ORGANIZATION AND MANAGEMENT · In the literature on management sciences, a multitude of definitions...

SILESIAN UNIVERSITY OF TECHNOLOGY

SCIENTIFIC PAPERS

ORGANIZATION AND MANAGEMENT Scientific paper no. 133

MANAGEMENT IN INDUSTRY AND SERVICES

Edited by

Radosław WOLNIAK

GLIWICE 2019

Zeszyty Naukowe Politechniki Śląskiej: seria Organizacja i Zarządzanie wydawane przez

Wydział Organizacji i Zarządzania Politechniki Śląskiej zostały objęte programem

Ministerstwa Nauki i Szkolnictwa Wyższego „Wsparcie dla czasopism naukowych”

w latach 2019-2020, otrzymując dofinansowanie na:

1. Wdrożenie procedur zabezpieczających oryginalność publikacji naukowych (pozyskanie

numerów DOI (Digital Object Identifier)).

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3. Udział zagranicznych recenzentów w ocenie publikacji.

Kolegium redakcyjne

REDAKTOR NACZELNY Prof. dr hab. inż. Andrzej BUCHACZ

REDAKTOR DZIAŁU Dr hab. inż. Radosław WOLNIAK

Prof. nzw. w Politechnice Śląskiej

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CONTENTS

FOREWORD ……………………………………………………………………………. 5

1. Robert BALCERZYK, Janusz MATERAC – Talent management as a concept

of human capital management ………………………………………………………... 7

2. Michał BRONISZEWSKI – Competitive and integrated capital market in Poland

as a financing tool for the development of Polish regions ……………………………. 19

3. Ana CALAPEZ-GOMES, Luiz RODRIGUES – Deconstructing the barriers

of thought – the need for embeddedness of education and business …………………. 31

4. Karolina CZERWIŃSKA, Andrzej PACANA – Analysis of the implementation

of the selected lean production method in the production company …………………. 43

5. Dorota JEGOROW – Identification of the cluster on the basis of the ICT industry .. 55

6. Claudia KAWALLA, Mariusz LIGARSKI, Michael HÖCK – Supply chain

quality management of automotive components ……………………………………... 69

7. Victor М. KRILOV, Hrystyna V. LIPYANINA – Information technology

of tourism demand modeling based on cognitive and statistical analysis ……………. 85

8. Dominika MARCINIAK, Michał WINNICKI – International student exchange –

motives, benefits and barriers of participation ………………………………………... 93

9. Marcin OLKIEWICZ – Foresight as an innovation shaping instrument …………… 107

10. Radosław WOLNIAK – Context of the organization in ISO 9001:2015 …………… 121

11. Radosław WOLNIAK – Leadership in ISO 9001:2015 …………………………….. 137

12. Michał ZASADZIEŃ, Bożena SKOTNICKA-ZASADZIEŃ – Use of methods

of quality management for improving the repair process illustrated with the example

of rolling stock ………………………………………………………………………... 151

FOREWORD

Presented number of Silesian University of Technology. Scientific Papers. Organization

and Management Series concentrate on various aspects of management in industrial and

services. The number is result researches of scientist from various Universities from Poland and

abroad. The number consists of 12 papers.

Foreign authors came from Portugal, Germany and Ukraine. Scientifics from Portugalia

describes problems of barriers between education and business. Paper written in international

Germany-Polish collaboration describes problems of automobile industry which is very

important in both countries. Ukrainian authors concentrate on problems connected with the use

of information technology in truism.

The rest of the articles presented in the given number are about: quality management method

and tools, talent management, the analysis of capital market, cluster management, innovation

management, foresighting, consumer satisfaction and managerial competencies.

Radosław Wolniak

S I L E S I A N U N I V E R S I T Y O F T E C H N O L O G Y P U B L I S H I N G H O U S E

SCIENTIFIC PAPERS OF SILESIAN UNIVERSITY OF TECHNOLOGY 2019

ORGANIZATION AND MANAGEMENT SERIES NO. 133

http://dx.doi.org/10.29119/1641-3466.2019.133.1 https://www.polsl.pl/Wydzialy/ROZ/Strony/Zeszytynaukowe.aspx

TALENT MANAGEMENT AS A CONCEPT OF HUMAN CAPITAL

MANAGEMENT

Robert BALCERZYK1*, Janusz MATERAC2

1 General Tadeusz Kościuszko Military University of Land Forces in Wrocław; [email protected],

ORCID: 0000-0002-5462-6901 2 General Tadeusz Kościuszko Military University of Land Forces in Wrocław; [email protected],

non-academic employee

* Correspondence author

Abstract: The primary purpose of the article is an in-depth literature analysis on issues related

to employee talents. The paper presents the evolution of the concept of "talent" over the

centuries and its contemporary definitions in the literature on management sciences. The talent

management in the process approach, including the idea by T. Listwan and M. Armstrong, has

been described. The main strategies of talent management have been discussed. The article ends

with a summary and presentation of conclusions.

Keywords: talent, talent management.

1. Introduction

Over the last decades, the dominant concepts of organization and management have

undergone a kind of evolution. Since the 1950s, the process of globalization, and thus also

a gradual increase in the complexity of the environment of operating enterprises, has been

observed. Global orientation characterized the 1970s. The surroundings of an organization have

become eventful and turbulent. Strategic management has become a tool for streamlining

organization and management. The last decade of the twentieth century saw more radical

changes in management. Knowledge management has appeared as a dominant concept

integrating all management subsystems.

Modern (knowledge-based) organizations increasingly need talented people. Employees –

outstanding specialists, gifted people, devoted to the company can provide the survival of

organizations on today's market and the competitive advantage. Demographic indicators predict

the shrinking of labor market resources. The analysis of the costs associated with employment

mailto:[email protected]

8 R. Balcerzyk, J. Materac

and seeking such people proves that it is cheaper to hire talented employees and take care of

their development than to look for them on the external market.

The development of employee competencies has become the key activity of the

management staff. Managers recognize the importance of talents for the development and

operation of the organization. At the end of the last century, the concept of talents was also

popularized. The development of modern technologies has caused that the demand for

employee talents exceeds their supply. As a result, the employee talent market has become the

most competitive since the nineties.

2. Evolution of the concept of "talent"

In the literature on management sciences, a multitude of definitions of the word "talent" can

be found. In ancient times, it was initially given the meaning of weight units and later monetary

units. That can be evidenced by the biblical parables, or archaeological research carried out in

the Mediterranean basin (Flacellière, 1985). Some philologists have translated talent into

"capital," which can be used in identifying it with, for example, human capital. The 13th century

brought a new understanding of "talent." It began to be referred to as tendencies and

dispositions. It was associated with abilities or even a mental gift. However, it did not lead to

the departure from understanding it through the prism of wealth and treasure. The revolution in

the meaning of the word "talent" dates back to the seventeenth century. Then, it signified a kind

of unique predisposition. In the nineteenth century, it started to be understood as a talented

person (Tensley, 2011), which interrupted the period of pigeonholing it as a feature.

L. Hollingworth’s works of 1926 determine a talent through a peculiar kind of personal

intellectual equipment (Hollingworth, 1926). Such individuals need specific attention and

unusual behavior if they are to develop their gift. Shunning boredom and lack of success is to

be a recipe for protecting talented people from losing their predispositions (Pocztowski, 2008).

Immediate identification of talent allows for succeeding in its further development.

K. Heller is a Polish pioneer among the authors dealing with the issue of employee talents.

In 1932 he put forward a thesis that these are higher-order abilities (Heller, 1932). The task for

the managerial staff is to discover talent in their subordinate employees. K. Haller honored

talented workers (Tabor, 2013). He based the structure of talent on the attributes of intellectual

work, which included intuition, memory, imagination, fantasy, as well as the ability to focus

attention, associate and reason logically.

The eighties of the twentieth century are associated with the works by N.E. Jackson and

E.C. Butterfield. The authors clearly underlined the importance of the diagnosis of talent

(Jackson, 1986). Staying ahead of peers and functioning at a higher level of advancement

indicate talented people.

Talent management as a concept of human capital management 9

A.J. Tannenbaum proposed an interesting division of talents. He categorized talents in four

generic groups (Chełpa, 2005):

‒ security talents – a group of rare talents, including, for example, leadership; they are

indispensable and desirable in organizations and communities;

‒ quota talents – a group of more frequent talents, such as extraordinary skills in a given

field; they are important for the functioning of the organization, usually one-sided;

‒ surplus talents – a group of rare talents, such as musical, artistic or sports ones;

not necessary for the development of the organization;

‒ anomalous talents – a group of strange and superfluous talents, such as the results from

the Guinness Book of Records.

The Talent Relationship Management (TRM) concept is the mainstream of reflection on the

issues of talent carried out in the nineties of the twentieth century. It should be understood by

engaging in the development of relationships with talented people who have innate

predispositions to "gain peaks" in a specific field (Pocztowski, 2008). This method was

a response to the organization's demand for prominent employees supporting its

competitiveness.

The term presented by E. Michaels, H. Handfield-Jones and B. Axelrod in one of the most

popular publications on the subject – The War for Talent should be considered the most

commonly cited definition of the word talent. According to the authors, talent is:

"The sum of a person's abilities – innate gifts, skills, knowledge, experiences, intelligence,

judgments, attitudes, character and entrepreneurship, as well as the ability to learn and develop"

(Michaels, 2001).

The issue of the meaning of the word "talent" has been addressed by many contemporary

Polish researchers in the field of management. M. Juchnowicz understands talent as outstanding

individual abilities exhibited in intellectual, creative or specific skills. Motivation,

entrepreneurship and strong commitment are integral attributes of talent. When defining talent,

he draws particular attention to the fact that limiting to innate qualities is not enough. The key

to success is commitment and the mentioned motivation.

T. Listwan inscribes the concept of talent in the motivation model of the self-fulfilling

individual (Listwan, 2005). The author believes that ambition and permanent development are

determinants of a talented person. Talented people should be associated with work per se –

competing with oneself.

In his work, K. Kwiecień presented a comprehensive offer of talent components. The author

attributes the following features and competencies to it (Kwiecień, 2005):

‒ leadership qualities;

‒ a sense of strategic thinking;

‒ emotional intelligence;

‒ focusing on results;

‒ entrepreneurship;

‒ the ability of interpersonal interaction;


‒ flexibility;

‒ adaptability in a changing environment;

‒ ability to work in a group;

‒ technical qualifications in a specific field.

Formulating an unambiguous definition of talent is an important but extremely difficult

task. The barrier is the authors’ diverse approach to the determinants and characteristics of this

concept. Consensus is obtained only on limited issues. The classification of talent is built based

on the criteria (Pocztowski, 2008):

‒ uniqueness and range of talents;

‒ connection with the goals of the organization;

‒ a kind of ability.

The evolution of the concept of "talent" as well as the multiplicity of its definitions will

remain the subject of numerous dissertations and papers on management sciences. We are

currently witnessing the increased development of this concept. There will need more and more

talented people in organizations where a man – his knowledge, skills or motivation – is the key

to success. Managers able to identify and properly use the "talents" will be the engine of their

effective operation.

3. Talent management in the process approach

Rapid changes in technology, permanent migrations, an aging population or the expansion

of a knowledge-based economy are current challenges facing the labor market. The result of

this situation is the shortage of talented employees. Some authors believe that the key reason

for this situation is an ineffective talent search system among employees in the company.

Taking into account the definitions of talent, its characteristics and requirements for employers,

it is necessary to indicate some directions of development of management systems (Pocztowski,

2008):

‒ implementation of flexible forms of employment and organizational structures;

‒ share of employees in enterprise management processes;

‒ creation of knowledge incubators;

‒ emphasis on team work with the ability to perform individual tasks;

‒ preservation of symbiosis between work and private life;

‒ permanent increase of employees' professional activity;

‒ reduction of bureaucracy;

‒ remuneration system dependent on the contribution made to the company;

‒ work efficiency management;

‒ taking care of effective communication within the organization.


In M. Armstrong's work, the term talent management can be attributed to succession

planning and to activities aimed at employee development (Armstrong, 2011). The author

believes that this concept brings nothing new to known human resource management processes,

apart from an eloquent name. Talent management should be treated as a universal set of

activities. It aims to secure the flow of talents in the organization, treating it as one of the

company's key resources.

E. Michaels and his co-workers identified five principles of talent management, which read

as follows (Michaels, 2001):

‒ creating the best value offer for the employee, building the attractiveness of the

organization for talented people;

‒ building a long-term recruitment strategy, abandoning ad hoc schemes;

‒ using professional experience, coaching and mentoring principles for skill improvement

for the managerial staff;

‒ increasing the talent pool through investments, development and decisive actions

towards employee groups;

‒ strong belief that competitive advantage is based on having better talents.

Based on the achievements of R.E. Lewis and R.J. Hackman, talent management should be

considered in three basic trends. In the first perspective, talent management is perceived as

a set of standard practices, activities and functions of human capital management. These

include, for example, recruitment, selection and development. These functions are implemented

much faster than in the classical approach and should apply to the whole organization, not one

department. Proponents of the trend argue that the concepts of talent management and human

resources will be used interchangeably in the future. The second approach concerns activities

within the talent pools. The inflow of employees is subject to analysis and control.

The employed are assigned to the appropriate job positions. This trend is focused on the interior

of the organization. The third view, whose center is talent itself, distinguishes two different

tendencies (Lewis, 2006). The first one assumes that talents are people with high potential.

They should be sought, recruited and rewarded for the results achieved. The second approach

considers talent as undifferentiated good. Demographic and humanistic factors are the reason

for this approach. The role of the executive personnel is to manage the overall talent to achieve

the best possible results.

The process approach towards talent management was presented by T. Listwan. He defined

the concept as a set of actions in relation to exceptionally gifted individuals. These activities

should be undertaken to develop these people and implement the organizational strategy

(Listwan, 2005). The author classified these activities into three basic groups (Tabor, 2013):

entry, transformation and exit.

The first stage of the talent management process focuses on planning the number of

employees, choosing sources for gaining talented people, selection techniques, as well as

defining career paths. When recruiting talents, one ought to concentrate on aligning the


employee in a two-way manner. Planning the number of personnel is mainly based on

specifying the number of employees, their competences and defining a group of redundant

competences. An important role here is played by internal gaining talented employees. Some

experts consider this form of recruitment the most favorable for the organization. Employees

are characterized by a higher level of loyalty and identification with the company. One does not

need to adapt them. The construction of a competency profile should mainly be based on

behavioral criteria.

Transformation (maintaining talents) is the second stage of the talent management process

proposed by T. Listwan. Activities taking place in it concern the effective use of employees’

competencies. Transformation taking place within an enterprise is a team of motivational

activities. They include career creation, remuneration, internal migrations of employees, and

their individual development.

The third stage of the talent management process has a specific impact on the further

functioning of the organization. It is closely related to the loss of someone more important than

a regular employee. The departure of a talented person writes off the funds invested in him and

limits the organization's potential.

M. Armstrong believes that talent management takes the form of a set of correlated

processes. Talent management elements are depicted in Figure 1.

According to M. Armstrong, the starting point of talent management is the business strategy

and defining the importance of talent for the organization (Armstrong, 2011). The main goal

here is to develop and maintain the talent pool. The subsequent elements of the process are

presented below.

The strategy for acquiring resources consists in formulating requirements in relation to

human capital. A draft policy for the acquisition, maintenance and internal identification of

talented individuals, their promotion and development, is created.

The policy and the program of attracting and retaining is based on the activities of

acquiring and keeping the talented persons necessary for the organization. The policy of

attraction manifests itself through the external acquisition of human capital. Recruitment and

selection processes are used here. The policy of retaining is to make sure that employees remain

in the organization. The effect of these activities is the flow of talents.

Talent audit should be explained by identifying people with potential. It provides

a framework for planning and career development. It is required that talented individuals have

experience, which is expanded by learning programs and coaching. An additional advantage of

the audit is the ability to detect the potential danger of losing talented people and to indicate the

actions necessary to retain them.


Figure 1. Talent management elements. Source: Armstrong, 2011, p. 505.

Role design is an element of talent management that ensures the autonomy, responsibility,

and challenges necessary to generate motivation and commitment. Opportunities, incentives to

learn and the development of specific roles are created. Employees must be provided with

flexibility to make them able better use their talents.

Managing relationships with talents is based on generating effective relationships with

employees within specific roles. It is necessary to build a good workplace, treat employees

honestly, enable their participation, and provide opportunities for development. Undertaking

these activities is to lead to the "commitment of talents", namely a situation in which employees

are devoted to work and organization.

Performance management allows for the best use of talented people within the organization.

Operational managers should conduct individual risk analyzes in relation to key employees.

Performance management is a tool for increasing motivation and commitment. Employees

should be provided with positive feedback and recognition expressed towards them.

Learning and development are essential elements of the process, which allows the

employees to deepen their knowledge and improve their skills. The company should create an

effective employee profile based on the competencies and required qualities.

Management succession planning is about providing the organization with managers who

are to ensure future business needs.

Career management is to provide the organization with the flow of talents and the

satisfaction of employee aspirations.


The process approach in management sciences is currently used in many existing concepts.

The authors could not ignore the implementation of this approach in such a developmental and

forward-looking theory like talent management. Already, the future management team should

learn its course and effective application.

4. Building a talent management strategy

In addition to surviving in an unpredictable environment, every organization has the

aspiration regarding constant development and adaptation to change. The implementation of

rational "talent management" programs in the organization may be a chance to meet these

aspirations. While looking to the future, the managerial staff must create an appropriate strategy

for the development of talented people. Skilled workers, without whom organizational success

is impossible, are becoming "a scarce commodity".

According to W.J. Rothwell, strategic development of talent (SDT) should be defined as

the process of changing (Rothwell, 2003) the organization, stakeholders and groups of

employees through planned and unplanned learning in order to acquire critical competencies

necessary to achieve competitive advantage by the organization.

D.G. Collings and K. Mellaim consider strategic talent management (STM) as all the

activities and processes characterized by systematic identification required to maintain

a permanent competitive advantage (Collings, 2009). The development should include

individuals with the highest potential and results and the entire HR architecture.

M. Armstrong defines the following goals of strategic talent management (Armstrong,

2011):

‒ identification of people covered by the talent management program;

‒ formulating the internal definition of talent in terms of competencies and potentials;

‒ establishment of future talent requirements;

‒ developing an opinion of "a great workplace" about a given organization;

‒ employing qualified and competent people that will help in the development of the

organization;

‒ creating job positions that allow for the implementation and development of employee

skills;

‒ allowing employees to develop their roles, interests and autonomy at work;

‒ giving development opportunities to talented employees;

‒ taking care of an appropriate work environment;

‒ taking care of a balance between work and private life of employees;

‒ taking care of unwritten relations with employees;


‒ paying attention to the development of leadership competencies by the managerial staff

at the operational level;

‒ appreciating talented people;

‒ identifying talented individuals and those who should leave the enterprise through talent

audit procedures;

‒ succession planning among management staff.

The literature on the subject presents different approaches to the issue of talent management

strategy. The strategy proposed by Deloitte Research Study is worth noting since it divides it

into a process and configuration (Pocztowski, 2008). This approach defines the process strategy

as recommended in the case of a lack of access to talented employees. Enterprises focus on

acquiring and retaining talented employees. Activities related to the development and

deployment of talents are sidelined. The effect of this approach is to omit key issues for

employees. Talent management strategies in terms of a process are presented in Figure 2.

Figure 2. Talent management strategy in the process approach. Source: Deloitte Research Study, It’s

2008. Do You Know Where Your Talent Is? Why Acquisition and Retention Strategies Don’t Work,

Deloitte, 2004, p. 5.

The configuration strategy is based on the thesis that actions related to acquiring and

retaining employees should not be immediately rejected (Pocztowski, 2008). These treatments

should be treated as complementary. In this approach, the greatest importance is attached to the

development, deployment and connection of employees.

Strategic talent management should be understood as a series of processes implemented

over a long period. Executives should determine the goals of strategic talent management in

order to implement them correctly. Despite the occurrence of various approaches to the talent

management strategy, one should remember that the most important element is a gifted person

– the organizational "talent".


Figure 3. Talent management strategy in the configuration approach. Source: Deloitte Research

Study, It’s 2008. Do You Know Where Your Talent Is? Why Acquisition and Retention

Strategies Don’t Work, Deloitte, 2004, p. 5.

5. Conclusion

The essence of implementing talent management programs is to gain a competitive

advantage on the market and retain talented people important to the organization.

The functioning of such programs has a very positive impact on the image of the organization

on the external labor market. The above ensures a supply of new, talented employees.

The determination and individual employee’s desire to develop are usually sufficient to the

capacity building. Commitment and motivation are behaviors that characterize talented people.

Thanks to the involvement of the managerial staff in the process of talent management,

the development of employee competencies is much faster. It is this acceleration that is

precisely the desired effect of talent management programs.

In the era of globalization, the economy and obtaining a competitive advantage are based

on knowledge. Gone are the days when exemplary profits were achieved by the owners of

means of production using cheap labor force.

At a time when the possessed knowledge and information have become the basis for

development, the greatest problems of modern organizations will be "human capital flight",


improper talent identification, or shortage of talents. The largest profits in the economy are

achieved by innovative companies, which frequently are created using the start-up formula.

In today's economy, each organization (aimed at its survival in the era of constant

competition) should focus its activities on building an appropriate talent management strategy.

References

1. Armstrong, M. (2011). Zarządzanie zasobami ludzkimi. Warszawa: Wolters Kluwer

business.

2. Chełpa, S. (2005). Samorealizacja talentów – możliwości i ograniczenia interpersonalne.

In S. Borowska (ed.), Zarządzanie talentami. Warszawa: IPSS.

3. Collings, D.G., Mellahi, K. (2009). Strategic Talent Management: A review and Research

Agenda. Human Resource Management Review, 19(4).

4. Flacellière, R. (1985). Życie codzienne w Grecji za czasów Peryklesa. Warszawa: PIW.

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of leader’s job. Ivey Business Journal, listopad-grudzień.

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7. Hollingworth, L.S. (1926). Gifted children. Their nature and nurture. New York:

Macmillan.

8. Jackson, N.E., Butterfield, E.C. (1986). A conception giftedness designed to promote

research, In R.J. Sternberg, J.E. Davidson (eds.), Conception of giftedness. New York:

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9. Juchnowicz, M. (2005). Motywowanie do rozwoju. In S. Borowska (ed.), Zarządzanie

talentami. Warszawa: IPiSS.

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In S. Borowska (ed.), Zarządzanie talentami. Warszawa: IPiSS.

11. Lewis, R.E., Hackman, R.J. (2006). Talent Management: A Critical Review. Human

Resources Management Review, 16.

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Harward Business School Press.

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Kluwer business.

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COMPETITIVE AND INTEGRATED CAPITAL MARKET IN POLAND 1

AS A FINANCING TOOL FOR THE DEVELOPMENT OF POLISH 2

REGIONS 3

Michał BRONISZEWSKI 4

Katedra Studiów Europejskich, Wrocław; [email protected], ORCID: 0000-0001-5857-2958 5

Abstract: The aim of this scientific article is to assess the importance of an integrated approach 6

to the Polish capital market for financing the development of Polish regions after 2020. 7

The result of the research will be creating an analytical integrated model of sequential 8

organizational changes in the Polish capital market. At the theoretical level, an integrated 9

capital market model will be created enabling the correlation of activities of the capital market 10

participants and emphasizing the very essence of political risk management and allowing for 11

determining their potential impact on financing the development of Polish regions’ investments. 12

At the empirical level, the matrix method of decision of problems in the conditions of political 13

risk was used, assuming the occurrence of the following events in the following system: 14

determining the nature of risk, identifying activities, determining possible packages of actions 15

within the framework of political decisions. The results of the research will enable identification 16

of implementation options for actions, and will support implementation of the capital market 17

development strategy. Practical application of research allows for adequate reaction to 18

participants in the situation of organizational changes in the capital market and for showing the 19

importance of financing the development of Polish regions. 20

Keywords: Integrated Polish capital market, financing the development of Polish regions, 21

organizational change on the capital market, integrated territorial investments. 22

1. Introduction 23

Ensuring long-term development of Polish regions requires competitive and integrated 24

Polish capital market which adopts a horizontal, strategic and responsible approach. The aim 25

should be to strive for the essence of sustainable, durable, economic development and ensure 26

continuity of positive processes currently taking place in the free market economy. Activities 27

in the capital market require state support in the sphere of economic policy, support which takes 28

into account stability of the financial system, and considers the growing role and dynamics of 29

capital market development as an important source of investment financing. 30

20 M. Broniszewski

The significance and the role of sustainability of public finances is important especially 1

after the structural and financial crisis that embraced Europe in 2008 (Karkowska, Sopoćko, 2

2014). Ensuring sustainable development of the economy forces the Polish government to 3

protect and stabilize systems, especially the financial system which is now becoming a key 4

source of investment capital for the development of enterprises and, more importantly, for the 5

development of local self-government units (LGU) in Poland. 6

Even the most well-functioning, 'perfect', competitive financial markets may be inefficient 7

in terms of proper allocation of financial resources over time as the future is not rewarded in 8

any market (significant words spoken in 1987 by Robert Merton Solow, the Nobel Prize 9

laureate). Currently, the capital market in Poland has become an important foundation for 10

implementation of the current government’s Responsible Development Strategy (RDS), and 11

may become the main source of investment financing in Poland, especially with reduction of 12

funding for 2020 from the European funds (the issue of social investments was raised by the 13

author, Monika Klimowicz, PhD, during the II Congress of European Studies in Szczecin). The 14

reason for it should be sought in Great Britain’s Brexit from the EU and lowered allocation to 15

the EU budget which may affect regional development in Poland that depends on this domestic 16

capital. Attributing high priority to the Capital Building program becomes justified by both 17

theoreticians and practitioners, and is a key element of implementation of the government 18

strategy for Responsible Development (RDS) as a kind of governmental plan of socio-economic 19

development in Poland. 20

Investment capital for economic development in Poland should be balanced, self-sustaining, 21

constitute a systemic order that harmonizes the main orders in which balance of governance is 22

important: the institutional and organizational order in the capital market, economic order and 23

systemic order. Each of these orders should be integrated, harmonized and contribute to long-24

term sustainable development of the Polish capital market. 25

Interference in the financial system is understood as intervention in the form of making 26

appropriate political decisions to create and implement a responsible strategy. It is undertaken 27

due to implementation of specific economic goals, and its implementation may have direct 28

impact, causing immediate or delayed effects, during a specified period of time in the capital 29

market. The answer to the threat may be management of political risk in the capital market by 30

forecasting the effects of political decisions over different time perspectives. The answer should 31

strive to either gradually or completely satisfy the needs of rationality and efficiency of 32

functioning of capital market participants by offering appropriate institutional and 33

organizational solutions, in the right time perspective, with an appropriate level of risk for the 34

network participants of the capital market. An attempt to approach the capital market in an 35

integrated manner requires process continuity and not fragmented short-term action related to 36

the development of the capital market, intervention in the form of capital market strategy will 37

also ensure its consistent development over the long run. 38

Competitive and integrated capital market… 21

The scientific article assessed the possible organizational changes in the Polish capital 1

market in favour of financing the development of Polish regions using the strategic political 2

risk management method. The assessment will be complemented by an attempt to indicate 3

possible actions in the form of a proposed series of measures to lower an minimize political 4

risk. The article is of conceptual nature. 5

2. Objectives and decision areas of the Polish capital market – towards 6

integrated activities 7

The essence and significance of changes in the current priorities of the state’s economic 8

policy is mainly reflected in the Polish capital market, specifically following changes of 9

development directions by political decision maker, and related risk concerns among capital 10

market participants (Broniszewski, 2017). The development of political (systemic) processes in 11

Poland and the European Union is a response to specific threats and problems associated with 12

the ever-present political risk incurred in the capital market that today is a greater challenge 13

than ever, as far as stabilization and development (Banaszczak-Soroka, 2008). The 14

development of political processes should be seen in the development opportunities of the 15

network combining the benefits of a political decision maker with the benefits of market 16

institutions which favour various types of activities and processes currently belonging to market 17

challenges (Szkutnik, 2016). 18

The source of development imbalance in the Polish economy is indicated by the 19

government’s Strategy for Responsible Development (SRD) which shows that the current 20

development model of Poland has been dependent on foreign capital, leaving domestic capital 21

in the background (Ministry of Development, 2017). Domestic capital included in the capital 22

market did not play a significant role in creating a transfer of the source of innovation for the 23

development of enterprises located in regions of Poland (European Commission, 2015). 24

The emerging gap in institutional balance (weakness) is to be seen in the society as a “rule 25

of the game” (North, 1990). The analysis of the assessment of the NRI, HDI, SPI, DESI 26

indicators, carried out in recent years, indicates weakness in the effectiveness of Polish 27

institutional solutions (The World Economic Forum, 2015). This means that there are justified 28

fears about ineffective implementation of development goals, and public policies are not related 29

to financial instruments (NCBiR, 2016). The issue of risk management is related to the stability 30

of the institutional system (Zybała, 2012). Internal consistency of institutional solutions of the 31

Polish capital market should provide an impulse to build Polish capital in the economy and to 32

move towards integration as well as adapt an appropriate package of strategic risk management 33

activities. 34

22 M. Broniszewski

In order to be integrated, the package of activities should have a certain set of ordered 1

system rules combining consistent, uniform processes and appropriate practices created for the 2

policy marker, taking into account the economic interest of individual capital market 3

participants. The created rules of strategic political risk management should be closely aligned 4

with organizational and institutional structure of the capital market. The development of the 5

Polish capital market is closely related to the level of attracting private capital (collection), and 6

the activity of capital market participants as to their financial condition. Objectives and decision 7

areas for participants in the capital market should be as follows: 8

acquiring capital and shaping the capital structure, 9

allocation of capital, effective use of it for influencing, among others, the scope and 10

manner of the capital connection with other market players, 11

risk management and effective use of capital market instruments (Łukasik, 2013). 12

The essence of development and implementation of the government development strategy 13

for the Polish capital market is quite often perceived as a risk (in institutional terms) by capital 14

market participants. The next stage of development of capital market maturity is a change – 15

a combination of coherent processes and practices of economic activity aimed at implementing 16

the strategy. The integrated packages of activities in the Polish capital market should take into 17

account a number of variants shaping such changes (fig. 1). 18

19

20 21 Figure 1. An integrated model of organizational changes in the Polish capital market. 22 23

24

Variant A Strategy of Responsible Development

Organizational structure of the capital market

Capital building program

Variant B Organizational structure of the capital market

Strategy of Responsible Development

Capital building program

Variant C Capital building programOrganizational structure

of the capital marketStrategy of responsible

development

Integrated Polish capital market


The use of the tested variants of the sequential model in the Polish capital market enables 1

selection of a practical path of activities to develop and gradually perform implementation of 2

the government’s capital market development strategy. The model of strategy implementation 3

adopted above, shapes various variants’ (A, B, C) impact on the development of the Polish 4

capital market. The sequential model assumes the existence of appropriate rules (including the 5

mechanism of implementation process) of the subsequent synergies of the stages. The essence 6

of the presented model is a sequential relationship that determines the relation between the 7

positioning path of components of capital market participants’ action and political decisions, 8

including occurrence of political risk. 9

The first stage of activities involves determining the type of political risk, i.e. what political 10

conditions affect or may affect the objectives of capital market participants. At the second stage, 11

the risk should be identified by developing an appropriate set of scenarios (possible 12

consequences) that will allow for estimation of the degree of risk and its potential impact on 13

the capital market and its participants. The last stage concerns development of a scenario of 14

actions aimed at counteracting possible or real consequences (avoiding risk). The values refer 15

to how a particular action variant or result is assessed. This term refers to the first degree of 16

consideration. On the other hand, instrumentality shows usefulness of individual attributes to 17

the first degree factor in order to achieve the second degree. Instrumentality may have different 18

values, and therefore be positive or negative (fig. 2). 19

20

21

Figure 2. The triad of the institutional matrix of the Polish capital market based on public finances. 22

