Citec attitude 2 2011 by Citec Group

CITEC

NEWS AND STORIES WITH AN ATTITUDE FROM CITEC

2 â&#x20AC;˘ 2011

DRESSED FOR SUCCESS

First impression of our competence is not only based on what we say but also on what we wear. PAGE 18.

GROWING APPETITE Citec Engineering aims at becoming an EPCM provider. PAGE 6.

GEARS AND FRAMES

Cycling is an ideal hobby for engineers as there is so much equipment involved. PAGE 12.

EDITORIAL

CONTENTS

Do you suffer from the Monday morning blues?

Michael Smirnoff

CITEC

o you have fun at work? It’s important to enjoy being at work, and this does not only mean ergonomic chairs or opportunities to work independently. We also perform better in a good atmosphere. Studies show that people feel better if there is a place for spontaneous meetings at work. An open place by the coffee machine for small meetings is a good basis for a positive atmosphere. At least equally important are, of course, the people. A hierarchical organisation with an authoritative leader no-one dares oppose affects the atmosphere between all workers. Colleagues and superiors who look down on those with different opinions effectively block the enjoyable atmosphere. Supporting each other as colleagues and showing of understanding are some of the most important factors in creating a great atmosphere. And people don’t have to be agree on everything. Work atmosphere is naturally affected by the company’s economical situation. Studies show that tough reductions and budget cuts have a negative effect on the work atmosphere. People are afraid of losing their job and they sometimes dare not express their opinion. At the same time they might become depressed after seeing their colleagues being let go. Citec has been through both challenging and positive periods over the past years. One thing I would like us to cherish, nevertheless, is the openness that has been a natural part of our company culture ever since the beginning. Enabling the basis for an open and honest atmosphere now is not due to a trick from a PowerPoint presentation but part of the management style. This is an important part of the values for every company of the future, including Citec. My first boss once said to me “Michael, it’s important that you smile when you open the door for work on Monday morning.” I thought then that it sounded a bit naïve, but actually he was right. Take your time and think about what you could do this very day to make your colleagues happy. Happiness has a tendency to spread!

PUBLISHER Citec, P.O. Box 109, FI-65100 Vaasa +358 (0)6 324 0700

2.11

MER CITEC CUSTO

MAGA ZINE

attitude@citec.com

EDITORIAL BOARD Rune Westergård, Michael Smirnoff, Lars Rosenblad, Kai Dahl, Anna Jeanne Söderlund, Conny Eklund EDITOR-IN-CHIEF Michael Smirnoff PROJECT MANAGEMENT, EDITING Anna Jeanne Söderlund PRODUCTION

IN THIS ISSUE

Mantra Communications and Citec LAYOUT Glenn Nylund, Annika Lillkvist, Janne Nylund

6 What is EPCM?

11 Smooth logistics

16 Smarter grids

According to a new strategy, Citec will become an EPCM provider. This means taking care of larger entities than before, including procurement and construction management.

Citec developed a new concept to locate all parts on a construction site. Both time and money can be saved through this software.

The future electric network is far more intelligent than before. This year, the introduction of smart grids will really take on speed.

10 Cost Engineering

14 Gentle speed

18 Calculating globally

Cycling is a relaxing hobby suitable for most people. You don’t have to very fit to start and there are no schedules to follow.

The new calculation centre gathers the entire company’s calculation competence under one section. The group is managed from Karlstad, Sweden.

DIRECTOR, COMMUNICATIONS

Total costs can be reduced through smart engineering. The secret is to take into account how different disciplines affect each other.

COVER PHOTO Mikko Lehtimäki PRINT Fram 2011 COMPANY KEY FACTS Citec offers multi-discipline engineering and consulting, and provides services related to information management. The total number of employees is 1,000 and the turnover for 2010 was approximately 54 million euros. Citec is headquartered in Vaasa, Finland and has offices in Finland, Sweden, Norway, the UK, France, Russia and India.

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CITEC NEWS

Andrey Prokhorov

Four new IPMA C-certificates n In April, four experienced Project Managers from Citec Engineering completed the requirements for the IPMA C Certificate. Upon completion of Citec Academy’s internal project management training, qualified Project Managers of Citec Engineering are offered external programmes and the possibility to apply for the IPMA Certificate. IPMA is an eminent international organisation providing standards and guidelines for the work of project management. Within Citec Engineering there are a total of around 15 IPMA C-certified Project Managers today. Congratulations Stefan Björkgren, Timo Kumara, Fredrik Lindén and Ben-Erik Nedergård!

Enhanced service experience

WELCOME. The WE Day at Åminne folkpark is a great chance to meet colleagues both for business and pleasure.

HARD WORK. The telecom and IT industry area has managed to double its customer base in only one year.

A day of business and pleasure

Doubled customer base

5 QUESTIONS

n The entire personnel from Citec Engineering Finland will meet on June 17th at Åminne folkpark outside Vaasa. The aim of the day is to share key industry trends and cases and to ensure that the close cooperation between colleagues from different cities remains as good as ever. Some customers will also participate with stands, and key global Citec staff will be there to present what is happening in different business areas and locations. In addition to job-related issues there will be a party in the evening, with live music.

A diverse and international job

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Victoria Hubertsson works as a Manager within Finance and HR, at Citec Information Sweden.

