SP2- Tools for Business Integration

Main objectives and tasks

The industrialisation contributes to an integration of multiple fields of business

  • The effect of scaling (i.e. reduced unit cost when increasing produced volume). An increase in demand allows for increase in volume and centralisation of production, or co-operation/ mergers with similar operators
  • The ‘unit effect’, (i.e. the opportunity for phasing out units), can be achieved by mergers and co-operations with operators within the industry, outside the industry, or up against suppliers and clients
  • The ‘comprehensiveness effect’, (i.e. reducing cost by bundling products). This can be achieved by increased co-operation and mergers between operators producing and delivering diverse products
  • The ‘effect of efficiency’, (i.e. reduced unit cost without structural changes or changes in produced volume). This can be achieved by increasing the efficiency of internal processes, or by reduction of costs.

Thus, it becomes essential to develop and categorise business models, their range of application and methodologies, before developing models and tools for decision support

R&D Tasks

  • Identify relevant business models providing scale-, unit-, comprehensiveness-, and/or efficiency gains throughout the value chain.
  • Identification of operational problems and challenges when integrating business areas
  • Categorize the various areas where decision support systems can be applied
  • Develop models and methodologies for decision support systems
  • Models which generates causal connections on a macro and micro levelMathematical models, algorithms, and heuristics for operational planning and new business models

Published November 1, 2007



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