23

24 M. Broniszewski

An important element of public finances is to have a coherent, rigid integrated framework, 1

skilfully associated with public authorities (LGU) and EU funds at the national, regional and 2

local levels (macro-meso-micro). 3

3. Implementation solutions for the development of the Polish capital 4

market with particular emphasis on political risk management as a tool 5

for financing the development of Polish regions – research results 6

Considering the implementation solutions and the importance of the government’s capital 7

market strategy for financing the development of Polish regions, one should notice the growing 8

importance of the Polish capital market and the challenges it entails in the era of globalizing 9

markets and in order to avoid risk. Strategic management of political risk is of key importance 10

for the areas of operation of enterprises operating in a regional configuration where the still 11

valid and overlapping problems of raising investment capital, along with risk, block the present 12

and the future development of regional economies (Strzelecki, 2009). 13

Undoubtedly, the main problem is the scale of the risk borne, as it is a significant 14

determinant affecting the development and functioning of the organization. Lack of uniform 15

and unchanging factors affecting the development of the capital market has been recognized in 16

the long-term SRD strategy which perceives the Capital Building risk, related to the 17

implementation of the state’s economic policy and the market participants’ expectations, 18

as a factor that has significant impact on generating profit and inflows. The results of the lack 19

of risk identification as part of external and internal challenges of globalizing markets are to be 20

non-competitive in an inter-market environment. On the other hand, the benefits of developing 21

an active long-term capital market strategy allow the players to respond properly in crisis 22

situations. The very identification and consequences affecting the functioning should be noticed 23

as part of actions for the development of procedures which initiate an appropriate response 24

when risk arises. This indicates that the methods taken by the decision-maker of political 25

decisions contribute to specific, selected actions (fig. 3). 26

Political risk is an indispensable determinant of the development of the Polish capital 27

market as it is based on the changing socio-economic situation as a result of changes in political 28

decisions. Therefore, in the above figure, the symbol X/impact factor () was marked as 29

understood level of risk impact in the Polish capital market. A characteristic of the capital 30

market is the possession of an appropriate long-term strategy, containing a package of created 31

procedures to counteract and stimulate endogenous development with appropriate risk 32

management. Due to its specificity, each capital market has a different financial situation, which 33

may result in different conditionality of risk in the process of its management. The impact of 34

the sequential model of the capital market on the development of Polish regions is highlighted 35

below (fig. 4). 36


Table 3. 1 The matrix of decision problems in conditions of political risk 2

Variants (acc. to the above

sequential model)

Existing conditions: (A) (B) (C)

En

vir

on

men

t o

f th

e P

oli

sh c

ap

ita

l m

ark

et

Macro-economic

(related to implementation of state’s economic policy and the

expectations of capital market participants)

T T T

Regulatory

(associated with changes in legal and tax regulations)

T T T

Globalization

(associated with challenges in the international arena)

T T T

Activities/Package of activities

(towards lowering political risk):

(A) (B) (C)

Lowering the risk of legal regulations

(associated with adaptation to the Polish legal order)

X X X

Building an attractive image of the Polish capital market (as an attractive place for foreign business entities from Great

Britain as a result of the Brexit phase)

X X X

Implementation of a new organizational model in the scope of

operationalization of the strategy for capital market

development (used to assess the effects of regulation, using the

new capital market strategy)

X X X

Where: 3 Y is Yes, 4 X is the Impact factor (). 5 6 Source: own study based on: Broniszewski, 2017. 7

8

9

Figure 4. The impact of the integrated sequential model of the Polish capital market on the development 10 of Polish regions. 11

Defining the structure of the process of developing and implementing the government’s 12

capital market development strategy and synergy of financial policy (political decision-maker 13

as the regulator for the implementation of the new SRD) in the implementation of the Capital 14

Brexit

26 M. Broniszewski

Building rules involves assessing possible consequences in creation and implementation of 1

regulation (strategy building of the capital market) in the scope of integrated development of 2

Polish regions in the long-term. Thus, it ensures investment financing for Polish LGU. 3

Enterprises present in the capital market, listed on the stock exchange, have positive impact 4

on the strength of local economies, their labour markets, investment and R&D activities, as well 5

as significant impact on the budgetary position of local governments. Firstly, depending on the 6

type of business, they incur, in varying proportions, a number of fees that feed only local 7

budgets: forest and agricultural taxes, environmental and waste fees and permits, as well as 8

property tax (PwC, 2016). Companies listed on the WSE are the largest investors in our country, 9

and this means that they are often a key link determining the economic development of 10

individual regions. Capital market participants implement social responsibility (Broniszewski, 11

2016). Based on stagnant (quantitative) data, a PwC report shows an estimated scale of inflows 12

to local governments from PIT and CIT taxes from the listed companies (in million PLN), and 13

their share in total budget revenues of local governments of various levels for PIT and CIT 14

taxes (fig. 5). 15

16

17

Figure 5. Estimated statement of revenue from taxes on personal income tax (PIT) and (CIT) – condition 18 for 2015 (in thousands). 19

Diagnosis of the summary of estimated data from receipts from PIT and CIT taxes 20

(for 2015) from companies listed on the stock exchange to LGs shows their significant share in 21

the income obtained from PIT and CIT taxes, and thus is of great importance for financing the 22

development of Polish regions. Especially after 2020, it can be a factor supporting investments 23

in the sphere of research and development (R&D). There is a connection between the creation 24

of an integrated and, simultaneously, competitive Polish capital market. With the economic 25

receipts from PIT and CIT taxes obtained from enterprises listed on the stock exchange by JST, 26

0 PLN

200 000 PLN

400 000 PLN

600 000 PLN

800 000 PLN

1000 000 PLN

1200 000 PLN

1400 000 PLN

Pro

cee

ds

fro

m t

axe

s


in the form of increased outlays on R&D and in chain building, there is the added value of 1

innovation for the development of Polish regions. The revenue from PIT and CIT taxes should 2

be currently included in the integrated capital market strategy in Poland, which may be of real 3

benefit for Polish regions. Enterprises listed on the stock exchange have financial and market 4

successes, and can be a long-term shareholder in the financing of regional innovation over the 5

long term. The goal of an integrated and competitive Polish capital market is to enable the 6

acquisition of financial resources and to provide income for regional investments, thus 7

constituting a factor supporting the development of Polish regions in the long term. This may 8

contribute to an increase in R&D investment and, to a large extent, to creation of new jobs for 9

the inhabitants of individual regions. The capital market will generate equity and investment 10

capital, and thus will become a factor supporting the development of Polish regions. 11

3. Summary 12

This paper proposes an integrated sequential model of organizational changes in the Polish 13

capital market, extended by an integrated action package for the development of the Polish 14

capital market, showing different rules to assist with implementation of the governmental SRD 15

in the capital market with greater success. To this end, the article points to achieving coherence 16

between the regulatory, economic and social spheres which have significant impact on regional 17

development. The impact of the integrated sequential model of the Polish capital market on the 18

development of Polish regions in the era of ongoing work on the government development 19

strategy of the Polish capital market enables market participants to enter and allows for 20

movement of the local self-government in the business environment, thus ensuring creation of 21

attractive and competitive local capital companies. With the new streams of capital market 22

revenues in the form of revenues from incomes taxes from companies listed on the stock 23

exchange, this would enable better performance of existing enterprises in emerging markets 24

and mitigate losses by improving integrated approach to risk management by capital market 25

participants. 26

Currently, the development of the capital market depends, to a large extent, on the political 27

risk incurred through the initiative to counteract threats in the framework of the decision-28

maker’s activity. The argument for undertaking this action is to foster a highly competitive 29

market among its participants. Activities and processes undertaken by the capital market should 30

take into account political risk and management efficiency through searching for active 31

solutions in this field. There is a justified premise (acc. to the Author) in the developed 32

government development strategy of the Polish capital market in increasing the role and 33

significance of LGU. 34

28 M. Broniszewski

References 1

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participants of the capital market). Warszawa: PWN. 3

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szczególnym uwzględnieniem regionu opolskiego – uwarunkowania instytucjonalno-5

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native. 15

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on the capital market). Warszawa: Wyd. DW Elipsa. 17

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Concepts, Methods). Wrocław: Wydawnictwo Akademii Ekonomicznej. 19

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przedsiębiorstwa. In S. Owsiak, A. Pollok, (Eds.), W poszukiwaniu nowego ładu 21

ekonomicznego (The impact of capital market development on the choices of a modern 22

enterprise. Warszawa: Polskie Towarzystwo Ekonomiczne. 23

9. Ministerstwo Rozwoju, Strategia na rzecz odpowiedzialnego rozwoju (Strategy for 24

responsible development), Retrieved from http://prawo.sejm.gov.pl/isap.nsf/ 25

download.xsp/WMP20170000260/O/M20170260.pdf. 26

10. Narodowe Centrum Badań i Rozwoju, Program strategiczny Społeczny i gospodarczy 27

rozwój Polski w warunkach globalizujących się rynków (Strategic program Social and 28

economic development of Poland in the conditions of globalizing markets). Retrieved from 29

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zalozenia_do_programu_do_konsultacji.pdf. 31

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Cambridge: Cambridge University Press. 33

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Warszawa: PWN. 36


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capital market decision processes in relation to economic conditions. Stability of economic 3

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DECONSTRUCTING THE BARRIERS OF THOUGHT – 1

THE NEED FOR EMBEDDEDNESS OF EDUCATION AND BUSINESS 2

Ana CALAPEZ-GOMES1*, Luiz RODRIGUES2 3

1 SOCIUS, ISEG – Lisbon School of Economics and Management, Universidade de Lisboa, Portugal; 4 [email protected], ORCID: 0000-0001-6853-0487 5

2 Instituto Politécnico de Portalegre, Portugal; [email protected], ORCID: 0000-0001-7879-3686 6 * Correspondence author 7

Abstract: The need to match education and business goals is an endeavour and a challenge for 8

any educational institution, especially for higher education institutions. This challenge has 9

become an important focus over the last decades due to the claimed relationship between 10

education and innovation as well as the potential for economic development. The biggest 11

challenge seems to be to overcome the barriers of thought and objectives that exist between the 12

two worlds of education and business. Indeed, although many attempts and programmes are 13

being developed almost all over the world to bridge these two realities, many clashes and 14

disillusions exist. For different reasons, this issue is viewed almost exclusively from the 15

academic perspective, with the entrepreneurial perspective being completely absent. Based on 16

the experience of both the academic and business worlds, the authors commence this 17

contribution by analysing the causes of this mismatch of interests. They conclude by presenting 18

some possible solutions for improving this misalignment. 19

Keywords: education and business, education for innovation, entrepreneurship, active learning, 20

economic development, knowledge transfer. 21

1. Introduction 22

In a very narrow sense, the academic world (i.e., universities) and the business world share 23

neither the same aims and interests nor the same modus cogitandi or modus operandi (Demain, 24

2001). The academic world wants to build generic models that can help address multiple similar 25

issues. For this purpose, it is necessary to examine the context. On the other hand, businesses 26

aim to solve problems in a simple, quick and cheap way and very often it creates a difficulty in 27

understanding the context between the people of these two worlds (Wallin, et al, 2014). 28

Therefore, to bridge the gap between the academic and the business world, an in-depth 29

32 A. Calapez-Gomes, L. Rodrigues

knowledge of each particular context is needed, and each problem should be addressed as 1

unique, albeit not disconnected from more comprehensive frameworks. 2

The problem is that examining the context can preclude addressing certain particularities. 3

However, if only particularities are considered, then integration and sustainable and flexible 4

solutions will be hard to achieve. In many cases, successful interactions between the academia 5

and business rely on interpersonal relations on both sides (Demain, 2001). The academia-6

business partnership seems to be particularly effective when it is based on a network of 7

institutions that are developed around a strong core of interpersonal relations (Gomes, Lopes, 8

2010). Therefore, in order to match the aims of these two worlds, communication between them 9

must be improved along with time management. 10

The European Union (EU) as well as individual states and regions regularly promote 11

different funding programs and credit lines to enhance cooperation, innovation and knowledge 12

transfer between universities and companies, such as the Horizon 2020 (University of Oxford, 13

2015). The Horizon 2020 programme is “in Europe, the largest multinational research 14

programme in the world. The EU will invest around €80 billion in research and innovation 15

projects between 2014 and 2020, many of which call for large scale, multi-partner, 16

interdisciplinary research teams drawn from a number of countries within the EU and across 17

the world” (University of Oxford, 2015). In the United States of America, the enactment of the 18

Bayh-Dole Act in 1980 by Congress allowed universities and small businesses to own patents 19

for research which had been federally sponsored (Demain, 2015). Funding for universities is 20

increasingly dependent on collaboration with industry (University of Oxford, 2015). This 21

compels both parties to meet, but not necessarily to understand each other, for, among other 22

reasons, very different languages come into play: the academic language, the business language, 23

and the institutional bureaucratic language of the donors. To make the process more effective, 24

relationships must be established to create empathy, which implies quite complex time 25

management. 26

Time management is a very important issue, both for the academic and the business world. 27

As mentioned above, the academic world aims to understand the causes (reasons) underlying 28

the occurrence of a certain phenomenon or a type of phenomenon. The deductive logical 29

reasoning practiced by the academia tends to see the actual problem as being one of the possible 30

ways of manifesting a certain type of phenomenon. On the other hand, business people desire 31

to find the solutions for actual particular problems – as soon as possible (ASAP!). Furthermore, 32

funding entities have specific timetables for specific calls. Lastly, students must adapt to 33

a structured school calendar which includes fixed assessment periods and deadlines, in a context 34

that discourages their desired involvement in joint projects. Matching all these calendars 35

implies an understanding between academics and entrepreneurs regarding the contours of joint 36

projects, and also constitutes a demanding exercise in adaptation to the strategic directives, 37

rules, and calendars of the funding entities, and finally timetables of graduate and postgraduate 38

students, as well as research fellows. 39

Deconstructing the barriers of thought… 33

Indeed, the whole process may take place within universities, but entirely in parallel with 1

the education system, through special project management departments, without any active 2

participation of students or even research fellows. 3

As already referred to above, in many instances, the specific objectives of the partners also 4

vary: academics desire to publish just for performance evaluation sake, with possibility to 5

publish in high impact journals proportional to the originality of the theme presented and/or the 6

methodology used. However, business people look for profit, even when generated from patent 7

royalties (Demain, 2001), although most frequently they are looking for quick and effective 8

solutions for the challenges they are currently facing, although neither the topic nor the 9

methodology may be original. Both clients or funding entities, in turn, need evidence of 10

accomplishment of goals and timelines of projects, mostly in the form of presentations at events, 11

such as seminars, conferences and congresses, or partial publications which very often are 12

activities that are time and resource consuming. Generally, yet again, students, especially 13

undergraduate students, are completely absent from these bureaucratic and communication 14

processes. 15

Due to these obvious differences in the objectives and the “languages”, and also due to the 16

difficulties in managing time and communication processes between universities and 17

companies, existence of mediators seems to be a very interesting solution. The mediators, who 18

dominate the various languages of the players (academic, business, and bureaucratic/financial 19

“dialects”) take up the role of consultants. It seems, indeed, that nowadays, universities and 20

companies are more often using consulting expertise to prepare dossiers to apply for project 21

funding by government or European agencies. However, large consulting companies, usually 22

multinational, tend to specialise in certain areas of business activity, and are, thus, limited for 23

the use of specific models as most are protected by patents and trademarks. More importantly, 24

their services may be very expensive, thus discouraging their contraction for this propose. 25

On the other hand, it seems obvious that universities can provide business consulting 26

services in a more flexible and cost-effective way, encompassing more differentiated areas of 27

the economy, and, preferably, integrating students in the process. This integration could help 28

students acquire better knowledge of the dynamics of the business world, in the field of the 29

respective educational course, at least from the outset of their education process. 30

This early integration of students in the matching process between universities and business 31

goals seems to be a clear answer for solving the mismatches referred to above, and would 32

additionally contribute to addressing the pedagogical problems of the “vocational crisis” that 33

the higher education system is facing during the first decades of the 21st century. Very 34

frequently, this problem is only being addressed through the introduction of entrepreneurship 35

syllabi or disciplines in the course curricula, which is clearly insufficient. Generally, students 36

remain exclusively within the university, carrying out their studies on the basis of hypothetical 37

cases or they receive theoretical support for ideas which are very often completely detached 38


from the specific context of the market, and disregard the most important problem of 1

communication between the university and the business world. 2

The introduction of new student-centred, active learning approaches, such as Project- Based 3

Learning (PjBL) (Hamer, 2014) from the early stages of the higher education process, or even 4

earlier, combined with entrepreneurship contents and strong interaction with local companies, 5

seems to be a more effective and stimulating response to the desired rapprochment between the 6

academic and the business worlds, simultaneously improving the competence and 7

employability of the future professionals and the competitiveness of companies. 8

2. Attempting to match education and business 9

The shift of focus from a learning system cloistered in the walls of the university to another, 10

more dynamic system, which is attentive to the permanent changes in the world and the 11

associated community that demands changes in the ways that higher education institutions are 12

managed, especially regarding the performance evaluation system of teacher and assistant 13

bodies. 14

Definitively, the maxim “publish or perish” must be replaced by another: “create value for 15

your community or perish”. This means that assessment systems of university teaching and 16

research performance should, perhaps, be elevated to a higher level of joint consulting activities 17

of teachers and students, for instance through PjBL projects, as well as actions to support the 18

creation and development of “start-ups” or others that contribute to the establishment and 19

enhancement of networks of local companies, research centres, Higher Education Institutions 20

(HEIs), charities, and local and regional government entities. 21

Much of the effort undertaken to bridge the gap between the academia and business is being 22

addressed particularly through the so-called “academic entrepreneurship”, i.e., the embedment 23

of entrepreneurial thinking and practices in teaching, research, and administration in various 24

universities around the world (Nyeko, Sing, 2015; Siegel, Wright, 2015). It is known as the 25

“academic revolution” or universities’ “third mission”, in the case of which, in addition to 26

teaching and research, various types of universities have emerged, such as research universities, 27

technological universities, teaching universities, hybrid universities, and, of late, 28

entrepreneurial universities (Nyeko, Sing, 2015; Giancarlo, Squazzoni, 2007). 29

In some circles, academic entrepreneurship is understood as business development activities 30

of universities and other HEIs, which include licensing, patenting, and creating start-ups 31

(Siegel, Wright, 2015). The growth of the academic entrepreneurship has been observed in 32

many countries in North America, Europe, and Asia, ever since the establishment of the first 33

technology transfer offices at universities in the 1980s and 1990s. Especially in the public 34

university system, academic entrepreneurship has been triggered in the recent years by budget 35


cuts by government and research council funding across Europe, and, consequently, by the need 1

to encounter alternative fundings by the universities themselves (University of Oxford, 2015; 2

Harmer, 2014). 3

Academic entrepreneurship can involve different types of entrepreneurial activities, leading 4

to classification of academics based on the types of activities they are engaged in (Nyeko, Sing, 5

2015), such as: an academic entrepreneur (mostly external teaching activities), an 6

entrepreneurial academic (teaching and research related activities), and an academic-7

entrepreneur (company-related activities). 8

The move towards the applied research, quantifiable impact, and academic-business 9

partnership is not free from criticism and concerns. In fact, some transparency organisations 10

and academics have expressed fear that corporate interests are beginning to direct research and 11

teaching at HEIs (University of Oxford, 2015). Several charities and NGOs, both in Europe and 12

in the USA, have also expressed concern regarding the influence of corporate donations and 13

joint research programmes on academic research. 14

Another aspect of the relationship between the academia and business is entrepreneurship 15

education. Indeed, entrepreneurship education is already established in the syllabi or as an 16

independent discipline in the curricula of different courses in a variety of HEIs, and a significant 17

increase has been observed in recent years (Raposo, Paço, 2011; Lakéus, Lundqvist, Williams, 18

2013; Lakéus, 2015). This increase is related to the general acceptance of the importance of 19

entrepreneurship for economic development and competitiveness (Kolstad, Wiig, 2015; 20

Dragomir, Pânzaru, 2015). Entrepreneurs are believed to drive innovation by speeding up the 21

structural changes in the economy and forcing well-established companies to improve, and 22

thereby they contribute indirectly to increasing productivity (Raposo, Paço, 2011; Sluis, Praag, 23

Vijverberg, 2004). There are many societal advantages to be gained from instilling 24

entrepreneurship in education, such as economic growth, job creation, and increased resilience, 25

while at an individual level, the following effects need to be highlighted: individual growth, 26

increased school involvement, and promotion of greater equity of starting points (Lakéus, 27

2015). 28

However, academic entrepreneurship and entrepreneurship education are insufficient to 29

bridge the gap between the academic and the business world. Academic entrepreneurship is 30

mainly carried out by faculty and postgraduate students and researchers, with undergraduate 31

students being virtually excluded from the process. Similarly, entrepreneurship education rarely 32

engages students in the solution of specific real-world problems which, at best, are based on 33

decontextualised case studies or unlikely simulations of “real cases”. 34

In this context, new pedagogical approaches, such as Project-Based Learning (PjBL) can be 35

an extraordinary instrument for promoting the links between the academia and the business 36

activities, especially at the local level. In fact, PjBL is an active learning and student-centred 37

pedagogical approach, based on the development of a project designed to solve real world 38

problems (Harmer, 2014). The key features of the PjBL approach are: learning by doing; 39


working with real life problems; the teacher is seen to be a facilitator, a mentor, or a “guide-on-1

the-side”; interdisciplinarity; collaboration and group work, and; production of a significant 2

“end product”, i.e., a “product” that creates effective value for the community (Harmer, 2014). 3

The fact that the problem that drives the project and the learning process has to come from 4

the real world creates a huge opportunity for cooperation between HEIs and local companies, 5

small businesses, and other institutions. Local or national business can naturally be a major 6

source of real problems of pedagogical relevance which can be used as a subject for analysis 7

within the PjBL process. 8

On the other hand, through the development of this type of projects, both students and HEIs 9

can gain a better insight into the job market and the type of problems that a given sector may 10

be facing at present, or may face in the future. This certainly contributes to reinforcing the links 11

between the academia and the local businesses, and simultaneously improves employability and 12

the entrepreneurial abilities of students as this type of project generally includes an 13

entrepreneurship education component (Heikkinen, 2014). 14

This type of link can help a HEI improve its academic entrepreneurship through the design 15

of better courses and consulting and research services which are to a larger extent related with 16

its surrounding economic and social environment. Evidently, the business sector partner 17

benefits from students and the HEI having a superior knowledge of the specific market which 18

simultaneously facilitates the selection and recruitment process by potential employers. 19

Implementation of PjBL and similar approaches, such as Problem Based Learning, was first 20

introduced in Canada for a degree in medicine course, but quickly spread to Europe and the rest 21

of the world; those approaches are now an integral part of a large number and types of courses 22

or disciplines that range from engineering through to management and social sciences, 23

including education and environmental sciences and law (Harmer, 2014; Davies, de Graaf and 24

Kolmos, 2011). 25

Adoption of PjBL in HEIs occurred as a response to the perceived need for university 26

graduates to be equipped with relevant skills as future employees, and was requested by 27

government, industry, and professional accreditation bodies, as well as students themselves – 28

as they are facing a highly competitive job market. The main advantages of PjBL include: 29

claims of improved academic results, development of broader skills, increased student 30

motivation and enjoyment, enhanced outreach and engagement beyond academia, and 31

advantages for teachers (Harmer, 2014). It is specifically claimed that the PjBL approach helps 32

improve the skills required for the 21st century, such as: self-learning ability; problem-solving 33

skills; communication skills (oral and written); critical, active, and creative/innovative thinking; 34

interpersonal skills and social relations; team work/collaboration (intra and interdisciplinary); 35

data analysis abilities; project management, and; ethical, social, and environmental awareness, 36

among others (Harmer, 2014; Noordin, 2014; Rodrigues et al., 2015). 37

38


The PjBL methodology is being used to align the academic world with the business world 1

in different countries around the world. For instance, in Taiwan, a project for the design and 2

construction of a boat was developed at a HEI in response to the shortage of skilled boat 3

builders, and, in South Africa, a business studies project was created partly to help meet the 4

need for more trained entrepreneurs (Harmer, 2014). 5

3. An example of the Academia-Business link – the GoFigo project 6

In 2015, the Portuguese government launched a large PDR2020 programme to fund 7

innovation in the field of agriculture and forestry as part of the Horizon 2020 programme. 8

In the context of this programme, Operational Groups (OG) were to be created, with the explicit 9

objective of actively contributing to overcoming the evident “difficulties in transforming 10

knowledge into innovation that leads to sustainable growth and efficient use and protection of 11

natural resources and biodiversity. Most of the barriers that condition this process were 12

identified, namely lack of convergence between the knowledge produced and the needs of the 13

producers as well as unavailability of producers' access to the knowledge produced.” 14

(Ministério da Agricultura e do Mar, 2015). An Operational Group is a formal partnership 15

between agricultural producers, universities, research centers, and development associations, 16

with the common objective to identify particular problems and develop solutions for them. 17

Torres Novas is a region situated about 100 km north of the capital, Lisbon (Figure 1), 18

where fig production was one of the main sources of production up to the 1970s. The fig trees 19

had been planted to replace the vineyards that had been decimated by the phylloxera pest which 20

destroyed European wine production at the end of the 19th century. Most of the fig harvest was 21

used for the production of alcohol, due to the high sugar content of the main cultivated variety 22

– the Figo Preto de Torres Novas. The production of figs and their commercialisation was 23

highly controlled by the state until the democratic revolution of 1974 and the subsequent 24

adhesion to the European Union. Liberalisation of the market is associated with mass 25

emigration to large urban centres that led to decline in fig production and abandonment of the 26

orchards. 27

28


Figure 1. Map showing the localisation of the Torres Novas county, which is nearly in the centre of 1 Portugal. Torres Novas. (2018, novembro 20). Wikipédia, a enciclopédia livre. Retrieved 17:39, 2 novembro 20, 2018 from https://pt.wikipedia.org/w/index.php?title=Torres_Novas&oldid=53645840. 3

Ageing of the local population and lack of technical support prevented development and 4

application of more modern and efficient fig production techniques. Valorisation of the product 5

through creating a designation of origin did not help either. All of it led to reduction in the value 6

of the product on the market and disinterest in growing this fruit. 7

Several attempts were made over the years to revitalise fig growing, but they were not 8

successful, until, in 2015, a small group of growers and fruit processors was formed; the group 9

members were connected by strong interpersonal relationships and the will to contribute to the 10

development of the local area, and initiated the design of a strategy that culminated in the 11

formation of a the GoFigo operational group. 12

GoFigo is comprised of producers and members of universities and agricultural research 13

institutions, and is formally and legally constituted with the aim of improving fig growing 14

techniques to produce fruit with better quality and a higher market value. 15

GoFigo is a platform of communication between academia, agribusiness, local government, 16

and development associations who all work together to find solutions for real problems as well 17

as integrate university graduates, with a vast potential for the future integration of 18

undergraduate student projects (Figure 2). Although the process is still in its infancy, the 19

fundamental principles are already present, namely: interdisciplinarity, cross-communication, 20

integration of various social players with a common objective – all of which create a context 21

for mutual learning that overcomes the barriers of thought. 22


Figure 2. Poster announcing the first Open Day of GoFigo which brought together all partners and 1 stakeholders of the project. 2

For these barriers lead to the conditioning of thought and creativity, and have contributed 3

to creating a monopoly of the episteme and of the business fabric (praxis) which is detached 4

from the theory and the creative process of poiesis. By revisiting (and simplifying) Aristotle's 5

Nicomachean Ethics (Aristotle, 1906), we propose to schematise this transformation of relation 6

between knowledge categories, from linear succession to cross-fertilization between various 7

"stages" of the thought process (Figure 3). 8

9 Figure 3. Schematic representation that opposes a linear idea of theoretical construction as a base of 10 creativity, and effective action as a scheme for systematic cross-fertilization. 11

12


4. Conclusion 1

Indisputably, the interaction between the academia and business is the key to transformation 2

of knowledge into innovation, which, in turn, can lead to sustainable growth and efficient use 3

and protection of natural resources and biodiversity. However, this interaction is very difficult 4

to establish, as languages, ways of thinking and operating, and the goals of these two realities 5

do not often converge. 6

To improve the effectiveness and efficiency of the partnership between the academic and 7

the business world, the existing barriers of thought and objectives must firstly be overcome. 8

Academic entrepreneurship and entrepreneurship education in HEIs can contribute to bridging 9

the gap that separates HEIs from the business world, although generally only teachers, 10

assistants, and post-graduate students are involved, which excludes undergraduate students 11

from a learning process that could be important for their education. 12

New pedagogical approaches, such as Problem-Based or Project-Based Learning, appear to 13

be a very interesting opportunity for HEIs to commence partnership with the business world 14

earlier as these methodologies require interaction of students with project subjects that are based 15

on real world problems, which is highly advantageous for all parties involved. 16

17

References 18

1. Aristotle (1906). The Nicomachean ethics of Aristotle. London: Kegan Paul, Trench, 19

Trübner & Co. Retrieved from https://www.stmarys-ca.edu/sites/default/files/attachments/ 20

files/Nicomachean_Ethics_0.pdf. 21

2. Davies, J., de Graaf, E. and Kolmos, A. (Eds.) (2011). PBL across the disciplines: research 22

into best practice. Aalborg: Universitätsforlag. 23

3. Demain, A. (2001). The relationships between universities and industry: The American 24

university perspective. Food Technol. Biotechnol, 39(3), 157-160. 25

4. Dragomir, C.-C., and Pânzaru, S. (2015). The relationship between education and 26

entrepreneurship in EU member states. Review of General Management, 22(2), 55-65. 27

5. Giancarlo, P., and Squazzoni, F. (2007) Academic entrepreneurship and scientific 28

innovation: micro-foundations and institutions. Retrieved from https://www.researchgate. 29

net/publication/242142540. 30


6. Gomes, A., Lopes, B. (2010). Comunicação e eficácia numa equipa virtual: regras 1

e afinidade. Revista Gestão e Desenvolvimento, 17/18, 73-98. Retrieved from 2

http://hdl.handle.net/10400.14/9112. 3

7. Harmer, N. (2014). Project-Based Learning – Literature Review. Plymouth University. 4

Retrieved from https://www.plymouth.ac.uk/uploads/production/document/path/2/2733/ 5

Literature_review_Project-based_learning.pdf. 6

8. Heikkinen, K.-P. (2014). LAB Learning Model – Introduction. Oulu University of Applied 7

Sciences. 8

9. Kolstad, I., and Wiig, A. (2015). Education and entrepreneurial success. Small Business 9

Economics, 44 (4), 783-796. 10

10. Lakéus, M. (2015). Entrepreneurship in education: What, Why, When, How. 11

Entrepreneurship 360 Background paper. OECD. 12

11. Lackéus, M., Lundqvist, M., Williams, M. (2013, May) How can Entrepreneurship Bridge 13

Between Traditional and Progressive Education? ECSB Entrepreneurship Education 14

