Service paradox in a product oriented company: A service business development case

The master´s thesis had three aims; to develop a service portfolio, to support the management of services through the developed portfolio, and evaluate effects of service differentiation strategy on the future selection of services. The product oriented case company in service paradox is Hilti (Suomi) Oy, which is entering systematic service management era, supported by the late strategic change. Low return on service business investments is referred as service paradox. The project was carried out as a case study, where the primary information source was twenty-one conducted interviews. The theory part focuses on marketing logics, service strategies, and categorization of services. The empirical part contributes in solving the aim related research questions. As a result of the case study a service portfolio was created, next further steps in service management were suggested, and the effect on selection of services by service differentiation strategy was evaluated. The main goal of creating service portfolio contributes to systematic management of services, which required revising at the case company.

Development of remote monitoring process tools for biomass fired bubbling fluidized bed boilers

Remote monitoring of a power boiler allows the supplying company to make sure that equipment is used as supposed to and gives a good chance for process optimization. This improves co-operation between the supplier and the customer and creates an aura of trust that helps securing future contracts. Remote monitoring is already in use with recovery boilers but the goal is to expand especially to biomass-fired BFB-boilers. To make remote monitoring possible, data has to be measured reliably on site and the link between the power plant and supplying company’s server has to work reliably. Data can be gathered either with the supplier’s sensors or with measurements originally installed in the power plant if the plant in question is not originally built by the supplying company. Main goal in remote monitoring is process optimization and avoiding unnecessary accidents. This can be achieved for instance by following the efficiency curves and fouling in different parts of the process and comparing them to past values. The final amount of calculations depends on the amount of data gathered. Sudden changes in efficiency or fouling require further notice and in such a case it’s important that dialogue toward the power plant in question also works.

Communicating trustworthiness in online stores

Even though e-commerce systems are expected to have many advantages compared to the traditional ways of doing business, it is not always the reality. Lack of trust is still said to be one of the most important barriers to online shopping. In traditional stores, trust has usually been established in a direct contact between the customer and the company or its personnel. In online stores, there is no direct interaction. The purpose of this thesis is to identify the key antecedents to online trust and to distinguish between effective and ineffective practices. A model on how consumers establish initial trust towards an unknown online vendor was proposed based on previous theories. The model was tested empirically by targeting an online survey at higher degree students in Finland and in Germany. The data confirmed the proposed view that trusting intentions are affected by individual characteristics, characteristics of the company as well as characteristics of the website. Additionally national differences were found between Finnish and German respondents. The data suggested that online vendors can convey a message of trustworthiness by improving information quality and overall usefulness of the website. Perceived risk of online shopping was found to depend especially on general trust in the Internet, service quality and ease of use. A trustworthy online store should include several payment methods as well as means to access and modify given data. The vendors should also make sure that inquiries are addressed quickly, transactions are confirmed automatically and that customers have a possibility to track their order. A model that includes three different sources of trust should contribute to the theoretical understanding of trust formation in online stores. The resulting list of trust antecedents can also be used as a checklist when e-commerce practitioners wish to optimize the trust building.

Open innovation model for a large company in the ICT industry: Case Ericsson LMF

Open innovation paradigm states that the boundaries of the firm have become permeable, allowing knowledge to flow inwards and outwards to accelerate internal innovations and take unused knowledge to the external environment; respectively. The successful implementation of open innovation practices in firms like Procter & Gamble, IBM, and Xerox, among others; suggest that it is a sustainable trend which could provide basis for achieving competitive advantage. However, implementing open innovation could be a complex process which involves several domains of management; and whose term, classification, and practices have not totally been agreed upon. Thus, with many possible ways to address open innovation, the following research question was formulated: How could Ericsson LMF assess which open innovation mode to select depending on the attributes of the project at hand? The research followed the constructive research approach which has the following steps: find a practical relevant problem, obtain general understanding of the topic, innovate the solution, demonstrate the solution works, show theoretical contributions, and examine the scope of applicability of the solution. The research involved three phases of data collection and analysis: Extensive literature review of open innovation, strategy, business model, innovation, and knowledge management; direct observation of the environment of the case company through participative observation; and semi-structured interviews based of six cases involving multiple and heterogeneous open innovation initiatives. Results from the cases suggest that the selection of modes depend on multiple reasons, with a stronger influence of factors related to strategy, business models, and resources gaps. Based on these and others factors found in the literature review and observations; it was possible to construct a model that supports approaching open innovation. The model integrates perspectives from multiple domains of the literature review, observations inside the case company, and factors from the six open innovation cases. It provides steps, guidelines, and tools to approach open innovation and assess the selection of modes. Measuring the impact of open innovation could take years; thus, implementing and testing entirely the model was not possible due time limitation. Nevertheless, it was possible to validate the core elements of the model with empirical data gathered from the cases. In addition to constructing the model, this research contributed to the literature by increasing the understanding of open innovation, providing suggestions to the case company, and proposing future steps.

