Assessing the changing operational environment of the ...ºblicos/INIA...
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UEF // University of Eastern Finland 27.3.2019 Biomateriales forestales, INIA, Tacuarembó, Uruguay. Veera Tahvanainen, Ossi Pesälä, Teppo Hujala, Lucía Pittaluga, Jouni Pykäläinen Assessing the changing operational environment of the multi-national pulp industries in Finland and Uruguay
Transcript of Assessing the changing operational environment of the ...ºblicos/INIA...
UEF // University of Eastern Finland
27.3.2019 Biomateriales forestales, INIA, Tacuarembó, Uruguay.
Veera Tahvanainen, Ossi Pesälä, Teppo Hujala, Lucía Pittaluga, Jouni Pykäläinen
Assessing the changing operational environment of the
multi-national pulp industries in Finland and Uruguay
23.3.2019 2
CONTENT OF THE PRESENTATION
BIOBM -project
Our Research Topics
Changing operational environment of the Multinational Pulp Industry
• Materials and methods• Preliminary results• Future steps• Conclusions
UEF // University of Eastern Finland
Business Models of Born Globals in a Forest-Based
Bioeconomy (BIOBM 2017-2020)
• Funded by BioFuture 2025 Academy Programme by Academy of Finland
• Leaders: prof Mika Gabrielsson, International Business Studies, UEF; and prof Jouni Pykäläinen, Forest Sciences, UEF
• Aim: to identify the characteristicsof successful business models of born-globalsfor a sustainable bioeconomy
• Works in Finland,Sweden, New Zealand, andUruguay
UEF // University of Eastern Finland
Specifically in Uruguay: “Inside-out” perspective
Analysing SME business models within the global value networks of multi-national pulp industry
Exploring how network parties take positions, serve and benefit from each other
and take up emerging opportunities in the complex
environment
Comparing cases in Finland and Uruguay
Assessing the future of multi-national pulp
industries within the global value networks in
changing operational enviroment
Systemic assessment of the changing operational
environment
National and international
opportunities and threats
Key is to understand howbusiness actors’ relationsand collaborations evolve
and open up to international drivers, and how they may find novelways for value creation
towards genuinesustainability
Analysing SME business models within the global value networks of multi-national pulp industry
Exploring how network parties take positions, serve and benefit from each other
and take up emerging opportunities in the complex
environment
Comparing cases in Finland and Uruguay
Assessing the future of multi-national pulp
industries within the global value networks in
changing operational enviroment
Systemic assessment of the changing operational
environment
National and international
opportunities and threats
Key is to understand howbusiness actors’ relationsand collaborations evolve
and open up to international drivers, and how they may find novelways for value creation
towards genuinesustainability
UEF // University of Eastern Finland 23.3.2019 5
Assessing the changing operational environment of the multi-national pulp industries in Finland and Uruguay
Aim of the research:
• Present the current situation and future perspectives of pulp-based industry of Uruguay and Finland
• Analyze their relation to each other in a frame work of global challenges and bioeconomy.
• What we want to know:
– Which global and bioeconomy related challenges are considered the most important?
– What kind of development is needed to answer to these challenges?
– Which kind of changes are expected in the current systems?
UEF // University of Eastern Finland 23.3.2019 6
Description of the data
FINLAND
Document analysis:-Pulp industry related reports, statistics, research papers, strategies, other documents
URUGUAY
Document analysis:-Pulp industry related reports, statistics, research papers, strategies, other documents
Expert interviews:-To complete the documents
Interviewee NIndustry & Interest groups 4Research & education 6Policy & development 2
ExpertEvaluations
FI & UY
MLP:
Present situation
Global challengesDrivers for change
Future perspectivesInnovations
UEF // University of Eastern Finland
Multi-levelPerspective
23.3.2019 7
Geels, F. 2011. The multi-level perspective on sustainability transitions: Responses to seven criticisms. EnvironmentalInnovation and SocietalTransitions 1 (2011) 24–40
UEF // University of Eastern Finland
Landscape: The ‘external structure or context for interactions of actors’
Regime: The ‘rule-set or grammar’ of processes, technologies, skills, corporate cultures that are embedded in institutions and infrastructures.
Niche Innovations: where innovation happens
PRELIMINARY RESULTS: Uruguayan Pulp Industry through MLP
EnvironmentReplacing fossil raw materialsSustainable productionClimate changeBiodiversity
MarketsGlobal marketsConsumer awarenessBio-, circular- and platformeconomyDemand for biobasedproducts
TechnologyDigitalizationIntelligent machineryEvolving production technology
SocietyPopulation growthUrbanizationGrowing standards of livingPublic opinion
Norms & policiesNational and international strategies & agreements
Radical driversPests & diseases3rd pulp millPublic opinion
Norms & policiesForest law 1987SertificatesTax free zones
Markets & economyLarge foreign investments3,6 % GDPPulp dominatedExport dominated; CN & EU
TechnologyBrought by MNC´sHarvesting, logisticsPulp millForestry & silvivulture
Industry structuresShort history of pulp industryLand ownership: TIMO’s, MNCs, privatesPlantation forestry (662 000ha)Eucalyptus (8-12 yr)MNC’s established productionchains (>700 SMEs)Logistics: road & waterEnergy production
Fray Bentos (UPM) Montes del Plata (SE&Arauco)Wood consumption 8,1M tons/yrPulp 2,7 M tons/year
Research & educationMNCs in R&ELATU + INIA + UniversityPublic education: Univ. + technical level
SocietyPublic discussion: Water, soil, environment, economic impactsSocial impacts:Employment, economic growth
Business modelsBiorefineryNetwork-basedIndustry integrationsSidestreams
Industry structuresInfrastructure: railroadEducation: competence and infoResearch: inter-institutional co-op.