Conference, Århus, Denmark. 15

12. Ministério da Agricultura e do Mar (2015) Portaria n. 402/2015 de 9 de novembro. Diário 16

da República, 1. série, n. 219. 17

13. Noordin, M.K. (2014). Project-Based Learning framework for non-technical skills. 18

Doctoral dissertation. Kuala Lumpur: Universiti Teknologi Malasya, Faculty of Education. 19

14. Nyeko, K.E., and Sing, N.K. (2015). Academic entrepreneurs and entrepreneurial 20

academics: are they the same. International Journal of Social Science and Humanity, 5(12), 21

1050-1055. 22

15. Raposo, M., and Paço, A. (2011). Entrepreneurship education; relationship between 23

education and entrepreneurial activity. Psicothema, 23(3), 453-457. 24

16. Rodrigues, L.F., Brito, P.S. Valente, R.P., Farinha, N. and Gomes, A.C. (2015). 25

Aprendizagem baseada em projetos num ciclo de estudos de Tecnologias de Produção de 26

Biocombustíveis. In S. Gonçalves, H. Almeida, F. Neves, F. (Eds.), Pedagogia no Ensino 27

Superior. Coimbra, Portugal: CINEP/IPC, 209-236. 28

17. Siegel, D.S. and Wright, M. (2015). Academic entrepreneurship: time for rethink? ERC 29

Research Paper, 32, June. 30

18. Sluis, J., Praag, M. and Vijverberg, W. (2004) Education and Entrepreneurship in 31

Industrialized Countries: A Meta-analysis. Retrieved from https://pure.uva.nl/ws/files/ 32

2107544/35537_wp51_04.pdf. 33

19. University of Oxford (2015). International Trends in Higher Education. International 34

Strategy Office. 35

20. Wallin, J., Isaksson, O., Larsson, A. and Elfström, B.-O. (2014). Bridging the gap between 36

university and industry: three mechanisms for innovation efficiency. International Journal 37

of Innovation and Technology Management, 9(1), 1440005-1-1440005-18. 38





ANALYSIS OF THE IMPLEMENTATION OF THE SELECTED 1

LEAN PRODUCTION METHOD IN THE PRODUCTION COMPANY 2

Karolina CZERWIŃSKA1, Andrzej PACANA2* 3

1 Rzeszow University of Technology, Faculty of Mechanical Engineering and Aeronautics, Rzeszow, Poland; 4 [email protected], ORCID: 0000-0003-2150-0963 5

2 Rzeszow University of Technology, Faculty of Mechanical Engineering and Aeronautics, Rzeszow, Poland; 6 [email protected], ORCID: 0000-0003-1121-6352 7

* Correspondence author 8

Abstract: The article reviews the literature on the concept of Total Productive Maintenance 9

(TPM) in manufacturing activities as one of the elements of lean production. On the example 10

of an automotive manufacturing company, the TPM implementation process and the analysis 11

of the effectiveness of the implementation of the method using the OEE indicator were 12

presented. The analysis not only confirmed the effectiveness of the TPM concept in reducing 13

the level and duration of machine failures, but also provided recommendations for further 14

development of the concept in the company, and a basis for formulating objectives for the 15

future. 16

Keywords: Lean Production, Total Productive Maintenance, Overall Equipment Effectiveness. 17

1. Introduction 18

Today's increasing globalisation, demanding customers and fierce competition are the main 19

factors that motivate companies to undertake innovative ventures deciding whether or not an 20

organization striving to continuously satisfy customer needs, the aggressive competitiveness of 21

its products (Drucker, 2005). For this reason, organizations are looking for appropriate methods 22

and business models to distinguish themselves from the competition and offer the customer 23

a completely different product within the extended version of the product (Walczak, 24

02.05.2017). On the other hand, such challenges lead to changes in organisational structures, 25

increasing modernization of production methods, management and maintenance of technical 26

suitability of machines used in the company. In a competitive market, there is a need to reduce 27

costs, e. g. by means of more efficient maintenance of the operated equipment (Burchart-Korol, 28

2007; Woźnicka, 02.05.2017). 29

44 K. Czerwińska, A. Pacana

The aim of rational operation is: to achieve the expected quality of products as well as to 1

maximize the economic life of machines and production equipment while maintaining safe 2

conditions of use. All these factors influence the need to minimize production costs and ensure 3

the appropriate level of performance of machines, i. e. occasional interruptions in the production 4

process. Achievement of these goals is possible through implementation of the TPM method, 5

as confirmed by numerous literature reports (Borys, 1983; Nagashima, 1996; Szczepańska, 6

1998). 7

2. TPM – one of the basic methods of lean production 8

Total Productive Maintenance is an extension of TPM which means productive 9

maintenance. A key feature of the TPM method is implementation of autonomous maintenance 10

of machines and machines by operators, thus integrating many fundamental control activities 11

into the production process. The main goal of TPM is to reach the level of three zeros: zero 12

shortages, zero breakdowns and zero accidents at work (Legutko, 2009; Świątoniowski, 2011). 13

Although the TPM method comes from Japan, the initial systemic actions to improve the 14

operation of the machine park date back to the beginning of the 20th century, and were taken 15

in the United States. At the beginning of this period machines became more and more complex. 16

As a result, the Americans separated a department in a production company, which was 17

responsible for elimination of failures, maintenance and preventive maintenance 18

(Aleksandrowicz, 2016; Wielgoszewski, 2007). 19

After the Second World War, the presented methodology was sent to Japan in order to 20

rebuild the destroyed industry. The concept of functioning of a separate maintenance 21

department has been improved – all employees have been included in the productive 22

maintenance. The term TPM was first used and formulated by the Japan Institute of Plant 23

Engineers in 1971. The TPM concept also encompasses the idea of Corrective Maitenance, 24

which means constant improvement in the design of the machines, resulting from their 25

imperfect design. In the 80's, constant development of methods monitoring the condition of 26

devices influenced the emergence of the idea of Predictive-Maitenance – detection and removal 27

of problems before they cause unplanned posting of the devices. 28

TPM is a method of organization that relies on proper fleet management – minimizing the 29

costs caused by stopping a production line due to its failures. Introduction of TPM assumes 30

inclusion of employees from the maintenance unit in production processes, and thus extension 31

of the responsibility of machine operators for the maintenance of the machinery in orderly 32

condition. Participation of the operators in the improvement, fault anticipation and prevention 33

activities is an important element. Cooperation of the operators and the employees from the 34

continuous maintenance department during maintenance or repairs, creates an opportunity for 35

Analysis of the implementation… 45

them to get to know one another and determines an increase in the operators' skills, which 1

contributes to a better understanding of the machine. The TPM method is based on preventive 2

prediction and prevention of failures during machine operation which makes it possible to 3

reduce the number of malfunctions, repair time, extend repair cycles, as well as more efficient 4

management of spare parts (Michlowicz, 2010). 5

The approach to machine inspection and maintenance also constitutes a difference between 6

TPM and classic maintenance. In this respect, TPM assumes the primary role of widely 7

understood preventive measures, in the understanding of inspections or maintenance, over the 8

production plan. According to the TPM method, time spent on modification and maintenance 9

is beneficial in the later period when the machine is kept ready for production. Implementation 10

of this assumption is possible thanks to the use of such tools as: improvement service 11

(modification of equipment to prevent defects and facilitate operation), preventive maintenance 12

(preventing failures), prevention of operation (design and subsequent installation of reliable 13

equipment requiring reduced maintenance), as well as maintenance of failures (repairs) 14

(Furman, 2016). 15

In order to achieve the assumed objectives, it is necessary to take actions in eight key areas 16

(Kubik, 17.02.2019): 17

autonomous maintenance, 18

targeted improvement, 19

technical training for operators in the field of operation and maintenance of machinery, 20

execution of planned inspections by operators and maintenance workers, 21

an early equipment management programme, 22

safety and environmental management, 23

maintenance of an appropriate level of quality, 24

TPM in offices. 25

3. TPM in the context of other concepts of improvement 26

In many cases, implementation of TPM takes place in companies where other improvement 27

concepts, such as TQM (total quality management), lean manufacturing or six sigma, already 28

exist. In the area of methods and tools, TPM aims at elimination of waste by continuous, small 29

and, at the same time, fast and often cost-free improvements – kaizen, as a result of which this 30

idea is the closest to the approach of lean manufacturing (Thota 02.05.2017). Therefore, TPM 31

could be called a specific approach to fleet maintenance. 32

In terms of the so-called "soft"; aspects of management, activity of the employees in 33

the process of TPM implementation, from the members of the highest management to the 34


operators, is rooted in TQM (Kedar, 2016), is reflected in autonomous maintenance (Kocher, 1

2012). Another similarity between TPM and TQM is the use of mistake tools – proofinfing, the 2

way processes are documented, as well as benchmarking (Gupta, 2005). 3

In relation to the six sigma methodology, which was born on the basis of TQM, responding 4

to the difficulties of the previous concept (e.g. poorly defined objectives, too broadly 5

understood role of training), the positive impact on TPM implementation is specified due to the 6

systematized data collection that accompanies the implementation of the six sigma. At the same 7

time, such activities are the foundation of the "analyse"; and "streamline"; phases in the DMAIC 8

process (define, measure, analyse, improve, control), as well as the DMAIC process itself which 9

allows to specify only the source causes which, after the statistical analysis, were considered 10

statistically significant which allows for improvement of the process, focusing on the activities 11

that will bring the best results (Thomas, 2016). 12

4. Evaluation of equipment efficiency – OEE indicator 13

The OEE (Overall Equipment Effectiveness) model is the most important element of 14

quantitative evaluation of the TPM strategy. Due to its high flexibility, the model is also used 15

at manufacturing companies in which this strategy has not been implemented. The OEE index 16

is characterised by three main areas of company's activity: availability, efficiency of use and 17

quality of manufactured products. Calculation of this indicator makes it possible to define 18

improvement measures in the area of production processes, enables measurement of their 19

effects and provides elimination of existing problems. The OEE indicator also identifies the 20

company's bottlenecks and main problems (Rathenshwar, 2013). 21

Measurement of the TPM strategy is a result of the need to strive for one of its key 22

objectives, which is to maximize the operational efficiency of technical facilities/systems. It is 23

possible to achieve this goal by achieving: (Loska, 2013): 24

maximum availability of machinery for use, 25

maximum machine performance, 26

maximum level of quality resulting from the purpose function of the machinery in 27

operation. 28

The OEE efficiency model expresses the overall operating efficiency using three main 29

factors (Table 1). 30

31


Table 1. 1 Performance indicators for OEE 2

Accessibility Effectiveness of activities Quality

𝐷 =𝑡𝑑− 𝑡𝑝

𝑡𝑑 (1)

td – Available time

tp – Standstill

𝐸 =𝑡𝑐∙𝑛

𝑡𝑜 ………………………….(2)

tc – theoretical cycle time

n – the quantity processed

to – operational time of operation

𝐽 =𝑛−𝑑

𝑛 …………………….(3)

n – the quantity processed

d – number of defects

𝑂𝐸𝐸 = 𝐷 ∙ 𝐸 ∙ 𝐽 ……………………………………………………………………………………………(4)

Source: Nakajima, 1988. 3

The OEE indicator consists of three components which can play an independent role of 4

indicator at a company, but each component is divided into individual elements which influence 5

its over- or under-value (Oechsner, 2003). The components of OEE are: 6

Accessibility – it is the percentage value within which the object is available to carry 7

out the tasks entrusted to it. Availability is expressed as the ratio of working time (time 8

spent on the production of products) to net operating time, including working shift time, 9

less planned downtime. 10

Effectiveness of activities - the ability of machines to maintain standard work rate. 11

The use is expressed as the ratio of the actual production (number of manufactured 12

products) to the target production (number of products that could be manufactured 13

assuming maximum working speed of machines). 14

Quality - defines the ratio of the number of good pieces to all pieces that have been 15

produced. Quality is expressed as the ratio of good production (products meeting the 16

quality assumptions) to actual production. This is the simplest component of OEE. 17

The essence of the OEE index is to compare the use of a used machine for ideal use, which 18

occurs when production and its preparation are carried out as planned (Wilczarska, 2012). 19

An index value of more than 60% is considered desirable. World-class companies achieve 20

an OEE ratio of more than 85%. A company that achieves a low OEE coefficient should not 21

inflate it artificially as it is only an indication of the company's high potential (Palonek, 2009). 22

5. The process of implementing the TPM system in an automotive company 23

The implementation of the TPM concept in the analysed company started with management 24

training. The information obtained in cascade was directed at the other employees of the plant. 25

After a series of training courses aimed at making employees aware of the planned objectives 26

and the scope of assigned tasks, a TPM implementation plan was drawn up. The plan covered 27

several selected machines on the machining line and the assembler, creation of sheets and 28

determination of the persons responsible – the owners of the machine. An important element in 29


the implementation of the TPM concept was the selection of appropriate pilot machines whose 1

technical condition could be defined as average. An average machine in a company with an 2

average number of failures was a suitable source for developing appropriate TPM procedures. 3

The AUERBACH AX5 B2200 milling station with its surroundings has been selected. 4

AUERBACH AX B2200 is a five-axis numerical machine on which mainly covers are 5

produced. A preliminary TPM audit was carried out in the company, thanks to which 6

inconsistencies were located. The following factors were taken into account: machine 7

cleanliness, hydraulic system, lubrication, electrical and environmental documentation. 8

The environment of the machine was taken into account, i. e. auxiliary stations, tool tables, 9

cleaning products, health and safety etc. The state and location of tools used in the work were 10

assessed. The workstation was evaluated using the two-stage method: 0 – no non-conformity, 11

1 – non-conformity. An excerpt from the results is shown in Table 2. 12

Table 2. 13 Part of the results of the TPM pre-audit 14

A PRE-AUDIT CARD TPM

Name and type of machinery: Milling station AUERBACH AX5 B2200

Category Areas to be checked Points

Cleanliness of the

machine

1. Whether the dirt, dust occur on:

a. Machine body 1

b. Machine guards 1

c. Moving/rotating parts 1

d. Switches, switches, limiters 0

e. Indicators, meters 0

f. Electrical cables 1

g. Engines 1

2. Are there unscrewed/released parts? 0

3. Are there any bolts/nuts missing 0

4. Are there redundant fasteners? 0

5. Are there unnecessary objects? 1

6. Is the machine fixed to the floor properly? 1

7. Are the markings clear and legible? 0

Electrical system

1. Are the electrical connections damaged? 0

2. Are the electrical wires damaged? 0

3. Are the electrical wires properly protected? 1

4. Is the lighting of the stand adequate? 1

5. Are the controls working? 1

6. Are the switches/switches/switches working? 1

7. Are there any electrical safety signs? 0

Source: own elaboration. 15

The results of the audit carried out at the workstation were very poor. While analyzing the 16

cleanliness of the machine within the scope of the seven specified areas, five of them did not 17

meet the required standards. Irregularities in the area of machine cleanliness are shown in the 18

figure 1. 19


1

Figure 1. Dirt on the unit and the machine's dirty and unstructured environment. 2

The audit of the electrical system revealed several anomalies that could pose risk to the 3

operators and the employees. Anomalies in the electrical system in Figure 2. 4

5

Figure 2. Dirt on the cabinet, electric cable filters and 220V sockets. 6


When considering the hydraulic and lubrication systems, six out of fourteen requirements 1

did not meet the standards, or it was not possible to check this issue due to the dirt on the 2

machine. The category of documentation showed no list of failures and repairs, critical parts 3

for machinery or personal protective equipment. 4

The audit of TPM at the workstation revealed a number of inconsistencies that hinder the 5

work of the operators and the employees of the production line. All incompatibilities and 6

failures hinder not only work, but also the possibility of early detection of defects or failures, 7

which translates into potential downtime or shutdown of the machine from production. Table 3 8

shows the anomalies, taking into account the machines and their surroundings. 9

Table 3. 10 Summary of irregularities in the workstation area 11

Machine: Milling station AUERBACH AX5 B2200

Summary of irregularities TPM – preliminary audit

Number Irregularity Suggested action

THE SURROUNDING AREA OF THE MACHINE

1. Floor defects around the tool stand Complete, smooth out

2. Coolant pipes are “sweaty” Install the installation

3. Absence of a designated and permanently marked space for fire-

fighting measures Mark

4. No marking of the place of the safety phone Determine, mark

5. Leakage of oil at the oil tank Clean up, secure

MACHINE

1. Impermeability in the refrigeration system power supply lines Seal

2. Contaminated safety switches Replace

3. Contaminated 220V socket at the workstation Replace

4. Poor fixing of the electrical installation - covers, inputs to

switches, sockets Improve the fastening

5. Dirty metal covers for electrical installation Replace

6. Polluted filters Replace

7. Descriptions of control buttons in a foreign language Execute in a foreign

language

8. Dirty table with auxiliary tools Replace


One of the stages of implementing the TPM plan for a specific position was to draw up 13

a list of autonomous and preventive maintenance. The stand-alone service list and its scope 14

apply to parts, machine elements and devices which are not interfered with by checking them 15

during the work of the operator. Drawing up an autonomous list imposes an obligation and 16

responsibility on the employee to carry out regular inspections and maintain cleanliness. 17

Separation and continuous monitoring of control points places the responsibility for the position 18

at which he works on the operator. Control of these points makes it easy to quickly detect 19

possible incompatibilities or faults. The defined scope of autonomous operation for the 20

AUERBACH AX5 B2200 milling station in the company is presented in Table 4. 21

22


Table 4. 1 Stand-alone service list 2

STAND-ALONE SERVICE LIST


Marking on

the machine Activities Frequency

1 Check the operation of the safety switches Before any change

2 Check the function of the limit sensors Before any change

3 Check the function of the safety switches Once a day

4 Check the pump pressure gauges Once a day

5 Check the completeness of the tool cabinet Before any change

6 Check the cleanliness of the mats on the floor Before any change

7 Remove the collected chips from underneath the table and workplace Before any change


The next stage was to develop a list of tasks for employees from the maintenance cell. 4

The scope of preventive maintenance concerns comprehensive maintenance of equipment and 5

machines. A list of preventive maintenance activities is given in Table 5. 6

Table 5. 7 Preventive maintenance list 8

PREVENTIVE MAINTENANCE LIST


Lp. Activities Performer Machine parts Frequency

1. Replace hydraulic oils and oil filter Mechanic Hydraulic system Once a year

2. Perform inspection of electrical systems Electrician Power supply Once a quarter

3. Check the control elements Mechanic Switches Once a year

4. Check the hydraulic system Mechanic Hydraulic system Once a quarter

5. Check the mechanical clearances Mechanic Mechanical system Once a quarter

6. Check the cooling system Mechanic Hydraulic system Once a quarter

7. Check bearings Mechanic Mechanical system Once a quarter

8. Check the actuators Mechanic Hydraulic system Once a quarter


The implementation of the TPM method was related to implementation of works in which 10

a group of employees was involved. Tasks were carried out while the machine was in operation, 11

with production halted, or when the workload of the machine was sufficient to carry out the 12

operations. 13

6. Analysis of the effectiveness of TPM implementation 14

The process of implementing the TPM method in the company started at the beginning of 15

2018. On the basis of the collected data, an indicator for machining lines and assembly lines 16

was calculated (Figure 3). After the implementation of the method, the company achieved the 17

objective which was to achieve the OEE ratio of 65-70% which is a positive signal of the 18

effectiveness of the implemented TPM method. 19


1

Figure 3. OEE indicator for assembly and machining lines. 2

The OEE values obtained on the assembly line and the machining line do not represent the 3

actual status of the assessment of the effectiveness of the improvements introduced on 4

individual machines, but provide an overall picture of the effective use of the production line 5

in question. However, the OEE values form the basis for the formulation of targets for the 6

future. Full use of the indicator consists in guiding it individually for each machine in operation. 7

On the basis of the data obtained, equipment with the lowest OEE values should be selected, 8

the causes of low usage should be analysed, and improvement measures should be implemented 9

to minimise the occurrence of a given loss. 10

7. Summary 11

In the light of the presented results of the TPM method implementation, the effectiveness 12

of comprehensive maintenance in reducing the duration and number of failures, and thus 13

increasing the availability of operational equipment, has been confirmed. 14

An important factor that guarantees effective implementation of the TPM concept is 15

a change in the approach to operators. The extension of their competence in the field of machine 16

maintenance has contributed to an increase in the reliability of the equipment. The effects of 17

the TPM implementation in the form of improving the technical condition of machines, their 18

cleanliness and cleanliness of the production hall are clearly visible in the production plant. The 19

benefit of the TPM implementation was also to relieve the employees from the maintenance 20

cell by machine operators when removing simple failures. Qualifications of the maintenance 21

staff were used to modify the equipment, major repairs and the implementation of new 22

production equipment. The introduction of the TPM concept in the company has led to the 23

emergence of positive changes contributing to production results. 24

50

55

60

65

70

75

80

85

90

May June July August September October November December

OEE

ind

icat

or

[%]

Assembly line Machining line


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1. Aleksandrowicz, J. (2016). Narzędzia metodologii Lean w procesach doskonalenia 2

miejskiego transportu zbiorowego. Autobusy. Technika, Eksploatacja, Systemy 3

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i Niezawodność, 2(42). 22

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Techniczne Towarzystwo Eksploatacyjne. 25

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Warszawa: Fundacja Polskie Centrum Produktywności. 27

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Productivity Press. 29

14. Michlowicz, E., Karwat, B. (2010). Implementation of Total Productive Maintenance – 30

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Wydawnictwo Normalizacyjne ALFA-WERO. 5

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Staszica w Krakowie, 15, 2. 9

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135.7.pdf, 17.02.2019. 18

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konferencje/kzz/artyk_pdf_2014/T2/t2_725.pdf, 17.02.2019. 24





IDENTIFICATION OF THE CLUSTER ON THE BASIS 1

OF THE ICT INDUSTRY 2

Dorota JEGOROW 3

Katolicki Uniwersytet Lubelski Jana Pawła II, Wydział Nauk Społecznych, Lublin; [email protected], 4 ORCID: 0000-0002-0968-4109 5

Abstract: The aim of the conducted empirical analysis was to identify the cluster, which was 6

implemented on the basis of two organizations operating in the ICT industry. The observed low 7

activity of clusters in the socio-economic space, with the exception of projects co-financed from 8

public funds, was the main incentive to conduct the study. The implementation of the assumed 9

objective was reduced to seeking an answer to the question to what extent the national networks 10

meet the cluster identification criteria. The objects analyzed were highly effective in creating 11

a network of connections, new organizational entities as well as personal involvement in the 12

functioning of many entities. The positive quantitative image of both networks, however, did 13

not coincide with the positive functional verification based on the catalogue of features required 14

for the cluster. In addition to formal doubts regarding referring to the established networks of 15

organizational links as clusters, there appear natural doubts about the effectiveness of these 16

entities in the context of theoretical assumptions, and finally the legitimacy of financing such 17

initiatives from public funds. 18

Keywords: European funds, cluster, cluster policy, cohesion policy, entrepreneurship. 19

1. Introduction 20

Together with Poland's accession to the European Union (EU), domestic economic policy 21

has taken on a new shape. The introduced dependence on the development strategy of the whole 22

European community forced the necessity of incorporating innovative solutions into socio-23

economic practice. Thus, various public support aimed at cluster initiatives and clusters should 24

be considered in this context. The socio-economic expectations formulated on this background 25

are huge, and at the same time, there is a need to evaluate the implemented projects and identify 26

established networks in the context of their compliance with theory. 27

The general cognitive dimension of the conducted analysis is limited to determining the 28

place and role of clusters in the national economic policy, including the legitimacy of financing 29

such projects with public funds. Still, its key dimension includes the empirical identification of 30

56 D. Jegorow

two key national clusters in the ICT industry. The choice of the research plan, including the 1

methodology used, is part of the identified cognitive gap. The observation of two networks 2

(micro level), crucial for the implementation of the assumed research objective, was combined 3

with a quantitative analysis embedded in the resources of official public statistics (macro level). 4

The choice of the ICT industry is associated with the particularly great importance assigned to 5

it in modern economic development and, at the same time, the largest participation of this type 6

of organizations in the population of domestic clusters. The conducted analysis is a continuation 7

of the research already carried out, which included both clusters. The basic research problem, 8

which is the subject of the conducted analysis, comes down to looking for an answer to the 9

question to what extent the national networks meet the cluster identification criteria. Doubts in 10

this area arise from the extensive theoretical and empirical dissertations. 11

The theoretical-practical character of the study is part of the cognitive-application function 12

of economics. The results of the analysis are complementary to the knowledge about clusters, 13

with particular emphasis on their implementation into economic practice, including connections 14

with economic policy. In turn, the applied research methodology, used to identify the cluster, 15

is a model solution suitable for re-use as well as for further development leading to giving it 16

a value full of universalism and objectivism. 17

2. The place of clusters in the national socio-economic space 18

Although it is not a new subject of scientific considerations, the issues and aspects of 19

clusters (networks, arrays) cannot be considered an established theory in this case. The 20

multitude of definitions and methods of cluster identification has, however, become the cause 21

of standardization problems. The popularity of the concept of cluster significantly exceeded the 22

knowledge about this phenomenon. Diversity and lack of explicitness of definitional and 23

classification decisions indicate that the cluster concept is not fully formed and mature yet 24

(Gorynia, and Jankowska, 2008). The truth is that this does not mean that there is a need for 25

full standardization. Incorporation of defined solutions into the public policy system, including 26

the financial installation planned for this type of activities, requires the identification of the 27

relations between the incurred expenditures and benefits obtained. In the case of Polish clusters, 28

however, this is not possible due to the fact that clusters are not a legally distinguished form of 29

conducting economic activity. 30

2.1. Clusters as the subject of empirical research 31

The popularity of cluster organizations is not matched by the popularity of the cluster 32

concept proposed by Michael Porter or the popularity of cluster identification methods, which 33

results in the lack of cluster identification research (Główka, 2016). Limitation, fragmentation 34

Identification of the cluster… 57

and unreliability of the research methods used, based mainly on quantitative analyzes and expert 1

methods (subjective conclusions formulated on the basis of information usually acquired in 2

a cluster environment from significant cluster entities) (Jegorow, 2016b), make the urge to 3

conduct research on national clusters necessary. Researchers point to the need for conducting 4

qualitative analyses, including case studies (Jankowska, 2012; Konstantynova, and Lehmann, 5

2017; Adamczuk, 2014; Główka, 2016). 6

The conducted empirical studies of clusters indicate the existence of a clear dissonance 7

between the assumptions underlying their concept and the practical implementation of Porter's 8

theory. The confrontation of national economic practice with theoretical assumptions is 9

indispensable in the context of high public subsidies directed to the implementation of projects, 10

not so much as those which fit into the cluster concept, but accomplished under the slogan of 11

the cluster. The problem is complex and should be considered both separately and together in 12

endogenous and exogenous terms. 13

Regardless of the established facts, the dominant idea in the ongoing discussions concerning 14

regional development is still the creation of networks between companies, including, among 15

others, the ones within clusters. Optimism seems to be stronger in case of smaller endogenous 16

potential of a given economy and limited experience in the functioning of clusters, as is the case 17

in Bulgaria (Bankova, 2015; Slavov-Georgievaa, and Bankova, 2017) or Russia (Vertakova, 18

and Risin, 2015). At the same time, empirical studies point to very diverse cluster policies in 19

various regions of the world which do not give a chance for simple adaptation of proven 20

solutions (Sopoligová, and Pavelková, 2017). 21

2.2. Clusters as an element of the European Union's economic policy 22

In 2006, the European Commission announced the undertaking of intensified actions to 23

support clusters, including the possibility of co-financing initiatives implemented in this field 24

(KWE, 2006), and in 2008 it defined a policy framework to support the development of more 25

world-class clusters in the EU (KWE, 2008). Clusters were recognized as the driving force of 26

regional economic growth and competitiveness. Cluster policy has become an important part 27

of stimulating economic change, especially at a level lower than national. Referring to the 28

example of the Silicon Valley, public support for the development of clusters has gained 29

widespread recognition. The most common approach applied in cluster policy was based on the 30

mapping of clusters and creation of organizations in appropriate clusters, which developed 31

activities for entities of the established network with the help of public-private funds 32

(Konstantynova, and Lehmann, 2017). New concepts defining the EU development framework 33

translated into the inclusion of financing cluster initiatives and clusters into the long-term 34

financial framework 2007-2013 and 2014-2020 of cohesion policy. The approach to clusters in 35

Poland, including their support, should be perceived as a direct consequence of the adopted EU 36

development model. Thus, the cluster policy introduced a decade ago has become an extremely 37

important element of the national economic policy (Kowalski, 2013). 38

58 D. Jegorow

An economy based on clusters has been included in the theory of growth poles, which is the 1

foundation of the polarization-diffusion model of development (Churski, 2014). This concept 2

was introduced in response to the failure of the equalization model, but not as a derivative of 3

the well-described theory, rather as a certain political idea (Szlachta, and Zaleski, 2010). It is 4

assumed that the support of clusters can increase the transfer of technologies and the diffusion 5

of innovation from areas with the highest level of competitiveness to areas where this level is 6

the lowest (Kowalski, 2013). Expectations which arose in relation to clusters, both with regard 7

to the national and EU economic policy, are extremely large, and they are mainly associated 8

with innovations and internationalization. Noticing the problems involved in the 9

implementation of the assumed concepts into economic practice and the low effectiveness of 10

many projects implemented so far, the European Commission underlines the strategic nature of 11

these initiatives with high potential. This approach determines further support of clusters, but 12

mainly the strongest ones. In this context, the concept of smart specializations is also introduced 13

(EC, 2016). Thus, if the 2007-2013 long-term financial framework predicted the possibility of 14

supporting cluster initiatives, the 2014-2020 perspective was oriented towards the support of 15

well-shaped and strong networks. In response to the challenges posed in Poland, the institution 16

of the national key cluster (KKK) was established. The status of the KKK is connected with the 17

function of the coordinator of other clusters and with open access to European funds dedicated 18

to these entities within the EU cohesion policy between 2014 and 2020 (Jegorow, 2016b). 19

At the same time, it should be noted that the variable and inconsistent cluster policy has not 20

been beneficial to the so far effective implementation of the cluster concept in the economic 21

system. The identified over-administration, which complicates and lengthens the project 22

financing process, created unjustified barriers to development, resulting in the collapse of the 23

majority of the created cluster initiatives (Szymoniuk, 2014). 24

The emergence of clusters in the Polish socio-economic space is both the effect of adapting 25

proven solutions in other economies as well as the emergence of high-budget public programs 26

dedicated to this concept. Management according to proven patterns or raising funds for the 27

implementation of public programs is part of various themes. The creation of clusters and 28

joining of the already created structures combine covering a niche in the market with the pursuit 29

of competitive advantage. High subsidies included in multi-annual development programs 30

which support clusters also create another field to increase the effect of dependent 31

entrepreneurship (Jegorow, 2017). The research carried out so far further demonstrates that 32

direct simplified transfer of proven solutions into the field of new clusters did not always lead 33

to positive paths of development of the established networks due to the negligence of conditions 34

typical of a given country or region (Konstantynova, and Lehman, 2017). 35

The abuse of the cluster concept created by Porter both as a result of calculated business 36

activity and lack of knowledge lead to a distortion of this concept. The problem is significant 37

because many of these types of undertakings are initiated or sponsored by public institutions, 38

such as the Chełmski Klaster Poradnictwa Zawodowego – Chełm Cluster of Career Counseling 39


(NT, 05/01/2018), or representatives of the scientific community, as is the case with the Lublin 1

Cycling Tourism Cluster (LKTR, 10.06.2017)1. There are numerous examples like these. The 2

very idea of this initiative is not a problem, but the fact that many projects implemented under 3

the cluster's "name" have received co-financing from the cohesion policy funds of the 2007-4