Creating risk measurement model to project portfolio management in construction company

This thesis was carried out as a case study of a company YIT in order to clarify the sev-erest risks for the company and to build a method for project portfolio evaluation. The target organization creates new living environment by constructing residential buildings, business premises, infrastructure and entire areas worth for EUR 1.9 billion in the year 2013. Company has noted project portfolio management needs more information about the structure of project portfolio and possible influences of market shock situation. With interviews have been evaluated risks with biggest influence and most appropriate metrics to examine. The major risks for the company were evaluated by interviewing the executive staff. At the same time, the most appropriate risk metrics were considered. At the moment sales risk was estimated to have biggest impact on company‟s business. Therefore project port-folio evaluation model was created and three different scenarios for company‟s future were created in order to identify the scale of possible market shock situation. The created model is tested with public and descriptive figures of YIT in a one-year-long market shock and the impact on different metrics was evaluated. Study was conducted using con-structive research methodology. Results indicate that company has notable sales risk in certain sections of business portfolio.

Value-based Reference Marketing in a Small Process Industry Software and Service Company

This master’s thesis was done for a small company, Vipetec Oy, which offers specialized technological services for companies mainly in forest industry. The study was initiated partly because the company wants to expand its customer base to a new industry. There were two goals connected to each other. First was to find out how much and what kind of value current customers have realized from ATA Process Event Library, one of the products that the company offers. Second was to determine the best way to present this value and its implications for future value potential to both current and potential customers. ATA helps to make grade and product changes, starting after machine downtime, and recovery from production break faster for customers. All three events sometimes occur in production line. The faster operation results to savings in time and material. In addition to ATA Vipetec also offers other services related to development of automation and optimization of controls. Theoretical part concentrates on the concept of value, how it can be delivered to customers, and what kind of risk customer faces in industrial purchasing. Also the function of reference marketing towards customers is discussed. In the empirical part the realized value for existing customers is evaluated based on both numerical data and interviews. There’s also a brief case study about one customer. After that the value-based reference marketing for a target industry is examined through interviews of these potential customers. Finally answers to the research questions are stated and compared also to the theoretical knowledge about the subject. Results show that those customers’ machines which use the full service concept of ATA usually are able to save more time and material than the machines which use only some features of the product. Interviews indicated that sales arguments which focus on improved competitive status are not as effective as current arguments which focus on numerical improvements. In the case of potential customers in the new industry, current sales arguments likely work best for those whose irregular production situations are caused mainly by fault situations. When the actions of Vipetec were compared to ten key elements of creating customer references, it was seen that many of them the company has either already included in its strategy or has good chances to include them with the help of the results of this study.

Evidencing and Sharing Value with Decision Making Models in an Industrial Maintenance Network

The objective of this thesis is to concretize the potential benefits that the industrial maintenance case network could achieve through using the value-based life-cycle model and the flexible asset management model. It is also inspected what factors prevent value creation and sharing in the maintenance contract practices of the case network. This thesis is a case study which utilizes modelling. Four scenarios were developed to demonstrate value creation in the future. The data was partly provided by the collaborating company, partly gathered from public financial statement information. The results indicate that value has been created through the past maintenance of the collaborating company’s rod mill and that profitability of the collaborating company has been mostly on satisfactory level during the past few years. Potential value might be created by increasing the share of proactive maintenance of the rod mill in the future. Profitability of the network could be improved in the future through flexible asset management operations. The main obstacle for value creation and sharing seems to be the lack of sufficient trust between the network members.

Centralized IT management using SCCM in a large multinational company

Microsoft System Center Configuration Manager is a systems management product for managing large groups of computers and/or mobile devices. It provides operating system deployment, software distribution, patch management, hardware & software inventory, remote control and many other features for the managed clients. This thesis focuses on researching whether this product is suitable for large, international organization with no previous, centralized solution for managing all such networked devices and detecting areas, where the system can be altered to achieve a more optimal management product from the company’s perspective. The results showed that the system is suitable for such organization if properly configured and clear and transparent line of communication between key IT personnel exists.

