapotranspirometer demand and the supply of water from local rainfall, evaluating the possibility of using water excess for irrigation of Green Roofs in the State of Mato Grosso, in Brazil. The study was done using a series of historical data provided by the National Institute of Meteorology (INMET - Instituto Nacional de Meteorologia) which has official climatological stations in 12 cities and regions of the State. The evapotranspiration values were obtained by the Penman-Monteith method and by the Climatic Water Balance (CWB) by the Thornthwaite and Mather method using Available Water Capacity (AWC) of 12mm. With the CWB the excess and deficit were calculated, which were used for the estimative of the volume and area of a reservoir as a function of a collector area of a roof of 100m² and the volume of supplementary water for irrigation. With the obtained results, it was found that in most investigated regions of the State the use of green roofs is not compromised by the water deficiency. On the other hand, the use of a reservoir to accumulate the rain water excess may be impractical, because it requires a considerable area for installation and also because of the high cost of the land.

Spatial statistics applied to soybean production data from Paraná State for 2003-04 to 2009-10 crop-years

In the current study, we performed a soybean production spatial distribution analysis in Paraná State. Seven crop-year data, from 2003-04 to 2009-10, obtained from the Paraná Department of Agriculture and Supply (SEAB) were used to develop a Boxmap for each crop-year, show soybean production throughout this time interval. Moran's index was used to measure spatial autocorrelation among municipalities at an aggregate level, while LISA index local correlation. For each index, different contiguity matrix and order were used and there was a significance level study. As a result, we have showed spatial relationship among cities regarding the production, which allowed the indication of high and low production clusters. Finally, identifying main soybean-producing cities, what may provide supply chain members with information to strengthen the crop production in Paraná.

Shewhart's control charts and process capability ratio applied to a sewage treatment station

The current study used statistical methods of quality control to evaluate the performance of a sewage treatment station. The concerned station is located in Cascavel city, Paraná State. The evaluated parameters were hydrogenionic potential, settleable solids, total suspended solids, chemical oxygen demand and biochemical oxygen demand in five days. Statistical analysis was performed through Shewhart control charts and process capability ratio. According to Shewhart charts, only the BOD(5.20) variable was under statistical control. Through capability ratios, we observed that except for pH the sewage treatment station is not capable to produce effluents under characteristics that fulfill specifications or standard launching required by environmental legislation.

Automated Purchase to Pay Process Value Modeling and Comparative Process Speeds

The importance of efficient supply chain management has increased due to globalization and the blurring of organizational boundaries. Various supply chain management technologies have been identified to drive organizational profitability and financial performance. Organizations have historically been concentrating heavily on the flow of goods and services, while less attention has been dedicated to the flow of money. While supply chains are becoming more transparent and automated, new opportunities for financial supply chain management have emerged through information technology solutions and comprehensive financial supply chain management strategies. This research concentrates on the end part of the purchasing process which is the handling of invoices. Efficient invoice processing can have an impact on organizations working capital management and thus provide companies with better readiness to face the challenges related to cash management. Leveraging a process mining solution the aim of this research was to examine the automated invoice handling process of four different organizations. The invoice data was collected from each organizations invoice processing system. The sample included all the invoices organizations had processed during the year 2012. The main objective was to find out whether e-invoices are faster to process in an automated invoice processing solution than scanned invoices (post entry into invoice processing solution). Other objectives included looking into the longest lead times between process steps and the impact of manual process steps on cycle time. Processing of invoices from maverick purchases was also examined. Based on the results of the research and previous literature on the subject, suggestions for improving the process were proposed. The results of the research indicate that scanned invoices were processed faster than e-invoices. This is mostly due to the more complex processing of e-invoices. It should be noted however that the manual tasks related to turning a paper invoice into electronic format through scanning are ignored in this research. The transitions with the longest lead times in the invoice handling process included both pre-automated steps as well as manual steps performed by humans. When the most common manual steps were examined in more detail, it was clear that these steps had a prolonging impact on the process. Regarding invoices from maverick purchases the evidence shows that these invoices were slower to process than invoices from purchases conducted through e-procurement systems and from preferred suppliers. Suggestions on how to improve the process included: increasing invoice matching, reducing of manual steps and leveraging of different value added services such as invoice validation service, mobile solutions and supply chain financing services. For companies that have already reaped all the process efficiencies the next step is to engage in collaborative financial supply chain management strategies that can benefit the whole supply chain.

