Current issue: 58(5)
Articles containing the keyword 'costs'
Category : Article
Containerized tree seedlings will be used on an increasing scale in the future in different parts of the world. There are number of techniques for the production of small one-year-old seedlings but it has not been possible to develop a completely satisfactory methods for large containerized seedlings production. In the long-term development of pine plantations established with containerized seedlings the greatest problem has been deformation of the root system. With a new method, based on a sheet of peat and root pruning, it has been possible to produce conifer seedlings with a good root regeneration potential and favourable morphological root system development. The use of small containerized seedlings allows an increase in planting density without any marked increase in regeneration costs.
The PDF includes an abstract in English.
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Parviainen,
E-mail:
jp@mm.unknown
Length of the regeneration period is a criterion commonly used for comparing different reforestation methods. The time factor should be evaluated using a realistic system for long-term planning. In this paper the preliminary evaluation is made by simplified calculations based on the development series. The slow regeneration method is assumed to be otherwise equal to the rapid one but it has a 5- or 10-years delay at the beginning, and the rotation is thus the final cutting age plus 5- or 10-years delay. Cost of the time delay is taken to be the difference in reforestation costs that makes the rapid and the slow methods equivalent. Calculations are made using zero costs for the slow method; but if the cost of the slow method increases, the critical cost difference decreases very slowly. The final cutting age and the regeneration method must be decided simultaneously. Therefore, the cost of the time delay is presented as a function of final cutting age. By maximizing the average annual revenue, rotation can be even increased if more rapid but more expensive regeneration method is used.
The PDF includes a summary in English.
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Lappi,
E-mail:
jl@mm.unknown
In forestry, a classical method of evaluating the profitability of an outlay is to calculate the internal rate of return. If there are many outlays and returns over a period, analytical determination of the internal rate is difficult and requires simulation methods. However, if there is only one outlay and one return, the computation is easy. In this paper, some formulae were developed for practical purposes. The equations also show how the return changes as the ratio between the return and the outlay changes.
The PDF includes a summary in English.
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Kärkkäinen,
E-mail:
mk@mm.unknown
Planners of the Soviet pulp and paper industry are constantly faced with the problem: which investment policy guarantees the best location structure? Should one invest in existing localities or expand to new areas, especially in heavily forested parts of Siberia? A location theory for the pulp and paper industry, based on three factors (markets, wood raw materials, relative costs) has been suggested by the Soviet authors Antonov and Trusova. In the present study the theory is – for the first time – given empirical contents and the feasible areas for future growth of the industry are tentatively determined. One of the main findings of the study is the detecting of considerable unutilized wood reserves in the European USSR. This supports those Soviet views advocating a European-oriented location in investment strategy for the industry, as market and cost factors are unfavourable to Siberian location.
The PDF includes a summary in Finnish.
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Eronen,
E-mail:
je@mm.unknown
A theoretical nomogram was made for estimating the costs of fully mechanized thinning and the driving speed of the machine. Based on this nomogram and the previous studies three harvesting methods were compared; systematic fully mechanized harvesting, selective fully mechanized harvesting, and manual felling combined with whole-tree chipping.
The third method was cheaper than the fully mechanized methods in a pole-stage stand. The choice of the most advantageous chipping station depended on conditions, but the smaller tree size and possibly the reduced damage on the remaining stand favour chipping on the strip road rather than chipping on the intermediate landing or at the mill.
Mechanized systematic thinning was the cheapest method for harvesting in the sapling stand. The required driving speed were so low that ergonomic factors should not hinder its use. Factors related to the future production of the stand do, however, limit its use. Mechanized selective thinning does not seem to be an economic method for harvesting in a sapling or pole-stage stand.
The PDF includes a summary in English.
