Value-added Chain Research Articles

Nuclear Power as a System Good: Organizational Models for Production along the Value-Added Chain

Due to its technical complexity, the co-production of electricity generation and nuclear weapons, and its high fixed costs, nuclear power is a particularly complex commodity, which poses unusual challenges for state economic (or industrial, defense, innovation etc.) policy. As in other sectors, the question arises here, too, of an adequate division of private and public responsibilities, in other words competition and planning, taking into account knowledge aspects, incentive structures, transaction costs and a fair distribution of revenues and burdens. The nuclear sector requires an upstream of a knowledge base, institutional and physical infrastructure (sites, transport, waste storage, etc.) and legal and institutional infrastructure. In this paper we apply the system good analysis developed by Beckers et al. (2012) and Gizzi (2016) to the nuclear power sector and identify ideal-typical organizational models for the value-added stages of the so-called nuclear front-end (mining, conversion, enrichment, fuel fabrication), constructing nuclear power plants, decommissioning and long-term storage as well as the respective interfaces between these stages. The main purpose of this overview paper is to assign tasks, rights and duties to organizations (stakeholders) at the various stages of the value chain and to define the interface problems. We use an institutional economics approach, which focusses on the provisioning decisions and production between public authorities and private actors. In addition to a general overview, we focus on the back-end of the nuclear energy value chain, the decommissioning of facilities and the short- and long-term disposal of radioactive waste.

Solutions for Digitalization of the Coal Industry Implemented in UC Kuzbassrazrezugol

According to the article, digitalization and optimization of the coal industry are to continue within the framework of the National Technology Initiative (NTI), the Strategy for Scientific and Technological Development of the Russian Federation, and the Digital Economy Programme. At the initial stage of modernization, the suggested mathematical and software tools will allow creating a smart digital twin of the supply chain. This digital twin will simplify obtaining comprehensive data about the interaction of the focal coal mining enterprises and contractors, carrying out simulation experiments based on various input data, and analyzing the impact of inventory management and transport policies on the system performance. The digital model will enable the coal companies management to find reserves for optimization and transformation of all links in the added-value chain.

Industry aspects of farm access to high value-added supply chains

This paper examines the factors characterizing the access of farms to the supply chains of agricultural products with high added value. Indicators of statistical reporting on farm activity grouped by type of products are analyzed, on the basis of which the influence of production size on opportunities selling products at a higher price is assessed. It is concluded that for various sectors of agriculture the level of product sale prices’ dispersion by individual farmers differs, which characterizes differences and opportunities of farmers to increase own share in the added value creation chain. Identified types of agricultural products, producers of which must increase production volumes to gain access to more profitable trade channels of products, as well as types of products where significant production volume is not a prerequisite for higher sales prices. These conclusions can be taken into account in assessing the feasibility of establishing marketing or processing consumer cooperatives of farmers.

Оцінка участі галузей промисловості України в глобальних ланцюгах створення доданої вартості

The article aims at assessing the Ukrainian industries’ participation in global value-added chains and identifying prospects for intensifying these processes. The research methods used are the following: statistical analysis, comparison, and graphical analysis. The rise of the role of exporting products with high added value, as well as that of their integration into global value creation chains has been identified. A methodical approach to assessing the Ukrainian industries’ participation in global value creation chains is proposed, making it possible to determine the level of the country’s involvement in the process of international labor division by industries. The export pattern of Ukrainian industries has been analyzed, and the industries that have a significant export share in total exports and in the output composition have been identified. The main indicators of the country’s participation in global value-added chains have been calculated, namely: the national value added in the country’s exports by industry; the contribution of certain sectors of the economy to the national value added of gross exports; the share of the total national gross exports value added accounting for the national value added in specific industries. The positioning of industries in the plane of coordinates ‘share in the exports pattern – share in the national value added in exports’ has been carried out. It has been determined that the share of national value added in the exports of Ukrainian extractive industries is higher than the average one in the countries surveyed, while in the manufacturing sphere it is lower, which confirms the nearly total lack of knowledge-intensive and innovative stages of manufacturing in the latter, thus raising the share of low-grade products in exports. Several directions of the rational integration of Ukraine’s economy into global value added chains have been suggested. State policy measures to intensify the involvement of Ukrainian producers in global value added chains have been designed