Assessment of purchasing maturity in spare parts supply chain

To describe the change of purchasing moving from administrative to strategic function academics have put forward maturity models which help practitioners to compare their purchasing activities to industry top performers and best practices. However, none of the models aim to distinguish the purchasing maturity from the after-sales point of view, even though after-sales activities are acknowledged as a relevant source of revenue, profit and competitive advantage in most manufacturing firms. The maturity of purchasing and supply management practices have a large impact to the overall performance of the spare parts supply chain and ultimately to the value creation and relationship building for the end customer. The research was done as a case study for a European after-sales organization which is part of a globally operating industrial firm specialized in heavy machinery. The study mapped the current state of the purchasing practices in the case organization and also distinguished the relevant areas for future development. The study was based on the purchasing maturity model developed by Schiele (2007) and investigated also how applicable is the maturity model in the spare parts supply chain context. Data for the assessment was gathered using five expert interviews inside the case organization and other parties involved in the company’s spare parts supply chain. Inventory management dimension was added to the original maturity model in order to better capture the important areas in a spare parts supply chain. The added five questions were deduced from the spare parts management literature and verified as relevant areas by the case organization’s personnel. Results indicate that largest need for development in the case organization are: better collaboration between sourcing and operative procurement functions, use of installed base information in the spare parts management, training plan development for new buyers, assessment of aligned KPI’s between the supply chain parties and better defining the role of after-sales sourcing. The purchasing maturity model used in this research worked well in H&R Leading, Controlling and Inventory Management dimensions. The assessment was more difficult to conduct in the Supplier related processes, Process integration and Organizational structure –dimensions, mainly because the assessment in these sections would for some parts require more company-wide assessment. Results indicate also that the purchasing maturity model developed by Schiele (2007) captures the relevant areas in the spare parts supply as well.

Supplier codes of conduct: Acting responsibly in global supply chains

Nowadays the Western companies are considered responsible for the social and environmental issues in their whole supply chains. To influence the practices of their suppliers the Western companies have created suppliers codes of conduct (SCCs) which express their requirements. Suppliers’ compliance with the SCCs is checked through audits. The purpose of this thesis is to analyze SCCs as a means for Western companies to ensure socially and environmentally responsible actions in their global supply chains, and the sub-objectives are to find out 1) how well do the SCCs and their auditing work at suppliers’ production sites and 2) how can possible problems related to SCCs and their auditing be solved. This is a qualitative research carried out in the form of a case study with two case companies. In this study both primary and secondary data is used. The primary data is collected in the form of interviews of the case company representatives and three external experts. Based on a theoretical framework of previous research in the fields of corporate social responsibility and supply chain management, a model with eleven factors, which influence the success of SCC implementation and the auditing of SCC –implementation, is drafted. Also several different best-practices to help to solve and avoid possible problems related to SCC -implementation and auditing have been identified from previous research. Based on the findings of this study the theoretical model has been updated adding two new influential factors. It seems that how well the SCC and its auditing work at suppliers’ production sites depends on the joint effect of thirteen influential factors: buyer’s purchasing policy, supplier’s motivation, buyer’s commitment, the solving of agency problems, the contents of the SCC, supplier’s role and the buyer-supplier –relationship, complexity of supply chain, the limitations of the smaller buyers, cooperation through a business association or multi-stakeholder system, the role of supplier’s employees, SCC –related communication and supplier’s understanding, cheating in audits and the auditors. The possible problems related to SCCs and their auditing can be solved by adopting best-practices. Nine of the theoretical best-practices stand out from the findings of this study: 1) two-way communication and collecting feedback from suppliers, 2) the philosophy of continuous improvement, 3) long-term business relationships with the supplier, 4) informing the supplier about the advantages of SCC –compliance, 5) rewarding code-compliant suppliers, 6) building collaborative, good buyer-supplier relationships, 7) supporting and advising the supplier, 8) joining a business association or multi-stakeholder system and 9) interviewing supplier’s employees as a part of the audits.