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Harstela,
E-mail:
ph@mm.unknown
- Tervo, E-mail: lt@mm.unknown
The paper describes the use of printed area in some scientific series concerned with forestry. The material consisted of 8 scientific series, the total number of analysed pages being 2,942. According to the results, the use of printed area was more efficient in journals and other similar periodicals which included several scientific papers than in series published as separate issues. The main reason was the more efficient editorial make-up. The Finnish papers included less figures but more tables than foreign series. There were marked differences between series irrespective of the country of origin. The average figure area varied from 60 to 180 cm2 between series, for example. According to the observations there are good possibilities for making more efficient use of the printed area available.
The PDF includes a summary in English.
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Kärkkäinen,
E-mail:
mk@mm.unknown
The paper deals with the optimization of roundwood transport in cases where many destinations for it exist and where several means of transport are available. It is also understood that the capacities of the factories to which wood is transported can be used at varying degree. A model was developed for a case such as Finland which sells most of its products abroad.
In the above case, the optimization of roundwood transport does not necessarily mean minimization of transport costs. What is aimed at is to obtain, by using different combinations (mill destinations and the media of transport) the maximum difference between the allowable cut (calculated) and real (actual) transport costs.
The PDF includes a summary in English.
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Roitto,
E-mail:
yr@mm.unknown
In this study a formula has been developed to describe the influence of the change of cost level on such a mechanization prognosis, where is assumed that wages and machine costs bear compound interest. In the study there are some numerical examples.
In the formula p1 = annual per cent increase of wages, p3 = annual per cent increase of machine costs, p2 = sudden and incident per cent increase of machine costs, and tv = delay in the profitability of mechanization.
The PDF includes a summary in English.
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Harstela,
E-mail:
ph@mm.unknown
The goal of this study was to develop a mathematical model for determination of the optimal winching distance in different conditions as based on harvesting costs. In the thinned forest the strip roads are parallel and the winching routes perpendicularly to them. A directed felling of trees is used so that it is easy to make loads to be winched. The stems can also be prepared to timber assortments on the stump area and gathered to loads for skidding alongside the winching routes.
After winching the timber is transported using a forwarder mowing on the strip roads. If the stems have not been bucked in the forests, they are to be prepared to timber assortments before the following transportation, because the problem of turning whole stems in a thinned forest has not yet been solved.
In the mathematical model the formation of the costs was described using 18 variables of which 15 had an effect on the optimum winching distance. Some empirical values were estimated concerning these variables, and the corresponding optimum winching distance were computed. The optimum was mainly determined by the quantity of timber harvested per unit area, the size of the winching load, the regression coefficient of the times which were depended on the winching distance.
According to the model, the deviation from optimum winching distance does not cause a very great change in the analysed total costs. When the winching distance is longer, the increase of the costs is smaller than if it is shorter than optimum. In general, the increase of the costs was so small that in practice one obviously can be satisfied with rather approximate methods in determining the suitable winching distance.
The PDF includes a summary in English.
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Kärkkäinen,
E-mail:
mk@mm.unknown
The present study is an examination of the problems involved in raw-wood inventory from the viewpoint of business economics. The term inventory used here includes the standing timber marked for cutting as well as delivery contracts. The task of inventory is to buffer the differences in timing, locality, quantity and quality caused by purchase, production and delivery processes. The basic problem is concerned with profits.
The basic aim is to keep the inventory small. Its limits are determined by comparing the storage costs and costs of shortage. The costs may be decreased without risking the reliability of deliveries by technical development and road improvement, which also decrease dependence on the seasonal variation of harvesting of timber. A model based on present practices, statistics and practical experiences can be used to calculate different alternatives. The volume of purchases, felling, deliveries, transportation, and differences in quantities and transfer is used to estimate the target level of the inventory. It forms a forecast which the future performances can be compared to. In addition to monitoring turnover rate of the total inventory and capital tied to the inventory, also the exceptions in structure, time and quantity of the inventory and the factors changing it should be monitored. A special difficulty in timber inventory book-keeping are the continuous variations in the measured volumes even if no loss occurs.