Мировой рынок нефти: пандемия приблизит пик глобального спроса на нефть

The global economic crisis triggered in 2020 by the coronavirus pandemics necessitates more thorough analysis of the scholar concept of the global peak oil demand taking into account the newest data and facts. The present article articulates the thesis that under the influence of the process unleashed by the crisis and the pandemics the world economy will reach the peak demand for oil sooner than it was supposed earlier. The author highlights the two main contributing factors: first, changes in the behavior of mass consumers and producers; second, the acceleration of digitalization of business processes in corporate sector. Both factors lead to decrease in demand for transport mobility, еspecially in aviation and to a lesser extent in road transport. The unfolding restructuring of the established model of globalization, first of all trade wars and intensifying shifts in global value-added chains through reshoring and increasing emphasis on self-sufficiency and import substitution will also exercise downward pressure on oil demand globally. Basing on the analysis of shifts in energy and climate policies in the main world centers of production and consumption after the pandemics the conclusion is made that dynamic of future demand for oil crucially depends on the consistency of state policies supporting oil substitutes in transport sector and promotion of new energy sources. It is shown that European Union and China critically dependent on oil imports will continue to promote oil substitutes, primarily through encouraging road transport electrification. The USA richly endowed with hydrocarbons could temporarily slow down substitution of oil with alternative energy sources. The article concludes that the long-term tendency towards weakening of world economic growth upon oil consumption will accelerate.

Introducing an economic impact platform to navigate cruise value-added chain with environmental considerations

Economic impacts have been used to address the value of market players; however, there are some limitations. For example, the existing economic impact tools may not accurately capture the contribution of the cruise industry and the value added from the extended supply chain. Similarly, the impact studies in the literature also did not have the capability to assess relevant impacts to stakeholders, communities nearby, and/or to the natural habitats in the region. To fix it, we proposed a measurement for sustainable cruise tourism and/or responsible cruising. This study developed a theoretical economic impact framework and quantitative metrics for cruise activities and the value-added service supply chain associated with it. Under this framework, we explored conceptually how environmental responsibility and social awareness, fostering responsible tourism and sustainable cruising, can be included in the impact calculation.

REGIONAL FMCG BRANDS: THEIR USE IN CREATION OF INTER-REGIONAL CHAINS OF ADDED VALUE AND FORMING THE IMAGE OF TERRITORIES

The article is devoted to the development of methodological approaches to the use of unique natural resources (characteristics) of territories that are capable of being embodied in the consumer properties of food products produced at enterprises located in these territories. The development and production of such goods creates real prerequisites for the formation of a reputation, both of enterprises themselves and of the territories (regions) where they are located. Based on the reputation formed due to the unique natural characteristics of the area, it is recommended to develop trademarks, create regional product brands with the aim of using them in promoting goods with unique consumer properties to other regional markets, including foreign ones. The conditions and rules of registration of the name of the place of production of goods, the reflection of the toponym in the brand name are described; an overview of regional Altai product brands is presented, including the unique natural properties of the area in their consumer properties. The provision that the most acceptable for the initial presentation of Altai in other regional markets is Altai honey. As the main form of promoting Altai honey to other regional markets, it is proposed to use value-added chains. It substantiates the provision that regional product brands promoted to other regional markets, including foreign ones, contribute to the formation and development of the image of the territory, in this case, the Altai Territory. The material presented in the article can be used in the development of specific methodological proposals for solving the problems of the development of territories and enterprises located on them.

The Main Trends in the Development of Methods and Models for the Use of Digital Technologies in the Creation of Value Chains

In the modern world, value-added reproduction chains (VARC) are among the most important economic structures that have a mostly decisive impact on the production use and development of digital technologies (DT). This article analyses the features of their application, related problems and opportunities for their solution. The study showed that within the framework of different types of organisational and economic models of VARC, effective use of DT has its limits. They are driven by the specific nature of these models and require specific targeted actions to overcome and/or expand these limits. Mandatory participants in such processes include both the VARC and the state. The measures taken in this regard are integral complexes and should be carried out within the framework of the state policy of technological development in cooperation with the participants of the chains. Neglecting model features in the development and implementation of such actions is fraught with a reduction in the effectiveness of the efforts made and unjustified expenditure of resources. Taking into account the features of different models of DT use in the VARC is vital for the implementation of the economic policy of technological development of Russia. It makes it possible to increase the effectiveness of efforts to achieve the goals set by the President and the Government of the Russian Federation to ensure the transition of our country to the digital economy and accelerate this process. In this regard, the promising areas are the allocation of various organizational and economic models of the use of DT in the VARC of our country and/or in the international VARC with the participation of Russian entrepreneurs, as well as the formation in relation to them of particular sets of measures from different levels of government.