European championship to Lindberg n Anna Lindberg, sponsored by Citec, won the gold medal in the European championships in Turin in March in the three-metre platform. This was the fourth gold medal from the European championships for the Swede. The medal also means that Lindberg has qualified for the Olympics in London next year. Congratulations from all of us! The 1/2011 issue of Citec Attitude included a longer interview with Lindberg.

n The telecom and IT industry area at Citec Information has gone through a few tough years due to the restructuring in the telecom sector. But during the last year, the industry area has managed to make a great turnaround. The number of customers has doubled and the future is starting to look bright. “Many customers have begun to see information creation and management as something that can be turned into a valuable asset rather than just a necessary expense. We help customers make the most out of their information to improve their internal operations and serve their customers better”, says Industry Area Director Marjut Heinonen. According to Heinonen, companies in the telecom and IT sector are often pioneers in information processing. “Therefore they are willing to try out new solutions, which makes our job both fun and challenging.”

n What do you do at Citec? “I’ve worked here right from the beginning, that is, 2002. The business of my former employer was then taken over by Citec, and I and ten other workers followed. We still sit at the same office here in Växsjö.

still, on the contrary, actually. The biggest changes have happened during the past few years. For example, the personnel have doubled to more than 50 in three years.”

Do you still like your work since you have stayed for so long? “Oh yes, I still do. I’ve been given new responsibilities and tasks all this time, so it doesn’t feel like I’ve been standing

What do you like most in your work? “That it’s so diverse. I also really like a lot that it’s so international. I have many contacts with

colleagues in different countries. My closest colleagues are actually in Finland and India, because there’s just one person here in Sweden who works with the financial matters and HR. It’s really nice that I can call my colleagues in Finland if there’s something I want to discuss. We tend to be in daily contact.”

n Our customers’ experience in terms of service quality has been one guiding factor in updating the Citec Information service portfolio processes. Service experience is not only about service metrics but also about broadening the individual and team competences to provide customers with just the right services at the right time. Using the service portfolio as the basis for both metrics and widening the individual and team competences allows Citec to provide our customers with a constantly evolving service experience - be it timeliness of deliveries, a more cost-effective operation or improved quality.

New office in Norway n Nowadays, Citec has offices in seven countries. This spring, a branch of the Swedish office was opened in Ålesund, Norway. “We founded the office to support our already existing customers like Rolls-Royce Marine. At the same time, we see great opportunities in the off-shore sector,” says Johan Samuelsson, CEO, Citec Information Sweden. Citec Norway will provide information, training and engineering solutions and services.

You work in Finance and HR. What does this include in practice? “I analyse figures and check costs. A few years ago I was also given personnel responsibilities, and this means that I also work a lot in recruiting and wage development. Last year I conducted our first collective labour agreement, which has been greatly beneficial to both the company and the employees.”

And what do you do when you are not at work? “I’m very interested in food and I like both cooking and tasting. I also like all sorts of outdoor exercise, such as skiing, running and mountainbiking. The kids and the dog also demand their time. I constantly work to find the balance; from time to time there’s been a little too much to do, however.” 2•2 01 1 C I T E C AT T I T U D E

COVER STORY: EPCM

mikko lehtimäki

Citec Engineering’s appetite just keeps on growing. According to the latest strategy, the company will become an EPCM provider with a wide range of services in addition to detail engineering. “This means that we will start to focus on a totally new customer segment,” says CEO Martin Strand.

REACHING FOR A

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COVER STORY: EPCM

Janica KarastI

MORE THAN MEETS THE EYE. Välitalo is described as a terrier in the boxing ring. She can go far, if she also keeps a cool head.

“In the future we will offer larger packa ges and more specialised know-how”

rowth has always been a part of Citec’s strategy. And in order to be able to grow further, Citec Engineering has made a decision to become a so-called EPCM contractor in its recently defined strategy. The term means management of engineering, procurement and construction. “This means that in the future we will offer larger packages and more specialised know-how further up the value chain. Besides the engineering we will also take responsibility for procurement and project management,” CEO Martin Strand explains.

THE REASON FOR choosing this new strategy is that the limits of

the existing service supply are soon reached. Especially in Russia, where often the investors are responsible for a building project, Citec does not really have a product to match the demand. “The new strategy means that we will be seeking completely new customer groups. As a provider of engineering services, we have mainly had equipment suppliers as customers. With this new strategy, we will be providing our services directly to investors and energy producers,” says Strand. However, Citec has no intentions of becoming an EPC contractor. EPC contractors provide so-called turnkey projects or parts of them. In such cases, the contractor provides equipment and hardware, which also means taking a greater economic risk. Citec on the other hand, provides services. “We don’t want to start competing with our own customers. Besides, I don’t see any benefit in becoming an EPC contractor as we don’t have any hardware products of our own,” Strand adds.

AIMING FOR EPCM contracts is a general trend for engineering

companies in the branch. Although many other companies have sold their basic engineering know-how while increasing their specialisation, Citec does not have any such plans. “I believe that to be able to take care of project management and procurement well, a certain touch and understanding of the basic work is needed. Both aspects are needed at Citec and the existing know-how in engineering and documentation will be equally valuable also in the future. At the same time, our

WHAT DOES EPCM MEAN?

mikko lehtimäki

WHAT DOES EPCM INCLUDE? EPCM projects usually include the following services: • Project initiation • EPCM project management • Engineering management • Procurement management • Construction management • Commissioning management • Permitting assistance

new strategy includes interesting challenges for our employees,” Strand says. Of course, it’s one thing to say you will become an EPCM contractor and another thing to actually become one. How is it planned to actually happen in practice? “There are many possible ways. We can start from EPCM contracts within certain disciplines, because EPCM does not necessarily mean taking the responsibility for the whole construction. We can also focus on projects within our core competence, such as power plants that are based on boiler, engine or turbine technology. Or we can begin with smaller projects and learn with them before proceeding to bigger projects. Once again, I want to stress that our intention is not to compete with our existing EPCM customers” Strand says.