Metsäenergian käytön kasvun liiketoimintamahdollisuudet Kaakkois-Suomessa

Kaakkois-Suomessa (Kymenlaakson ja Etelä-Karjalan maakunnat) metsäenergian käytön kasvaessa on tullut tarve tarkastella käytön kasvua eri käyttäjien näkökulmasta sekä arvioida kasvaneen käytön luomia liiketoimintamahdollisuuksia alueen toimijoille. Tutkimuksen tavoitteena on selvittää metsäenergian nykyinen käyttö ja käytön kasvumahdollisuudet alueella. Metsäenergian käytön kasvumahdollisuuksia voidaan arvioida nykyisen energian tuotantorakenteen sekä energian tarpeen perusteella. Näiden tietojen pohjalta voidaan arvioida metsäenergian riittävyyttä, käytön laajentamista ja laajentamisen yhteydessä syntyviä liiketoimintamahdollisuuksia alueen metsäenergian hankinnassa mukana oleville toimijoille ja energian tuotannon pk-yrittäjille (mm. energiayrittäjät ja -osuuskunnat). Hankkeen toteutuksen yhteydessä valmistellaan laajempaa hankekokonaisuutta uusiutuvien paikallisten energiamahdollisuuksien hyödyntämiseksi ja liiketoiminnan kehittämiseksi alueella. Tutkimusten tavoitteena on luoda hyvinvointia ja liiketoimintamahdollisuuksia alueelle. Etelä-Karjalan ja Kymenlaakson maakuntien osalta tutkimus sisälsi seuraavat osatehtävät: metsäenergian nykyisen käytön selvittäminen käyttökohteittain ja polttoainelajeittain (hakkuutähteet, kannot, pienpuu), metsäenergian potentiaalisten käyttökohteiden selvittäminen, metsäenergian kuntakohtaisen saatavuuden selvittäminen polttoainelajeittain, metsäenergian käytön suhde saatavuuteen, metsäenergian ympärille liittyvien liiketoimintamahdollisuuksien tunnistaminen ja kartoittaminen sekä tulosten raportointi. Tutkimuksen tuloksina saatiin Etelä-Karjalan ja Kymenlaakson maakuntien kuntakohtaiset taseet metsäenergian kysynnän ja tarjonnan määristä sekä alaan liittyvistä työllisyys- ja liiketoimintamahdollisuuksista. Tutkimuksen toteutuksessa on tehty tiiviisti yhteistyötä Kaakkois-Suomen metsäkeskuksen kanssa. Tutkimuksen seurantaryhmänä toimi Kaakkois-Suomen metsäenergianeuvottelukunta. Tutkimuksessa on luotu toimintamalli alueellisen ja paikallisen metsäenergian käytön ja saatavuuden tarkastelua varten. Toimintamallilla voidaan esittää paikalliset mahdollisuudet metsäenergian hyödyntämiseksi ja liiketoimintamahdollisuuksien arvioimiseksi.

Production planning and optimization of a pulp mill: introduction of the optimisation based scheduling software for pulp industry

The objective of this project was to introduce a new software product to pulp industry, a new market for case company. An optimization based scheduling tool has been developed to allow pulp operations to better control their production processes and improve both production efficiency and stability. Both the work here and earlier research indicates that there is a potential for savings around 1-5%. All the supporting data is available today coming from distributed control systems, data historians and other existing sources. The pulp mill model together with the scheduler, allows what-if analyses of the impacts and timely feasibility of various external actions such as planned maintenance of any particular mill operation. The visibility gained from the model proves also to be a real benefit. The aim is to satisfy demand and gain extra profit, while achieving the required customer service level. Research effort has been put both in understanding the minimum features needed to satisfy the scheduling requirements in the industry and the overall existence of the market. A qualitative study was constructed to both identify competitive situation and the requirements vs. gaps on the market. It becomes clear that there is no such system on the marketplace today and also that there is room to improve target market overall process efficiency through such planning tool. This thesis also provides better overall understanding of the different processes in this particular industry for the case company.