The PDF includes a summary in English.
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Einola,
E-mail:
je@mm.unknown
One forest drainage undertaking in Finland often consists of woodlots belonging to several owners, and over hundred owners may be involved. In the present paper a method for allocation the costs to different owners in a joint drainage undertaking is worked out. The problem has been emphasised by the new Waterways Law, which enables also such drainage projects to be undertaken to which some of the land owners oppose. In those cased the costs must be allocated according to the benefit driven by each owner from the project.
The method attempts to assess the benefits to be driven from the forest drainage, those costs of the drainage that are joint and thus subjected to allocation, and what is the area affected by drainage as used as a basis for cost allocation.
The joined costs are apportioned in the following manner. The area of peatland adjusted to differences in the benefit obtained by drainage is ascertained by the land holder by multiplying the index number by the corresponding areas. In the case of cultivated agricultural land, also an index showing the need for drainage is used in computing the adjusted area. Each topographic unit in the map is provided with a notation of its apportionment area. Joined costs are allocated to different land owners in relation to their adjusted land areas.
The PDF includes a summary in English.
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Heikurainen,
E-mail:
lh@mm.unknown
- Keltikangas, E-mail: mk@mm.unknown
- Seppälä, E-mail: ks@mm.unknown
Category : Article
A comparison was made between two alternative methods of continuous national forest inventory. In method 1, samples measured annually are taken throughout the country, in method 2 samples are confined to one section of the country each year. The figures are derived from national forest inventories carried out in the North-European countries Finland, Norway and Sweden. Systematic sampling on the ground has been employed without remeasured sample plots. Field work consisted of survey tracts.
For the whole country, method 1 gives results, which are continuously up-to-date, although detailed information requires observation over a period of several years. On an average, the results obtained from method 2 area at least n/2 years old (survey cycle n years). For a specific section of the country, method 1 gives preliminary results already in 1-2 years, but more accurate results are at least n/2 years old. Method 2 gives accurate results every nth year. Thus, method 2 is not always to be recommended, even if the emphasis is laid on regional information and planning.
To gain knowledge of annual timber removals, often necessary in assessing the forest resource situation, stump measurements can be used, either exclusively or by way of control. The corresponding sampling must be affected throughout the whole country, and this can be done only when method 1 is used. Other information required annually, such as estimates of seed crops, occurrence of pests or annual variation of growth due to the climate, favour method 1.
It can be concluded that method 1 has important advantages, although these must be bought at higher costs. A comparison of inventory costs shows, assuming the same degree of accuracy, that the total expenditure for method 2 is 7-8% lower than that for method 1, owing to the difference in transport requirements. Also, other aspects may affect the choice of method, for example, the use of aerial photographs may be arranged more efficiently in method 2.
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Nyyssönen,
E-mail:
an@mm.unknown
The investigation studies the whole logging operation from the stump to the consumption. The main purpose is to obtain a maximum profit. Proceeds and costs have been studied from the view point of precalculation. First, basic costs theory concepts are introduced. Second, the role of precalculation is described and finally a survey of the practical calculation problems and its results are described.
The purpose of precalculation is to achieve the best possible total financial result for the whole enterprise. The aim is to maximize the difference between future proceeds and the costs. When an alternative calculation is prepared, as many promising alternatives as possible is sought, and the most advantageous of these are selected after a rough survey. Since contributory factors are changing, precalculation is a continuous operation.
Logging operations can be handled in various alternative ways, of which the most advantageous has to be chosen. If there is a large number of different courses of action, the target must be maximum contribution margin per time unit. With labour, too, the aim is to maximize the differentiation between proceeds and costs of a long-term point of view. A working plan of the alternative selected can be formed into a target calculation with the aid of budgets and standards. When purchasing timber, procurement plans can be drawn up and priced for each consignment, and then combined and scrutinized to give target calculations. If the factors affecting them change, the targets must be altered.