Microsoftin pilvipalvelut pk-yrityksen päätelaite- ja tiedonhallinnassa

Diplomityössä tutkittiin Microsoftin pilvipalveluiden käyttöä pk-yrityksen päätelaitteiden hallinnassa sekä yrityksen tiedonhallinnassa. Kohdeyrityksenä oli pk-yritys, jolla on ollut Microsoftin pilvipalveluita käytössä jo useamman vuoden ajan. Pilvipalveluiden nopean päivitystahdin myötä uusimpien ominaisuuksien hyödyntäminen on suurelta osin jäänyt tekemättä. Tutkimus päädyttiin rajaamaan kohdeyrityksessä tehdyn vaatimusmäärittelyn mukaisiin tapauksiin, joihin pyrittiin etsimään vastauksia Microsoftin pilvipalveluiden tämän hetken ominaisuuksien avulla. Tutkimus toteutettiin tutustumalla kirjallisuuden avulla pilvitoimintamallin perusteisiin ja Microsoftin tarjoamiin pilvipalveluihin. Työn käytännön osuus toteutettiin useilla eri päätelaitteilla Office 365:den ja Windows Intunen muodostamassa testiympäristössä, jota laajennettiin Microsoft Azuren mahdollistamilla lisäominaisuuksilla. Pilvitoimintamallin yritykset taistelevat jatkuvasti käyttäjien luottamuksesta ja NSA:n vakoilutapauksen jälkeen palveluissa on tapahtunut paljon parannuksia. Tutkimuksessa todettiin erityisesti tiedon suojaamiskäytäntöjen ja hallintaominaisuuksien kehittyneen viime vuosina pilvitoimintamallin yritysten keskinäisen kilpailun myötä. Microsoftin pilvipalvelujen uudet ominaisuudet tarjoavat pk-yritysten käyttöön tehokkaita päätelaite- ja tiedonhallintaratkaisuja, joita on tähän asti ollut saatavilla vain suuryritysympäristöissä.

Oppivan organisaation edellytysten selvittäminen Mikkelin puhelin Oyj:ssä

Yritysten kilpailukyky ei perustu nykypäivän pelkästään aineellisiin resursseihin. Yritysten on pyrittävä luomaan kyvykkyyksiä, joilla yritys pystyy sopeutumaan nopeasti muuttuviin olosuhteisiin toimintaympäristössään. Aineettoman pääoman, kuten rakenne-, suhde- ja ihmispääoman kehittäminen mahdollistaa edellä mainittujen kyvykkyyksien luomisen ja hallitsemisen organisaatiossa. Pääoman kehittäminen sekä hallinta vaativat organisaatiolta kulttuurisia ominaisuuksia, jotka mahdollistavat jatkuvan oppimisen ja toiminnan parantamisen. Tässä työssä on pyritty selvittämään, mitä nämä oppivan organisaation edellytykset ovat ja miten niiden nykytilaa voidaan mitata. Työn teoreettisen viitekehyksen avulla muodostettiin teemoittain kysymyksiä, joilla organisaation tilaa suhteessa oppivan organisaation tavoitteisiin pystytään tuomaan läpinäkyväksi. Kyselyn tuloksista huomattiin, että tällä mittaristolla saatiin esiin monia oppivan organisaation toimintaan vaikuttavia elementtejä ja niiden vaatimia kehityskohteita.

Asiakaslähtöisen palveluliiketoiminnan johtaminen yritysverkostossa

Tässä pro gradu -tutkimuksessa tarkastellaan asiakkuuksien johtamista johtamisoppina ja erilaisten asiakassuhteen ulottuuvuksien merkitystä asiakkaan arvonluomiselle. Teoriaosuudessa tunnistettuja elementtejä peilataan empiria osuuden havaintoihin. Yhteenvedossa on tunnistettu keskeisimmät kehityskohteet, jotka asiakkuuksien johtamisen teoriamalleista sekä käytännöistä ulkopuolisten kumppaneiden kanssa, olisi sovellettavissa asiakkuuksien johtamiseen yritysverkoston sisällä. Tutkimuksen empiirinen osuus toteutettiin kvalitatiivisena tutkimuksena ja aineisto kerättiin puolistuktruoitujen teemahaastattelujen avulla. Haastatteluaineisto analysoitiin luokittelemalla havainnot kirjallisuustutkimuksessa tunnistettuihin teemoihin sekä teemarungon ulkopuolelta merkittävästi esiin nousseisiin seikkoihin. Tutkimustulokset tukivat kirjallisuudessa esitettyä näkemystä siitä, että keskeisiä asiakassuhteen arvoa lisääviä tekijöitä ovat säännöllinen vuorovaikutus, molemminpuolinen luottamus, vastavuoroisuus, proaktiivisuus ja asiakkaan tarpeita ja odotuksia vastaava palvelutarjooma. Aidosti asiakaslähtöinen toimintatapa vaatii, että koko yrityksen organisaatio ja sen osaamisalueet, prosessit, tarjoomat sekä ansaintalogiikka on viritetty tukemaan asiakkaan tapaa tuottaa arvoa itselleen.