DIVERSIFYING INTO NEW areas is nothing new for Citec. For

example, Citec Information was formed when a customer requested documentation services, even though the company did not offer such services at that time. “We have an organisation that is ready and capable of learning new things. That’s why I’m confident about the future,” Strand says. The target for Citec is to have received its first EPCM project before the end of 2012, although there’s nothing to stop this from even happening earlier. In France, an offer was already recently made for such a project. And the rail vehicle business area has been working in EPCM projects for a long time already.

• EPCM is short for Engineering, Procurement and Construction Management. • It is a common form of contracting arrangement within the construction industry. • In an EPCM arrangement, the client selects an EPCM contractor who manages the whole project on behalf of the client. • O ther companies are contracted by the client directly to provide construction services. • An EPC project, on the other hand, means that the client gets a turnkey delivery. In these types of projects, the cost risk is weighted towards the contractor.

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FAST MOVES. “Our target is to have received the first EPCM project before the end of 2012, although there’s nothing to stop this from even happening earlier”, says Martin Strand. The photo was taken on the construction site of the Westenergy Waste incineration plant in Vaasa.

Building a new brand story As Citec’s offering grows to encompass a much wider range of services, a refurbishing of the brand message becomes necessary. n The stunt theme that has been used since 2006 is too narrow a metaphor for Citec’s role in many future projects, both in engineering and information managment. “The story around Citec’s experts as the ones who do the stunts doesn’t simply fit us anymore”, says Communications Director Michael Smirnoff. “This is due to the fact that Citec Engineering aims at becoming an EPCM provider taking responsibility for larger entities. Also Citec Information has widened its service portfolio. In other words, we have become so much more today.” Brand agency Daddy Finland is the key creative partner in the rebranding process. The work was kicked off with a workshop this spring, and the new marketing theme will be launched in the summer of 2011. An essential part of this work comes from interviews with both customers and employees. “It is important to stress that we are not making a total makeover of the brand itself. Rather we are making an adjustment of the marketing theme in order to creatively communicate our image. Differentiation is the key when shaping the perception of Citec on the market”, says Smirnoff.

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COST ENGINEERING

INNOVATION: LOGISTICS CONCEPT

mikko lehtimäki

AVOIDING SUBOPTIMISATION. If too much is saved on one area, costs may excalate elsewhere. Cost engineering is about knowing when to save on concrete and when to save on steel.

NO MORE MISSING PARTS Smooth logistics are a challenge on most construction sites. Parts are often missing or lost, leading to extra costs and wasted time. To overcome such problems, Citec has developed some new logistics software.

Mikko lehtimäki

SAVING ON STEEL OR CONCRETE? Smart engineering can be seen as an investment that will eventually pay for itself. At Citec, there are many ongoing projects to increase the understanding of how different costs depend on each other and how the final cost can be reduced.

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n order to become an EPCM consultant, Citec needs to increase the understanding of how different costs form, both in the feasibility phase and in the engineering process. “For a long time, we have had a good conception of how to engineer cost-effectively within the different disciplines. But we can still become better at seeing the big picture,” says Mikko Juopperi, Business Area Manager, Engine Power. In practice, this is about knowing where to save in order to avoid sub-optimisation. If too much is saved on one area, costs may excalate elsewhere. In more practical terms, it’s about knowing when to save on concrete and when to save on steel.

SO FAR AROUND ten projects have been made in cooperation with a customer to find the best indicators for making the whole of the engineering as cost-effective as possible. “It’s been surprising to learn that the differences between projects have been quite big. I think we still need to follow 20 more projects to completely understand the logic. But we have quickly seen certain results, for example that cost saving should focus on power current cables rather than control cables,” says Juopperi.

“We also work on making the customers aware that the whole engineering process can be seen as an investment. It’s beneficial not to always try to do the engineering in the cheapest possible way, because then the costs in the actual building work can rise instead”, Juopperi adds.

AT THE END of last year, a project called Cost

Engineering was started in cooperation with the research institute PBI of the Åbo Akademi University. The project is partly about improving feasibility analyses and partly about introducing new work methods and tools to accurately estimate total plant costs during a project, i.e. not only engineering costs. “Because we are about to become an EPCM consultant, we have to have the competence to consult the customers on different power-plant solutions also from the cost viewpoint,” says Project Manager Jonas Nylund. “We will find the best ways to work and the target is to increase awareness of total costs among Citec’s staff. Everyone should be aware of the costs also outside their own disciplines.” Mikko Juopperi adds: “Cost follow-up should not become a separate product or service; rather it will become a part of Citec’s regular way of working.”

he development of the logistics concept was started in 2009, based on Citec’s long experience of construction sites. Common problems encountered in EPC projects are missing or lost parts, containers arriving too early or too late and parts used for the wrong purpose. All such problems lead to delays, wasted time and extra costs due to urgent procurements and airfreights. To overcome such problems, Citec has developed a system that connects all vital information on site. “Our system connects design data, procurement and delivery data, project milestones, documents and all other vital information”, says Rémy Jeandemange, General Manager, Citec Engineering, who has been team leader for the development project.