Technology & productionPine pulpProcessing technologyIntegrated processingForestry: silviculture, treebreeding, multiple-use forestry
Products & servicesPaper and packaging: print, tissue, card boardLignin derivativesDissolving pulp (textiles)Hemi-cellulose derivativesBiocompositesNano-celluloseAdhesive and glues
UEF // University of Eastern Finland
Landscape: The ‘external structure or context for interactions of actors’
Regime: The ‘rule-set or grammar’ of processes, technologies, skills, corporate cultures that are embedded in institutions and infrastructures.
Niche Innovations: where innovation happens
PRELIMINARY RESULTS: Finnish Pulp Industry through MLP
EnvironmentClimate changeBiodiversitySustainable production
TechnologyICT, IOT, AI, Robotics, DigitalizationEnviromental & nano technology
SocietyPopulation growthGlobalization, UrbanizationGrowing standards of livingEducational level increaseGrowing need for energyEnvironmental awareness
MarketsIntergation to other industriesGlobal marketsBio-, platform-, circular- and serviceeconomySustainability and efficiencyChanges in demand for end products
NormsNational and internationalstrategies, policies & agreements
Markets & economyForest industry: >4 % GDP,Use mainly domestic woodForest industry: 22 % value of export (Europe)1. Paper, 2. Cardboard, 3. Pulp~60 000 ppl. Forest sectorLong history of pulp markets
RadicalGlobal power relationsIndustry-internal powerrelations
Industry structures~50 Pulp, paper and card board millsThree main actors: UPM, SE, MG Pulp >12 M tons/yForest cover 75 % of land areaPrivate forest ownersip (~60 %)Nordic forest solutionsSoft- & hardwood pulpBiorefining (tall oil, turpentine, energy, biofuel, chemicals…)
Research & educationHigh level of educationVocational & Higher educationPublic and private R&D&I
NormsForest & enviromental law(+ related laws), EU legistlation, SertificatesStrategies and policiesTechnology
Harveting & logisticsPulp mill & biorefiningForestry & silvicultureInventory technologyR&D
SocietyEmbedded in cultureRecreation Everyman’s rights
ProductsSmart productsBiobased energyDissolving pulp, biocomposites, bioplastics, textilesLingo-, nano-, mikro-, fibril-, hemi- celluloseLignin, Tall oil, turpentine, sulphur acid
Services & productsPlatform and data based servicesServices in NIPF interfacesIntegration to food, cosmetic and pharmacy industries.
Technology & productionUtilizing technology fromother industries (cloud, robotics, AI,…)By-product processingClean Tech, sustainable & efficient production tech.
Business modelsNetwork-based and platform BMMills as industrial platforms
Industry structuresEducation and industryintegrationsModernized curriculumsResearch: improvinginfrastructures & inter-institutional co-operation
UEF // University of Eastern Finland
Comparison and discussion
Current pulp industry:
Similarities: in supply chains, production technologies, certificates, actors (e.g. MNC’s), export dominance, economic impacts.
Differences:-The land ownership, history and institutionalinfrastructures -> R&D&I&E-Industrial structures and markets: one product exportdominated industry vs. diversified industry.
Global challenges & trends:Similarities in enviromental, norms, global markets & trends, technologicaldevelopment, social issues-Mainly similar landscape levelissues
Differences in local challenges& trends:
-Public opinion, Pest and diseases, 3rd mill (Uy)-Industry-internal & global
market power relations (Fi)
Innovations and futureperspectives:Similarities: Infrastructure & R&D&E development, network-based businesses, industry integrations, utilisation of sidestreams, product& productiontechnology
Differences: -In Finland biorefining in addition to pulp production-Uruguay need for morediverse production-Service-based innovations in Fi
EXPERT EVALUATIONS
UEF // University of Eastern Finland
Future steps and conclusions
- Expert will evaluate:
• importance of different drivers at landscape level
• Possibility of different future perspectives and innovations
- Numeric evaluations
- Results will provide a comprehensive understanding of the global challenges and their possible influences on multi-national pulp industry on national and international levels.
- National and international opportunities and threats
- The results will be presented in IUFRO world congress 2019 in Brazil, Curitiba and as a research article (2019–2020)