Exploring the Technological Readiness of Bulgarian Entrepreneurs to Create New Generation of Value-Added Chains

The theory and practice of broadband entrepreneurship has already become a fact. As stated in some pieces of research, „...In the modern world of business, entrepreneurship is becoming increasingly broadband and affects the creation of changes in every business space, at every level in every industrial and territorial dimension”. This is entrepreneurship driven by broadband shopping of goods and services, instant communications, negotiations and orders. It is based on the ideas of Complex Reengineering theory, the three-star model and the seven concepts of this theory. This study examined the technological readiness and analyze the factors for creating conditions for broadband business entrepreneurship in order to create new generation of value-added chains and achieving lasting success for the Bulgarian society. The aim of the authors own research was to identify the technological readiness and analyze the factors for creating conditions for broadband business entrepreneurship in order to create new generation of value-added chains and achieving lasting success for the Bulgarian society. The focus is to analyze the impact of digital entrepreneurship in small, medium-sized and large enterprises conducting business activity in Bulgarian enterprises. A questionnaire was used to collect data from a sample of 176 SMEs in Plovdiv area which were selected through stratified random sampling method. The results of the study show that the technological readiness for building effective value chains in Bulgaria is at a relatively high level. It is necessary to build an adequate digital infrastructure, improve the legal framework, invest in human resources training, increase the innovation activity of enterprises.

The Influence of Certificaton of Gayo Coffee Geographical Indication Against Value Added of Coffee In Gayo Highlands, Aceh

Indonesia is the third largest coffee producing country in the world after Brazil and Vietnam. Coffee is one of the main commodities that bring foreign exchange for Indonesia. The natural characteristics of the Gayo Highlands, located in Aceh province, are particularly suitable for Arabica coffee plants. Gayo Coffee has been successfully sold to the International market with a strong and complex flavor and good viscosity. To avoid improper trade practices, Gayo Coffee currently has a Geographical Indication Certification or known as (GI) that has been running since the end of 2009. This study examines how GI's influence on the value-added chain that occurs in the Gayo Coffee trade process. The data collection method that will be used in this research is by directly interview with GI stakeholders, conduct a direct survey of the value chain actors and also make observations on farmers by participatory observation. The result is that GI does not affect the change of Gayo Coffee value chain, but GI has increased the value added of coffee by increasing the selling price of coffee from each value chain actor.

Digital process support in toolmaking by using optical metrology

Increasing demands on the quality of outer skin car body panels, shortening product development processes of new car models in the future fundamentally challenge manufacturing companies in international competition. Such challenges emerge, for example, in the field of toolmaking, which plays a decisive role in the valueadded chain due to its high time and costs share. Here, the high proportion of manual, experiencebased operations in tool tryout often leads to unstable processes requiring many iteration steps until approval. Blue, non-dry colour is applied on sheet metal which creates a spotting image that makes the contact areas between the forming die surface visible. In die tryout, spotting images provide a visual indication of the current phase and also serve as quality criteria of sheet metal components. For this reason, research work reported about in this paper deals with the development of a procedure for generating digital spotting images by using optical 3D coordinate-measuring technology to keep the spotting image permanently available during die tryout phase, for example on smart devices. In fundamental investigations, different influences on the spotting image due to light conditions and STL-mesh size of the scanned geometry are initially examined in order to quantify both the physical and the digital spotting image. The knowledge gained is subsequently validated and further improved by means of test with series press tools. The results demonstrate how digital and physical spotting images are generated and quantified for a reduced time in sheet metal simulation and die tryout phase of large press tools. This is achieved by the systematic provision of process parameters from the series production, such as the force transmission between the forming die surfaces, the local sheet thicknesses and the documentation of process variation in the blank holder by using digital spotting images.

PEMETAAN DAN ANALISIS KOMPETENSI INTI PADA VALUE CHAIN KRE ALANG SEBAGAI PRODUK KHAS SUMBAWA

Kre Alang is the unique fabric of Sumbawa which is the identity of the people of Sumbawa, West Nusa Tenggara. At present developments, Kre Alang is not only owned by Sumbawa residents. At present, the production of 1 sheet of Kre Alang requires more than 1 month. While the selling price of one sheet of Kre Alang is above 1.5 million rupiah. The high processing time and selling price is a challenge for Kre Alang UKM to meet the high demand. Product competitiveness is obtained through seeking the right strategy. To optimize the potential of UKM Kre Alang, it is necessary to formulate a development strategy that can eliminate the various obstacles faced. The strategic approach that will be used is value chain analysis, where in the value chain analysis it can be used as a strategic analysis tool used to better understand competitive advantage, where companies can increase value added and reduce costs so they can make businesses more competitive. Value chain analysis is carried out with 4 main stages, namely primary and secondary data collection relating to the actors of each value chain, activities carried out by actors in each value added value chain and the final value of each value chain. Based on the research that has been done, the results obtained in the form of value chain mapping consisting of the main actors are suppliers, craftsmen, wholesalers and retailers. Based on the value chain analysis, the core competency that can be the basis for the competitive advantage of Kre alang craftsmen in Sumbawa is the ability of the craftsmen in the weaving process which is not easily imitated by other weavers.