THE COMPUTERISED MANAGEMENT system, developed by Citec engineers and application specialists, provides automatic warnings at an early stage when parts are missing or used in the wrong way. It also allows for the immediate location of all parts in stock and shows them in 3D format, as well as assures access to all documents. The collection of data is essential for the system to work and for this purpose Citec has developed easy-to-use templates. “Everything is based on a harmonised way of working on site. As part of the concept we provide an experienced logistics engineer working on site to coordinate and safeguard the process. As the sharing of information is essential, everyone concerned with a project has access to the database worldwide.” THE SYSTEM WAS tested by a Citec customer during

the erection of a power plant. The results were promising – about two weeks time was saved over the whole construction schedule. “Based on the lessons learnt I’m sure we can make an even better result in coming projects. There are many opportunities to save both time and money. Extended construction time and delays often lead to penalties for late completion”, says Jeandemange.

SAVING TIME. Practice has shown that the Citec Logistics Concept can reduce the construction schedule by several weeks.

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SPORTS: CYCLING

Mikko lehtimäki

70 KM PER HOUR

Cyclists can be divided into two groups: those who have fallen and those who will fall. But with the right equipment and the right technique, this fast and social sport is quite safe.

Mikko lehtimäki

ection Manager Tommy Grannas begins two to three of his workdays a week by cycling 38 kilometres from his home in Vörå to work at Citec Engineering in Vaasa. The commute takes a little more than an hour and is an effective way for a busy father of small children to have his workout. Grannas has had cycling as his hobby for 15 years now, and in the last few years he has seen how it has grown in popularity in Finland. “When I started cycling on the roads in the middle of the 1990s, I came across few other cyclists. Today, there are a lot more. Unlike in Central Europe, the weather in Finland is not ideal for cycling, but in winter we train indoors in the Botnia Hall arena.”

of aluminum or a combination of aluminium and carbon fibre is about half of that. Special shoes that are attached to the pedals allow cyclists to both press down and lift up the pedals, which means that more muscles are activated. Modern cycling shorts have built-in padding to cover the bottom. “The padding is needed so that you can sit for several hours. The longest races can take up to eight hours of sitting,” Granqvist explains.

A TYPICAL TOUR for Grannas, Neubrand and Granqvist in an evening or early morning can be about 50-60 km. At weekends, they aim for longer tours of more than 100 km, which usually take about 3.5 hours. A cyclist’s worst enemy is the headwind. “We consider the wind when we plan the routes. If it’s very windy, we can pick a route surrounded by woods. Or we can cycle into a headwind in the beginning when we still have strength left and save the tailwind for the way home.” When training indoors in winter, you tend to forget how unpleasant a headwind can be, but in sunny and still weather, there’s nothing that can beat cycling outdoors. In the autumn, when the weather is worse, Tommy Grannas cycles with a mountain bike because you get dirty and wet in the woods anyway.

GRANNAS IS ONE of the founders of the two-year-old

local cycling club Triton, which already has about 150 members. Recently he drafted two colleagues, Randy Neubrand and Jonas Granqvist, into the club as well. “What I really enjoy is the feeling of accomplishment after a long hard ride,” Neubrand says. “And cycling is a fun sport because it’s so easy to improve your results. The more you train, the better you become. It’s that simple.” Jonas Granqvist sees many other advantages with the sport: “This is a good form of exercise because it’s so free, there’s no need to arrange schedules. And it’s also great that it’s so social. I usually cycle together with other cyclists and then we can talk with each other during training.” Cycling is also in many ways gentle on the body, especially when compared to running. You don’t need to be in an especially good condition to start, and it doesn’t matter if you are overweight because knees are not as strained as in many other sports.

EVEN THOUGH CYCLING can be a gentle sport, it is by

ONE THING THAT makes cycling an even better sport

TIME TO CHAT. Randy Neubrand, Jonas Granqvist and Tommy Grannas like cycling because it’s such a social sport. While pushing on into a headwind, they have interesting discussions about gear systems and bicycle frames.

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for engineers is all the equipment involved. While pushing on into a headwind, you can have interesting discussions about gear systems or bicycle frames. In the most advanced bicycles, the frame is made of carbon fibre, whereas the models with aluminum are cheaper. “Carbon fibre is light but still stable. Bicycles made of aluminum are wobblier,” Grannas explains. He himself is a proud owner of a carbon fibre bicycle that only weighs 7 kg. The price of a new bicycle like that is 3,000 Euros or more, while a bicycle made

NEED FOR SPEED. A typical cruising speed on the road is 40 km/h, but these gentlemen have all tested speeds up to 70 km/h. “Of course that is starting to be pretty dangerous, but it sure is fun too!”

no means totally safe. The biggest danger is the high speed combined with careless car drivers and bumpy or slippery roads. “Cyclists can be divided into two groups: those who have fallen and those who will fall,” Grannas says, without adding to which group he belongs. A typical cruising speed on the road is 40 km/h, but all three gentlemen have tested speeds up to 70 km/h. “Of course that is starting to be pretty dangerous. It only needs a little gust of wind to make you fall. But it sure is fun too,” says Grannas and adds: “Actually it’s not the kilometres per hour that matter. The most important measure is the cadence, which means the number of revolutions pedalled in a minute. The ideal situation is to stay between 85 and 90.”