2013 long-term financial framework should be assessed negatively. 5

3. Methodology of research 6

Identification of a cluster raises a complex cognitive problem, which translates into barriers 7

in the operationalization of this concept. Consequently, the use of this concept within economic 8

policy is difficult both in the programming dimension and in the ex-post evaluation. Ambiguity 9

in the identification of a network of organizational connections in the form of a cluster allows 10

to draw up a catalog of expressly required mandatory features which are still insufficient. 11

(Gorynia, and Jankowska, 2008; Fuks et al., 2012; Główka, 2016): 12

spatial concentration ((C1) operating in geographic proximity (C2) in an area 13

characterized by a high level of economic activity close to the cluster's profile), 14

intersectoral links (presence of (C3) in the cluster structure together with public 15

administration enterprises and scientific institutions), 16

specialization ((C4) presence of companies dealing with the same, related or substitutive 17

activity), 18

competition ((C5) interactions between entities forming a cluster within the competition 19

and at the same time cooperation), 20

critical mass ((C6) a sufficiently large number of cluster members). 21

The above catalog is not closed but the introduced analysis is of an enumerative nature. 22

The evolution of the cluster's concept and its adaptation to conditions determined by particular 23

economies, limited both spatially and by law, should lead to further analyses in the subject 24

matter. 25

3.1. Research tools 26

The key research dimension was based on case studies of two formally independent clusters 27

operating in the ICT industry. The conducted desk research analysis covered the information 28

made public on the websites of the examined networks and organizations related to them. 29

The study also carried out comparative studies based on data from the Central Statistical Office 30

databases and the author's knowledge acquired during direct cooperation with the analyzed 31

organizations. 32

1 In 2018 until the publishing of the paper the website was not available.

60 D. Jegorow

Considering the range of features adopted for cluster identification, their complexity and 1

qualitative context, a unique required criterion for recognizing a given network as a cluster can 2

be obtained. In the analysis, the author uses her original cluster identification model based on 3

a catalog of defined features (invented by her). The key issue in the conducted considerations 4

is the issue of meeting a given criterion. Assuming that: ∝1, … , ∝6 they are the weights of 5

meeting particular features 𝐶1, … , 𝐶6 determined by the level of their validity, the formal pattern 6

defining the cluster identification criterion can be presented in the following form: 7

𝐶𝐿 = ∑ 𝛼𝑖𝐶𝑖

𝑛

𝑖=1

(1)

where 𝑛 = 6, which results from the scope of features accepted for analysis and which does not 8

constitute a closed catalog. 9

Without prejudging which features are superior to others in cluster identification, their 10

equivalence was taken for granted in the analyzed example, assuming that 𝐶𝑖 = 1, where 11

𝑖 ∈ {1, 2, … , 6}. In general, this condition can be represented as ∑ 𝐶𝑖 = 𝑛𝑛𝑖=1 , which allows to 12

specify the importance of particular features in cluster identification. In turn, coefficients can 13

take values from 0 (completely unfulfilled) to 1 (completely fulfilled), i.e. 𝛼𝑖 ∈ ⟨0, 1⟩, where 14

𝑖 ∈ {1, 2, … , 6}. 15

The adopted cluster identification concept is based on the value of the indicator, whose 16

value in the analyzed case is non-negative and cannot exceed 6. The conducted analysis, 17

however, does not give grounds for formulating binding conclusions in the scope of creating 18

binding norms. Accepting a simplified deduction, it can be assumed that the acceptable level of 19

the analyzed ratio should not be lower than 75%. Of course, this is only a contractual limit, the 20

standardization of which should aim at increasing the value of the analyzed indicator. 21

3.2. Subject of study 22

The subject of the analysis included in the case study are two KKKs (national key clusters): 23

Mazowiecki ICT Cluster (MKICT) and Wschodni Klaster ICT – Eastern ICT Cluster (WKICT), 24

which are entities selected as the leaders of the cluster environment by the expert groups 25

appointed by government institutions. The selection of the studied subjects is not accidental and 26

results from their organizational activity as well as the identified functional superficiality. Both 27

entities are also related to each other organizationally and personally, which results directly 28

from, among others, the provisions contained in the National Court Register – KRS (Jegorow, 29

2014b, 2016a). Both clusters were created in 2007. The initiators of both networks were two 30

formally independent associations: Stowarzyszenie Rozwoju Społeczno-Gospodarczego 31

„Wiedza” (Association for Social and Economic Development "Knowledge") and 32

Stowarzyszenie Rozwoju Aktywności Społecznej „Triada” (Association for the Development 33

of Social Activity "Triada"), replaced in the meantime by Wschodnia Agencja Rozwoju 34


Sp. z o.o (WAR – Eastern Development Agency)2, which in turn were created in 2006 at the 1

initiative of one person3. Both clusters have long lists of members coming from various sectors, 2

thus placing their design within the concept of a triple helix4. 3

Active participation of both entities in the implementation of projects co-financed from 4

European funds, including participation in transnational initiatives, distinguishes them in the 5

national population of clusters. Without questioning the above-average commitment of the 6

leaders of the established networks, recognized by means of prestigious awards, serious doubts 7

arise in the area of impact of the coordinator and the implemented projects on the cluster 8

members (Jegorow, 2016a). The cognitive dimension of the analyzed clusters is limited by their 9

creation embedded in superficial analyses based mainly on the program assumptions formulated 10

by the interested parties themselves (Bembenek, 2017; Jegorow, 2014; Stępień, 2015). 11

Therefore, in practice, the described potential of clusters is predominantly declarative in nature. 12

In the case of a new entity, this form of diagnosis is justified, whereas in the case of entities 13

operating on the market for more than a decade, it is necessary in the cognitive dimension to 14

confront the assumptions with the achievements. 15

4. Research findings 16

The conducted analysis made it possible to identify both clusters in a system of six 17

distinctive features. For each criterion, a general assessment was established combining the 18

quantitative and qualitative dimension. The quantified image of individual clusters was 19

presented in the discussion of results. 20

21

22

2 Although it was formally new, in fact, the "Triada" Asssociation holds 100% of the shares in WAR in the amonut

of PLN 113,000. WAR is a member of MKICT. 3 This person is Jarosław Martyniuk, acting as the president of Stowarzyszenie „Wiedza” (Knowledge Association)

until August 2017, while in "Triada" Association at first he was a treasurer and now a president. J. Martyniuk

was also the first president of WAR (2010-2011) as well as vice president of MKICT and WKICT immediately

after their formation. 4 At the same time, it should be emphasized that on the websites of entities related to the analyzed clusters,

information can be found that Wschodnia Agencja Rozwoju Sp. z o.o. (Eastern Agency of Development Ltd.) –

WKICT Coordinator -and Stowarzyszenie Rozwoju Społeczno-Gospodarczego "Wiedza" (Association of Socio-

Economic Development "Knowledge") - Coordinator of MKICT - are the founders of the Startup Polish Energy

Foundation registered on April 11, 2016 in Lublin (FSPE, Dec 20, 2017). In turn, the foundation is the sole

shareholder (PLN 50,000) in the Startup Polish Energy Ltd. registered on May 16, 2016 in Lublin. Organizational

connections of the above entities mean numerous personal ties, including direct connections between the

authorities of both clusters. Additionally, WKICT and the Startup Polish Energy Ltd. can be found among the

founders of the Ogólnopolskie Porozumienie Kooperacyjne Klastrów Energii „KlasGRID” (National

Cooperation Agreement of Energy Clusters "KlasGRID"), the president of which is the president of WKICT.

The agreement defining the objective of the action as the development of distributed energy and improving the

level of energy security (KlasGRID, 20th Dec 2017) was drawn up on October 20, 2016.

62 D. Jegorow

4.1. Spatial concept (C1,2) 1

MKICT: This criterion can be assessed as fulfilled. The Mazovia Province can be described 2

as the national leader in the share of enterprises classified in the ICT technology sector (over 3

29% of the national population). The situation is similar for all the enterprises and newly 4

established entities in which the predominant type of activity is information and communication 5

as well as professional, scientific and technical activities (respectively: 8.0% and 17.3%, 8.0% 6

and 17.9% of all entities in the province). The specialization of the Mazovia Province in the 7

ICT sector is confirmed by the location factors (𝐿𝑄15 and 𝐿𝑄2

6). For employees in non-8

financial enterprises in the information and communication industry 𝐿𝑄1 = 1.93 (in the case of 9

newly created entities: 𝐿𝑄1 = 2.04), while for those working in the industry: professional, 10

scientific and technical activities 𝐿𝑄1 = 1.45 (also in the case of newly created entities: również 11

w przypadku nowo powstałych podmiotów: 𝐿𝑄1 = 1.45), and for enterprises from the ICT 12

industry 𝐿𝑄2 = 1.60 (CSO – GUS 2017a, Table 4, 2017b, Table 2, Table 3, 2017c, Table 39). 13

WKICT: This criterion cannot be assessed as fulfilled. The total number of enterprises 14

registered in the Lubelskie Province/Voivodeship as well as newly established enterprises in 15

case of which the predominant type of activity is information and communication or 16

professional, scientific and technical activity did not dominate the ICT sector (respectively: 17

3.5% and 11.1% and 4.9% and 8.9% of the total number of entities in the province; in both 18

categories the indicators determined for the Lubelskie Province were below the national 19

indicators of 4.7% and 13.3% respectively, and 5.5% and 12.3% of all entities in the country). 20

Regional enterprises classified in the ICT sector cover less than 2% of the national population. 21

Values of location coefficients indicate the lack of specialization in the ICT industry in the 22

Lublin region. For those working in non-financial enterprises in the information and 23

communication industry 𝐿𝑄1 = 0.51 (in the case of newly established entities: 𝐿𝑄1 = 0.53), 24

for those employed in the industry of professional, scientific and technical activities 25

𝐿𝑄1 = 0.81 (in the case of newly created entities: 𝐿𝑄1 = 0.75), and for enterprises in the ICT 26

industry 𝐿𝑄2 = 0.40 (GUS 2017a, Table 4, 2017b, Table 2, Table 3, 2017c, Table 3 GUS 2017a, 27

Table 4, 2017b, Table 2, Table 3, 2017c, Table 399). 28

5 𝐿𝑄1 =

𝐿𝑝𝑏𝑙𝑡

𝐿𝑝𝑙𝑡∙

𝐿𝑝𝑘𝑡

𝐿𝑝𝑏𝑘𝑡, gdzie:

𝐿𝑝𝑙𝑡 - number of employees in a particular location during the period 𝑡,

𝐿𝑝𝑘𝑡 - number of employees in the country in the period 𝑡,

𝐿𝑝𝑏𝑙𝑡 - number of employees in a given location in the industry in the period 𝑡,

𝐿𝑝𝑏𝑘𝑡 - number of people working in the country in the industry in the period 𝑡.

𝐿𝑄1 > 1,25 indicates the concentration of a given feature. 6 The coefficient is calculated according to the formula 𝐿𝑄1 respectively for the data:

𝐿𝑝𝑙𝑡 - number of enterprises in a particular location during the period 𝑡,

𝐿𝑝𝑔𝑡 - number of enterprises in the country in the period 𝑡,

𝐿𝑝𝑏𝑙𝑡 - number of enterprises in a given location in the industry in the period 𝑡,

𝐿𝑝𝑏𝑔𝑡 - number of enterprises in the country in the industry in the period 𝑡.

The coefficient has been used as an alternative to the location factor due to the lack of data on the population of

people working in the ICT industry in individual voivodeships/provinces.


The location of the participants of both clusters is not without significance. The spatial 1

distribution of members included in the WKICT goes beyond the Lubelskie Province. 2

The network includes entities representing, among others, Masovian and Kuyavian-Pomeranian 3

provinces. The same applies to MKICT. In this case, the entities included in the cluster conduct 4

their activities outside the Mazowieckie province, including in the Łódź, Lublin, West 5

Pomeranian, Pomeranian, Silesian, Lower Silesia, Kuyavian-Pomeranian, Warmian-Masurian 6

and Sub-Carpathian provinces. Naturally, spatial dispersion of members in the ICT industry is 7

acceptable. However, in this case, a narrow specialization of enterprises intended to work in the 8

global network should be expected. There is also a collection of members who belong to both 9

groups. The analysis of the activity profile of individual cluster members does not give grounds 10

for a positive assessment of this criterion. 11

4.2. Links among sectors (C3) 12

In the case of both clusters, the criterion should be assessed as met entirely in terms of the 13

overall structure and, in principle, the potential. However, taking into account the range of 14

entities from particular sectors, the established networks with the public administration and the 15

science sector cannot be assessed positively. In the first case (MKICT), the structure of entities 16

representing the science sector is characterized by the lack of involvement of the leading units 17

in the industry, while the participation of entities which have little relation to the ICT industry 18

is dominant. On the other hand, in the second case (WKICT), the problem is rooted in a small 19

share of public entities in the whole cluster leading to a territorial narrowing of the cluster's 20

impact. 21

Companies which are members of both clusters mostly represent the ICT industry. Apart 22

from them, within the cluster, there are also service companies from the financial, marketing, 23

management and trade sectors, as well as manufacturing companies unrelated to the ICT 24

industry. Both companies from the energy industry have a significant share in both clusters, 25

with particular emphasis on RES – renewable energy sources, specializing both in the 26

production of electricity and its distribution. At the same time, however, the cluster members 27

lack many significant regional companies from the high technology sector related to ICT. 28

However, the need for incorporating ICT into other industries cannot be excluded; for both 29

clusters, there is a clear tendency towards organizational and personal involvement in the 30

energy sector with a conservative attitude to the core business area. In this activity, conscious 31

actions related to the RES policy7, which were designed in the perspective of 2030, can be 32

identified. The projects planned in this area are related to new aid programs, the basic element 33

of which is the public financing of new initiatives. 34

35

36

7 The concept of cluster appeared in the amendment to the RES Act of 2016, Dz.U. 2016 item 925.

64 D. Jegorow

4.3. Specialization (C4) 1

MKICT; WKICT: This criterion cannot be assessed as fulfilled. The variety of the basic 2

scope of activity of the entities constituting both clusters is their potential value. However, 3

in the context of the desired specialization of the established networks, the very fact of 4

becoming members of a cluster a group of many entities boils down to meeting the criterion of 5

cross-sectoral links. However, as described in p. 4.2., these also raise many doubts. 6

4.4. Critical mass (C5) 7

MKICT; WKICT: This criterion can be assessed as partially fulfilled. The essence of the 8

networks functioning within the cluster does not require establishing relationships having 9

a formal and legal dimension. In the case of both analyzed clusters, the networks operate based 10

on an agreement. Therefore, it is not possible to determine whether belonging to the cluster 11

guarantees factual and effective cooperation or whether it comes down to superficial and showy 12

connections. For the cluster's leader, inclusion in the structure of a group of entities representing 13

various sectors is necessary to establish a network. In turn, for cluster members, membership 14

in the network determines obtaining a bonus in applying for grants. This condition gained value 15

as part of the competitions under the financial perspective between 2014 and 2020. 16

4.5. Masa krytyczna (C6) 17

MKICT; WKICT: This criterion can be assessed as fulfilled. Both clusters have more than 18

100 entities in their clusters, which in comparison with other national clusters makes the 19

analyzed organizations the leaders in meeting the C6 criterion. The condition considered, as in 20

the case of the location coefficient, has a quantitative character, which by definition limits its 21

desired cognitive value. The clusters of both clusters have been dominated by micro-entities, 22

which in practice reduces the capital, organizational and personal potential of the network. 23

Multiplication of the membership of a cluster member is embedded in the concept of building 24

partnership characteristics of the vision of development defined by the EU institutions. 25

5. Discussion of results 26

Adopting a simplified quantification of the weights of individual features of the analyzed 27

clusters, the potential of the characterized objects can be represented as: 28

𝐶𝐿𝑀𝐾𝐼𝐶𝑇 = 0.5𝐶1 + 0.95𝐶2 + 0.6𝐶3 + 0.6𝐶4 + 0.5𝐶5 + 0.85𝐶6 (2)

𝐶𝐿𝑊𝐾𝐼𝐶𝑇 = 0.5𝐶1 + 0.15𝐶2 + 0.6𝐶3 + 0.6𝐶4 + 0.5𝐶5 + 0.85𝐶6 (3)


Assuming the equivalence of individual features (𝐶1 = 𝐶2 =. . . = 𝐶6 = 1), the MKICT fulfills 1

the identification criterion at the level of just under 67%. In the case of WKICT, it is just over 2

53%. In the absence of a permissible limit of admissibility, both studied objects are formally 3

clusters. However, on the basis of the conducted analysis, the established networks only 4

partially meet the identification criterion (the proposed limit is at least 75%). This issue requires 5

further clarification and then putting it in order. The freedom of association of individuals and 6

enterprises does not impose the obligation to formalize the relations developed. Nevertheless, 7

in a situation when this issue is related to public financing, a much stronger positive correlation 8

between the formal and substantive dimension should be sought. 9

Creating clusters as entities filling the gap in the proposed development programs is, by all 10

means, an understandable attitude in the dimension of entrepreneurship. If there are resources 11

to be used, why not reach for them? The issue of clusters appears in the context of the conviction 12

that this is another idea for obtaining public funds. The problem is, among others, the 13

regulations which enable the cluster concept to be used to develop regional competitiveness, 14

and, at the same time, contribute to the emergence of pathologies in the economic life, including 15

an excess of subsidies granted to entities making them a permanent source of financing (Fuks 16

et al., 2012; Jegorow, 2017). Raising the awareness of the creators of the national economic 17

policy in the area of imperfection of support programs should become an urgent priority. 18

6. Summary 19

The analyzed clusters can be characterized as highly effective in creating a network of 20

connections, new organizational entities as well as personal involvement in the functioning of 21

many entities. However, the multiplication of personal as well as organizational links has 22

a mainly quantitative dimension, which in no way guarantees the operational effectiveness of 23

the established network. The conducted analysis proves that, apart from formal doubts 24

regarding referring to the established networks of organizational links as clusters, not only do 25

natural doubts appear concerning the effectiveness of these entities in the context of theoretical 26

assumptions, but also the legitimacy and validity of financing such initiatives from public funds. 27

The established MKICT and WKICT networks are based on one group of creators for whom 28

the criterion of localization was fulfilled in one case and not in the other. The conducted analysis 29

confirms the doubts regarding the low effectiveness of quantitative methods in identifying 30

clusters. Positive verification of the formal dimension of the established networks does not give 31

grounds for translating this result into a qualitative dimension. In this respect, the analysis 32

carried out raised many doubts. It is therefore advisable to conduct further research in this area, 33

so that the case studies presented are not marginalized as unrepresentative. From the level of 34

cluster members, it is important that both entrepreneurs and local government units, as well as 35

66 D. Jegorow

scientific institutions which joined the clusters demand the profits they were promised. 1

To ensure that clusters have a real impact on local or regional development, all stakeholders of 2

this concept must have knowledge about the effects of the established networks. Such 3

expectations formulated towards organizations operating on the market for more than a decade 4

are perfectly valid and justified. 5

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SUPPLY CHAIN QUALITY MANAGEMENT OF AUTOMOTIVE 1

COMPONENTS 2

Claudia KAWALLA1*, Mariusz LIGARSKI2, Michael HÖCK3 3

1 TU Bergakademie Freiberg, Institute of Industrial Management, Operations and Logistics; 4 [email protected] 5

2 Silesian University of Technology, Faculty of Organization and Management; [email protected], 6 ORCID: 0000-0002-5754-2324 7

3 TU Bergakademie Freiberg, Institute of Industrial Management, Operations and Logistics; 8 [email protected], ORCID: 0000-0002-5626-2646 9


Abstract: Inferior automotive component quality might be caused by diverse sources in the 11

supply chain network. To compete in a highly dynamic environment, a supply chain quality 12

management integrating quality issues of the internal and external supply chain is needed. 13

In this paper, a supply chain quality management model for automotive components was 14

developed on the basis of further development of ISO 9001:2015. This way, the quality within 15

the value chain can be managed. To evolve the model, the novel concept of supply chain quality 16

management and its dimensions were reviewed in the literature. Drawing upon the results, 17

intersections concerning common processes of both approaches, quality management and 18

supply chain management, were identified using ISO 9001:2015 and the SCOR model. Based 19

on the findings, a supply chain quality management model for automotive components was 20

developed and will be introduced. The results reflect implications for the management of supply 21

chain quality to be implemented by companies. 22

Keywords: supply chain quality, automotive component industry, ISO 9001:2015. 23

1. Introduction 24

Manufacturers of automotive components have to cope with strict quality requirements. 25

In the event of product defects leading to process disruptions and financial losses, a company’s 26

reputation can be jeopardy (Huo et al., 2016). However, a company’s performance does not 27

only depend on its capabilities (Park et al., 2001) but rather on the whole supply chain. 28

In addition, quality challenges intensify with larger supply chain networks (Tang, 2008; Kang, 29

2010). To achieve overall optimization of supply chain quality performance, economic 30

optimization of individual companies is insufficient (Carmignani, 2009). The internal focused 31

70 C. Kawalla, M. Ligarski, M. Höck

quality management must be extended by the inclusion of the supply chain perspective 1

(Carmignani, 2009; Flynn, B.B. and Flynn, E.J., 2005; Sousa and Voss, 2002). Although many 2

research questions have been treated in literature concerning the merging of quality 3

management (QM) and supply chain management (SCM) into supply chain quality 4

management (SCQM), a specific application approach is still missing (Zeng et al., 2013; Lin 5

et al., 2005; Chibba, 2017; Carmignani, 2009). Thus, a more detailed consideration of joint 6

practices and their associated processes is required for the implementation of SCQM in the 7

automotive industry. 8

The objective of this paper is to develop an SCQM model for automotive components based 9

on the further development of ISO 9001:2015. This model is meant to bridge the gap many 10

organizations are faced with during the implementation of supply chain quality in enterprises. 11

To develop the SCQM model, an extensive literature review was initially carried out to describe 12

the concept and identify its dimensions. In the next step, common processes between quality 13

management and supply chain management were revealed using ISO 9001:2015 and the SCOR 14

model. The article ends with the presentation of the developed SCQM model for automotive 15

components. 16

2. Evolution of supply chain quality management 17

Particular importance in achieving competitive differentiation is placed on both 18

management philosophies, QM and SCM (Talib et al., 2010). SCM synchronizes processes 19

between suppliers, manufacturers, distributors and retailers with the primary goal to meet 20

customer requirements (Simichi-Levi et al; Krajewski et al.). In a similar way, QM requires the 21

management of processes to produce tailor-made products according to (ISO 9001:2015; 22

Fernandes et al., 2017). However, both approaches have shortcomings concerning the 23

management of supply chain quality. Regarding SCM, the often pursued cost-cutting and 24

efficiency perspective is too narrowly oriented (Huo et al., 2016). QM, in turn, encompasses 25

the internal view, neglecting external operations (Robinson, and Malhotra, 2005; Foster Jr., 26

2008; Chibba, 2017; Zu, and Kaynak, 2012). To overcome restrictions, similarities and 27

differences were identified by (Soltani et al., 2011) between QM (see (Soltani et al., 2008; 28

Hackmann, and Wageman, 1995; Sitkin et al., 1994; Soltani et al., 2006) etc. according to 29

(Soltani et al., 2011)) and SCM (see (Li et al., 2008; Hult, 2004; Tan, 2001) etc. according to 30

(Soltani et al., 2011)) as well as their intersection (see (Chen et al., 2004; Ketchen Jr. and Hult, 31

2007) etc. according to (Soltani et al., 2011)). The intersection is illustrated in Figure 1 by 32

(Soltani et al., 2011). 33

34

Supply chain quality management… 71

1

Figure 1. Intersection between SCM and QM (Soltani et al., 2011) Copyright 2011 by Publisher. 2

Merging the complementary approaches of SCM and QM is known as SCQM (Soltani et 3

al., 2011). "SCQM is the formal coordination and integration of business processes involving 4

all partner organizations in the supply channel to measure, analyze and continually improve 5

products, services, and processes in order to create value and achieve satisfaction of 6

intermediate and final customers in the marketplace." (Robinson and Malhotra, 2005, p. 319). 7

It is not limited by a best practice like ISO 9001 certification or total quality management cf. 8

(Carmignani, 2009; Robinson and Malhotra, 2005; Terziovski and Hermel, 2011; Zu and 9

Kaynak, 2012; Vecchi and Brennan, 2009). 10

An overview of SCQM literature is given in Table 1, which discusses topics concerning 11

synergies between QM and SCM as well as their influence on performance metrics. Following 12

the taxonomy of (Robinson and Malhotra, 2005), the articles can be distinguished between 13

those dealing with intra-organizational and inter-organizational issues. 14

Intra-organizational papers discuss traditional quality management containing aspects of 15

cross-organizational boundary expansion of quality initiatives relevant to supply chain quality 16

(Robinson and Malhotra, 2005). Inter-organizational papers treat topics concerning the 17

integration of internal quality management with the supply chain environment (Robinson and 18

Malhotra, 2005). Literature considers the upstream side, downstream side as well as quality 19

process integration on the downstream and upstream side. Only a few papers include the 20

integration of the external and internal view. This integration of the external and internal view 21

consists of the following dimensions: internal practices, upstream and downstream management 22

(Zeng et al., 2013). 23

24


Table 1. 1

Papers regarding synergies between the separate QM and SCM approaches 2

Perspective Dimension Literature

Internal view

Internal view together

with external impact

(customer/supplier)

(Park et al., 2001; Salvador et al., 2001; Gotzamani and Tsiotras,

2001; Segars et al., 2001; Mehra et al., 2001; Ahire and Dreyfus,

2000; Yeung et al., 2003; Romano, 2002; Rosenzweig et al.,

2003; Terziovski et al., 2003; Tan et al., 1998; Tan et al., 1999;

Choi and Eboch, 1998; Forker et al., 1997; Kumar et al., 2014)

External view Upstream side (Trent and Monczka, 1999; Shin et al., 2000; Fynes et al., 2005;

Lai et al., 2005; Tracey and Tan, 2001; Wu et al., 2010; Hollos et

al., 2012)

Downstream side (Mukerjee, 2013; Danese and Romano, 2012; Mokhtar, 2013)

Downstream and

upstream side

(Forza, 1996; Soltani et al., 2011; Salvador et al., 2001; Romano

and Vinelli, 2001)

Internal and

external view

Integration of internal

practices, upstream and

downstream supplier

(Zeng et al., 2013; Kaynak and Hartley, 2008; Kuei et al., 2001;

Lin et al., 2005; Fernandes et al., 2017; Quang et al., 2016; Hu et

al., 2015)

3

The first generalized models were conceptualized by (Fernandes et al., 2017; Quang et al., 4

2016; Hu et al., 2015). For example, (Quang et al., 2016) delivered a conceptual framework 5

covering the three core dimensions (upstream and downstream side as well as internal 6

processes). In addition, it promotes support practices. The SCQM framework of (Hu et al., 7

2015) consists of six critical SCQM elements comprising a strategic and operational level. 8

The elements associated with the strategic level are supply chain leadership and supply chain 9

design for quality. The operational level is covered by the internal, upstream and downstream 10

QM as well as product recall strategy. The SCQM model is adjusted with the environmental 11

factors of the individual industry (Hu et al., 2015). 12

To sum up, there is increasing research on the integration of QM and SCM in conformance 13

with (Chibba, 2017). However, there are a lot of issues which are insufficiently covered in 14

literature (Zeng et al., 2013; Huo et al., 2014; Huo et al., 2016; Sila et al., 2006). Furthermore, 15

there are various aspects and relationships considered from different perspectives. Initial 16

research focused on modeling conceptual SCQM frameworks which is at a highly generalized 17

level. 18

Towards a more application-oriented approach, common processes including the internal 19

and external perspective need to be identified for the individual dimensions and adapted to 20

special sectors. 21

3. Integration of ISO 9001 into the SCOR model 22

To achieve a detailed view of the generalized level, common processes including the 23

internal and external perspective need to be identified for individual dimensions. Supporting 24

the external and internal perspectives (Robinson and Malhotra, 2005), the Supply Chain 25


Operations Reference (SCOR) model will be regarded in the following to connect common 1

issues with ISO 9001:2015. 2

The SCOR model, which is currently available in version 12.0, was developed by the 3

Supply Chain Council (Li et al., 2011; www.apics.org). The objective of the SCOR model is to 4

represent the process architecture from the supplier to the end consumer stage. The SCOR 5

model spans all customer interactions, physical material transactions and market interactions. 6

It consists of several process levels, which are illustrated in Figure 2. At the first level, primary 7

management processes comprise the following: plan, source, make, deliver, return and enable. 8

These processes define the scope and content of the supply chain. At the second level, the six 9

top-level processes are divided into process categories conforming with the operation strategies. 10

The process categories are in turn subdivided into process elements (third level). The fourth 11

level contains the implementation-related itemization of the individual process elements and is 12

not part of the SCOR model (APICS Supply Chain Council, 2014; www.apics.org). The sub-13

division of the SCOR model into hierarchical levels enables a linkage with ISO 9001:2015 by 14

adaption to the levels (see Figure 2). Processes in a quality management system according to 15

ISO 9001:2015 are depicted in a process map illustrating the existing processes and their 16

interrelationships. The processes are classified into leading, core and support processes, e.g. 17

production belongs to core processes and interacts, for example, with procurement. On the next 18

level, the processes can be broken down into sub-processes, e.g. production consists of several 19

processes. According to the SCOR model, the processes in a quality management system are 20

sub-divided into process elements, which are described in procedures, including information 21

about input/output, expected results of the processes etc. The description of the implementation 22

is contained in the work instructions and their references to further documents. 23

24

Figure 2. Adoption of the SCOR model levels (APICS Supply Chain Council, 2014) to ISO 9001:2015. 25


To identify joint issues and derive joint processes, the content of the individual levels of the 1

SCOR model and the requirements of ISO 9001:2015 were compared with each other. Based 2

on joint topics and complementary goals, specific leading, core and support processes of the 3

component supply chain were assigned to process types and categories of the SCOR model. 4

Additionally, the identified processes requiring harmonization regarding the critical aspects of 5

the supply chain are divided into processes, which are directly and indirectly influenced by the 6

external perspective. For example, the process type plan is aimed at the development of plans 7

concerning the supply chain (APICS Supply Chain Council, 2014). Interfaces with ISO 8

9001:2015 are standard sections “8.1 Operational planning and control” and “8.2 Requirements 9

for products and services”. On the basis of respective requirements, joint processes were 10

identified, which require harmonization with the external perspective. The results are illustrated 11

in Table 2. 12

Table 2. 13

Identification of common processes 14

SCOR model ISO 9001:2015 Joint processes

Process categories Standard section Process type Processes

Direct Indirect

Plan

Plan SC

Plan Source

Plan Make

Plan Delivery 8. Operation

8.1 Operation

planning and

control

8.2 Requirements

for products

and services

Core processes

Request

handling

Order

processing

Procurement

Production

Logistic

Plan Return

Core processes

Complaint

management

Logistic

Production

Logistic

Support

processes Identification

& traceability

Preventive

and

corrective

actions

Source

Source Stocked

Product

Source Make-to-

Order Product

Source Engineer-to-

Order Product

8.5 Control of

externally

provided

processes,

products and

services

Core processes Procurement

Production

Logistic

Complaint

management

Make

Make-to-Stock

Make-to-Order

Engineer-to-Order

8.5 Production and

service

provision

Core process Production

Support process Identification and traceability

Deliver

Deliver Stocked

Product

Deliver Make-to-

Order Product

Deliver Engineer-to

Order Product

Deliver Retail

Product

8.4 Production and

service

provision

Core process Logistic

Support process Identification and traceability

15

16


Cont. table 2 1

Return

Source

Return

Defective

Product

MRO

Product

Excess

Product

8.2 Control of

externally

provided

processes,

products and

services

Core process Complaint

management

Logistic

Procurement

Deliver

Return

Defective

Product

MRO

Product

Excess

Product

8.5.5 Post-delivery

activities

8.7 Control of

nonconfor-

ming outputs

Core process Complaint

management

Logistic

Core

processes

where the

cause is

identified

Support process

Preventive

and

corrective

action

activities

Enable

Manage Supply Chain

Business Rules

4. Context of the

organization

5. Leadership

Strategy

Manage Supply Chain

Performance

9. Performance

evaluation

Leading

Processes

Management

review

Internal Audit

Core

processes

Leading

processes

Support

processes

Manage Supply Chain

Human Resources 7.2 Competence Leading process

Human

resource

management

Manage Supply Chain

Assets

7.1.3 Infra-

structure

Maintenance

management

Gauge

management

4. SCQM model for automotive components 2

The SCQM model, which is illustrated in Figure 3, was designed with reference to a supply 3

chain for ready-to assemble components. The supply chain includes the production of raw 4

materials, semi-finished products, component parts, ready-to assemble components and the 5

assembling process. 6

The introduction of SCQM is a strategic choice of the supply chain leadership (Carmignani, 7

2009; Hu et al., 2015). The implementation on the operational level takes place through the 8

internal, downstream and upstream QM (Quang et al., 2016; Hu et al., 2015). Individual 9

characteristics of the dimensions of the SCQM model are affected by the specific environmental 10

factors of the automotive industry, which are generally classified according to (Hu et al., 2015) 11

into competitive environment, government regulations and supply chain characteristic. 12


1 Fig

ure

3.