Development of a rapid multi-mycotoxin LC-MS/MS stable isotope dilution analysis for grain legumes and its application on 66 market samples

Mycotoxin contamination is a well-known problem in grains, nuts, and oilseeds. Similarly, grain legumes (pulses) are affected by fungal infections and, consequently, the formation of mycotoxins as well. However, only little data on mycotoxin occurrence exists for this commodity and only few validated quantification methods for multi-mycotoxin analysis have been reported. In order to effectively assess contamination levels for grain legumes, a high performance liquid chromatography method coupled to tandem mass spectrometry (LC-MS/MS) was developed, validated for the matrix soybean and tested with further grain legumes. The method implements a QuEChERS-like extraction and a stable isotope dilution assay (SIDA) to facilitate the quantification of nine different mycotoxins (aflatoxins B1, B2, G1, G2, ochratoxin A, deoxynivalenol, zearalenone, T-2 toxin, HT-2 toxin). In a non-representative market sample screening, 66 samples of dry grain legumes from the Dutch and the German market were measured. Incidentally, high levels of ochratoxin A were detected in white beans and green peas with 157 μg/kg and 49.4 μg/kg, respectively. In addition, T-2 toxin was detected in one black lentil sample. A multi-mycotoxin method as a tool for rapid collection of data on mycotoxin levels in grain legumes may proof valuable for evaluating exposure and fate of mycotoxins during the whole value-added (feed and food) chain.

Modeling languages in Industry 4.0: an extended systematic mapping study

Industry 4.0 integrates cyber-physical systems with the Internet of Things to optimize the complete value-added chain. Successfully applying Industry 4.0 requires the cooperation of various stakeholders from different domains. Domain-specific modeling languages promise to facilitate their involvement through leveraging (domain-specific) models to primary development artifacts. We aim to assess the use of modeling in Industry 4.0 through the lens of modeling languages in a broad sense. Based on an extensive literature review, we updated our systematic mapping study on modeling languages and modeling techniques used in Industry 4.0 (Wortmann et al., Conference on model-driven engineering languages and systems (MODELS’17), IEEE, pp 281–291, 2017) to include publications until February 2018. Overall, the updated study considers 3344 candidate publications that were systematically investigated until 408 relevant publications were identified. Based on these, we developed an updated map of the research landscape on modeling languages and techniques for Industry 4.0. Research on modeling languages in Industry 4.0 focuses on contributing methods to solve the challenges of digital representation and integration. To this end, languages from systems engineering and knowledge representation are applied most often but rarely combined. There also is a gap between the communities researching and applying modeling languages for Industry 4.0 that originates from different perspectives on modeling and related standards. From the vantage point of modeling, Industry 4.0 is the combination of systems engineering, with cyber-physical systems, and knowledge engineering. Research currently is splintered along topics and communities and accelerating progress demands for multi-disciplinary, integrated research efforts.

The development of short food supply chain for locally produced honey

PurposeThe development of the short food supply chain (SFSC) is one of the issues of the current agri-food systems. Consumers are re-connecting the food they eat with the farming process and are increasingly asking for fresh, seasonal and traceable food products from known producer source. The purpose of this paper is to analyse consumers’ opinions towards the SFSC and willingness to pay (WTP) for local honeys in Mar del Plata, Argentina before and after a hedonic evaluation test.Design/methodology/approachIn an incentive compatible approach, using real purchasing scenarios, two non-hypothetical discrete choice experiments were applied, accounting for the impact of the SFSC understanding and hedonic evaluation on consumers’ WTP.FindingsResults showed that consumers’ WTP, a premium for local honey products, is conditioned to specific quality cues and the global sensory acceptance. Consumers with high level of agreement with the social and environmental roles of the SFSC were more quality demanding and exhibited higher WTP towards the locally produced honeys. The development of local market by re-connecting producers and consumers, allowing for in-site tasting, has a strong implication for the structure of the honey added-value chain due to the potential role that may play in satisfying consumers’ preference and needs.Originality/valueThe authors measured consumers’ opinions towards the SFSC and analyse their impact on consumer WTP for honey product by including real purchasing scenarios and hedonic evaluation test, to reduce the hypothetical bias of the traditional surveys. Questionnaires were completed in a controlled laboratory environment for with real product and real money.