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TRENDS: SMART GRIDS

FINALLY READY FOR

SMARTER GRIDS The introduction of smart grids will really take on speed over the next two years, says Dick Kronman, Business Development Manager at ABB.

lthough the idea of smart grids is nothing new, so far there have been many visions and few concrete applications. Kronman points out that the EU Commission is now pushing smart grids in order to achieve the ambitious 20–20–20 targets set in the energy and climate package. Some countries support the use of electric cars. In the USA, for example, investments in smart network solutions are an essential part of the environmental and climate policy of Obama’s government. And it is worth noting that electricity utilities are fully behind this policy. Most of the technology behind smart grids already exists, i.e. the implementation is not dependent on totally new innovations. Therefore, the question today is more about integrating the functionality of the existing solutions.

One of the solutions is to develop small-scale batterybased storages for energy. Another solution is to make the customer interface smarter so that consumers can adjust their consumption according to market conditions, i.e. availability of renewable energy. Finland, Sweden, and Italy are forerunners in smart electricity meters. And although this is a step towards smarter electricity consumption, it is still only the beginning. “As electricity companies start to provide dynamic price tariffs to follow the energy supply, consumers will become very interested in participating in the energy market,” says Dick Kronman.

THE FACE OF THE SMART GRID Kaj Rönnlund, CEO of There Corporations, practises what he preaches. He has installed his company’s product, ThereGate, in his detached house in Vaasa to be able to enjoy the most economically-possible heating. Mikko lehtimäki

WHAT ARE SMART GRIDS?

“AUTOMATION NEEDS TO work in the whole distribution

network. So far, it’s only been used with the higher voltage levels. Thus utilities have not known what’s been happening with the thousands of customers in low-voltage networks”, Dick Kronman says. Kronman is in a unique position to see all this, because Citec’s customer, ABB, is one of world’s biggest providers of the technical solutions behind smart grids. Distribution automation, building and home automation, charging infrastructure for electric cars, and a demand response that automatically adjusts the use of electricity to supply and price are examples of the technical solutions needed for turning smart grids from visions into reality. Today, it is the need to find solutions to replace fossil fuels that is driving the development of the smart grids.

SMART GRIDS ARE needed both for increasing energy

efficiency and for benefiting from renewable energy sources. “The renewable energy resources produce electricity when the sun is shining or it’s windy. Traditionally, production has been regulated according to consumption. So far, technology for regulating consumption has not been broadly utilised,” says Dick Kronman. C I T E C AT T I T U D E 2•2 01 1

• Smart electricity networks handle the stream between everyone who produces electricity and everyone who consumes it. The system enables house owners and small industries not only to consume electricity but also to provide energy into the system. That may for example happen if they have a surplus of wind power on a windy day. • The system is based on a common electrical network. An added meter and a supervision system effectively control electricity with the help of IT. Smart grids are sometimes also called Supergrids. This refers to a really large network that transmits electricity over long distances and at high voltage. • The Smart Home is a concept where the electrical appliances in a house are connected together via a network. Residents can control and supervise the consumption of electricity and handle additional services, such as alarms, through the system.

SAVING ENERGY. There Corporation CEO Kaj Rönnlund makes sure his heating costs are kept under control by means of the company’s invention, ThereGate. Although the process is completely automated, Rönnlund can still monitor it with his iPad.

riginally, the house was heated by oil, but today the Rönnlunds combine it with electrical heating. ThereGate follows the spot price on the electricity market and shuts down the oil tank and starts using the electrical heating when the price of electricity drops below a certain level. When the price of electricity goes back up, electrical heating shuts down and the oil heating comes back on. Although this is a completely automated process, Rönnlund can still monitor what is happening with his iPad, mobile phone, or computer. At the same time, he can monitor the consumption of electricity in everything from the sauna stove to the coffee maker and remotely shut down the power from appliances on standby.

THERE CORPORATION, a customer of Citec Information, is a startup company founded two years ago. The Vaasa-based entrepreneurs Kaj Rönnlund and Kristian Heimonen teamed up with the development team behind Nokia’s Home Control Centre. The business idea is to utilise all the possibilities of the smart grid by letting the consumers follow up and manage their electricity consumption of electricity in real time. Or to be more exact, let ThereGate react and control. Electricity production will become much more volatile in the future as renewable energy sources like wind and solar take effect. Therefore prices will vary accordingly. “The decisive question will concern when we consume electricity”, says Kaj Rönnlund. As an example he gives the charging of electric cars. It is also possible to let the indoor temperature of a house vary so that warmth is being stored when electricity is cheap and the temperature is allowed to drop when electricity is expensive. THERE CORPORATION’S CUSTOMERS are power companies. For them, Home Energy Management can become a way to get the market mechanisms to work also in the selling of electricity. Today, the production and distribution of electricity are profitable, but there are few companies that can make money by selling electricity at a fixed price that they cannot control. When consumers begin to ask for services like Home Energy Management, power companies can provide new services. For example alarm and security systems can be controlled by products like ThereGate. Kaj Rönnlund speaks warmly about energy efficiency. As the use of fossil fuels decreases, energy efficiency will have a central role alongside the new, emission-free forms of energy. Energy efficiency has a clear advantage. “All forms of renewable energy need public support to become beneficial. However, energy efficiency is different in that the logic of business does not build upon support,” says Kaj Rönnlund. According to him, the basis of the energy branch will change in the coming decades, and he sees similarities with the telecom industry as it was twenty years ago when the mobile phone was new.