SC

QM

model

for

auto

moti

ve

com

ponen

ts


The SCQM strategy, which is defined by the top management, harmonizes, combines and 1

balances the requirements of the internal and external perspective. Moreover, the policy and 2

objectives are determined. 3

The starting point for the introduction of SCQM at the operational level is the 4

implementation of internal QM, which interacts with the direct supplier and customer. Based 5

on the processes identified in the previous chapter, process maps for the individual stages, 6

illustrated in Figure 3, were developed. The internal processes must be harmonized with the 7

external requirements of the supply chain discussed on the strategic level, for example, specific 8

requirements for identification and traceability for the whole supply chain. 9

Due to the fact that the requirements of ISO 9001:2015 are the common specifications for 10

all industries, additional industry-specific and company-specific requirements need to be 11

applied. Industry-specific requirements are given in respective standards like ISO/TS 16949, 12

VDA and regulations (e.g. FMEA, APQP). Company-specific requirements relate to the 13

corresponding field of the companies. Figure 4 shows the variety and complexity of the 14

requirements for the component supply chain which uses aluminum strips. Company-specific 15

requirements are given, for instance, in the standard series DIN EN 485 “Aluminium and 16

aluminium alloys – sheet, strip and plate” defining specifications and order guidelines 17

concerning properties, control plans etc. To ensure the quality of a semi-finished product, the 18

standardization of the ordering process, the requirements of the raw material supplier and the 19

raw material itself are essential. In the case of ordering ingots, the standard DIN EN 1676 20

“Aluminium and aluminium alloys – alloyed ingots for remelting” must be taken into account. 21

22

Figure 4. Requirements of the automotive industry. 23

Beside the interactions between the individual supply chain partners, interactions between 24

all members of the supply chain take place at the senior level of strategic alignment. This 25

includes meetings concerning the generation of collaborative demands, material replenishment 26

and production plans but also additional quality issues. Based on joint plans, performance can 27

be evaluated and improvement actions can be derived for the whole supply chain as well as for 28

the individual stages. 29


5. Results and implications 1

The paper considered the merger of QM and SCM to SCQM. On the basis of an extensive 2

literature review, dimensions of SCQM were identified. To achieve a detailed view of the joint 3

processes of QM and SCM, the SCOR model and ISO 9001:2015 were checked for common 4

features. It was illustrated that on the one hand, there are processes which are under direct 5

impact. This means processes which need to be integrated with suppliers and customers. On the 6

other hand, there are processes which are influenced indirectly and require a harmonization 7

with the external conditions. Using the above-mentioned findings, an SCQM model was 8

developed for automotive components. 9

The implementation takes place at the strategic and operational level. The strategic level 10

serves the holistic supply chain perspective, including a joint policy and objectives. 11

The operational level includes internal QM and its integration with the upstream and 12

downstream QM. To establish SCQM, companies in the automotive supply chain should 13

initially focus on the introduction of a stable internal QM based on ISO 9001:2015, followed 14

by the integration of downstream and upstream QM. In this context, specific requirements 15

which can be sub-divided into industry-specific and company-specific requirements should be 16

gathered. Moreover, joint management should be organized on the senior level. Based on the 17

joint management, performance could be evaluated and improvement processes can be derived. 18

Acknowledgments 19

This work was supported by the European Union (European Social Fund) and Saxonian 20

Government under grant 100270111. 21

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9





INFORMATION TECHNOLOGY OF TOURISM DEMAND MODELING

BASED ON COGNITIVE AND STATISTICAL ANALYSIS

Victor М. KRILOV1*, Hrystyna V. LIPYANINA2

1 Odessa National Polytechnic University, Shevchenko Avenue 1, Odessa 65044, Ukraine;

[email protected], ORCID: 0000-0003-1950-4690 2 Ternopil National Economic University, Lvivska Str. 11, Ternopil 46000, Ukraine; [email protected],

ORCID: 0000-0002-2441-6292

* Correspondence author

Abstract: The process of tourism demand formation is studied, in which the infrastructure level

is estimated on the basis of subjective expertise. There is a strong correlation between the

number of collective accommodation facilities and tourism activity subjects, the infrastructure

level based on the subjective expertise and the number of recreations. Regression dependencies

between the tourism demand and closely correlated factors are determined.

Keywords: information technology, model, tourism demand, correlation analysis, regression

dependence.

1. Introduction

The tourism market in Ukraine is at the stage of development, which is determined by socio-

economic and political processes of the country.

In 2017, Ukraine was visited by 142 million of foreign tourists. Compared to 2013, foreign

tourist arrivals declined by 56%, the number of domestic tourists increased by 0,5%, and the

number of excursionists during 2000-2017 also decreased by 29% (Anderson, 1976, p. 756).

The development of the tourism services market and its infrastructure is a topical issue of

current economic studies. As infrastructure facilities are crucial for the regional tourism

economy, this necessitates the search for ways to develop the infrastructure of the tourism

services market, increasing the efficiency of management decision-making process and

implementing its development strategy in accordance with the state and trends of the

subregional tourism market.

86 V.М. Krilov, H.V. Lipyanina

2. Model characteristics

The demand for tourism is determined by the number of tourists visiting a country or the

expenditures of the country. Macroeconomic indicators, such as the income level in different

countries, tourism expenditures in Ukraine, transport costs, and the number of collective

accommodation facilities are taken into account in the model of tourism demand.

The flow of tourists to Ukraine can be characterized according to the following factors:

Y = 𝐹 (𝑆, 𝑉𝑇𝑅 , 𝑃, 𝑅, 𝐾, 𝐶, 𝐼, 𝑇),

where:

Y – flow of tourists,

S – average salary per person in the tourism industry,

𝑉(𝑇𝑅) – tourism expenditures,

R – the number of collective accommodation facilities,

P – the number of subjects of tourism activity,

K – the number of recreations,

C – the amount of goods and services produced according to the type of economic activity,

I – capital investment by region,

T – transport connection,

N – infrastructure (subjective indicator).

3. The purpose and objectives of the research

The purpose of the work is to develop information technology for modeling tourism demand

on the basis of cognitive and statistical analysis.

To achieve the purpose of the research, it is necessary to solve the following scientific tasks:

to analyze the existing solutions in the field of information technologies and

mathematics used for modeling tourism demand on the basis of cognitive and statistical

analysis,

to carry out a correlation analysis of tourism demand, whose distinctive features are

qualitative and quantitative parameters,

to determine the regression dependence of tourism demand on the level of infrastructure

development.

Information technology of tourism demand modeling… 87

4. Methods of modeling tourism demand on the basis of cognitive

and statistical analysis

To achieve the stated goals, we need to determine the correlation and regression.

Linear correlation for empirical data, measured according to interval or ratio levels,

is estimated using the Pearson correlation coefficient 𝑟ху.

𝑟ху =∑ (𝑥𝑖 − �̅�) ∙ (𝑦𝑖 − �̅�)𝑛

𝑖=1

√∑ (𝑥𝑖 − �̅�)2 ∙ ∑ (𝑦𝑖 − �̅�)2𝑛𝑖=1

𝑛𝑖=1

where:

𝑥𝑖 and 𝑦𝑖 – values of variables X and Y,

�̅� and �̅� – average values of X and Y,

𝑛 – sample volume.

The first stage involves determining the coefficients of the pair correlation (between two

numerical arrays – 𝑥𝑖 and 𝑦𝑖). The relationship between the values of the coefficients and the

nature of the power in the existing relationship is given in Table 1.

Table 1.

Qualitative assessment of the power of relationship

Values of the pair correlation coefficient Nature of the power in relationship

Up to 0.3 Virtually absent

0.3-0.5 Weak

0.5-0.7 Notable

0.7-0.9 Strong

0.9-0.99 Very strong

In order to consider the indicators as factors suitable for modeling, the relationship between

them should be strong or very strong, that is, the resulting variable value of the model should

be more than 0.7. If the correlation coefficient values are less than 0.7, the relationship between

the factors of this group is considered to be insignificant and these factors should not be

considered as having a significant effect on this economic phenomenon. Thus, the procedure

for determining the pair correlation coefficients allows us to select those factors among the

whole set which really show a close relationship between them and the indicator, selected as

a dependent variable of a certain economic process, and not to take into account the factors

which have little effect on this process.

It should be noted that there are often problems of the so-called multicollinearity while

creating the multi-factor regression equation: when there is a close relationship not only between

the factor features and the functional (dependent) feature, but also between the factor features

themselves. In such a case, the functional relationship may be distorted and the simulated process

is not shown properly. That is why, in addition to determining the pair correlation coefficients

between the independent variables and dependent variable, it is expedient to determine the pair


correlation coefficients between the factor features themselves and remove those factors which

can show the presence of multicollinearity and a less close relationship between them and the

functional variable. The second stage in building the regression models is selecting the formula

of the regression equation itself. A linear multifactor regression which describes a linear

relationship between the data under investigation is the simplest one:

𝑦 = 𝑎0 + 𝑎1𝑥1 + ⋯ + 𝑎𝑛𝑥𝑛

where:

𝑦 – dependent variable, function,

𝑎0, 𝑎1, … , 𝑎𝑛– regression coefficients,

х1 , … , х𝑛 – dependant variables.

Empirical formulas can be varied because when choosing an analytic dependence one

should not follow some strict theories (physical or economic). Only one condition is necessary,

that is, close possible correspondence of the values, calculated by the formula, to the

experimental data. The corresponding regressions can be constructed "manually", but such

calculations are rather cumbersome and time-consuming.

While building multi-factor regression models, the following stages can be distinguished:

1. Selecting and analyzing all possible factors that affect the process or indicator which is

being studied.

2. Measuring and analyzing the factors found. If some factors cannot be quantitatively or

qualitatively determined or the model parameters statistics are not available for them,

then they are removed from further consideration.

3. Mathematical and statistical analysis of the factors. At this stage, when there is a lack of

information in dynamic rows, the information may be restored by means of specified

methods and the basic assumptions of the classical regression analysis are verified.

4. Selecting the regression multifactor model.

5. Estimating unknown parameters of the regression model.

6. Verifying the significance of the found parameters of the model and its correspondence

to the reality by means of the Fisher’s F-criterion and Student’s t-criterion. Fisher’s

F-statistics is calculated with m and (n-m-1) degrees of freedom:

𝐹 =

∑ (𝑦𝑖𝑝−�̅�)2𝑛𝑖=1

𝑚∑ (𝑦𝑖−𝑦𝑖𝑝)2𝑛

𝑖=1𝑛−𝑚−1

where:

𝑚 – the number of factors included into the model,

n – the total number of observations,

𝑦𝑖𝑝 – the estimated value of the dependent variable with the i-th observation,

�̅� – the average value of the dependent variable,

𝑦𝑖 – the value of the dependent variable with the i-th observation.


According to Fischer's F-tables, the critical value of 𝐹𝑘𝑟 with m and (n-m-1) degrees of

freedom is determined due to the previously set confidence level (1- α) ∙ 100%. F > 𝐹𝑘𝑟, shows

the adequacy of the model constructed.

If the model is inadequate, it is necessary to return to the stage of its construction and

additional factors can be introduced, or the nonlinear model is used. T-statistics for multi-factor

regression parameters are as follows:

𝑡 =𝑎𝑖

𝜎𝑎𝑖2

where:

𝑎𝑖 – estimation of the i-th parameter,

𝜎𝑎𝑖

2 – mean square deviation of the i-th parameter estimation.

If the t-value exceeds the critical value, which is not included into the t-criterion table, then

the corresponding parameter is considered to be statistically significant and it greatly influences

the aggregate indicator.

7. Determining the main characteristics (multiple correlation coefficient), analyzing the

results received, drawing conclusions.

Multiple correlation coefficient is the main indicator of the correlation density of the

aggregate indicator and factors. If its value, calculated by the formula, is close to 1,

the relationship between the indicator and the factors is considered to be dense.

𝑅 = √1 −∑ (𝑦𝑖 − 𝑦𝑖𝑝)2𝑛

𝑖=1

∑ (𝑦𝑖 − �̅�)2𝑛𝑖=1

5. Results of the study of tourism demand modeling based on cognitive

and statistical analysis

To analyze the factors affecting the tourism demand, data of the Ukrainian Statistics Service

is used (Dubrova, 2003, p. 205). The infrastructure indicator is an average assessment made by

the experts in the field of infrastructure, that is, this indicator is qualitative.

There are several methods for determining the correlation coefficient level. The method of

least squares is the most well-known one. However, instead of this rather laborious calculation,

functional and statistical dependencies in the programming language R can be successfully

used. This allows us to find the correlation coefficients within a few minutes.


Figure 1. Matrix of correlations.

Table 2.

Estimation of the relationship density between the dependent variable Y and independent

variables

Effective

indicator

(dependent

variable y)

Factor (independent variable x)

Value of the pair

correlation

coefficient (r)

Nature of the linear

relationship

(density)

Characteristics

of the

relationship

Y – tourist flow

𝑅 − number of collective

accommodation facilities 0.8137670 strong direct

S − average salary per person in

the tourism industry 0.04219225 virtually absent direct

𝑉𝑇𝑅 − tourism expenditures -0.2271771 virtually absent reverse

𝑃 − number of subjects of tourism

activity 0.8613155 strong direct

𝑍 – ecology 0.8080230 strong direct

N – level of infrastructure based on

subjective expertise 0.94793356 very strong direct

K – number of recreations 0.8180624 strong direct

𝐶 – the amount of goods and

services produced according to the

type of economic activity

-0.44915574 weak reverse

𝐼 – capital investment by region 0.006036328 virtually absent direct

𝑇 – transport connection 0.6452539 notable direct

According to the results of the correlation matrix, the tourist flow to Ukraine depends on

the factors, which show a level of dependence of (Y) ≥0.7, that is, the nature of the relationship

is strong or very strong.

Therefore, the model of the tourism demand formation looks as follows:

Y = 𝐹 (𝑃, 𝑅, 𝐾, 𝑁),

where:

Y – tourist flow,

𝑅 – the number of collective accommodation facilities,

1

0.04

-0.23

0.81

0.86

-0.45

0.01

0.82

0.65

0.95

0.04

1

0.57

0.45

-0.24

0.09

0.36

-0.14

-0.25

-0.03

-0.23

0.57

1

0.15

-0.63

0.81

0.92

-0.12

-0.8

-0.05

0.81

0.45

0.15

1

0.6

-0.34

0.3

0.67

0.45

0.83

0.86

-0.24

-0.63

0.6

1

-0.78

-0.45

0.78

0.92

0.78

-0.45

0.09

0.81

-0.34

-0.78

1

0.78

-0.29

-0.95

-0.28

0.01

0.36

0.92

0.3

-0.45

0.78

1

0.04

-0.67

0.2

0.82

-0.14

-0.12

0.67

0.78

-0.29

0.04

1

0.52

0.91

0.65

-0.25

-0.8

0.45

0.92

-0.95

-0.67

0.52

1

0.52

0.95

-0.03

-0.05

0.83

0.78

-0.28

0.2

0.91

0.52

1-1

-0.8

-0.6

-0.4

-0.2

0

0.2

0.4

0.6

0.8

1

Y S VTR

R P C I K T N

Y

S

VTR

R

P

C

I

K

T

N


𝑃 – the number of subjects of tourist activity,

𝐾 – the number of recreations,

𝑁 – infrastructure level based on subjective expertise.

Then, the tourism demand regression model based on cognitive and statistical analysis is

built (Figure 2).

Figure 2. Results of the tourism demand regression model based on the statistical data for the years

2012-2017.

According to the statistical data for 2012-2017, the determination coefficient R2 = 0.99639

and the value of the F observation statistics = 6.684. These values show the model adequacy,

since the determination coefficient is close to 1, its observed F-statistics value is 6.684, which

is more than the critical F-statistics value at the level of significance of 4.5.

The availability of these regularities of the tourism sector in Ukraine is confirmed by

correlation and regression analysis on the basis of statistical data for 2012-2017. By means of

this analysis, the dependence of the size of tourist flow (Y) on the change in the number of

collective accommodation facilities (R), the number of subjects of tourism activity (P), the

number of recreations (K), and infrastructure level based on the subjective expertise (N) are

determined and can be introduced as linear multiple regression:

𝑌𝑡 = 177.20𝑃𝑡 + 11.82𝑅𝑡 − 5717.21𝐾𝑡 + 60559.46𝑁𝑡 + 5527888.62 (1)

Thus, the received multiple regression shows the dependence of the volume of tourism

demand on the main indicators of tourism activity. Therefore, based on the predictive values of

the number of collective accommodation facilities, the number of subjects of tourism activity,

the number of recreations and the infrastructure level resulting from the subjective expertise,

it is possible to determine the predictive values of tourist flows.

Figure 3. Confidence intervals for model indicators.


Using the obtained values of confidence intervals for the parameters of the empirical model

(Fig. 3), it is possible to write the functions of the upper and lower limits of the confidence

interval, within which Y*dependent variable values can be determined with a given reliability:

Lower limit

𝑌𝑡 = −1689.5 ∙ 𝑃𝑡 − 2128.9 ∙ 𝑅𝑡 − 95992.3 ∙ 𝐾𝑡 − 467009.3 ∙ 𝑁𝑡 − 64152217.2

Upper limit

𝑌𝑡 = 2043.9 ∙ 𝑃𝑡 + 2152.5 ∙ 𝑅𝑡 + 84557.9 ∙ 𝐾𝑡 + 588128.2 ∙ 𝑁𝑡 + 75207994.4

One of the tasks of regression analysis is to predict the future value of a dependent variable

on the basis of the obtained multiple regression model.

6. Conclusions

The process of tourism demand formation is studied in this paper. Its infrastructure level is

assessed on the basis of subjective expertise. A correlation analysis is carried out and a strong

correlation between the number of collective accommodation facilities and the number of

subjects of tourism activity, the infrastructure level based on subjective expertise and the

number of recreations is found. According to the results received, the tourism demand model is

built on the basis of cognitive and statistical analysis.

References

1. Anderson, T. (1976). Statistical analysis of time series. Moscow: Mir, 756.

2. Dubrova, T.A. (2003). Statistical methods of forecasting. Finance and Statistics, 205.

3. Holovko, O.M. (2013). Promising directions of tourism development in small cities.

Scientific Bulletin of NLTU of Ukraine, 23.14, 67-73.

4. Hunk, D.E. (2003). Business Forecasting. Moscow: Publishing house “Wiliams”, 656.

5. Official statistical information of the Ukraine State Statistics Committee,

http://www.ukrstat.gov.ua.

6. The Law of Ukraine "On Tourism" (18.11.2003). №1282 – ІV, http://zakon4.rada.gov.ua/

laws/show /324/95-%D0%B2%D1%80.

7. The World Tourism Organization (UNWTO), http://www2. nwto.org.

8. Tsibulskiy, V.O. (2015). Investigation of the essence of demand and supply in the market

of tourist services and factors of influence on them. Economy. Management. Innovations,

2(14), 14-24.





INTERNATIONAL STUDENT EXCHANGE – MOTIVES, BENEFITS 1

AND BARRIERS OF PARTICIPATION 2

Dominika MARCINIAK1*, Michał WINNICKI2 3

1 Politechnika Śląska, Wydział Organizacji i Zarządzania, Zabrze; [email protected], 4 ORCID: 0000-0002-5499-0754 5

2 Politechnika Śląska, Wydział Organizacji i Zarządzania, Zabrze; [email protected], 6 ORCID: 0000-0003-2995-9904 7


Abstract: Erasmus mobility is one of the most important manifestations of internationalization 9

of education in Europe. The aim of the study is to ascertain the participants’ motives and the 10

benefits coming from this international exchange of students as well as to diversify the results 11

with regard to gender. The article, in its theoretical part, characterizes the concept of 12

internationalization of education, describes the factors motivating for educational mobility, the 13

benefits and the barriers of participation. The empirical part contains own researches carried 14

out on a group of 125 students from Polish and foreign universities, using the CAWI 15

(Computer-Assisted Web Interview) tool. It turns out that the main motivators to participate in 16

student international education mobility is, among women, desire to travel as well as 17

development of language skills. Men are mainly motivated by having fun and good time. 18

Regardless of the research results it can be noticed that, generally, employers are more likely 19

to decide to hire people who participated in and international student exchange, and the risk of 20

long-term unemployment among graduates with international experience is lower by half than 21

among graduates without such international experience. On the other hand, internationalization 22

of education involves risks, including commercial profits, academic colonization and 23

difficulties in providing high-quality education. 24

Keywords: internationalization of education, educational mobility, Erasmus program. 25

1. Introduction 26

The time of studies is a very important stage in a person's life; it is the time to acquire skills, 27

knowledge and competencies necessary to build a professional career. Students want to explore 28

the world and experience something special. It is worth using the time of higher education in 29

the best possible way, taking advantage of the rich offer provided by universities which offer 30

today's students a number of additional forms of self-realization, far exceeding the standard 31


94 D. Marciniak, M. Winnicki

studies at regular academies. Universities throughout Europe are intensively looking for new 1

development opportunities, amongst others, through activities referred to as internationalization 2

of education. Universities offering foreign scholarships have undertaken tasks of transforming 3

a young student into a citizen of Europe and the World with extensive international and 4

intercultural experience. 5

The Erasmus Program is one of the most important manifestations of internationalization 6

of education in the world, expressed mainly by the increase in international mobility of students, 7

lecturers and administrative staff as well as by preparation of the offer of classes in foreign 8

languages. 9

Studying abroad brings undoubted benefits. Many students participate in international 10

education exchange programs because they want to acquire knowledge about other cultures, get 11

to know other teaching systems, language, or even because of pure curiosity and the desire to 12

experience an adventure. The benefits of completing part of the studies abroad also increase the 13

chances of such an exchange student on the labour market. Moreover, participation in student 14

exchange programs shapes people’s personality and worldview. The opportunity to study 15

abroad, although very appealing, is also difficult in many aspects – both for people leaving 16

Poland, and the foreign students visiting our country. Nevertheless, many students decide to go 17

on a foreign scholarship. 18

The study consists of a theoretical and empirical part. The theoretical part includes the 19

concept of internationalization of education, characterised on the basis of relevant literature as 20

well as description of factors motivating for educational mobility, the benefits which foreign 21

scholarship can bring and the barriers of participation in a student international exchange. 22

The empirical part contains researches conducted using the CAWI (Computer-Assisted Web 23

Interview) tool on a sample of 125 students of Polish and foreign universities. 24

The aim of the work is to gain knowledge about the motives and the benefits of students 25

who participate in international education exchange, and to diversify the participants with 26

regard to the gender. 27

2. The notion of internationalization of education 28

Internationalization of education can be understood as the process of integrating the 29

international, intercultural and global dimensions with the purpose, functions and modes of 30

operation of universities (Urbanikova, 2013, p. 2). In higher education, it can be noted that 31

internationalization has always been more important than other spheres of social life. It operated 32

in the sphere of intellectual exchange whose main domain is crossing borders, including 33

national ones (Siwińska, 2013). Internationalization of higher education is the highest stage of 34

international relations between universities, and is no longer perceived as an aim in itself, but 35

International student exchange… 95

as a way to improve quality of education (Jibeen, and Khan, 2015). Internationalization is also 1

acquisition and exchange of knowledge and experience (European Migration Network, 2015). 2

A very important aspect of internationalization of education in Europe was the Bologna 3

Process1. 4

In the literature, reasons for internationalization of education are considered as proactive 5

and reactive (Duliniec, 2004, pp. 17-21). Proactive reasons for internationalization include: 6

expectation of achieving profits from the provision of educational services to foreign students 7

(e.g. commercial didactic programs, such as studies in a foreign language, MBA) and services 8

of research-development nature (e.g. expert opinions, patents), possession of unique 9

educational programs, ambitions of the university authorities, their international experience. 10

The sources of reactive causes are in the environment, and are associated with reacting to 11

external factors. Reactive causes of internationalization include the need to meet formal 12

requirements related to internationalization of the sphere of didactic and scientific activity as 13

well as the competitive situation in the higher education market (Pluta-Olearnik, 2014, p. 283). 14

A university that wants to be an important teaching and scientific centre must clearly 15

indicate its place on the map of the European Higher Education Area. An important indicator 16

of the clarity of this identification is the level of university internationalization (Martyniuk, 17

2011, p. 44). The degree of internationalization of universities manifests itself in the following 18

criteria (Skibińska, 2018): 19

number of foreign lecturers in relation to their total number, 20

number of foreign researchers employed for at least 1 week, 21

percentage of foreign students studying at university (degree mobility), 22

percentage of students coming in as part of exchange programs (credit mobility), 23

percentage of students going away to study (credit mobility), 24

percentage of lecturers teaching abroad (teaching Staff mobilities), 25

percentage of graduates receiving double/joint diplomas (in relation to the total number 26

of graduates), 27

percentage of graduates-foreigners (in relation to the total number of graduates), 28

the amount of funds obtained for research from external foreign sponsors (in relation to 29

the total amount obtained from external sponsors), 30

the amount of funds raised through participation in international multilateral projects, 31

number of employees dealing with internationalization in relation to the total number of 32

administrative employees, 33

percentage of graduates receiving double common diplomas (in relation to the total 34

number of graduates), 35

1 The Bologna process – a program initiated by 29 ministers responsible for higher education by signing of the

Bologna Declaration on June 19, 1999. The process was aimed at raising the prestige of European universities

compared to American universities, adopting a system of comparable academic degrees and titles (Kraśniewski,

2009, p. 5).


the amount of funds obtained for research from external foreign sponsors (in relation to 1

the total amount obtained from external sponsors), 2

the amount of funds raised through participation in international multilateral projects, 3

number of employees dealing with internationalization in relation to the total number of 4

administrative employees. 5

On a global scale, the process of internationalization of higher education began together 6

with large migrations of Asian students in the late 1970s. United Kingdom, Australia and the 7

United States have become world leaders in the internationalization of education due to the 8

widespread use of the English language. In the continental Europe, this process began a little 9

later. After 1989, movements related to the internationalization of education also began in 10

Poland (Siwińska, 2013). 11

There are already 4 million people in the world studying abroad. By the year 2020, 7 million 12

people will want to study in a foreign country. This market is estimated at 100 billion dollars 13

(Ministry of Science and Higher Education, 2015). 14

3. The Erasmus Program and its main aspects 15

European students can benefit from many forms of mobility support among which the most 16

popular one is the European Commission's Program called Erasmus (Sasin, 2014, p. 75). 17

The Erasmus Program was launched in 1987 and at the beginning it concerned only student 18

exchange. On the basis of its creation there was a belief in the value of internationalization of 19

education and the need to develop a knowledge-based economy (Berg, 2014; Dincer, 2014). 20

The name “Erasmus” refers to the name of a Dutch philosopher, theologian and humanist, 21

Erasmus of Rotterdam (1466-1536). Erasmus, like other eminent Renaissance figures, received 22

education at many universities in various European countries, and his views on education were 23

sated with deep humanism (Foundation for the Development of the Education System, 2018). 24

Until 2006, the Erasmus Program was a part of the Community Socrates program, and it is 25

currently a part of the European Union's Longlife Learning Program (Sasin, 2014, p. 76). 26

The Erasmus Program is a cooperation between universities of the European Union countries 27

and it uses the ECTS system - European Credit Transfer System - to ensure a uniform way of 28

assessing student's performance at all Universities, using the ECTS credit system (Gołuch, 29

2007). 30

The aim of the Erasmus Program is to develop and support inter-university exchange. 31

Throughout Europe, nearly 2.3 million students have gone away for scholarships. The Erasmus 32

Program currently involves over 4,000 universities from countries participating in the Program, 33

including over 300 Polish universities. Scholarships have already been received by over 34

2 million students and almost 240,000 academic teachers. “Erasmus” confirmed that today it is 35


the most successful academic exchange program in the world (Kurdycka, 2013, p. 31). 1

At present, depending on the country, the monthly scholarship amount is EUR 300, EUR 400 2

or EUR 500 in case of students and EUR 400, EUR 500 or EUR 600 in the case of interns 3

(Zygierewicz, 2014, p. 5). 4

Poland joined the Erasmus Program in the academic year 1998/1999 (Foundation for the 5

Development of the Education System, 2018) and, as part of the Program, about 180,000 Polish 6

students have already left for scholarships. On the other hand nearly 100,000 foreign students 7

came to Poland as part of the Erasmus Program (Ministry of Science and Higher Education, 8

2017). 9

Within 18 years, the number of Polish students deciding to go away for scholarship each 10

year under the Erasmus Program, has increased more than tenfold: from 1400 to over 14,000. 11

The number of students coming to Poland grew even faster. In 1998, only 220 foreign students 12

chose Poland. Currently, the number of foreigners studying in Poland is 50 times larger and has 13

already exceeded the number of 12,000 students annually (Ministry of Science and Higher 14

Education, 2017). 15

Employees of universities have been going away to foreign universities under the Erasmus 16

Program since 2000. Over 60,000 Poles have already benefited from this possibility. Most 17

willingly, they develop their knowledge and competences at universities in Spain and Germany 18

(Ministry of Science and Higher Education, 2017). Each year, about one and a half thousand 19

Polish students go to each of these countries, while seven hundred people leave for internships. 20

Italy is also popular and so is the United Kingdom, despite the situation related to Brexit, and 21

Turkey as well. About 500 students and 500 interns go to the UK under the Erasmus Program. 22

In the case of Turkey, 300 people go there to study, and about 100 people leave for internships 23

there (Siekaj, 2016). 24

As destination for international scholarships, Poland seems to be of less interest. Under the 25

Erasmus Program, ten times less people come to Poland than leave it. For example, the British 26

people most often choose to study in the Netherlands and in the Scandinavian countries (Siekaj, 27