The radio frequency identification technology in the supply chain management: a case of a big logistics company

Nowadays global business trends force the adoption of innovative ICTs into the supply chain management (SCM). Particularly, the RFID technology is on high demand among SCM professionals due to its business advantages such as improving of accuracy and veloc-ity of SCM processes which lead to decrease of operational costs. Nevertheless, a question of the RFID technology impact on the efficiency of warehouse processes in the SCM re-mains open. The goal of the present study is to experiment the possibility of improvement order picking velocity in a warehouse of a big logistics company with the use of the RFID technology. In order to achieve this goal the following objectives have been developed: 1) Defining the scope of the RFID technology applications in the SCM; 2) Justification of the RFID technology impact on the SCM processes; 3) Defining a place of the warehouse order picking process in the SCM; 4) Identification and systematization of existing meth-ods of order picking velocity improvement; 5) Choosing of the study object and gathering of the empirical data about number of orders, number of hours spent per each order line daily during 5 months; 6) Processing and analysis of the empirical data; 7) Conclusion about the impact of the RFID technology on the speed of order picking process. As a result of the research it has been found that the speed of the order picking processes has not been changed as time has gone after the RFID adoption. It has been concluded that in order to achieve a positive effect in the speed of order picking process with the use of the RFID technology it is necessary to simultaneously implement changes in logistics and organizational management in 3PL logistics companies. Practical recommendations have been forwarded to the management of the company for further investigation and procedure.

Pursuit of change versus organizational inertia: a study on strategic renewal in the Finnish broadcasting company

This doctoral dissertation explores the intra-organizational dynamics of a strategic renewal process. The main research question is how the pursuit of change and organizational inertia co-exist, intertwine, and collide in organizational cognition and capabilities during the strategic renewal. It is a comprehensive study on how organizational capabilities, organizational cognition, and structure enhance and inhibit change. Theoretically, the study is positioned in the modern tradition of strategy research, using the dynamic capability view and the organizational and managerial cognition research tradition as the main theoretical frames. Empirically, the study is a longitudinal case study of the Finnish Broadcasting Company (Yle), following the organizational changes during the years of 2011-1014. The analysis is based on both quantitative and qualitative data, which was collected during the research process using surveys, interviews, and archives. The main theoretical contribution is the application of the two theoretical approaches in one study. Empirically, the study contributes to operationalization of the concepts related to the dynamic capability view and organizational cognition, in a media context that is going through drastic changes due to digitalization. Furthermore, the case of a public broadcasting company extends the application of the theoretical concepts to the context of public management. The results suggest that renewal is a complex process, in which an organization’s perceptions intertwine with the strategic actions and decision-making. The change evolves pathdependently: the past experiences, routines, and organizational structures tend to dictate the future visions, desires, and actions. The study also reveals how the public nature of an organization adds to the tensions between change and organizational inertia, and hampers the decision-making. The doctoral dissertation consists of six research papers, each of which explores the phenomenon under study from a different perspective.

Ei-henkilöityvän organisatorisen luottamuksen merkitys YT-neuvotteluja läpikäyvän kuntaomisteisen ICT-palveluyhtiön toiminnassa

Tutkimuksessa tarkasteltiin mikä on ei-henkilöityvän organisatorisen luottamuksen merkitys yrityksen toiminnassa ja voidaanko ei-henkilöityvää organisatorista luottamusta jälleenrakentaa ja kehittää yrityksessä, joka parhaillaan käy YT-neuvotteluita. Tutkimusongelmaa lähestyttiin ei-henkilöityvän organisatorisen luottamuksen viitekehyksen kautta. Tutkimus toteutettiin kvalitatiivisena tapaustutkimuksena kuntaomisteisessa ICT-palveluyhtiössä. Kvalitatiivinen tutkimusaineisto kerättiin puolistrukturoidulla teemahaastattelukyselylomakkeella ja vastaukset analysoitiin sisällönanalyysimenetelmällä. Tutkimuksessa saatujen tulosten perusteella yrityksen henkilöstön kokemalla ei-henkilöityvällä organisatorisella luottamuksella yritystä kohtaan on yhteys työntekijöiden työmotivaation, työtehokkuuteen ja sitoutumiseen ja vaikutus yrityksen toimintaan. Luottamuksen jälleenrakentaminen ja kehittäminen organisaatiossa edellyttävät toimenpiteitä yrityksen johdolta.

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.