Paperitehtaan toimitusketjun kustannus- ja pääoma-analyysi

Heikkenevä kysyntä sekä koveneva hintakilpailu erityisesti painopaperin markkinoilla on luonut paperinvalmistajalle haasteita kustannusten alentamisen sekä kannattavuuden parantamisen osalta. Sijaintinsa vuoksi yritys on halunnut erityisesti parantaa kustannustehokkuuttaan logistiikan osalta, minkä tueksi tämä diplomityö on tehty. Tutkimuksen tarkoituksena on analysoida paperitehtaan toimitusketjuja kustannusjohtamisen näkökulmasta. Tavoitteena on ollut arvioida kahden vaihtoehtoisen toimitusketjun, suoran ja välivarasto-toimituksen, vaikutusta syntyvien kustannusten, ketjuun sitoutuneen pääoman sekä asiakaskannattavuuden kautta. Tutkimus toteutettiin case-tutkimuksen kaltaisena soveltuvin osin, hyödyntämällä kvantitatiivisia menetelmiä. Projektia varten valittiin paperinvalmistajan painopaperin tuloslinjalta kymmenen kohdeasiakasta, joille vaihtoehtoisia toimitusketjuja voidaan soveltaa. Toimitusketjut rajattiin käsittämään valmiin tuotteen asiakastoimitukset ja niistä aiheutuvat kuluerät. Kustannus- ja pääoma-analyysin suunnittelussa hyödynnettiin toimitusketjuihin sekä kustannusjohtamiseen liittyvää teoreettista kirjallisuutta. Ensisijaisena viitekehyksenä kustannusten analysoinnissa sovellettiin toimintolaskentaa ja pääoman sitoutumisen arvioinnissa kiertoajan tunnuslukuja. Käsiteltävä informaatio kerättiin yrityksen sisäisistä raporteista sekä toiminnanohjausjärjestelmästä taulukkolaskentaohjelmaan, jossa laskelmat tehtiin. Tutkimuksen avaintuloksena kahdeksan case-asiakkaan kohdalla suora toimitus osoittautui kustannuksiltaan välivaraston kautta kulkevaa edullisemmaksi. Lisäksi havaittiin suoran toimituksen nopeuttavan teoriassa pääoman kiertoa toimitusketjussa lyhyemmän läpimenoajan ansiosta. Johtopäätöksenä kustannus- ja pääomahyötyjen vaikutuksen vuoksi suorien toimitusten hyödyntäminen on edullista soveltuvien asiakkaiden kohdalla. Tutkimuksessa kustannusinformaation kerääminen kokonaisvaltaisesti osoittautui haasteelliseksi, sillä kaikkien toimitusketjun kustannuserien tietoja ei ollut laajasti saatavilla. Toimeksiantajan näkökulmasta merkittävät kohteet jatkotutkimukselle ovat kustannusten oikeellisuuteen ja kohdistamiseen sekä asiakkaiden maksukäytäntöihin ja ehtoihin liittyvä seuranta.

Review of water electrolysis technologies and design of renewable hydrogen production systems