Formation of Value-Added Reproduction Chains in the Industry Based on Business Audit

The subject of the research is the reproduction of added value in industry.The relevance of the problem under study is caused, on the one hand, by the low efficiency of the existing value-added reproduction chains characterized by a significant level of cooperation and globalization and, on the other hand, by the influence on their formation of information and communication technologies as a driver of the transition to a new technological paradigm.The purposes of the research were to identify the reserves for the value-added growth and determine ways to improve the organizational and functional structure of the value-added reproduction chain. The business process audit is proposed as a tool to reveal value-added growth reserves. The analysis of the existing value-added reproduction chains in the Russian industry indicates their localization in integrated structures (corporations).It is concluded that the state should establish an institutional basis for the formation of the most effective value-added reproduction chains in the industry, in particular, shape government policies encouraging the creation of integrated structures of the full technological cycle in priority sectors of the national economy and their development programs; formulate an inter-sectoral modernization policy as the basis of neo-industrialization; establish a single database of all business processes and corporations at the national level; conduct audits of competences of the parties to the chain and their certification with the government participation; develop an array of scientific and technological innovations at the national level, etc.

An Alternative to Field Retting: Fibrous Materials Based on Wet Preserved Hemp for the Manufacture of Composites

A process developed at the Leibniz Institute for Agricultural Engineering and Bioeconomy (ATB) for the supply and processing of wet-preserved fiber plants opens up new potential uses for such resources. The processing of industrial hemp into fiber materials and products thereof is undergoing experimental research along the value-added chain from the growing process through to the manufacturing of product samples. The process comprises the direct harvesting of the field-fresh hemp and the subsequent anaerobic storage of the entire plant material. Thus, process risk due to unfavorable weather conditions is prevented in contrast to common dew retting procedures. The effects of the anaerobic storage processes on the properties of the bast part of the plant material are comparable to the results of common retting procedures. Harvest storage, as well as further mechanical processing, leads to different geometrical properties compared to the bast fibers resulting from traditional post harvesting treatment and decortication. The fiber raw material obtained in this way is well suited to the production of fiberboards and the reinforcement of polymer or mineral bonded composites. The objective of this paper is to present recent research results on final products extended by a comprehensive overview of the whole supply chain in order to enable further understanding of the result influencing aspects of prior process steps.

Oil Overdependence and Dutch Disease, KSA Evidence

In the context of recent oil prices fall and resulting budgetary problems faced by KSA, it is very interesting to examine the country’s overdependence on oil revenues. In this paper, we examine whether extreme oil dependence for Saudi Arabia is the symptom of Dutch Disease. We first provide a brief review of the literature on Dutch Disease and the natural resource curse. We then discuss the symptoms of Dutch Disease, which are discussed in the literature, with special reference to KSA. We presume that, while KSA has all of the symptoms, the diagnosis of Dutch Disease remains to be confirmed. However, recently the policymakers are taking new initiative like Vision 2030 which will open the doors for diversification to non-oil based economy. Under the Vision 2030, the Saudi government is providing the incentive to the private sector for the establishment of a well-diversified manufacturing sector and value-added supply chain. It appears to be a timely and right directional effort.

Künstliche Intelligenz – Teil 2: KI-Einsatz in der Produktion

In this second article on Artificial Intelligence, we will examine how Artificial Intelligence changes production. It is precisely in this area that a particularly rapid advance of AI systems can be expected. In addition to cost reduction through more efficient use of systems and processes, flexibility in production can also be increased. Through a digital value-added chain, the necessary networks to upstream and downstream service partners are achieved. An increasing use of robots in production can lead to reshoring – a relocation of production processes back to high-wage countries.

Risikomanagement im Lieferantennetzwerk

In this second article on Artificial Intelligence, we will examine how Artificial Intelligence changes production. It is precisely in this area that a particularly rapid advance of AI systems can be expected. In addition to cost reduction through more efficient use of systems and processes, flexibility in production can also be increased. Through a digital value-added chain, the necessary networks to upstream and downstream service partners are achieved. An increasing use of robots in production can lead to reshoring – a relocation of production processes back to high-wage countries.