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CUSTOMER CASE: ROLLS-ROYCE

CITEC INDIA: NEW ERA

G ROWTH OF THE SERVICE BUSINESS

GROWING INDEPENDENT. Citec’s Indian offices have stepped into a new era by beginning to sell projects directly to the domestic market. The photograph was taken at Citec Information in Bangalore, from left Poornima Shashidhar, Aparna Joshi, Bijesh John, Shareena Bhaskaran.

REQUIRES BETTER TRAINING Rolls-Royce Marine continues the expansion of its service capacity and capability. This increases the demand for high-quality training material.

olls-Royce Marine has the widest range of marine products from a single supplier. The company priorities its service business as it is a vital part of the growth. As such, this sets high requirements for the company’s development of its employees. RollsRoyce has chosen Citec Information as its partner in producing training material for its products. “We have good teachers and we want to have them in the classroom. It’s better to allow specialists to do the training material,” says Training Development Manager Marcus Wilhelmson from Rolls-Royce Marine.

CITEC COMES IN during a period when Rolls-Royce is heavily investing in product training. This autumn, a new training centre dedicated to marine product training opens in Ålesund, Norway. The Ålesund training centre is one of five training centres globally. The other centres are located in Singapore, the UK and USA. “Earlier, each factory had its own training branch, which meant small resources, varieties in quality and limited accessibility. Time is money for us. Therefore, we want our investment in training to show in higher quality. Citec can help in this through presenting smarter solutions,” Marcus Wilhelmson says.

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He gives e-learning and computerbased learning as examples. In 2009, Rolls-Royce Marine only produced e-learning material for three products. Since Citec came in, 13 new packages have been made in 2010 and the winter 2011. At the same time, the costs per package have decreased by two-thirds. Citec’s material consists of text, pictures, video and 3D-animations.

AS PRODUCT TRAINING grows, so too

GLOBAL LEARNING. Citec has helped Rolls-Royce take on a new global and standardised training concept. Earlier, every factory had its own training branch.

does the need for standardisation, in order to be able to deliver the same course at all the training centres around the world. This of course can cause challenges since there are big cultural differences both among customers and personnel. However, this cannot affect the quality. “We have to be able to guarantee a similar service in a similar quality, regardless of where the customer is. Step one in that process is standardised training. You build competence around two things, skills and knowledge. Skills are handle through practical training over time, but knowledge is gained at courses in our training centres.” Rolls-Royce is a multisite project for Citec Information. The design team consisting of both trainers and engineers are based in Växjö, Karlstad, and Vaasa, but the media producers work in Bangalore.

FROM BACK OFFICE TO

DOMESTIC SUPPLIER

Citec India has begun selling services directly to the Indian domestic market.

itec Information India was founded in 2003 followed by Citec Engineering India one year later. Although the companies have traditionally supported Citec’s operations in Europe, a new strategy has been developed: Citec India has begun selling its know-how directly to the Indian domestic market. “India is one of the most potential future markets in the world. It would be foolish not to go in,” says Olli Kytökari, Managing Director for Citec Information India.

CITEC ENGINEERING HAS been taking over the domestic

markets for two years already. In addition to India, the company has been active in selling projects to the Middle Eastern market. One reason for this strategy change is to minimise the risks should the workload from Finland drop. Nasir Mulani, Managing Director, also believes that the Indian organisation can learn a customer-oriented way of thinking through having their own customers and not just passively waiting for work from Finland. “The fast growth in the Indian economy has led to Indian companies giving more value to quality. There’s an increased interest in outsourcing engineering work,” says Mulani. During the two years when Citec Engineering has been working on its domestic market, there have been offers lost and

others won. “The lost offers have taught us the importance of marketing and strategic alliances. Our strength lies in our wide competence and a good ability to adapt,” says Mulani.

CITEC INFORMATION, on the other hand, is just about to start its operations on the Indian market. According to Olli Kytökari, the market is very aggressive and you have to fight for every contract. “I still think we’re doing this at the right time because many companies have begun to understand the value of outsourcing their information services,” Kytökari says. The obvious challenge of venturing into the domestic market is to prevent the focus on the existing line of business from suffering. “It’s been clear to us from the start that this must not affect our old customers. Therefore, we have hired new key people who focus on the domestic market.” According to the strategy, a great part of Citec India’s revenue will come from the domestic market in the future. “Our goal at Citec Engineering India is to grow from 250 employees to 450 in 2013, and most of that growth will be in the domestic market,” says Nasir Mulani.

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LIFESTYLE: BUSINESS DRESSING

Katja Lösönen

DRESSED FOR SUCCESS Can you wear jeans to a customer meeting? It pays to get to know the secrets of dressing for work, because appropriate clothing creates trust and helps bring know-how and the image forward.

ressing up is not only about bringing forth your personality; it is also about respecting other people. Through our clothing, we can affect how others regard us, says style consultant Maarit Jantunen. “If we dress down to a business meeting, we have to double our work to get our message across. First impressions of our competence are not only based on what we say but are also formed according to our clothing and our general habits.” Maarit Jantunen has been a style consultant and a personal shopper in Helsinki for five years. She helps private customers find suitable clothing and also lectures on style in companies. So far, she has had lots of work. “In Finland, people often forget that in our work we also represent the company and brand, not just ourselves. It is interesting that while companies invest time and money building and controlling their brand, they rarely step in when it comes to the apparel of their personnel, even though the personnel represent the brand and give it a face.”