An electric system based on renewable energy faces challenges concerning the storage and utilization of energy due to the intermittent and seasonal nature of renewable energy sources. Wind and solar photovoltaic power productions are variable and difficult to predict, and thus electricity storage will be needed in the case of basic power production. Hydrogen’s energetic potential lies in its ability and versatility to store chemical energy, to serve as an energy carrier and as feedstock for various industries. Hydrogen is also used e.g. in the production of biofuels. The amount of energy produced during hydrogen combustion is higher than any other fuel’s on a mass basis with a higher-heating-value of 39.4 kWh/kg. However, even though hydrogen is the most abundant element in the universe, on Earth most hydrogen exists in molecular forms such as water. Therefore, hydrogen must be produced and there are various methods to do so. Today, the majority hydrogen comes from fossil fuels, mainly from steam methane reforming, and only about 4 % of global hydrogen comes from water electrolysis. Combination of electrolytic production of hydrogen from water and supply of renewable energy is attracting more interest due to the sustainability and the increased flexibility of the resulting energy system. The preferred option for intermittent hydrogen storage is pressurization in tanks since at ambient conditions the volumetric energy density of hydrogen is low, and pressurized tanks are efficient and affordable when the cycling rate is high. Pressurized hydrogen enables energy storage in larger capacities compared to battery technologies and additionally the energy can be stored for longer periods of time, on a time scale of months. In this thesis, the thermodynamics and electrochemistry associated with water electrolysis are described. The main water electrolysis technologies are presented with state-of-the-art specifications. Finally, a Power-to-Hydrogen infrastructure design for Lappeenranta University of Technology is presented. Laboratory setup for water electrolysis is specified and factors affecting its commissioning in Finland are presented.

Impacts of capacity remunerative mechanisms on cross-border trade

The European ambitious targets to increase the share of renewable generation pose a challenge to the generation adequacy. Many European member states are concerned that energy-only markets alone might not be able to deliver sufficient capacity required to meet the future electricity demand and back up shortfalls of energy from renewable energy sources (RES) during periods of low wind and sun. Many EU members consider to re-design their energy-only markets and establish different forms of capacity remunerative mechanisms (CRMs) to maintain the security of supply. There is a certain concern that market design changes at the level of EU member countries might conflict with the European goal of a single market. As soon as many European markets are highly interconnected, uncoordinated CRMs might create negative crossborder effects and hinder the achievement of the Internal Electricity Market in Europe. The pros and cons of capacity markets are well examined at the national level. However, the cross-border effects of capacity markets within the European market aiming at higher integration have received less attention. This doctoral dissertation examines the cross-border effects of unilateral implementation of CRMs applying both theoretical and case study analyses. The results show that capacity remunerative mechanisms (CRMs) may cause negative cross-border effects, especially if they are implemented unilaterally.

Determination of acrolein, ethanol, volatile acidity, and copper in different samples of sugarcane spirits

Seventy-one samples of sugarcane spirits from small and average size stills produced in the northern and southern Minas Gerais (Brazil) were analyzed for acrolein using HPLC (High Performance Liquid Chromatography). Ethanol and copper concentrations and volatile acidity were also determined according to methods established by the Ministry of Agriculture, Livestock and Supply (MAPA). A total of 9.85% of the samples tested showed levels of acrolein above the legal limits, while the copper concentrations of 21.00% of the samples and the volatile acidity of 8.85% of the samples were higher than the limits established by the Brazilian legislation. The concentration of acrolein varied from 0 to 21.97 mg.100 mL-1 of ethanol. However, no significant difference at 5% of significance was observed between the samples produced in the northern and southern Minas Gerais. The method used for determination of acrolein in sugarcane spirits involved the formation of a derivative with 2,4-dinitrophenylhydrazine (2,4-DNPH) and subsequent analysis by HPLC.

A systematic mapping study on open data

This thesis presented the overview of Open Data research area, quantity of evidence and establishes the research evidence based on the Systematic Mapping Study (SMS). There are 621 such publications were identified published between years 2005 and 2014, but only 243 were selected in the review process. This thesis highlights the implications of Open Data principals’ proliferation in the emerging era of the accessibility, reusability and sustainability of data transparency. The findings of mapping study are described in quantitative and qualitative measurement based on the organization affiliation, countries, year of publications, research method, star rating and units of analysis identified. Furthermore, units of analysis were categorized by development lifecycle, linked open data, type of data, technical platforms, organizations, ontology and semantic, adoption and awareness, intermediaries, security and privacy and supply of data which are important component to provide a quality open data applications and services. The results of the mapping study help the organizations (such as academia, government and industries), re-searchers and software developers to understand the existing trend of open data, latest research development and the demand of future research. In addition, the proposed conceptual framework of Open Data research can be adopted and expanded to strengthen and improved current open data applications.