2016). 28

The next stage of the Erasmus Program development is the Erasmus+ Program. It is the 29

European Union's program for education, training, youth and sport for the years 2014-2020 30

(European Council, 2017). In the years 2014-2020, the Erasmus+ Program will provide the 31

possibility of going abroad for 4 million people, including 2 million students and 300 thousand 32

university employees. In addition, the Program will finance exchanges with the participation of 33

non-European partner countries for 135,000 students and academics. “Erasmus+“ is even more 34

accessible thanks to increased language support and more flexible regulations as well as support 35

for people with special needs, people coming from societies being in unfavourable satiation, or 36

geographically remote regions (European Commission, 2014). 37

The results of the annual research on the effects of the Erasmus Program are presented by 38

the European Commissioner for Education, Culture and Multilingualism (Szczerbiak, 2014). 39


The results of the study on the effects of the Erasmus Program are very significant in the context 1

of high level of unemployment among young people in the European Union. The message is 2

clear: if you study or if you do an internship abroad, your chances of finding a job will increase 3

(European Commission, 2014). 4

The results of a research organized by the international organization called Erasmus Student 5

Network (ESN), provide a general image of foreign students studying in Poland. According to 6

the research, the average age of the respondents was 23.5 years. Women represent 60% of 7

respondents and men – 40%. Vast majority of the students come from Western European 8

countries, i.e. ‘old’ EU countries (94%). The average length of stay in Poland for a student of 9

the Erasmus Program was 6.5 months. The most popular city is Kraków (38%) followed by 10

Warsaw (20%), and, subsequently, by Wrocław (9%). While staying in Poland, the students 11

take part in classes at the universities. Before coming for scholarships, majority of students 12

assessed their knowledge of the Polish language as null. Two groups were distinguished among 13

the students: the ones with an academic approach to their journey and those who have non-14

academic approach. The latter group is bigger. Interestingly, despite the fact that no one chose 15

‘development of own personality’ from the provided options as the reason for going abroad, the 16

students mentioned that aspect as the most important personal advantage deriving from such 17

exchange. 18

The fields of studies most often represented by foreign students are: marketing and 19

management (28%), technical sciences (17%) and social sciences (11%). In comparison with 20

the European results, the percentage of people studying Polish language is low among foreign 21

scholarship participants of Erasmus in Poland which is probably caused by low popularity of 22

the Polish language. The foreign students were more satisfied with their stay in our country 23

than with studying (Krupnik, and Krzaklewska, 2005). 24

4. Motives, benefits and barriers resulting from international learning 25

mobility 26

The motives by which the students applying for a journey abroad are driven are important 27

for the final learning outcome of education abroad. Strength and persistence of motives depend 28

largely on the relationship and the attitude of an adult student with learning, his or her 29

perseverance in learning, the ability to make sacrifices, patience in overcoming difficulties 30

(Wawrzyniak, and Świderska, 2011, pp. 53-66). 31

The basic types of motivation which the participants of international exchange programs 32

are driven by are as follows (Sasin, 2014, p. 79; Doliński, Łukaszewski, 2002, pp. 469-491): 33

34


hedonistic – associated with the desire to be entertained, to play, experience adventure, 1

make casual social contacts and even sexual encounters, 2

motivation of exerting influence – related to the desire to become independent, live on 3

one's own, but also to the desire to promote Polish culture among peers from other 4

countries, and to act as its representative, 5

epistemic – associated with the desire to know – four types of it were distinguished here: 6

a) epistemic motivation in the field of study – the desire to improve knowledge and 7

skills within the field of study, learn about scientific literature not available in 8

Poland, collect materials or carry out research for theses, 9

b) epistemic motivation in the field of learning a foreign language – the desire to 10

improve foreign language skills in the natural environment, 11

c) epistemic motivation within the scope of future professional work – the desire to 12

gain experience which, in the future, may facilitate finding a satisfying job, 13

d) epistemic motivation in the field of another culture – the desire to get to know 14

a foreign country in terms of culture (the habits, the mentality of its residents), 15

geography (the nature, the monuments) and educational (the academic conditions, 16

the educational system). 17

Individual types of motivation can occur together, although usually one of them is 18

dominant. 19

The study on motivation in students participating in the Erasmus Program was part of an 20

analysis of social support, carried out using psychological methods in a group of 2,000 people 21

of different nationalities in the year 2009. Motivation to study or to do an internship abroad in 22

a specific place is diverse, and it is often caused by several reasons: for 45% people knowledge 23

of the local language is important; 39% apply for the journey because of their interest in culture; 24

12% of people are driven by good experiences of colleagues who have already been in a given 25

country; 9% – climatic conditions; 11% did not pass the recruitment process for a scholarship 26

in another country; 10% of scholars chose a country because they had friends in the country of 27

the scholarship; another 10% of the decisions are without any reflection. The scholarship 28

holders indicate the following as the most important reasons for the decision to study abroad: 29

the desire to learn something new (30%); gaining knowledge about another culture (20%); 30

visiting their favourite country (10%); passion for travelling (10%); possibility of including the 31

scholarship in the Curriculum Vitae (8.5%); the desire to have fun (3%). The company of other 32

international students and compatriots at a scholarship brings more satisfaction from studying 33

abroad than contacts with the local students – however not as much (Biłas-Henne, 2011, 34

pp. 171-189). 35

International education mobility is a chance for students to learn about new cultures, 36

languages, and is an opportunity to study or work in an international environment. According 37

to the Bologna experts, participation in education mobility (Foundation for the Development of 38

the Education System, 2018): 39


broadens knowledge on a given discipline in a different education system, another 1

cultural environment and using a different language, 2

allows to build awareness of the international dimension and character of knowledge, 3

develops language competences in a language other than the native language, 4

promotes development of critical thinking and independent learning skills, 5

encourages development of resourcefulness, self-confidence and adaptation skills, 6

teaches respect and understanding of cultural diversity, 7

prepares for work in a multicultural environment and socially different conditions. 8

The tests for scholars conducted before the scholarship journey and the ones completed 9

right after returning from it prove that students come back not only more confident, but also 10

more tolerant towards other cultures, they are able to solve problems faster, adapt to new 11

situations, and they have greater organizational skills. At the same time, these are the 12

personality features that most employers value the most. The risk of long-term unemployment 13

among graduates with international experience is lower by half than in the case of graduates 14

who did not study abroad. It was also shown that 64% of employers entrust more responsibilities 15

to employees with international experience which translates into bigger chances of promotion 16

(Szczerbiak, 2014). 17

According to the European Commission, more than one-third of the program's scholarship 18

holders receive job offers from companies at which they did internships. Graduates with 19

international experience also show higher degree of entrepreneurship than their peers studying 20

in the country: 10% of people set up their own businesses, and more than three out of four have 21

such plans or consider such an option. Five years after graduation, the unemployment rate 22

among people who studied abroad is 23% lower. 23

It can be concluded from the research that 92% of employers making decisions about 24

employment prefer to choose people with personality traits perfected by the Erasmus program, 25

such as: tolerance, trust, ability to solve problems, curiosity, knowledge of own 26

strengths/weaknesses. Tests carried out before and after scholarships show that these 27

personality traits are revealed more strongly before students leave for the exchange program 28

than after their return. This difference increases by an average of 42% in comparison with other 29

students (European Commission, 2014). 30

However, the Erasmus Program brings not only benefits but also problems, and even some 31

risk. This is noticeable already during the recruitment stage. Willingness to grant the maximum 32

number of scholarships available, and the use of all financial resources allocated to a given 33

university sometimes leads to unjustified easing of requirements for candidates and excessive 34

simplification of the recruitment procedures. Such actions turn against students because some 35

of them go to countries in which they do not know the language well enough to study there. 36

Unfortunately, the awareness of the need to be fluent in a foreign language is not always 37

sufficient among students; some think that "somehow it will be OK", "in a foreign country 38


learning is faster", etc. The criteria for recruitment, established by the National Agency of the 1

Lifelong Learning Program, have not been formulated precisely (Guide to the university 2

coordinator of the Erasmus program, 2011). 3

The choice of a foreign university sometimes is made without any thought given to it either. 4

Sometimes the climate of a given country turns out to be the decisive factor. Some candidates 5

for the scholarship journeys do not even try to familiarize with the foreign study program and 6

the activities offered, not to mention the knowledge about the teacher's profiles, their scientific 7

achievements, the library resources, etc. Such randomness means that if the wrong choice of 8

university is not corrected during recruitment (it is not always possible) – students may have 9

problems with adapting to the relevant study program abroad and, therefore, with passing the 10

semester after returning to Poland. 11

Although education internationalization has many positive aspects for higher education, 12

there is a serious risk associated with this multidimensional and growing phenomenon, 13

including commercial profits, academic colonization and difficulties in providing high quality 14

of education (Jibeen, and Khan, 2015). 15

5. Motivations and benefits resulting from student international exchange 16

according to own research 17

The subject of the research in this study is to determine the motives and the benefits of 18

international exchange of students, and the objective is to identify these motives and advantages 19

resulting from educational mobility as well as to diversify results with regard to gender. 20

The above aim was formulated in the following research questions: 21

1) Students from what types of universities and faculties usually decide to take part in an 22

international exchange? 23

2) What are the reasons for choosing a university, country or city where they will study 24

during the exchange? 25

3) What motivates students to go for an education exchange? 26

4) What benefits does educational mobility bring to students? 27

5) Which countries are most often chosen by students as their place of study? 28

6) Do the students who participate in international exchange plan to tie their future with 29

the country in which they decided to study? 30

Diagnostic poll method, using a survey technique, was used in the study as a research 31

method. The research was carried out in the period from February to May 2017, and 125 32

students who studied at various faculties at many Polish and foreign universities took part in it. 33


6. Conclusions 1

Among students who decided to go for an international education exchange, most study at 2

Universities and Economic Academies in the case of women. Men who benefitted from an 3

education exchange most often study at Polytechnics or the Academies of Physical Education. 4

In addition, men who decided to choose educational mobility, study the technical and sports-5

related fields more often than females. In turn, women more often study the fields related to 6

business and management as well as foreign languages and philologies. 7

When choosing a university, participants of a student exchange pay much attention to the 8

location of a given university. This is an important factor for ¾ women and more than half of 9

the men. The prestige of a place and the language used are also important. Women choose the 10

University because of the similar educational offer more often than men, while men pay most 11

attention to the future annotation in their Curriculum Vitae. When choosing a city or country, 12

women are more interested in the climate and geographic location of a given place, and men 13

pay heed to language and culture of the destination place. Moreover, women pay more attention 14

than men to the cost of living in a given place, and, in addition, they manage their scholarships 15

better. Opinions about destinations are important for one third of the participants, both females 16

and males. 17

Among women who decided to take part in international education exchange, the main 18

motives for participation are the desire to travel and to improve foreign language skills. Men 19

are motivated mainly by fun, having good time, parties as well as the desire to impress the 20

future employer. Generally, one out of three exchange participants wants to experience an 21

adventure. 22

Female students see the benefits of participating in an international education exchange in 23

terms of gaining experience by living in another country more often than males do, and they 24

appreciate the network of contacts resulting from studying abroad more. For men, the 25

possibility to learn the language of a given country is a bigger advantage. In addition, both men 26

and women see a great advantage in improving their foreign language skills, but greater 27

improvement in foreign language skills after a scholarship is noticeable in the case of men. 28

It can be noticed that men more often choose Germany as the country where they want to 29

study during their education exchange. In turn, women are more likely to travel to Italy, France 30

and Spain. 31

Women want to tie their future with the country where they studied during the education 32

exchange more often than men. 33

34


7. Summary 1

In the course of the conducted research, it was noticed that, among the participants of 2

international education exchanges, women more often study at Universities, and the fields of 3

their study majors are in particular related to business and management as well as foreign 4

languages and philologies. Men who take part in foreign scholarships are usually students of 5

Universities of Technology, and they mainly study technical field majors. 6

It can be stated that students who decided to participate in international education exchanges 7

are guided by both hedonistic and epistemic motivation, as noted by Sasin (2014). However, 8

men are motivated by hedonistic motivation, namely having a good time, more than women. 9

The most important motives for participation in student international exchanges are, for 10

women, the desire to travel and improve their foreign language skills. Men are motivated mainly 11

by fun, parties and the heed to impress the future employer. 12

One third of the students participate in education mobility because they want to experience 13

an adventure. Recommendations of other students are also important, and opinion of others 14

motivates every third respondent. This is also confirmed by the results of studies by Biłas-15

Henne (2011). 16

One of the main benefits of participating in international education exchanges is gaining 17

valuable experience, both by living in another country and by studying outside of home 18

university. There is no doubt that one of the main benefits is the possibility to improve foreign 19

language skills, and get an advantage in finding a future job. These conclusions are confirmed 20

by studies on the effects of the Erasmus Program of the European Commission (2014) and by 21

Sasin (2014). Moreover, the network of contacts that were gained during the student exchange 22

is also an important benefit. It was also noticed by Chełkowska (2005). 23

Furthermore, it should be pointed out that women manage their scholarship funds allocated 24

from the European Union in a better way, and in the case of women, more often than in the case 25

of men, the amount of the scholarship allows them to cover the costs of living in a given country. 26

Besides, women who travel abroad for a scholarship under the Erasmus Program rated the assets 27

situation of their household higher. This may mean that women who decided to take part in 28

international student exchanges are in better financial situation than men. 29

In conclusion, the authors want to emphasise that the recruitment process for participants in 30

student international exchange should be more systematized and should not give the universities 31

full freedom in granting admission for foreign scholarship. 32

Furthermore, verification of language competences of a potential scholarship holder should 33

be carried out carefully. It often happens that students who have successfully passed the 34

language verification process with regard to language in which they will study abroad, 35

encounter a language barrier during academic classes. Students show shortcomings in using 36

professional language, characteristic for particular fields of study. 37


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FORESIGHT AS AN INNOVATION SHAPING INSTRUMENT 1

Marcin OLKIEWICZ 2

Koszalin University of Technology, Department of Management, Poland; [email protected], 3 ORCID: 0000-0001-6181-6829 4

Abstract: This article seeks to present possibilities for the development of a country with the 5

use of modern research tools. The aim of this paper is to demonstrate the importance of foresight 6

in guiding innovation, which fosters entrepreneurship as well as improves the quality of life of 7

the society. Therefore, the study put forward the hypothesis that the use of foresight as an 8

instrument creating strategic knowledge allows for a more effective identification of significant 9

areas as potentials for the security of the country's development. The analysis presented in this 10

article contains data from the last eight years. The results of the studies show that in Poland 11

there is a significant potential, which, if managed appropriately, might influence the 12

development of enterprises, municipalities and the macro-region. 13

Keywords: innovation, foresight, process, development. 14

1. Introduction 15

Ensure the development of a region is one of the major elements for both shaping the 16

economy of the country as well as for entrepreneurship and the quality of life of the society. 17

The development of the requirements, stakeholders’ expectations, market presumptions and 18

technology as well as the globalisation urge the researchers to conduct research “on the future”. 19

Particularly the authorities as well as entrepreneurs find it quite difficult to “build the future” 20

due to the fact that in most cases it relies solely on forecasting, which is based on quantitative 21

data. This indicates that poorly defined methodology of strategic research can result in not 22

always accurately prepared decisions, strategies, directions of actions, for example, by not using 23

the expert knowledge. Therefore, traditional management does not provide sufficient 24

knowledge and the possibility to create knowledge necessary to ensure the security of 25

development (sustainable development) in such a turbulent environment. 26

In this paper, an attempt was made to introduce certain aspects of strategic development of 27

the region based on the review of the national and foreign literature as a research method. 28

Particular attention was paid to the aspects of project tools, such as foresight, as an element that 29

108 M. Olkiewicz

determines the construction of long-term forecasts and scenarios, i.e. the innovative potential 1

of the country (region of Europe). Therefore, the aim of this article is to indicate the significance 2

of foresight in guiding innovation, which is important for the widely understood development. 3

2. The importance of strategic studies in creating the future 4

The appropriate development policy with such dynamic civilisational, political and legal 5

changes require corresponding knowledge of strategic management. This is particularly evident 6

when the focus is on the “activities that diagnose the subject and its environment, which makes 7

it possible to generate and create an image of the future with a set of research tools that enable 8

the analysis, evaluation and anticipation of future states of the chosen elements, areas, directions 9

and the environment from the point of view of the development” (Gierszewska, and 10

Romanowska, 2014) An example of the research structure of the environment is presented in 11

Table 1. These areas of the environment are determined by different factors which, to a greater 12

or lesser extent, determine the stability or development of the national economy. In strategic 13

terms, developmental constraints can have very large negative effects although it is believed 14

that this creates an opportunity to introduce new solutions and changes. 15

Table 1. 16 Structure of the environment 17

Area of the environment Sphere (nature) of the

environment Factors characteristic to a specific sphere

Macro-environment

Demographic

environment

Number and structure of the population

Birthrate

Education

Household model

Economic environment

Economic situation

Inflation

Exchange rates

Incomes

Availability of and interest rates on loans

Natural environment

Reserves of resources

Environment pollution

Source and cost of energy

Technological

environment

New scientific discoveries

Implementation of new technologies

Expenditure on research and development

Political and legal

environment

Government policy

Legislation governing the activities of business entities

Tax and customs regulations

National and international economic groups

Socio-cultural

environment

Population spending models

Value systems

Standards of conduct

Subculture

Perceiving oneself and the world through people

Foresight as an innovation shaping instrument 109

cont. table 1. 1

Micro-environment Business environment

Increasing competitiveness

Improvement of quality

Relations with market shareholders

Relationships with presumptions

Increase in added value

Development of organisational and regional potentials

Adapted from: “Strategic analysis in the area of security” by Daniluk, P. 2014. M.R. Štefánik, and 2 L. Mikulas (Eds.), National and international security, 5th International Scientific Conference. Slovaka: 3 Pub. Akadémiaozbrojenýchsíl. 4

It is worth noting that having proper management qualifications does not always make it 5

possible to conduct comprehensive, multi-level environmental studies that enable the creation 6

of different visions of the future. Literature on the subject indicates that it is also essential to 7

have appropriate skills, competencies, individual characteristics, luck and premonition (Hitt, 8

Ireland, and Hoskisson, 2008; Olkiewicz, 2015). 9

A country which is managed in a modern way must treat management as an ongoing 10

learning process aimed at making accurate and effective decisions to solve problems, create 11

competitiveness, guarantee safety and development within the framework of the implemented 12

changes. This is the result of changing the rules of the new economy determined by the 13

following factors (Skrzypek, 2013): 14

power of decentralisation – development of competitive advantage in decentralised 15

areas by the centres of power, 16

increase in profits – role of developing interpersonal interactions, 17

universality and not rarity – mass development of copies or substitutes, 18

not everything will be free – increase in the value of rare factors, i.e. people, 19

first nourish the network – appropriate establishment of businesses with consumers and 20

suppliers, as their insufficient number results in the liquidation of companies, 21

space instead of place – development of globalisation along with the development of 22

distribution, 23

no harmony, everything is fluid – flexibility of actions through the promotion of the 24

so-called innovation, 25

technology of relationship – dominance of the intangible sphere over the material one, 26

where the most valuable technologies are those that expand, strengthen, improve and 27

develop all kinds of immaterial relationships, 28

opportunity is more important than performance – generation of opportunities for new 29

possibilities over innovation inefficiencies. 30

The conclusion is that the new economy based on the use of knowledge, interpersonal 31

interactions and adaptation to the needs of the future (Radlińska, and Lisowska, 2008) forces 32

managers to improve intellectual potential and skills, experiences and the ability to make right 33

decisions, sometimes with the help of experts or consultants. 34

110 M. Olkiewicz

Therefore, foresight is the most appropriate research tool, which supports the decision-1

making process related to a change and which is part of the identification of development 2

opportunities, the creation of a vision of the future, directions and priorities of actions within 3

the new economy. 4

National and international literature on the subject does not precisely define the term 5

“foresight”. The lack of an unambiguous equivalent in the Polish language allows for a variety 6

of interpretations. The Ministry of Science and Higher Education, for example, defines 7

foresight as “the process of creating a culture of thinking within a society concerning the future 8

where scientists and representatives of businesses and public administration participate in 9

defining strategic directions for research and technological development to bring maximum 10

social and economic benefits” (nauka.gov). 11

The procedural approach is most frequently indicated by other authors (Borodako, 2011; 12

Safin, 2010), although foresight is also interpreted as a prediction (Woźniak, 2009; PARP, 13

2012) of the future. 14

Foresight, as a study of the future, makes it possible to actively create the image of the 15

future as it indicates investment priorities that create the economic and socio-economic 16

development, defines changes in the outlook of science as far as innovation is concerned, 17

promotes science and research cooperation as well as encourages various socio-economic and 18

governmental environments to actively participate in initiating and generating common 19

development scenarios. In other words, foresight "creates the language of social debate and the 20

culture of building the social vision of thinking about the future” (Kuciński, 2010). 21

The existence of various factors identifying the "foresight phenomenon" means that this 22

forward-looking research tool is most often considered in terms of the process. In the literature, 23

the foresight process is characterized by “5Cs”, meaning (Wójcicki, and Ładyżyński, 2008): 24

communication-a platform for the exchange of views between market shareholders, 25

concentration on the distant future-visionary thinking systematized in a procedural way, 26

coordination-established cooperation plans, actions, development of science and 27

technology, 28

consensus-an agreement concerning the vision, priorities of research and development 29

of technology, 30

cooperation-the development of cooperation in the scope of the implementation of the 31

results in the economy. 32

It aims at creating a kind of philosophy of the "culture of cooperation" needed in the 33

generation and acceptance of joint development activities in different areas. 34

In other words, foresight has become a tool which can be used to make an evaluation of 35

both external and internal environment, generating the necessary knowledge (Piecuch, and 36

Hewelt, 2013; Piecuch, and Piecuch, 2011), allowing for full integration, participation and 37

commitment of market shareholders, creating a vision, strategy, development directions and 38


development activities in specific areas, with the use of appropriate quantitative and qualitative 1

methods (Georghiou et al., 2008; Popper, 2008) (Table 2). 2

Table 2. 3 Foresight research instruments 4

Qualitative Quantitative Semi-quantitative

Methods providing meaning to events

and perceptions. Such interpretations

tend to be based on subjectivity or

creativity,which are often difficult to

becorroborated (e.g. brainstorming,

interviews)

Methods measuring

variables and applying

statistical analyses, using or

generating (hopefully)

reliable and valid data

(e.g. economic indicators)

Methods which apply

mathematical principles to

quantify subjectivity, rational

judgements and viewpoints of

experts and commentators

(i.e. weighting opinions)

1. Backcasting

2. Brainstorming

3. Panelsof citizens

4. Conferences/workshops

5. Essays/Scenario writing

6. Expert panels

7. Genius forecasting

8. Interviews

9. Literature review

10. Morphological analysis

11. Relevance trees/logic charts

12. Role playing/Acting

13. Scanning

14. Scenario/Scenario workshops

15. Science fiction (SF)

16. Simulation gaming

17. Surveys

18. SWOT analysis

19. Weak signals/Wildcards

1. Benchmarking

2. Bibliometrics

3. Indicators/time series

analysis

4. Modelling

5. Patent analysis

6. Trend extrapolation/

impact analysis

1. Cross-impact/structural

analysis

2. Delphi

3. Key/Critical technologies

4. Multi-criteria analysis

5. Polling/Voting

6. Quantitative

scenarios/SMIC

7. Road mapping

8. Stakeholder analysis

Adapted from: “How are foresight methods selected?” by R. Popper. 2008. Foresight: 10(6). 5

One of such areas is innovativeness. In the foregoing considerations, it is assumed that the 6

type of foresight research oriented towards innovative activities is based on multidimensionality 7

by using: existing trends, market and market shareholder requirements (including legislation), 8

knowledge, experience, qualifications and intuition of entrepreneurs (managers, policy makers, 9

politicians, local governments etc.). 10

This means any changes that provide benefits to the country are dependent on the size, 11

intensity, efficiency and effectiveness of the implemented investments, specifically – 12

innovation. 13

3. The main feature of innovation in the development 14

The active participation of stakeholders and market prosumers in shaping and building the 15

image of the future of the country indicates the potential directions for the development of 16

112 M. Olkiewicz

particular areas of the socio-economic life. According to The Global Competitiveness Report, 1

Poland is a country with a high development potential, as presented in Table 3. The data indicate 2

that in various periods Poland was among the group of countries with significant potential. 3

In 2012-2014, Poland underwent significant reforms, which often resulted from the need to 4

adapt to the requirements and expectations of the European Community (European Union). 5

The changes were, to a large extent, aimed at adjusting individual economic and legal areas 6

related to the EU development strategy and, above all, the possibilities of obtaining and 7

spending funds from the EU Common Budget and Development Agencies. 8

Table 3. 9 Polish development potential 10

Years 2012-2013 2013-2014 2014-2015 2015-2016 2016-2017

Rank 41/144 42/148 43/144 41/140 36/188

Adapted from: “The Global Competitiveness Report, 2018”. World Economic Forum. 11

Visible changes in the ranking, covering the period 2014-2017, are the result of Poland 12

being the largest recipient of the EU funds, i.e. in the 2000-2006 financial perspective – 13

EUR 14 billion, in the 2007-2013 financial perspective – EUR 67.5 billion and in the 2014-14

2020 financial perspective – EUR85.5 billion. 15

The joint identification of key determinants of competitiveness, development of Poland and 16

creation of plans and operational strategies, while taking into account the mega trends, will 17

allow the society, governmental authorities and entrepreneurs to justify their decisions and to 18

use the created development possibilities. Those actions or directions of change that result in 19

innovation are particularly important. 20

The identification of the areas is a challenge for every governmental organisational unit; 21

therefore, operators more and more often use tools such as foresight. The literature indicates 22

that this tool has a broad scope of application because it is a process in which the values 23

measured using various measuring scales result from the development of entities, facilities, 24

phenomena and the maximisation of relationships and interactions with stakeholders, achieved 25

through the pro-development and pro-quality aims and generated in the framework of expert 26

group activities (Olkiewicz, 2017). 27

The extensive analysis of the economic and the social-environmental phenomena made it 28

possible to adopt the following areas that influence the development from the point of view of 29

a country (every national economy in the world): institutions, infrastructure, macroeconomic 30

environment, health and primary education, higher education and training efficiency, financial 31

market development, technological readiness, market size, business sophistication and 32

innovation (WEF, 2018). 33

Those actions or directions of change that result in innovation are particularly important. 34

35


Innovations include: 1

the implementation of a new or significantly improved product (service) or a process, 2

a new marketing method or a new organisational method in economic practice, 3

workplace organisation or relations with the environment (Oslo Manual, 2005), 4

any innovation implemented by organisations, i.e., new products or services, improved 5

existing goods or services that lead to new added value of the market. Innovations can 6

include the final product, the marketing operation as well as production and 7

management processes, and other processes that shape the internal and external 8

environments of the organisation (Dąbrowska, 2011), 9

something new (Kmak, 2010), 10

changes in activities that should improve the financial performance (Osiadacz, 2012). 11

As pointed out by the quoted definitions, innovation is a change or changes aimed at the 12

modernisation of manufacturing processes and the generation of new goods or services. 13

Any modification implemented in terms of the functioning of an organisation will increase the 14

competitiveness of the entity and promote both the location and the product, which may become 15

a "local product or service". In addition, the increased activity of enterprises in innovation 16

drives the development of a given economy and contributes to the growth of income of local 17

governmental units and the GDP. In other words, any pro-innovation activities implemented in 18

commercial enterprises indirectly affect the development of the region. It should be noted that 19

territorial governmental units, through innovative actions, also increase the development 20

potential of the region not only by improving the quality of life but also by creating 21

a "favourable environment" and conditions for the development through innovations. 22

The literature indicates that innovations are generally classified into: 23

the type of an activity: industries and services (Filipiak, and Panasiuk 2008, p. 232), 24

the scale of changes: breakthroughs, significant and minor improvements (Tidd, 25

Bessant, and Pavitt, 2005), 26

the area of influence: product, process (Olkiewicz, 2017), 27

the subject of a change: product, process, strategy (Pomykalski, 2001; Shilling, 2005; 28

Tucker, 2002), 29

the scope of a change: product, process, organisation, marketing (Bober, Olkiewicz, and 30

Wolniak, 2017). 31

From the point of view of this case study, the following division of innovation can be 32

assumed (Pander, 2012; Oslo Manual, 2005): 33

product – implementation of new products/ services or improvement of the existing 34

goods/services, 35

process – implementation or improvement of production, supply or service processes, 36

technology – implementation of experimental or innovative technological solutions, 37

114 M. Olkiewicz

organisation – implementation, introduction or improvement of work organisation 1

methods, quality of management, work and/or communication, 2

marketing – implementation of branding changes, changes in the organisation image, 3

product or service, and customer relationships (Olkiewicz, 2016), 4

ecology – introduction of actions which affect the protection improvement and the state 5

of the environment (Piecuch, and Piecuch, 2011, pp. 711-722; Olkiewicz, Bober, and 6

Majchrzak-Lepczyk 2015, pp. 710-725). 7

The development of the country and, in particular, of individual regions, which allows 8

a competitive advantage, most often depends on the innovative activity of local businesses, as 9

well as infrastructure, governmental policy and knowledge. 10

4. Innovation potential analysis 11

The importance of innovation in the development of specific regions of the country became 12

particularly important after the accession of Poland to the European Union (as mentioned 13

previously), as it indicated a great diversity of innovative potential in relation to the new 14

member countries. The existing differences in investment potential were to be compensated or 15

at least limited by the received financial means (grants), which, under various projects, were to 16

stimulate pro-innovation activities. 17

Since 2003, foresight activities have been implemented in Poland: at the international level 18

(4 projects), at the national level (3 projects), at the regional level (11 projects) and in the scope 19

of the industry (24 projects). The growing interest in this type of activities is also visible among 20

commercial entities because they make it possible to create the future in which innovative and 21

pro-quality measures will be implemented and to increase the competitiveness and economic 22

value of a company (Safin, 2010, pp. 43-52). 23

The European Innovation Scoreboard (2014) indicates that Poland was ranked 25th in the 24

European Union in terms of innovative potential (Figure 1). With and index of 0.277, Poland 25

was included in the 4th group of countries (modest investors) based on the innovative activity 26

of enterprises. It should, however, be noted that this indicator (innovation), increases year by 27

year although it is still so low. The low level of the indicator results from low investment 28

activities mostly resulting from the lack of a specific vision of the future, limited financial 29

resources (lack of financial policy) as well as human potential (possibilities of refinement). 30

Introducing a change in the perception of the future as a result of the foresight process will 31

make it possible to increase both positivist, economic and intellectual activities. It should be 32

emphasized that the improvement (significant way) of one sector (industry) stimulates others 33

to develop, and investments made bring real socio-economic benefits. Innovation leaders 34


belonging to the first group are: Sweden, Denmark, Germany, Finland, Luxembourg, the 1

Netherlands and Belgium. 2

3

Figure 1. European innovation potential. Adapted from: “Innovation Union Scoreboard 2014”. 4 www.pi.gov.pl/PARP/chapter_ 86197asp?soid =8771DBB1291. 5

The area of innovation is perceived as the sum of two key factors Business sophistication 6

(50%) and R&D Innovation (50%). The Business sophistication assessment is performed within 7

the following areas: local supplier quantity, local supplier quality, cluster development value, 8

international distribution control, production process sophistication, extent of marketing, 9

willingness to delegate authority, reliance on professional management. The R&D Innovation 10

assessment is carried out in the areas of: capacity for innovation, R&D, university-industry 11

collaboration in R&D, government procurement of advanced technology products, availability 12

of scientists and engineers, PCT patent applications/million pop. (WEF, 2018, pp. 299-300). 13