Katja Lösönen

GUIDANCE HELPS. Most businesses lack a clear specific dress code, which makes many feel insecure.

JANTUNEN THINKS THAT Finland is a developing country

All clothing and accescories are from Karisma store in Vaasa. Address: Vaasanpuistikko 18, phone +358 6 312 5513, www.karismavaasa.fi C I T E C AT T I T U D E 2•2 01 1

DEVELOPING COUNTRY. In Finland, people often forget that in their work they also represent the company and the brand, not just themselves.

when it comes to business apparel. Already in the neighboring country Sweden people put more effort to their dressing, let alone in Central and Southern Europe. EVERYDAY This shows JOY. clearly in the street scene and also in the statistics that compare the If you wan’t money people from different countries to bespend happy,on clothes and shoes. there’s a lot “In Finland, overdressing is feared than youmore can do underdressing. The local culture admires and to makepracticality it equality, and showing off is not allowed. If someone invests in happen.

appearance, they are easily told mocking comments about it. I think this is sad,” Jantunen says. But there are branches in Finland with strict dress codes: legal and financial areas are such where you don’t show up at work in jeans. Johanna Hämäläinen, an HR Specialist at Citec who worked in a bank before, is familiar with this. “At my previous workplace, I was given a written guide on how to dress right on the first day. Such practice may sound uptight, but I think it just makes things easier. When you have clear rules, you don’t have to guess or be afraid of blundering.” 2•2 01 1 C I T E C AT T I T U D E

LIFESTYLE: BUSINESS DRESSING Katja Lösönen

Katja Lösönen

DRESS SMART

Mikko Säteri

Best tips from style consultant Maarit Jantunen • F itting is a key issue in style – dare to buy a cloth of the correct size. Many use too big clothes. • Both men and women should be aware of too short legs. • Be brand-loyal if you find a brand that suits your body well. • Also invest in outdoor clothing, because often the first appearance takes place with the outdoor clothes on.

SUITS YOU. Dressing issues might be easier for men, as a suit is a pretty sure choice for any situation.

Katja Lösönen

Hämäläinen thinks this is about the same thing as going to a construction site: there too are clear instructions on wearing a helmet or safety shoes, for example. And even though the style is far from the black suits of the banking business, the dress code has a clear objective in both cases. On the construction site, the aim is towards safety, and in the banking business towards creating trust.

MOST BUSINESSES LACK a clear and specific dress

SMART CITECIANS. “Creating trust is the key when meeting for the first time. Therefore, appropriate clothing is essential”, says Michael Smirnoff.

C I T E C AT T I T U D E 2•2 01 1

code, which makes many feel insecure. Can you go to a business meeting wearing jeans? Do you have to wear a suit even if you sit at the office all day? How short a skirt is appropriate? Do you have to wear stockings in the summer? Michael Smirnoff, Director of Communications at Citec, has a good tip for those who feel insecure: “Ask for advice! People often are way too shy about this. You can ask from your colleagues, your superior, or from the organisers of the event. I was once invited to an event where the dress code was semi-formal. I called in to ask how many usually wear a tuxedo because I didn’t want to be the only one and feel embarrassed due to that.”

• Invest in good-quality basic clothing that is easy to customise with accessories. • High-quality basic clothing lasts a long time, which means that the investment pays itself back.

Katja Lösönen

ANOTHER TIP FOR those feeling insecure is to get

professional help. Maarit Jantunen helps people who are uncertain about their apparel and who do not have time to go shopping. Most of her customers are female, but the amount of men is increasing. “In principle, dressing issues are easier for men. It’s relatively easy to find a fitted suit, because many suit retailers give professional help. A suit is also a pretty sure choice for any situation. Women have more variety, and this leads to greater uncertainty.” Jantunen thinks that good clothing is something that you can forget once it’s put on. “Good clothing gives self-confidence. Once you have dressed up well, you don’t have to worry if the selection was according to the etiquette or if your bra shows under too tight a blouse. When you feel comfortable in your clothes, you can focus on the essential, that is, work.”

MICHAEL SMIRNOFF AND Johanna Hämäläinen share the same thoughts. Appropriate clothing helps at work and it also brings out the know-how. “Citec is a company of specialists providing competence to industrial customers, who might be very conservative in style issues. Creating trust

STYLIST’S TIP. Basic clothing is easy to customise with accessories.

is the key, especially when meeting for the first time. This happens not only through work but also through one’s appearance. The actual clothing isn’t everything, of course, a positive attitude and listening to the customers is even more important,” Smirnoff says. Johanna Hämäläinen stresses that the strict dress code of the bank world as such would not fit Citec, simply for the reason that many workers rarely meet their customers. “It’s not reasonable that everybody at Citec would always wear a suit to work. However, a lot of customers come to our premises, so it’s not insignificant what we wear.” According to Hämälänen and Smirnoff, business casual would be a good dress code for Citec. The concept is pretty ambiguous, but it can be summed with becoming, stylish, and relaxed. For men, this means clean-cut pants, a collared shirt, slipover, or jacket. A suit and a tie are not necessarily needed, and jeans are acceptable as long as they are neat. For women, business casual means trousers or a skirt and a clean jacket or blazer.

