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Business value of Energy Components Transport

Veen, D.O. van (2005) Business value of Energy Components Transport. Master's Thesis / Essay, Industrial Engineering and Management.

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Abstract

The European gas transport market is one of the most dynamic due to emerging new markets, liberalization changes in the new energy business and therefore ever changing regulations. With their integrated IT solution; Energy Components (EC), TietoEnator (TE) tries to fulfill its global strategy1 and seeks growth in the gas transport business. This research gained insight in the business opportunities of the Energy Components Transport module (ECTS) in the onshore gas transport market in Europe. Insight is given through the research of elements in the conceptual model. The goal of this model is to make a fit between the IT solution demands from a market point of view and the IT solution features of ECTS on corresponding dimensions: functionality, costs, continuity, flexibility and knowledge & expertise. Research findings show the following results: • The trend towards an oligopolistic supplying market, LNG imports and spot market trade are the most important influencers on the customers IT demands. • Market liberalization, regulation issues and governments interest stress the importance of future functionality and flexibility in ECTS and in knowledge & expertise of TE. • The Common Business Practices of EASEE-gas institute will influences the flexibility issues inside ECTS. • Currently offered services of gas transport companies in Europe mainly affect the solution features in the functionality and flexibility dimension of ECTS. • TietoEnator must always consider the whole gas value chain when adapting the integrated solution and not only parts of it. • Five dominant solution features have been found: allocation, user configuration, experience in related projects, information services and contracting. • Value is offered through solution features which are affected by the functionality of gas transport services. • Added value is offered mainly through the user configuration and extensive knowledge & expertise of TE into the gas transport business processes. This research concludes the following business opportunities: • The attention and reaction on influences related to the dominant solution features will determine business advantage over competitors, time to market (TTM) and first mover advantages. • Research results on LNG development, spot market trade, implementation of EASEE-gas CBP’s, Government interest, future regulations and the market liberalization progress define the most important business opportunities for an integrated total IT solution like ECTS. • With an active role in gas business panels (e.g. EASEE-gas, Eurogas) and strategic sales projects with important gas transport companies2 TE can strengthen their influence on the gas business process of gas transport companies and cooperate in defining the gas business. TE should focus internally on the dominant solution features and externally focus on the most important market influencers. Both these processes can be integrated by means of the active participation and strategic sales processes in the onshore European gas transport market. Recommendations for further research focus upon quality research of the dominant solution features identified in this research. Also more research is needed into the company- market relationship which is a prerequisite for the business opportunities. Finally tendencies of downward integration of midstream companies, groupings of energy affairs and the migration of companies in the energy field and security issues will have great influence on the business opportunities in the onshore European gas transport market.

Item Type: Thesis (Master's Thesis / Essay)
Degree programme: Industrial Engineering and Management
Thesis type: Master's Thesis / Essay
Language: English
Date Deposited: 15 Feb 2018 07:28
Last Modified: 15 Feb 2018 07:28
URI: https://fse.studenttheses.ub.rug.nl/id/eprint/8349

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