Given the importance of the study, the innovation capability index (capacity for innovation), 14

which increased in 2016-2017 (in Poland) from 60 pp to 68 pp, is the most important. However, 15

it should be kept in mind that the innovation index depends on many factors – variables that 16

interact with a variable degree of power, often being the basis of different areas of 17

competitiveness, which is why the effective use of the foresight process in shaping the 18

development of the country through "innovative economy" or "sustainable development" 19

actions are an important element. Innovation indices in various voivodships are the proof of the 20

0

0,1

0,2

0,3

0,4

0,5

0,6

0,7

0,8Bulgaria

LatviaRomania

Poland

Lithuania

Croatia

Malta

Slovakia

Hungary

Greece

Portugal

Spain

Czech…Italy

CyprusEstoniaSlovenia

The EU

France

Austria

Ireland

Great Britain

Belgium

Netherlands

Luxembourg

Finland

Germany

DenmarkSweden

116 M. Olkiewicz

start of works in this regard, presented in Figure 2. They are not very satisfactory even though 1

they remain optimistic. 2

The specificity and importance of innovation and the innovation potential have thus become 3

an area of research for scientists and governmental institutions. When analysing the reflections 4

on this issue, it can be stated that the innovation potential assessment indicators are gradually 5

increasing. This means that the country innovativeness is growing, and the adopted policy of 6

sustainable development of the country is properly managed. It is worth considering the 7

introduction of cyclical foresight research, which could focus on the problems with the 8

innovative potential growth in individual regions of the country along with the identification of 9

key directions of its development. 10

11

Figure 2. Innovative potential by voivodships. Adapted from: “Innovation Union Scoreboard 2014”. 12 www.pi.gov.pl/PARP/chapter_861 97.asp?soid=8771DBB1291. 13

0 0,2 0,4 0,6 0,8

łódzkie

mazowieckie

małopolskie

śląskie

lubelskie

podkarpackie

świętokrzyskie

podlaskie

wielkopolskie

zachodniopomorskie

lubuskie

dolnośląskie

opolskie

kujawsko- pomorskie

warmińsko- mazurskie

pomorskie

Employed in khnoeledge-

based indrustries

Marketing and organizational

innovations in the State

Treasury

Produkt and process

innovations in the State

Treasury

Number of patents

The State Treasury's

innovations cooperating with

other entities

The State Treasury's own

innovation

Innovative expenditures for

other purposes

Expenditures on R & D in the

private sector

Expenditures on R& D in the

public sector

Percentage of population

with higher education


The specificity and importance of innovation and the innovation potential have thus become 1

an area of research for scientists and governmental institutions. When analysing the reflections 2

on this issue, it can be stated that the innovation potential assessment indicators are gradually 3

increasing. This means that the country innovativeness is growing, and the adopted policy of 4

sustainable development of the country is properly managed. It is worth considering the 5

introduction of cyclical foresight research, which could focus on the problems with the 6

innovative potential growth in individual regions of the country along with the identification of 7

key directions of its development. 8

5. Summary 9

The process of improving the development of a country requires the introduction of new 10

comprehensive management methods. Without changes in the social and cultural structures and 11

without social acceptance of the planned changes, the actions taken may prove to be ineffective. 12

Therefore, the proper strategic planning is a guarantee of the successful development, especially 13

with the use of project tools such as foresight. This is important in the process of creating long-14

term forecasts and scenarios for the identification and use of the country innovation potential. 15

Innovative potential is one of the most important determinants of regional development, which 16

guarantees, inter alia, an increase in entrepreneurship, GDP and the quality of life of the society. 17

It is worth emphasizing that the Polish innovation potential is constantly growing, which has 18

a direct impact on the ongoing economic and socio-environmental changes. 19

The implementation of significant innovations in the country, constituting an element of 20

creating the regional development, depends on the state policy, the vision of the future defined 21

by the local governmental institutions and the innovative activity of local business entities. 22

An ideal solution supporting the sustainable management of the country would be to 23

conduct a foresight study, which would set out a vision of the future as part of an active 24

community involvement. The needs might probably be verified, and the developmental 25

directions of the country would also be modified or updated, for example, through the 26

identification of the technological development of a given area (determined by a given region), 27

priority industries and megatrends. 28

This means that the adopted hypothesis: the use of foresight as an instrument creating 29

strategic knowledge, allows for a more effective indication of significant areas as the security 30

potential of the country development is confirmed, which also enables us to state that the goal 31

of the study has been achieved. 32

118 M. Olkiewicz

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PWE. 15

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CONTEXT OF THE ORGANIZATION IN ISO 9001:2015 1

Radosław WOLNIAK 2

Silesian University of Technology, Faculty of Organization and Management, Institute of Economics 3 and Informatics; [email protected], ORCID: 0000-0003-0317-9811 4

Abstract: The aim of the paper is to analyze the question connected with the context of the 5

organization in the organization implemented ISO 9001:2015 system. In the paper we described 6

the elements of the context of the organization and their influence on the activity of the firm, 7

the needs and expectations of the interested parties and methods for monitoring the needs of the 8

interested parties. The external and internal issues relevant to an organization are determined 9

during management reviews. Top management assigns monitoring issues to appropriate process 10

owners for monitoring. The process owner should monitor the issues and prepare appropriate 11

reports indicating the methods and results of the whole monitoring process. If feasible, 12

appropriate metrics are also advised for presenting the results. 13

Keywords: quality management, ISO 9001:2015, ISO 9001, context of the organization, 14

interested parties, needs and expectations. 15

1. Introduction 16

First, an organization which wants to implement ISO 9001:2015 requirements should 17

determine all external and internal issues that are relevant to its purpose and strategic direction 18

and that affect the ability of the organization to achieve results within the framework of the 19

implemented quality management system. To do this, the organization shall monitor and review 20

all information concerning these external and internal problems. 21

Firstly, the organization should understand the needs and expectations of interested parties. 22

To provide products and services that meet customer demand, the organization should 23

implement statutory and regulatory requirements. All requirements of the ISO 9001:2015 24

standard are applicable to any kind of organization regardless of its type or size, as well as of 25

the type of products and services it provides. The organization should monitor and review all 26

the information collected about the interested parties and their requirements. To do this, the 27

organization should determine: 28

29

122 R. Wolniak

the interested parties relevant to the quality management system, 1

the requirements of these interested parties that are relevant to the quality management 2

system. 3

The aim of the paper is to analyze the problems connected with the context of the 4

organization in the ISO 9001:2015 implementation process. 5

2. Basic concepts 6

Any organization is a combination of different business entities that relate and interact with 7

each other as well as exchange information and materials. The context of the organization is an 8

outline of the interactions and integrations of organizations (Chen, et al., 2016; Cholewicka-9

Goździk, 2016; Gębczyńska, and Wolniak, 2018; Hoyle, 2009). It is a set of functions, factors, 10

processes, inputs, outputs, conditions and limitations that create the business environment of 11

the organization. These problems have a significant impact on the ability of the organization to 12

provide products and affect the goals and objectives (Juszczak-Wiśniewska, and Ligarski, 2015, 13

2016; Ligarski, 2013, 2014; Łuczak, and Wolniak, 2016). To do this, the organization should 14

determine a business strategy and set the objectives of a functioning quality management 15

system. Moreover, it should understand its every aspect (Pacana, et al., 2014, 2017; Pacana, 16

and Stadnicka, 2006, 2017; Pacana, 2014). This understanding is the basis of a correct business 17

strategy. Every area of expertise, sector, market, product family, or other business segmentation 18

has its own relevant issues that affect the organizational context. External or internal issues may 19

include: 20

The expectations of the interested parties: 21

The main products that provide the most value to its interested parties. 22

Processes and activities needed to meet the specifications and expectations of its 23

interested parties. 24

The influence of the business environment in which the organization is active. 25

Availability of resources needed for the implementation. 26

Competence of the human resources. 27

Statutory and regulatory requirements. 28

29

Context of the organization… 123

3. Types of the interested parties and their expectations 1

The main types of interested parties of an organization are top management, shareholders, 2

customers, suppliers, employees and their dependents, community and government 3

(Figure 1). 4

5

Figure 1. Context of the organization. Source: Purushthama, 2015. 6

Interested parties differ from one another and thus have different needs and expectations. 7

They perform their activities in the business environment in which the particular organization 8

is active and which has an effect on the quality management systems. An interested party may 9

be a person or another organization that can affect, be affected by or perceive themselves by 10

the organization or its activities (Horodecka, and Wolniak, 2015; Łagowski, and Żuchowski, 11

2016, Novakova, et al. 2016; Poksińska, and Dahlgaard, 2002; Salvendy, 2001; Ścierski, 2011, 12

Stamatis, 1995). Table 1 includes the analysis of the main influences of particular types of 13

interested parties on our organization. After determination of the existing interested parties, the 14

next step is to determine their expectations. The examples of possible expectations in 15

accordance to types of the interested parties are presented in the Tables 2 and 3. 16

17

ORGANIZATION

Top management

Share holders

Suppliers

CommunityGovernment

Employees

Customers

124 R. Wolniak

Table 1. 1 Examples of influences of the interested parties on the organization 2

Factors Examples

Customers Expectations of the product, its intended use, and its characteristics. Changes in those

expectations may influence the quality management systems and its activities.

Employees Employees directly affect the quality management system and its processes and, thus, the

quality of the product.

Suppliers

and external

providers

The quality of materials, components, or parts that must be integrated in the end product

and their delivery by suppliers and external providers may directly influence the quality

and conformity of the product.

Regulations Regulations and statutory requirements may dictate processes and activities of the

organization and thus affect the characteristics of a product.

Investors The investors of the organization determine the availability of resources and thus may

influence the quality and conformity of the product.

Competitors Competitors may affect the profitability of the organization by delivering a product that

meets customer needs and expectations better.

Other interested

parties

Other interested parties and their influence on the quality and conformity of the product

identified through PEST analysis.

Source: Abihav, 2017. 3

Table 2. 4 Needs and expectation of interested parties 5

Factors Examples

Customers

Enhancement of customer satisfaction

Delivery of quality products, with a price and performance compliant with the specifications

Appropriate communication channels with the organization

Handling of property belonging to customers

Owners/ shareholders

Increased revenue and market share

Sustained profitability

Flexible and fast responses to market opportunities

Evaluation of risks and opportunities

Employees of the organization

Clear vision of the organization’s future

Appropriate integration in the organization

A proper job definition

Good work environment

Work opportunities

Job security

Social conditions

Recognition and reward

Facilities for personnel in the organization

Developing and improving the competence of personnel (training)

Suppliers and partners

Return on supply of goods or provision of services; appropriate communication channels between the organization and the supplier

Provision of resources such as information, knowledge, expertise, technology, processes, and training

Mutual benefits and continuity

Sticking to payment conditions

Handling of property belonging to external providers

Society in which the organization

is active

Environmental protection

Ethical behavior

Delivering products in accordance to the social, economic, ecological trends, and local cultural aspects

Regulators

Compliance with statutory and regulatory requirements

Anticipating and reacting to expected changes in statutory and regulatory requirements

Understanding the labor market and its effect on the loyalty of people in the organization

Source: Abuhav, 2017. 6


Table 3. 1 Needs and expectations of stakeholders 2

Factors Examples

Top

management

Increased rate of returns: The top management is the custodian of shareholders who

have invested money and need returns. Higher returns enthuse investors to invest

more. If an organization is not providing the expected returns, the investors may take

out their shares and the organization cannot survive.

Increased turnover: The top management wants the industry/business to grow.

Increased turnover helps the industry to grow by way of the reduced proportion of

overheads for unit production.

Increased profits: The health of an organization is judged by the rate of profits earned.

The profits build confidence not only for the management and employees, but also for

the suppliers, community, customers, and other interested parties. No customer would

like to stick to a supplier running in continuous loss as they would not be guaranteed

consistent and timely deliveries of quality goods at all times.

Reduced rejections: Both internal and external rejections are a disease which, if not

addressed immediately, may become chronic. The avoidance of loss due to poor

quality can turn a loss-making organization to a profitable organization.

Reduced costs: Reduced costs help to increase profits as well as sustain in the business

even in bad periods. Continual efforts to reduce the costs should be there in any

organization.

Reduced inventory: Reduced inventory helps in reducing the interest burden and

money tied up. In addition, the reduced inventory helps in organizing the existing floor

area in a more useful and effective way.

Shorter cycle time: Shorter cycle time helps in quick turnover of money, reduces the

interest burden on working capital, and finally helps in generating profits.

Reduced manpower: Normally, overstaffing leads to increased problems in the area of

human relations, and it is easy to manage a small group. It is usually seen that

employing more people than needed reduces efficiency, increases confusion, and leads

to a number of other problems.

Lesser labor problems: Labor problems spoil the mental peace as it is more sensitive.

Hence, the investors usually do not want to invest where labor problems are more

significant. The customers also do not like to stick to a supplier struggling with more

labor problems as the consistency in quality and delivery cannot be guaranteed by such

suppliers.

Employees

demand

Increase in wages and bonus: There is no limit for this. The cost of living is increasing

day by day, and wages and salaries need to be increased to compensate not only the

increase in the cost of living but also the added experience and maturity that are

improving the performance of the organization.

Increase in facilities: Employees depend on the organization. They want their family

to be secured. They need facilities for the family and children, school, house,

conveyance, hospital, etc., so that they can work in the organization with a peaceful

mind and concentrate on quality and productivity.

Provision of an atmosphere so that families can stay together: In a number of cases,

the newly married youngsters are leaving their family, going to a remote place to work.

They go to their hometowns once a year. How can they be happy and concentrate on

work? If a company provides an atmosphere for their families to stay together, they

will be happy to work in that company.

Security in employment: Many of the employees are dependent only on their jobs, and

hence security at work becomes a very important expectation. Employees like to work

in an organization where security is there rather than in an organization which pays

more but does not guarantee work for tomorrow.

3

4

126 R. Wolniak

Cont. table 3. 1

Employees

demand

Promotion opportunities: Everyone wants to grow. Promotion is an indicator of

growth for a working person. If promotion opportunities are poor, people try to leave

and go to other companies. Where the organizations have a policy of promoting the

people within instead of bringing outsiders for higher positions, the attrition rate will

be low.

Respect for job and people: All employees are human beings and expect to be

recognized and respected. People are not working just for the money you pay, but for

the respect they get by working in your organization.

Shareholders

Increased dividends: The shareholders invest their personal savings into a business

with the intention of earning. They would like to invest where they get higher

dividends.

Higher market value for shares: Shareholders like to earn by selling their shares when

the market value is good. Hence, they wish the market values of their shares to

continuously increase. The market value of a company increases when it makes

continuous profits and gives higher dividends.

Increase in facilities and privileges: Shareholders expect the facilities and the

privileges given to them to increase continuously, as they have invested their money

to run your business.

Customer

expectations

Desired products: The customer pays money to buy the product they require. We might

have produced something fantastic but the customer will not purchase it unless it is

useful and needed by them. They cannot buy just because it is made by you or me.

Therefore, it is necessary to understand the exact requirement of the customer and

deliver the products and services accordingly.

Timely delivery: All works are to be done in due time. The customer needs the

materials for use in due time. There is no point in getting the material when it is not

needed. It would be a waste if not available on time. The lack of material on time can

become a threat to the running of the business itself. The customer might have to lay

off the people due to the lack of work resulting from the unavailability of material.

No increase in prices (reduction is welcome): The customer has planned their activities

considering a certain price (normally the last purchase prices) for the materials

procured from you. If the prices increase in the meantime, all their calculations fail,

and they have to face losses. Hence, no increase in price is accepted.

Prompt and quick service: The customer purchases materials to use them. If they

encounter any problems while using the materials, their activity will be affected, and

hence they will need our help, i.e., the service. We need to provide timely service.

There are cases where there is no problem with the material but the user is does not

know how to use it to get the best results, and in such cases, the customer asks for

service and we need to provide it on time.

Smooth operation at the customer’s premises: The materials are purchased for money

to work smoothly at the customer’s premises and not to create problems.

Compensation for the losses due to quality: Customer has purchased materials to run

their business. Why should they suffer because of the quality problems in the materials

supplied by us? They are right in demanding compensation, and it is the responsibility

of the supplier to compensate the customer’s loses resulting from the bad quality.

Vendors

Please favor us with more orders: The vendors’ business depends on the orders we

give them. We are the customers for our vendors. They request us to place more orders

so that they can maintain stability in the business as well as guarantee us consistent

quality.

Our expenses have increased; please give a higher price: The cost of manufacturing

increases due to various factors such as the increase in prices of raw materials, power,

fuel, interest rates, wage structure, taxes, etc., which is beyond the control of the

supplier. The supplier might try to reduce some of the cost but not all. Hence, they

request us to pay a higher price for the materials supplied by them.

Request for timely payment: The supplier runs a business and needs money for that.

Hence, they demand timely payments for the materials supplied by them.

2

3


Cont. table 3. 1

Government

Increased revenues: The government has provided permission and facilities for us to

run a business in their area. The government is supposed to provide various facilities

to the community such as schools, roads, infrastructure, food, hospitals, etc., and funds

are required for them. If the organization runs well and pays all the taxes on time, the

government receives revenue.

Higher employment: One of the major responsibilities of any government is to ensure

jobs for all their subjects. Hence, they expect the business units for which permissions

are granted to enhance employment opportunities.

Employment for locals: The permission granted for our business to operate from here

is to ensure job opportunities for the people in this area. You can bring people from

outside but make sure that locals do not remain unemployed when they have the

competence and are willing to perform that job.

Work stability: Any organization should have a stable working environment so that

the government can work out the plans by projecting the figures depending on the

trends. If the performance is fluctuating, no projections can be made as well as no

decision can be taken.

Higher foreign exchange: The growth of a nation depends on its earnings from

exporting its products and services. Hence, we need to export more and get foreign

exchange to our government.

Public demand

Clean environment: The communities around us do not want any pollution in the

environment which can affect their lives. The industry should help in maintaining

clean environment. Clean environment refers not only to air, water, noise, etc., it is

also in the minds. The culture of the community should not be disturbed by the

products, services, and the dealings of the organization.

No disturbances: The community wants to live peacefully and does not want any

disturbances, such as strikes, traffic jams, economic imbalances, cultural imbalances,

etc. A gradual improvement in economy is welcome.

Service to public: The public expects some service from the business being run in their

area so that they can improve. Services such as helping in the development of schools,

hospitals, roads, cultural activities, etc., are the normal expectations.

Help in running their business: A number of petty businesses, such as small hotels,

shops, local conveyances like auto rickshaw/taxi, builders constructing houses with an

intention of renting or selling them, and many others, depend indirectly on the

organization. If the organization is running well, their businesses should also be

running well.

Source: Purushothama, 2015. 2

4. Monitoring the needs 3

Interested parties are those which affect or have the potential to affect the organization’s 4

ability to consistently provide products that meet customers’ requirements (Wolniak, 2011, 5

2013, 2014, 2016, 2017; Wolniak, and Hąbek, 2015; Wolniak, and Skotnicka-Zasadzień, 2010, 6

2015; Wolniak, and Sułkowski, 2015). The action planned by the organization achieve this 7

include (Figure 2) (Natarajan, 2017): 8

Determining the interested parties. 9

Determining the needs and expectations of the interested parties. 10

Monitoring and reviewing the needs and expectations of the parties. 11

128 R. Wolniak

1

Figure. 2. Monitoring needs and expectation of interested parties. Source: Natarajan, 2017. 2

The scope of the organization’s quality management system should be available and 3

maintained as documented information. The scope of the implemented system shall state the 4

types of products and services covered and provide justification for any requirements of the 5

standard. While determining the boundaries and applicability of the quality management 6

system, the organization should consider (ISO 9001:215): 7

the external and internal issues; 8

the requirements of relevant interested parties; 9

the products and services of the organization. 10

The first step in defining the organizational context can be an analysis of the whole business 11

environment of the organization (Sułkowski, and Wolniak, 2018; Wolniak, and Sułkowski, 12

2015, 2016). In this process we should identify which internal and external environmental 13

issues and interested parties are relevant to the organization. In this case we should identify the 14

following factors (Table 4): 15

political factors, 16

economic factors, 17

social factors, 18

technological factors. 19

20

MANAGEMENT REVIEWS

Determining interested parties

and their needs

& expectations

Reviewing the reports

Quality records

Preparing reports by proces

owners

Monitoring the need

& expectations by proces

owner


Table 4. 1 Factors influencing the organization 2

Factors Examples

Political

Ecological/environmental issues

Current legislation

Anticipated future legislation

International legislation (global influences)

Regulatory bodies and processes

Government policies, terms, and changes

Funding, grants, and initiatives

Market lobbying groups

Wars and conflicts

Economic

National economies and trends

General taxation issues

Taxation of activities, products, services

Seasonality

Weather issues

Market and trade cycles

Specific sector factors

Customer/end user drivers

Interest and exchange rates

International trade and monetary issues

Social

Lifestyle trends

Demographic trends

Consumer attitudes and opinions

Media views

Changes in laws that affect social behaviors

Image of the organization

Consumer buying patterns

Fashion and role models

Major events and influences

Buying access and trends

Ethnic/religious factors

Advertising and publicity

Ethical issues

Technological

Competing technology development

Associated/dependent technologies

Replacement technology/solutions

Maturity of technology

Information and communications

Consumer buying mechanisms

Technology legislation

Innovation potential

Technology access, licensing, patents

Intellectual property issues

Global communication

Social media use

Maturity of organizations

Source: Own work on the basis of: (Abuhav, 2017). 3

The external and internal issues relevant to the organization are determined during 4

management reviews. Top management assigns monitoring issues to appropriate process 5

owners for monitoring. The process owner should monitor the issues and prepare appropriate 6

reports indicating the methods and results of the whole monitoring process. If feasible, 7

130 R. Wolniak

appropriate metrics are also advised for presenting the results (Wolniak, 2016; Wolniak, and 1

Skotnicka-Zasadzień, 2011, 2014). The reports are potential inputs for subsequent management 2

reviews. The results of the analysis are evaluated in management reviews to decide the course 3

of corrections (Ząbek, 2016; Żemigła, 2017). A quality manual is appropriate for documenting 4

the procedure for understanding the organization and its context. The reports of process owners 5

and the set of decisions of management reviews serve as the documented information (quality 6

records), providing evidence for monitoring and reviewing the relevant issues. The procedure 7

for monitoring and reviewing the external and internal issues is presented in Figure 3. 8

9 Figure 3. Monitoring external and internal issues. Source: Natarajan, 2017. 10

The organization shall establish, implement, maintain and continually improve the quality 11

management system, including the processes needed and their interaction, in accordance with 12

the requirements of the standard. To do this, the organization should conduct the following 13

actions (ISO 9001:2015): 14

determine the inputs required and the outputs expected from these processes, 15

determine the sequence and interaction of these processes, 16

determine and apply the criteria and methods (including monitoring, measurements and 17

related performance indicators) needed to ensure the effective operation and control of 18

these processes, 19

determine the resources needed for these processes and ensure their availability, 20

assign the responsibilities and authorities for these processes, 21

address the risks and opportunities as determined in accordance with the requirements, 22

evaluate these processes and implement any changes needed to ensure that the intended 23

results of these processes are achieved, 24

improve the processes and the quality management system, 25

maintain the documented information to support the operation of its processes, 26

keep the documented information to have confidence that the processes are being carried 27

out as planned. 28

MANAGEMENT REVIEWS

Determining external &

internal issues and assigning

them to process owners

Reviewing the reports

Quality records

Preparing reports by process

owners

Monitoring the issues by

process owners


The important issue related to the implementation of quality management systems is that in 1

order to deliver a compliant product or service and meet customer demand, a quality 2

management system with the following specifications must be established and maintained 3

(Abuhav, 2017; Sułkowski, and Wolniak, 2013; Szczucka-Lasota, and Wolniak, 2018; Szliel, 4

2016): 5

It is based on the quality principles suggested in the ISO 9001 Standard. 6

It is defined, planned, implemented, and controlled. 7

It is customer-focused – the quality management systems should use methods to 8

understand the present and future customer needs as well as develop processes to meet 9

customer requirements and strive to exceed customer expectations. 10

Its activities and processes address the needs and expectations of interested parties. 11

Its resources are planned, allocated, and controlled. 12

Its processes and activities are managed and whose interrelations are clear. 13

It is constantly analyzed and controlled – data and information analysis is conducted 14

and decisions are based on facts. 15

It supports improvement through the collection of evidence and its analysis. 16

It is fueled by top management leadership – it is through leadership that the purpose and 17

strategic direction of the organization are established. Leadership shall create the 18

environment for developing an appropriate quality policy in which employees can 19

become fully involved and quality objectives can be achieved. 20

People in the organization are aware of it. 21

The considerations for establishing the scope of the organization is illustrated in Figure 4. 22

We can divide them into four main groups (Natarajan, 2017): 23

Products offered: Broad categories of products offered by the organization are indicated. 24

External and internal issues that would be monitored: Issues relevant to the quality 25

management systems of the organization are included in the scope appropriately. 26

Requirements of interested parties that would be monitored: The requirements of 27

interested parties relevant to the quality management systems of the organization are 28

addressed in the scope appropriately. 29

The applicability of all requirements of ISO 9001: The requirements of ISO 9001 are 30

examined whether they are all applicable for the organization or not. The exclusions to 31

ISO 9001 are indicated with justifications. 32

132 R. Wolniak

1 Figure 4. Monitoring the needs and expectations of interested parties. Source: Natarajan, 2017. 2

The scope of the quality management system will relate to the following issues (Abuhav, 3

2017). 4

The products or services covered by quality management systems and delivered by the 5

organization to its customers. 6

All the applicable implementation activities that will be covered by the quality 7

management systems: research and development, production, marketing, installation, 8

service, and support. 9

Locations of the organizational units that will be covered by the quality management 10

systems (if applicable). Each location included in the scope must be audited separately. 11

5. Conclusion 12

On the basis of the analysis included in the paper it can be said that we can distinguish four 13

main factors in the context of influencing the organization: political, economic, social and 14

technological. Each of them has its own influence on the organization, its functioning and the 15

whole ISO 9001:2015 system within. When the organization establishes the quality 16

management system, it should to improve it in such way as to fulfill all the needs and 17

expectation of the interested parties. The following four problems should be monitored: product 18

offered, exclusions to ISO 9001, external and internal issues and the requirements of interested 19

parties. 20

21

Scope of organization

External and internal

issues that would be

monitored

Product offered

Exclusion to ISO 9001

Requirements of

interested parties that

would be monitored


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introduction of organizational innovation in industry. Metalurgija, 53, 4, 709-713. 35

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Zarządzania Jakością. Problemy Jakości, 9, 4-9. 37

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Zarządzania Jakością w Europie na świecie – lata 2010-2012. Problemy Jakości, 5, 29-34. 39

136 R. Wolniak

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Organizacji i Zarządzanie, 92, 443-455. 3

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2-9. 7





LEADERSHIP IN ISO 9001:2015 1

Radosław WOLNIAK 2

Politechnika Śląska, Wydział Organizacji i Zarządzania, Instytut Ekonomii i Informatyki; [email protected], 3 ORCID: 0000-0003-0317-9811 4

Abstract: The aim of the paper is to analyze the question connected with leadership in the 5

implementation and management of the ISO 9001:2015 system. In the paper we presented the 6

definitions of leadership, some examples of leadership styles and the motivation method used 7

in those styles, problems connected to communication-related quality management issues, 8

using leadership methods to fulfill customers’ needs. Top management demonstrates leadership 9

and the ability to commit to customer focus within particular organization. 10

Keywords: quality management, ISO 9001:2015, ISO 9001, leadership, interested parties, 11

needs and expectations. 12

1. Introduction 13

According to business management literature we can define the concept of leadership as 14

(Baron, 1983; Wolniak, 2018; Donelly, et al., 1985; Tannebaum, et. al., 1961; Batten, 1989; 15

Bass, 1990; Jacques, and Clement, 1994): 16

Leadership is the influence exerted by one member to change, shape and direct the 17

actions of other members of an organization. 18

Leadership is the art of motivating a group of people to act towards achieving 19

a common goal. 20

The ability of leading a group of people or an organization. To do this. Leadership 21

involves: 22

o establishing a clear vision, 23

o sharing that vision with others so that they follow willingly, 24

o providing the information, knowledge and methods to realize that vision, and 25

o coordinating and balancing the conflicting interests of all members and stakeholders. 26

An act or instance of leading, guidance, direction. 27


138 R. Wolniak

Leadership is the ability of an individual or a group of individuals to influence and guide 1

followers or other members of an organization. 2

Leadership is the interpersonal influence exercised in a situation and directed, through 3

the communication process, toward the attainment of a specified goal or goals. 4

Leadership is an attempt at influencing the activities of followers through the 5

communication process and toward the attainment of some goal or goals. 6

Leadership is a development of a clear and complete system of expectations in order to 7

identify, evoke and use the strengths of all resources in the organization, the most 8

important of which is people. 9

Leadership is an interaction between two or more members of a group that often 10

involves a structuring or restructuring of the situation and the perceptions and 11

expectations of members…Leadership occurs when one group member modifies the 12

motivation or competencies of others in the group. 13

Leadership is that process in which one person sets the purpose or direction for one or 14

more other persons and gets them to move along together with him or her and with each 15

other in that direction with competence and full commitment. 16

Leadership means making sure that the organization is doing the right thing. 17

Management means making sure that those things are being done right. 18

The aim of the paper is to analyze the leadership aspects of the ISO 9001:2015 19

implementation. 20

2. Management styles and motivations 21

In the organization, top management should demonstrate leadership ability and commitment 22

with respect to the quality management systems by (ISO 9001:2015): 23

taking accountability for the effectiveness of the quality management system, 24

ensuring that the quality policy and quality objectives are established for the quality 25

management system and are compatible with the context and strategic direction of the 26

organization, 27

ensuring the integration of the quality management system requirements into the 28

organization’s business processes, 29

promoting the use of the process approach and risk-based thinking, 30

ensuring that the resources needed for the quality management system are available, 31

communicating the importance of effective quality management and of conforming to 32

the quality management system requirements, 33

ensuring that the quality management system achieves its intended results, 34

Leadership in ISO 9001:2015 139

engaging, directing and supporting persons to contribute to the effectiveness of the 1

quality management system; promoting improvement, 2

supporting other relevant management roles to demonstrate their leadership as it applies 3

to their areas of responsibility. 4

Leaders establish the unity of purpose and direction for the organization. They should create 5

and maintain the internal environment in which people can become fully involved in achieving 6

the organization’s objectives (Chen, et, al., 2016; Cholewicka-Goździk, 2016; Gębczyńska, and 7

Wolniak, 2018; Hordecka, and Wolniak, 2015; Juszczak-Wiśniewska, and Ligarski, 2015, 8

2016; Łagowski, and Żuchowski, 2016; Ligarski, 2013, 2014; Łuczak, and Wolniak, 2016). A 9

good leadership is related to management styles, leadership and ways of motivation used in the 10

company. The relation between those elements is presented in the Table 1. 11

Table 1. 12 Management styles, leadership and motivations 13

Leadership

patterns Management styles Motivational theory

Manager makes

a decision and

announces it

Exploitative – Authoritative

Manager has little confidence in the

subordinates

Manager issues orders/directives

Uses coercion to get things done

Atmosphere of distrust between

superiors and subordinates

Generally, there is opposition to the

goals of the formal organization

Theory X assumptions

People inherently dislike work and

will avoid it when possible

They have little ambition, shun

responsibility and prefer direction

They want security. It is necessary to

use coercion, control them and

threaten them with punishment to get

them to achieve goals

There is always someone to blame

Manager

sells a

decision

Manager

presents ideas

and invites

questions

Benevolent – Authoritative

Manager acts in a condescending

manner

Manager issues orders/directive with

opportunity to comment

Some decision-making at lower levels

within a prescribed framework

Carrot and stick approach

Staff appear cautious and fearful

Does not oppose all goals of the formal

organization

Theory Y assumptions

If conditions are favorable people will

accept responsibility and even seek it

If people are committed to

organization objectives they will

exercise self-direction and self-control

Commitment is a function of the

rewards associated with goal

attainment

The capacity of creativity in solving

organizational problems is widely

distributed in the population and the

intellectual potential of an average

person is only partially utilized

Manager

presents

a problem, gets

suggestions,

makes

a decision

Manager defines

limits,

asks the group

to make

a decision

Consultative – Democratic

Manager has confidence in subordinates

Manager issues orders only after

a discussion with subordinates

Important decisions made at the top

with tactical decisions made at lower

levels

Two-way communication

Some trust between superiors and

subordinates

Slight resistance to the goals of the

formal organization

Theory Z characteristics

Long-term employment and job

security

Implicit, informal control with

explicit, formalized measures

Slow evaluation and promotion

Moderately specialized careers

Concern for the entire person,

including their family

140 R. Wolniak

Cont. table 1. 1

Manager

permits

subordinates

to function

within the limits

defined

by a superior

Participative – Democratic

Manager has complete confidence and

trust in subordinates

Goals normally set by group

participation

Decision-making is highly decentralized

Communication up and down and

sideways

Mutual trust

Formal and informal organizations are

one and the same

Source: Hoyle, 2009. 2

3. Practical realization of leadership in ISO 9001:2015 3

ISO 9001 explicitly specifies a set of actions to demonstrate the leadership and commitment 4

of top management to implementing, maintaining and continually improving quality 5

management system in the organization. The documentary should include evidence to 6

demonstrate the leadership of top management. 7

Employees that operate quality management systems are a significant resource and their 8

full involvement enhances the effectiveness and improvements of quality management systems. 9

If we want to fully involve employees in achieving the organization’s objectives, the top 10

management should (Abuhav, 2017; Novakova, et. al., 2016): 11

Promote involvement in the quality management systems. 12

Promote the concept of effective quality management systems. 13

Involve the entire organization in improving the quality management systems. 14

There are many ways to publish information in the case of internal and external 15

communication. For example, it can include (Abuhav, 2017): 16

Publishing the policy and the objective on a bulletin board or in an organizational portal. 17

Maintaining a procedure that requires each employee to read the quality policy at least 18

once, which they must sign indicating they have read and understood the policy. 19

Messages or notices to the public in media. 20

Letters for partners. 21

Website. 22

In Table 2, there is a list of basic problems that should be communicated by the organization 23

to enhance the level of functioning of the quality management system. 24

25


Table 2. 1 Questions to communicate in the quality management system 2

Factors Characteristic

Awareness

of the process

approach

The top management shall refer to the process approach in the quality policy, define

it as a quality goal and, if applicable, define relevant quality objectives.

