Modelling the Value Creation and Costs of a Partly Configurable Product During the Conceptualization Phase
Joronen, Sami (2025)
2025
Konetekniikan DI-ohjelma - Master's Programme in Mechanical Engineering
Tekniikan ja luonnontieteiden tiedekunta - Faculty of Engineering and Natural Sciences
Hyväksymispäivämäärä
2025-09-02
Julkaisun pysyvä osoite on
https://urn.fi/URN:NBN:fi:tuni-202509129208
https://urn.fi/URN:NBN:fi:tuni-202509129208
Tiivistelmä
The shipbuilding industry, particularly in the domain of cruise ships, is undergoing a transformation driven by increasing vessel size, shifting customer expectations, and tightening environmental regulations. At the same time, the need for flexible and reconfigurable designs has grown, especially in high-variety, low-volume (HVLV) and engineering-to-order (ETO) contexts, where product development must accommodate both complexity and uncertainty. However, existing cost estimation and value creation modelling tools are largely geared towards mass production or fully defined systems, offering limited support during the early conceptualization phase when critical design decisions are made.
The purpose of this thesis is to develop and outline the creation of a cost and value modeling framework that supports early-phase decision making for partly configurable product in the HVLV context, using cruise ships as the core application domain. The thesis aims to bridge the gap between traditional cost estimation methods and the needs of modern product configurators used during product conceptualization, since the ability to estimate lifecycle costs and identify value drivers early in the design process is crucial.
To achieve this, the study employs mixed-methods research design. A systematic literature review provides a comprehensive understanding of the current life cycle cost estimation models, cost allocation in the cruise industry, and the state of modularization and configuration in ETO products. This theoretical foundation is complemented by two embedded case studies, addressing passenger cabins and public venues, respectively. These case studies are done in collaboration with an industrial partner. These case studies are used to build, test, and refine the proposed cost and revenue estimation methods.
The key results of the research include the steps for building a structured calculation framework for life cycle cost and value creation estimates. The built calculation framework includes methods for efficiently estimating the costs and value creation of the engineered and configured portion of the solution. A Design and Delivery flow approach is proposed, which aims to support complex product configuration, and allows for configurable and agile financial estimates.
Practically, the research provides a decision support tool for ship designers, cost engineers, and other stakeholders working with configurable capital goods. It enables earlier, more in-formed decisions about design trade-offs, cost structures, and lifecycle value, thereby reducing the risk of redesigning, improving project predictability, and enhancing competitive advantage in HVLV and ETO industries.
The purpose of this thesis is to develop and outline the creation of a cost and value modeling framework that supports early-phase decision making for partly configurable product in the HVLV context, using cruise ships as the core application domain. The thesis aims to bridge the gap between traditional cost estimation methods and the needs of modern product configurators used during product conceptualization, since the ability to estimate lifecycle costs and identify value drivers early in the design process is crucial.
To achieve this, the study employs mixed-methods research design. A systematic literature review provides a comprehensive understanding of the current life cycle cost estimation models, cost allocation in the cruise industry, and the state of modularization and configuration in ETO products. This theoretical foundation is complemented by two embedded case studies, addressing passenger cabins and public venues, respectively. These case studies are done in collaboration with an industrial partner. These case studies are used to build, test, and refine the proposed cost and revenue estimation methods.
The key results of the research include the steps for building a structured calculation framework for life cycle cost and value creation estimates. The built calculation framework includes methods for efficiently estimating the costs and value creation of the engineered and configured portion of the solution. A Design and Delivery flow approach is proposed, which aims to support complex product configuration, and allows for configurable and agile financial estimates.
Practically, the research provides a decision support tool for ship designers, cost engineers, and other stakeholders working with configurable capital goods. It enables earlier, more in-formed decisions about design trade-offs, cost structures, and lifecycle value, thereby reducing the risk of redesigning, improving project predictability, and enhancing competitive advantage in HVLV and ETO industries.