Metso IT Globalization

5 Pages   |   1,168 Words
 
Metso corporation  
Metso Paper
Globalization of Finnish Metal Workshops  
 
 
Author’s name appear here
10/15/2012
 
 

  

Contents

How did TASMAN become strategically important?. 3
How did management attitudes and decisions regarding IT facilitate the transformation of Metso from a local metal factory to a global, high technology manufacturer?. 3
How did the company measure the impact of IT over the course of time?. 5
References. 5
  

How did TASMAN become strategically important?

TASMAN was an important stride in company’s plan, integration of business operations and communication, as its aim was to provide a platform for information. With TASMAN, company enforced its primary strategy of open and wide communication, as it provided an informational infrastructure to present right and accurate information to make right decisions. This project coordination was important to support global competitiveness as the global competition was become stringent with less delivery time and superior quality. It made the overall process prompt by providing all related documentation for design decision, engineering changes and contact detail of each stakeholder at a centralized location. Addition to that, with the introduction of TASMAN, critical information related to events was provided fetched from a central location (McAfee, 2006). It facilitated project manager to be well aware of happenings. It increased competitiveness of Metso by supporting features like benchmarking a process performance, tracking causes for project failure, and providing the insights for further improvement.
 

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TASMAN was not only used internally, but it also made remote sharing of information possible, by features like email (McAfee, 2006). It enhanced record keeping and information was stored such, that it was easy to find. Because of such an efficient system it became easy for each member to be well aware of the project details so supported a proactive approach towards that project. With this, it ensured every stakeholder to be on the same page. So, it can be said that TASMAN played a part of process integrator, amalgamating; mates, departments, external groups and customers. This integration brought in a clear picture of the demands, needs and wants of every stakeholder, making them realize and fulfill their primary roles. In other words, it facilitated information sharing, to support its process of customer focused approach. As, it help in understanding clear customer expectations, developing product as per those expectations and last, but not the least, delivering services.

How did management attitudes and decisions regarding IT facilitate the transformation of Metso from a local metal factory to a global, high technology manufacturer?

Managements’ decisions related aggressive employment of IT solutions to deliver performance played a significant part in achievement of its mission of a global operator. In order to go global and compete in that environment, it was important for Metso so go IT focused. Without this, it would have been impossible to integrate all of its operations and deliver values in strict time schedules. In order to be successful, management has always been proactive in decision making and acquiring technologies. So, it changed its focus from product focused to customer and knowledge focused organization (Ross & Weill, 2002). With this focus, it inculcated attitude of being a novel and value adding organization. This transformation started with the acquisition of Rauma as it added fiber and flow control technologies.

Management, with its new positioning was quite proactive and took many of step s to ensure and enforce this positioning. So, management did segmentation on the basis of customer relationships. Management was proactive in figuring out that the global market size is decreasing, and we have to fetch most on the basis of long term relationship. Addition to that management kept an eye on the global demand trend, as demand in Asia was rising, and also Metso’s earnings. These relations were further strengthened by superior services and fulfilling deliveries on stringent schedules (Ross & Weill, 2002). This was made possible through the introduction of information systems like TASMAN, which integrated not only the company departments but employees’ customer and other stakeholders (McAfee, 2006). Metso has always enforced its attitude of being innovative and so, maintained its position as a global leader in innovations through the number or patents held. As foresaid, management was proactive in estimating global trends. So, it has maintained its top position in speed of paper, length of paper, width of paper and in providing timely services. As the machines were becoming expensive and organizations focused in maintenance rather than buying new, and Metso was earning 25% revenue through these services.

It can be seen that management laid a strong focus on developing technological solutions and control to support any business process and build relationships. So, it has integrated all of his stakeholders through systems like TASMAN. Automated its office systems and brought more computers to enhance efficiency. It promoted centralized communication and operation solutions, which involved all stake holders. Management always been though globally and acting accordingly. Using technology and it made accurate forecasts and anticipations, and supported that with implementation of necessary technology. So, it has proved itself to be capable to meet challenges beyond boundaries.

How did the company measure the impact of IT over the course of time?

The company measures the impact of IT as it decides to go global. With globalization, the integration needs control system increased and so technological advancements become a primary factor to measure competitiveness. It need started when company started to go global and started to change if the focus from a product driven to customer driven and knowledge driven organization. It started with acquisition of fiber and flow control technologies from Rauma. Then as, the company started to go global it felt the need of an integration system and so it developed a web and consolidated all of its operations to meet global demand (McAfee, 2006). In order to meet the stringent demand effectively it introduced centralized databases and groupware applications like lotus notes, TASMAN and ERP. Then further communication and automation systems were improved providing a competitive environment. These tools brought in all stakeholders together clarifying the needs, expectations and thus improving performance.  

Management has been proactive mostly in anticipating the change in demand, trends and technology needed to cover that. Like the anticipation of Asia as an emerging market, change in length and width of paper and last, but not the least, shifting trend from buying to maintenance of machinery. Thus, to cover shifting trends in the global market management came up with ideas of acquiring technology, through mergers, being innovative and acquiring knowledge through own R&D and others. In other words, management was clear on the questions of their IT requirements and the amount to be spent on innovations (Ross & Weill, 2002). This innovation era was dealt strategically at the right amount of automation at the right time.
 

References

Applegate, L. M., Heikkila, M., & Lyytinen, K. (2004). Metso Paper: Globalization of Finnish Metal Workshops. 1-29.
McAfee, A. (2006). Mastering the Three Worlds of Information Technology. 1-9.
Ross, J. W., & Weill, P. (2002). Six IT Decisions Your IT People Shouldn’t IT Make. 1-10.

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