The top management can initiate benchmarking like reengineering projects or

process mapping in order to evaluate the maturity and compatibility of the business

processes.

The top management shall allocate resources for the implementation of the process

approach:

Responsibilities and roles

Plans and schedules for the implementation

Tools that enable process analysis

Required training courses

Outsourced consulting

The organization must prove in action that

A method for analyzing processes is implemented. There is no requirement for

documenting the method but you will need to provide evidence: tools and means

with which you control your processes.

All processes in the organization are mapped and controlled according to this

method.

All processes have the desired results that will enable the assessment of the process.

Responsibilities in the organization are authorized for these activities.

Results of the process mapping exist and are reviewed.

Process inputs and process outputs are available for review.

• Processes are regularly reviewed and improvement of processes is achieved.

Awareness of

risk-based

thinking

The top management shall refer to risk-based thinking in its quality policy, define it

as a quality goal and, if applicable, define relevant quality objectives.

While implementing the process approach, risk-based thinking will be integrated into

the planning of the processes.

The top management can initiate actions like small-scale risks analysis projects in

order to identify the risks that pose threats to the quality management systems or to

detect opportunities that will improve the quality management systems and enhance

the desirable effects.

The top management shall allocate resources for the promotion of risk-based

thinking.

Ensuring

resources

The importance of allocating the right resources to the various activities of the

organization is understood and considered

The need for resources in order for processes and activities to be effective and

efficient is acknowledged

The top management is committed to providing the resources required to carry out

the activities of the quality management systems

Current process capabilities and their resources are assessed

Future resources and technology needs are identified

Activities for the identification and provision of the resources needed shall be

determined

The link between the strategy and vision of the organization and the commitment to

provide the necessary resources are very important for achieving this strategy. In

practice, I would include a reference to the allocation of the necessary resources in each

section, part, chapter, or capital of the quality policy. For example:

Responsibilities and roles

The appropriate time resources

Procedures and methods

Tools and instruments

External resources

Training

3

142 R. Wolniak

Cont. table 2. 1

Improvements

When individuals perform their activities as expected or according to specifications and,

as a result, produce the intended results, the goals of quality management systems are

achieved.

Acting towards the enhancement of their output results in the improvement of the quality

management systems. When they are acting for enhancing their outputs, then the quality

management systems is improved. Publishing it on the bulletin board is not enough. It is

a cyclic process which includes:

Promoting improvement

Initiating actions to obtain input

Analyzing the inputs

Initiating actions for improvement

Measuring the effectiveness of those improvements

If you maintain a suggestion box for improvements in an audit, it will not be enough to

show that suggestions were filled out on a controlled form but that:

The suggestions were reviewed

A few of them were chosen for implementation

They were subjected to a methodical process

Their implementation was done under supervision

The top management took the time to evaluate the effectiveness of the suggestions

Ensuring

comparability of

processes to ISO

9001 standards

The top management is required to prove its commitment to implementing a quality

management system. This requirement of the top management has two aspects:

the establishment of the quality management systems and its continuous control.

The top management must ensure that the quality management system is established

according to the standard requirements.

The top management must ensure that the quality management system is maintained

according to the standard requirements.

The standard requires various tools and techniques for that kind of control:

Internal and external audits

Risk-based thinking approach

Quality objectives

Monitoring, measurement, analysis, and evaluation

Management review

Source: own work on the basis of: Abuhav, 2017. 2

The appropriate level of leadership is needed to fulfill the customers’ needs and 3

requirements (Pacana, 2014; Pacana, et. al. 2014, 2017; Pacana, and Stadnicka, 2006, 4

Poksińska, et al., 2002, 2017; Salvendy, 2001; Ścierski, 2011, Stamatis, 1995, Sułkowski, and 5

Wolniak, 2016, 2018). With regard to customers, according to ISO 9001:2015 requirements, 6

organizations should ensure that (ISO 9001:2015): 7

customer and applicable statutory and regulatory requirements are determined, 8

understood and consistently met, 9

the risks and opportunities that can affect the conformity of products and services and 10

the ability to enhance customer satisfaction are determined and addressed, 11

the focus on enhancing customer satisfaction is maintained. 12

Top management demonstrates leadership and the ability to commit to customer focus 13

within particular organization. Some of the visible methods for demonstrating customer focus 14

are presented in Figure 1. The method should be used for demonstrating customer focus with 15

regard to (Natarajan, 2017): 16


Monitoring the effectiveness of interaction between support processes and production 1

processes for meeting customer requirements. 2

Providing people and infrastructure for meeting the requirements of products and 3

customers. 4

Addressing customer needs when cost and time reduction measures are initiated for 5

improving the efficiency of processes. The main problems connected to meeting customers’ 6

end expectations in the quality management system are presented in Table 3. 7

8

Figure 1. Methods for demonstrating customer focus. Source: Natarajan D.:ISO 9001. Quality 9 Management Systems, Springer, Bangalore, 2017. 10

There are many similar terms that are used by upper management so it is not surprising that 11

their use is inconsistent. To compare the meanings of the term policy, in particular quality 12

policy, there is a competition between them in Table 4 based on the comparison to other 13

strategic document terms (Szczucka-Lasota, and Wolniak, 2018; Szkiel, 2016; Wolniak, 2011; 14

Wolniak, and Sułkowski, 2015, 2016; Wolniak, and Hąbek, 2015; Wolniak, and Skotnicka-15

Zasadzień, 2010, 2014; Wolniak, 2013, 2014, 2016, 2017; Ząbek, 2016, Żemigła, 2017). 16

Table 3. 17 Fulfilling customers’ needs in the quality management system 18


Assessing and

evaluating related

risks and

opportunities

The top management shall demonstrate its leadership and commitment by:

Initiating action plans for identifying and addressing such risks or opportunities

Demanding and controlling the integration of those actions and their

implementation in the processes of the organization

Evaluating their effectiveness

The top management is required:

To promote the proactive approach by initiating the involvement of the

organization’s units at all levels in identifying and assessing the risks or in

developing opportunities

to review the effectiveness of these actions with the instruments that the ISO 9001

requires, such as internal audits or management review

19

Demonstrating customer

focus

Monitoring the interaction

between support & production

processes

Providing people &

infrastructure for

meeting customer

requirements

Addressing customers needs when

operating cost & time are

minimized for processes

144 R. Wolniak

Cont. table 3. 1

Ensuring delivery

of products and

services that

conform to

customer

requirements

Top management shall ensure the delivery of products and services that conform to

customer requirements through the implementation and integration of actions and

activities for identifying and meeting customers’ requirements. The objective is to

define actions that will:

Identify the requirements

Review further necessary requirements that were not mentioned by the customer

but are necessary for the realization of the product or service

Publish these requirements at the appropriate stages during the realization of the

product or service

Review whether the requirements can be met

Evaluate whether the realized goods or services meet their requirements

Enhancing

customer

satisfaction

By demonstrating leadership and commitment, the top management shall:

Define which method is needed (and most effective)

Verify whether the method is integrated into the processes and effectively

Implemented

Validate that the information and data that were collected and analyzed provide

the appropriate situation report

Source: own work on the basis of: Abuhav, 2017. 2

Table 4. 3 Corporate terminology 4

Term Characteristic

Purpose Why we exist, why we do what we do

Mission As Purpose

Vision What the organization should look like when it successfully fulfills its mission

Goals The strategic long-term objectives based on the mission and vision

Values The beliefs that will guide our behavior

Strategy How we are going to get there

Policy Rules that guide our actions and decisions – the signposts en route

Principles A fundamental truth

Objectives What we want to achieve at key milestones along the journey

Measures What will indicate achievement

Targets What we aim at to achieve objectives

Source: Hoyle, 2009. 5

A quality policy is a type of corporate policy and such policies exist to channel actions and 6

decisions along a path that will fulfill the organization’s mission. The goal of the organization 7

may be the receipt of ISO 9001 certification and thus a quality policy for meeting the 8

requirements of ISO 9001 would be consistent with such a goal, but in reality this is a constraint 9

and not a goal as people work to fulfill the mission in a way that is consistent with the 10

requirements of ISO 9001. 11

To establish a quality policy means to put it in place permanently. A quality policy that is 12

posted in the entrance hall is published but not established. For a policy to become established, 13

it has to reflect the beliefs of the organization and underpin every conscious thought and action. 14

This will only occur if everyone shares those beliefs. For this to happen, managers need to 15

become role model so that by their actions the quality policy is perceived merely as something 16

written to satisfy ISO 9001 requirements (Hoyle, 2009). 17

18


In the case of policy organization, especially top management should establish and ensure 1

that the quality policy (ISO 9001:2015): 2

is appropriate to the purpose and context of the organization and supports its strategic 3

direction, 4

provides a framework for setting quality objectives, 5

includes a commitment to satisfy applicable requirements, 6

includes a commitment to continual improvement of the quality management system. 7

Detailed description of the characteristics which the quality policy should have is included 8

in Table 5. In Table 6, there are some examples of corporate policies. 9

Table 5. 10 Characteristics of a quality policy 11


Appropriate

to the organization’s

needs

A quality policy appropriately addresses the purpose, context and strategic direction

of the organization. Phrases like compliance with legal requirements and updating of

technology to ensure competitive advantage could be considered for establishing the

quality policy.

Framework for

quality objectives

The quality policy is designed to provide a broad framework for setting or deriving

quality objectives. Including phrases like improving market share, customer

satisfaction and quality management system effectiveness in the quality policy

provides a broad framework for deriving quality objectives for various levels and

processes of the organization.

Commitments

The quality policy is worded to include the top management’s commitment to

satisfying the applicable requirements of products and to continuous improvement of

the quality management systems of the organization.

Source: Own work on the basis of: Natarajan, 2017. 12

An employee should understand the implications of the statement on their work, how they 13

help the company in their job, or how their job relates to the company’s policy. In other words, 14

the employee must understand that their work and its outputs do not end in their workplace but 15

have implication on later stages. This can be achieved if the employees (Abuhav, 2017): 16

Are aware of the quality goals of the firm: what is the vision of the organization, what 17

are the values upon which the organization acts. 18

Know what is expected of the organization (by the customers). 19

Understand the importance of quality requirements and the significance of their 20

implementation. 21

Understand the meaning of effective quality management systems. 22

Are familiar with their direct quality objectives. 23

Understand the significance of the quality of products and services and the implications 24

of delivering non-conforming products or services. 25

26

146 R. Wolniak

Table 6. 1 Examples of corporate policies 2


On Customers

We will listen to our customers, understand their needs and expectations and

endeavor to satisfy those needs and expectations in a way that meets the expectations

of our other stakeholders.

On Leadership We will establish and communicate our vision for the organization and through our

leadership exemplify the core values to guide the behavior of all to achieve our vision.

On People

We will involve our people in the organization’s development, utilize their

knowledge and experience, recognize their contribution and provide an environment

in which they are motivated to realize their full potential.

On Processes and

Systems

We will take a process approach towards the management of work and manage our

processes as a single system of interacting processes that produce outcomes which

satisfy all our stakeholders.

On Continual

Improvement

We will provide an environment in which every person is motivated to continually

improve the efficiency and effectiveness of our products, processes and our

management system.

On Decisions

We will base our decisions on the logical and intuitive analysis of data collected

where possible from accurate measurements of product, process and system

characteristics.

On supplier

relationships

We will develop alliances with our suppliers and work with them to jointly improve

performance.

On profits

We will satisfy our stakeholders in a manner that will yield a surplus which we will

use to develop our capabilities and our employees, reward our investors and

contribute to improvement in our society.

On the environment,

health and safety

We will operate in a manner that safeguards the environment and the health and

safety of those who could be affected by our operations.

Source: own work on the basis of: Hoyle, 2009. 3

Responsibilities and authorities drive process owners to achieving the planned results. 4

Top management defines the responsibilities and authorities of process owners in accordance 5

to their roles. The responsibilities of process owners are (Purushothama, 2015): 6

Ensuring that the quality management systems documentation conforms to the 7

requirements of ISO 9001. Process owners usually approve their quality procedures. 8

Ensuring that the processes are delivering their intended (planned) outputs as per the 9

relevant quality management system documents. 10

Reporting the performance of the assigned processes and opportunities for improvement 11

to the top management as inputs for reviews. 12

Ensuring customer focus in the functional areas of process owners. 13

Ensuring that the integrity of the quality management system documentation is 14

maintained when changes to the documentation are planned and implemented by 15

process owners. 16

The policy should be communicated in an appropriate manner, in particular (ISO 17

9001:2015): 18

be available and maintained as documented information, 19

be communicated, understood and applied within the organization, 20

be available to relevant interested parties, as appropriate, 21

be reviewed for continuing suitability. 22


4. Conclusion 1

Proper leadership is a very important part of a functioning quality management system. 2

It is indispensable to implement and manage this system. Top management demonstrates 3

leadership and the ability to commit to customer focus within particular organization. 4

They should prepare all documents needed to achieve the fulfillment of the customers’ needs, 5

for example the quality policy. The proper leadership style is a basis for behavior for employees. 6

References 7

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2-9. 31





USE OF METHODS OF QUALITY MANAGEMENT FOR IMPROVING 1

THE REPAIR PROCESS ILLUSTRATED WITH THE EXAMPLE 2

OF ROLLING STOCK 3

Michał ZASADZIEŃ1*, Bożena SKOTNICKA-ZASADZIEŃ2 4

1 Silesian University of Technology, Faculty of Organization and Management, Zabrze; 5 [email protected], ORCID: 0000-0002-3181-9815 6

2 Silesian University of Technology, Faculty of Organization and Management, Zabrze; 7 [email protected], ORCID: 0000-0003-1717-304X 8


Abstract: The article describes the process of analysing and improving the rolling stock repair. 10

The problem was ineffective qualification of additional works and elements to be replaced in 11

the renovated wagons. The qualification is carried out before undertaking the repair activities. 12

Improper qualification increases the cost of renovation and, in consequence, causes the 13

customer to incur additional expenses, which lowers their trust in the enterprise. The aim was 14

to reduce the number of elements qualified for renovation and, thus, lower the unplanned costs 15

and the wagon repair time. Major problems involved in the process of qualification were 16

identified and, owing to the use of the SD method, corrective and preventive actions were 17

prepared and undertaken. The last stage consisted in the verification of the results obtained. 18

Keywords: quality, management, repair, railway wagon, improvement. 19

1. Introduction 20

Companies make every effort to convince a customer who has trusted the enterprise to come 21

back with another project. Apart from the quality of work, the most important issue for each 22

service-providing enterprise is the cost and completing the work on time. These are the direct 23

factors influencing customer satisfaction (Biesok, and Wyród-Wróbel, 2016). 24

The owner of a wagon is legally (Ustawa o transporcie kolejowym, 2003) obligated to 25

observe the inspection and repair cycles (Fig. 1) (Buks, 2015). 26

152 M. Zasadzień, B. Skotnicka-Zasadzień

1 Figure 1. Cycle of rolling stock repairs and inspections. Source: own study based on (Rozporządzenie 2 Ministra Infrastruktury, 2005). 3 4

The wagon lifecycle is divided into 5 stages: 5

P1: inspection involving constant monitoring and inspection activities performed during 6

the ongoing operation of the railway wagon. It is performed before the run or upon its 7

completion; 8

P2: visual inspection and assessment of the technical condition of the wagon performed 9

at planned intervals related to the operation of the vehicle; 10

P3: visual inspection after planned withdrawal of the wagon from service, including 11

disassembly of its elements, carried out every 4 years or after every 140,000 km 12

travelled; 13

P4: a detailed inspection of the technical condition of the wagon carried out after 8 years 14

or after 280,000 km travelled since the beginning of its operation; 15

P5: activities aimed at increasing the standard of a railway vehicle or its renovation 16

consisting in the dismantling of units and subassemblies and their replacement with new 17

or regenerated ones. It is performed 12 years after the start of operation or when the 18

wagon has travelled 420,000 km. 19

Steps P3, P4 and P5 must be carried out at an authorized workshop. 20

During the carriage repair, apart from basic works specified for particular inspection and 21

repair cycles, additional works are also carried out. Additional works result from mechanical 22

failures and their scope depends on the operating conditions of a freight wagon. 23

Before a wagon is sent for repair, its initial qualification is conducted, which informs the 24

customer about the cost of repair of their rolling stock. The biggest problem are subassemblies 25

in need of repair which have not been included in the qualification and are discovered during 26

the repair, when the wagon is on the downstream line. The works have to be done due to the 27

binding regulations, but the customer does not want to pay for additional works that have not 28

been agreed on. A company which cares about their customer’s satisfaction has set the goal to 29

increase the effectiveness of qualification before a wagon rolls onto the downstream line. 30

31

Use of methods of quality management… 153

2. Course of the process 1

Qualification of works takes place on a railway siding, using a universal qualification sheet. 2

After the cost estimate has been prepared, the sheet is sent to the customer for approval of the 3

scope of repair. The wagon with complete documentation is moved to the cleaning station. 4

Having been cleaned, the wagon is transported to the downstream line. On this line, all the 5

wagon elements are repaired in accordance with the established scope. Upon completion of the 6

repair, the wagon is rolled onto the transfer tracks on the railway siding, which is adapted for 7

inspection. 8

The qualification of a wagon before it rolls onto the downstream line is the responsibility 9

of the quality assurance department. This operation consists in estimating the cost of the wagon 10

repair and the scope of repair. The wagon repair cost estimate is delivered to the wagon owner. 11

Upon the acceptance by the customer, the scope of repair is forwarded to the planner, who uses 12

it as a basis for allocating an appropriate number of employees. In case of additional works, 13

which have not been qualified beforehand, there is a risk of stopping the line. To ensure the 14

continuity of production, it is necessary to increase the number of employees and order 15

additional spare parts. The employees stop their previous tasks, which influences the quality 16

and efficiency of work. Additional works have a negative impact on the relations with the 17

customer, who has to incur additional costs for the wagon repair. 18

3. Description of the research problem 19

An analysis of documentation regarding 100 wagons repaired over a period of one month 20

enabled the identification of 301 operations that were not taken into account during the 21

qualification, which gives an average of 3 additional operations per 1 wagon. The analysis 22

enabled the preparation of a Pareto chart which takes into account all the unqualified problems 23

(Fig. 2). 24

25

Figure 2. Pareto chart of unqualified repairs. 26

60 45 30 25 23 22 21 18 15 12 11 10 9

20

3545

5361

6875

81 86 90 94 97 100

0102030405060708090100

0

10

20

30

40

50

60

Acc

um

ula

ted

per

cen

tage

Nu

mb

er o

f d

efec

ts


Verification of the draw hook elements proved to be the biggest problem. The operation of 1

hook replacement accounts for nearly 20% of all additional operations carried out on the 2

downstream line. 3

4. Analysis and improvement using the 8D method 4

The method known as 8D – 8 Disciplines Report is the most frequently applied in the 5

automotive industry to solve problems related to improper quality of the parts manufactured by 6

co-operators (Nowicka-Skowron, and Ulewicz, 2016; Skotnicka-Zasadzień, 2018; Stanek et al., 7

2011). An 8D report comes down to answering the most important questions after the problem 8

has occurred: what was the cause of the problem? And what actions were undertaken to reduce 9

or eliminate it? 10

8D is a formalized method which, when accompanied by the use of additional tools, such 11

as e.g. the Pareto chart or the Ishikawa Diagram (Zasadzień, and Midor, 2015; Hąbek, and 12

Molenda, 2017; Wojtaszak, and Biały, 2015; Wolniak, and Zendla, 2015), helps to establish 13

a course of action when solving a problem by moving from the first to the eighth step. 14

The report can have any graphic form, but it should consist of the following elements (Łuczak, 15

and Maćkiewicz, 2016): 16

1D – establishing an interdisciplinary team and choosing the leader; 17

2D – thorough and comprehensible description of the problem to be solved; 18

3D – preparation of actions aimed at providing an immediate, temporary solution; 19

4D – conducting an analysis so as to identify the root cause of the problem using quality 20

management tools; 21

5D – preparation of corrective measures; 22

6D – preparation of preventive measures aimed at consolidating the changes made to the 23

existing system; 24

7D – implementation of corrective and preventive measures as well as verification of their 25

effects; 26

8D – final report on the actions conducted by the team. 27

Due to a limited size of the study, it describes only steps 2, 4, 5, 6 and 7. 28

The reason for replacing the draw hook in the wagons subjected to analysis was excessive 29

aperture of the hook, over the maximum value, i.e. 73 mm. In extreme cases this may lead to 30

the splitting of the train set. In case of such nonconformity, the employees must remove the 31

draw hook from the wagon and install a new one. A description of the problem has been 32

included in the 8D Report presented in Table 1. 33

34


Table 1. 1 8D Report – initial part 2

Problem solving report

2D. Description of the problem

Total number of unqualified items 60

3

Another step was conducting an analysis of causes and effects using the Ishikawa method. 4

It was focused only on “man” and “method” elements. The remaining elements known from 5

literature were not applicable in the discussed case (Tab. 2). 6

Table 2. 7 8D Report – analysis of causes and effects 8

4D. Ishikawa

Who: What: Was: Should be: Status:

Man Training

The employee conducting

qualification is trained in the

Facility Maintenance System

The employee conducting

qualification is trained in the

Facility Maintenance System

OK

Man

Knowledge of

quality

requirements

The employees know the quality

requirements

The employees know the quality

requirements OK

Man Too much work The employees have time for

thorough qualification

The employees have time for

thorough qualification OK

Man Replacement

during absence

No threat of failure to conduct

correct qualifications

No threat of failure to conduct

correct qualifications OK

Methods Place of

qualification

There is no possibility of checking

the hook aperture on the railway

siding

There should be a possibility of

seeing and measuring all the

elements

NOK

Methods Measuring

instrument

Lack of measuring instruments, e.g.

slide caliper

Availability of necessary

measuring instruments NOK

Methods Measuring rod Lack of measuring rods and

standards

Availability of measuring rods

and control standards NOK

Methods Check list Lack of a check list

The qualification process should

be conducted on the basis of a

check list

NOK

9

Based on the Ishikawa Diagram, the potential causes of qualifying the draw hook for 10

replacement during the initial qualification of the wagon have been identified – they are 11

presented in Table 3. 12

Table 3. 13 8D Report – results of the analysis of causes 14

4D. Analysis results

Direct cause of failure The draw hook was not measured during qualification

Indirect cause of failure No access to the hook during the wagons qualification. Lack of

measuring instruments during the wagon qualification.

Aperture of the draw hook over the

maximum limit (73 mm)


The major causes of the existing problem were: 1

place of qualification. The qualification takes place on the railway siding, where the 2

wagons are marshalled into a train. In such conditions the employee has no possibility 3

of finding out whether the draw hook should be changed; 4

lack of control and measurement instruments. The employees do not have measuring 5

instruments. Without a measuring instrument, the employee cannot measure the draw 6

hook aperture; 7

After the analysis, corrective actions were defined and persons responsible for their 8

implementation were appointed (Table 4). 9

Table 4. 10 8D Report – corrective actions 11

5D. Corrective actions

Task Date Person in charge

Purchase of slide caliper for employees

Developing a control measuring rod

12

First, corrective actions were carried out. The employees conducting the qualification were 13

provided with 7 flashlights and 3 slide calipers. Next, two measuring rods to control the aperture 14

of the hook with a width of 73 mm (upper value permitted by the regulations) were constructed. 15

If the measuring rod penetrates through the hook in any place, the draw hook should be replaced 16

during maintenance works (Fig. 3). 17

18

Figure 3. Control measuring rod. 19

After the analysis, preventive actions were defined – they have been included in the Report 20

presented in Table 5. 21

Table 5. 22 8D Report – preventive actions 23

6D. Preventive actions

Task Date Person in charge

Development of a check list

Change of the wagon qualification place


The employees conducting the qualification worked in varying atmospheric conditions, 1

with wagons being shunted on the railway siding all the time, which distracted the employees. 2

The employee responsible for qualification was not able to inspect the chassis and frontal 3

collision elements, as the wagons were coupled with each other. 4

The preventive action consisted in changing the place of qualification from the railway 5

siding to the production house equipped with hoists and lighting. The change of the wagon 6

position involved additional manoeuvres on the railway siding, which take approximately 7

1.2 man-hours. 8

Another action consisted in developing a check list, containing all the elements which must 9

be subjected to control. It was divided into particular wagon subassemblies. It helps the 10

employees to check if all the elements of a wagon have been examined and makes them 11

responsible for conducing the qualification procedure. 12

Table 6. 13

8D Report – verification of actions 14

7D. Verification of actions

Date of verification: Person in charge:

Element of control Number before Number after

Number of unqualified elements 19.93% 8.00%

15

4 unqualified replacements of the hook were conducted, which accounts for merely 8% of 16

all the wagons. Therefore, the number of unqualified failures of hooks decreased by 17

12 percentage points. 18

5. Conclusions 19

Lack of good qualification poses a problem, as it influences the efficiency and quality of 20

the product being repaired; each unqualified work results in the destabilization of the service-21

providing process as well as an increase in the costs and repair duration. These phenomena also 22

have an adverse effect on the image of the company and its customers’ trust. 23

In the case discussed, the major problem turned out to be the unplanned replacement of the 24

draw hook. It accounted for ca. 20% of all previously unqualified repairs. 25

The 8D method was used to identify the root causes of qualification mistakes as well as to 26

develop corrective and preventive measures. These actions involved the purchase of measuring 27

instruments, constructing a simple control measuring rod, changing the place of wagon 28

qualification as well as developing a check list. All these actions were easy to implement and 29

did not entail considerable costs for the enterprise. 30

The implemented actions enabled the decrease of the number of unqualified replacements 31

of the hook from 20% to 8%. 32


According to the tenets of continuous improvement, the presented methodology should be 1

used to solve the remaining problems with incomplete qualification. 2

Properly conducted actions included in the 8D method guarantee a reduction or elimination 3

of the problem occurring in the process provided that: 4

the problem has been properly identified, 5

the analysis of the causes of defects has been conducted in a proper way. 6

References 7

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2. Buks, K. (2015). Analiza i doskonalenie procesu produkcyjnego i naprawczego wagonów 9

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Politechnika Śląska, Wydział Organizacji i Zarządzania. 11

3. Habek, P., and Molenda, M. (2017). Using the FMEA method as a support for improving 12

the social responsibility of a company. Paper presented at 6th International Conference on 13

Operations Research and Enterprise Systems ICORES 2017, Porto. 14

4. Łuczak, J., and Maćkiewicz, E. (2011). 8D oraz inne metody zarządzania jakością w branży 15

motoryzacyjnej (OE–OES) – analiza przypadku. Problemy Jakości, 11, 35-43. 16

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concept in the metal industry companies. Paper presented at 25th Anniversary International 18

Conference on Metallurgy and Materials METAL 2016, Brno. 19

6. Rozporządzenie Ministra Infrastruktury z dnia 12 października 2005 r. w sprawie ogólnych 20

warunków technicznych eksploatacji pojazdów kolejowych, DzU. nr 212, poz. 1771. 21

7. Skotnicka-Zasadzień, B. (2018). Use of the 8D method for the identification of quality 22

problems in the production process. Paper presented at Conference 3mi – Cross-border 23

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z późn. zm. (2007). 30

10. Wojtaszak, M., and Biały, W. (2015). Problem solving techniques as a part of 31

implementation of six sigma methodology in tire production Case study. Management 32

Systems in Production Engineering, 5(3), 133-137. 33


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12. Zasadzień, M., and Midor, K. (2015). Innovative application of quality management tools 4

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GeoConference SGEM 2015, Sofia. 6

REVIEWERS

prof. dr Andriy BERKO, Lviv Polytechnic

prof. dr Yevhen BUROV, Lviv Polytechnic

prof. dr Donatella CONTI, University of Applied Sciences and Arts of Southern Switzerland

prof. dr Wiesław GREBSKI, The Pennsylvania State University

prof. dr hab. Włodzimierz KOCZAN, Narodowy Uniwersytet Ekonomiczny w Tarnopolu

prof. dr Natalia KUNANETS, Lviv Polytechnic

dr hab. Aleksander LOTKO, prof. UTH Radom

dr hab. inż. Andrzej PACANA, prof. Politechniki Rzeszowskiej

prof. dr hab. inż. Anatoliy SACHENKO, UTH Radom

dr hab. inż. Radosław WOLNIAK, prof. PŚ

ORGANIZATION AND MANAGEMENT · In the literature on management sciences, a multitude of definitions...

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