Katja Lösönen

APPEARANCE. “A well groomed appearance and a positive attitude make a difference”, says Johanna Hämäläinen.

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PRESENTING: THE CALCULATION CENTRE

A CALCULATIVE T EAM

Andreas Reichenberg

Citec Engineering’s new calculation centre provides pipe and mechanical stress calculations with high-level expertise.

hen Citec bought KPA Engineering in Sweden two years ago, a group of people with long and extensive experience in pipe and mechanical stress calculation joined the team. To gather the whole company’s know-how on stress calculation under one section, Citec decided to found a global calculation centre in spring 2011. The group is managed from Karlstad, Sweden and will coordinate and support the calculation resources in Citec globally. “The idea is that we will raise our profile both externally and internally. We have a good reputation on the market and extensive experience in different strength calculations,” says Allan Nordström who has more than 25 years of experience in the field. He has seen how the branch has leapt forward. “A calculation that may take a week today could have taken up to a year before. Computers have truly changed the work.”

THE GROUP WORKS on mechanical strength calculations for

good calculation work can also save money,” Bengtsson explains.

A BIG CHALLENGE IN the calculation process is to evaluate the results and to understand the information. Great experience and an open exchange of thoughts are of great help. “We have a great, open exchange of ideas and thoughts, and we support each other regardless of status. No-one needs to be afraid of making a fool of themselves by asking something stupid. Sometimes the result for a calculation can be surprising, and then it’s very helpful to be able to discuss the matter with your colleagues to find the reason,” Nordström says. The calculation centre works partly as a support for other projects within Citec and partly it leads its own projects. The plan is to recruit more members to the group mostly in Finland and India, and the aim for next year is to have 25 people in total. “The newly recruited tend to adopt our working method quickly. Our philosophy is to always help and support each other”, says Nordström. The most recent recruitment was made in May when Johan Hagberg was appointed as new Section Manager for the Calculation Centre. Hagberg has previously worked at Metso Paper and will start at Citec in August. He will also work as a coordinator for development, education and resource planning for calculation matters for all Citec companies.

5 QUESTIONS

pressure vessels, complex machine parts and steel structures. Another significant branch is seismic analyses. One sign of the high level of competence is that Citec has been chosen as a member of the Swedish Technical Committee handling the standardisation of pressure bearing equipment. “The legal requirements of calculations are constantly being renewed. Over the years, we have become very skillful at interpreting new design codes,” says Helena Ljungberg. Pipe calculations are the other major branch that the group works with. During the past two years, Kent Bengtsson and his DEEP KNOW-HOW. This group has more than 100 years of colleagues have had the major task of calculating the pipe system experience in calculation. From left Madelene Björn, Kent for a power plant project in Moorburg, Germany. Bengtsson, Bo Gardelin, Simon Lindqvist, Gustav Gumaelius, “Besides the safety aspect, another important SAFETY part of our FIRST. CorrectKristoffer instructions increaseKent Evermark, Helena Ljungberg and Holmström, work is to optimise the use of materials. The costthe effectiveness is safety in mining. Therefore accurate Allan Nordström. The new Section Manager Johan Hagberg is improved by not using more material than necessary. Therefore,is vital. documentation missing from the picture.

A talkative IT guy Markus Vikström works as a Senior Application Specialist at Citec Engineering.

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n How did you end up in the IT branch? “I’m actually a building engineer by profession, but I’ve been interested in computers ever since my dad bought a Commodore 64 in the 80s. I used to work as a designer at Wärtsilä, but because I was so skilled with computers, I got the responsibility for the programs. I was outsourced to Citec in 2003.”

What exactly is it you do at your work? “I am a CAD specialist and maintain our 30 different CAD applications. My field is quite wide; I do everything from user support to software development. I also do more and more customer presentations.”

What’s your worst work day like? “When I come to work in the morning and there are 50 irritated people sitting and waiting for me to help them because their software has stopped working. Then I start to sweat! On my best work day I get to focus on developing software; that’s what I enjoy doing most. A positive thing about this work is that the scope

is so wide, but on the other hand it can become fragmented.” What other hobbies do you have now that computers have become your work? “Right now I don’t have time for many other hobbies than changing diapers because we have a fivemonth-old baby. We also have a five-year-old, who requires attention. But when the children

have fallen asleep, I often sit in front of the computer again, even though I have been doing that all day at work. Right now, I’m interested in making animated movies in 3D. My philosophy is that I want to learn something new all the time.”

You are really not the typical asocial IT engineer. How come you are so talkative? “That comes from my mother. I’ve noticed it’s very beneficial for an IT specialist to be able to talk with people. I often solve problems easier if I discuss them with colleagues than if I sit alone in front of the screen.”

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Every star needs a stunt double. And with Citec your performance will be ﬂawless. Behind the scenes, Citec’s experts will take full responsibility for tasks that are not your main activities. This leaves you free to take the leading role in your own ﬁeld of expertise.

You are the star — we’ll do the stunts.

the one for the job Proven excellence in Multi-Discipline Engineering and Information Management www.citec.com