The PDF includes a summary in English.
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Einola,
E-mail:
je@mm.unknown
This paper aims at investigating which factors, in the point of view of the entrepreneur, define the choice of long-distance transport either as floating in bundles, steamship transport or barge transport in the waterway system of Lake Saimaa in 1950s. It defines the usage, kind of fleet, operation and costs of the abovesaid modes of transport. The investigation is mainly based on statistics of Enso-Gutzeit Oyj and the fuel office of the Finnish State Railways.
Location of the industrial enterprise sets the limits for use of the different modes of transport of roundwood. Previous decisions can influence the future choices, for instance, the capital the company has earler invested on the transportation system. Also, the type and amount of timber acquired by the company, transportation distance, time, and means of transport affect the choice of mode of transport. Those factors that direct decision-making, often lead the entrepreneur to stick to the chosen mode of transport.
Floating becomes the more inexpensive the larger the scale of operation is, and if the timber assortment is suitable for floating and water storage. For instance, dry wood is an asset for a wood export agency, and their sales have often time pressures, which rules floating out of their choices. Transportation in vessels has decreased to 4% of all roundwood haulage, but has its function as a supplementary way of transport.
The PDF includes a summary in German.
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Roitto,
E-mail:
yr@mm.unknown
The analysis of costs is the foundation for the efficient management of logging activities. However, there is little research on cost accounting of logging. This article is an overview on harvesting of timber and its cost accounting, concentrating on joint costs. Costs have to be divided on their structural elements and then regrouped according to different accounting needs to be investigated. This investigation bases the structural cost analysis on running booking of costs. Due to the variability of logging, the costs are divided in detail into categories. The costs of logging are classified by their origin into personnel cost, material costs, costs of services, compensation for use, unrequited costs, risks, depreciation and interest. Further, the costs are classified according to the subject and quality of performance, and by location.
The PDF includes a summary in English.
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Einola,
E-mail:
je@mm.unknown
In Finland, transportation of wood by vessels has decreased, but is still an important mode of transport especially for firewood. In 1941-1947, nearly 25% of the firewood procured by the State Fuel Board was transported by vessels. This investigation concentrates on loading of wood into barges, since the share of wages of total expenses is greatest in this phase. The loading work amounts to nearly 40% of the total wages.
Two methods of loading barges are used in Finland: loading from the shore and truck loading. This study concentrates on the more common method, loading from the shore. A time study was conducted on the different stages of loading and piling wood into barges, most of which is done by hand. Most time-consuming part of the work is transporting the logs to the barge with a wheelbarrow, comprising over 40% of the working time. Time required for loading firewood is almost twice as much as loading pulp wood. Recommendations for loading places and organization of work are given in the article to improve the efficiency of the work.
The PDF includes a summary in English.
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Heiskanen,
E-mail:
vh@mm.unknown
The term ‘expenses’ is in forestry insufficiently defined, and its use in the balance sheet of forest management is unclear. In dynamic balance theory the actual working expenses and capital expenditure are separated. The article discusses what should be considered working expenses and what capital expenditure when dealing with certain costs of the forest management, for example costs of administration, cultivation of forests, log-floating channels, and roads and drainage of peatlands.
The PDF includes a summary in English.
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Keltikangas,
E-mail:
vk@mm.unknown
The aim of the present study was to explain how the Finnish paper industry increased its production and its exports, broadened its markets and managed to show a profit in its activities during the period between the two world wars, despite the restrictive international commercial policies then prevailing, and despite the economic depression of the thirties. Newsprint has been treated as a subject for detailed examination.
The study is based on a comparative investigation of the price received by the paper mills for their paper and the costs of production. Since the market price of paper fell during the twenty years in question, one must examine how the mills responded to the reduction in selling price. Technically the study ranges from the valuation of the standing timber to the handing over of the finished product to the buyer. Between 1929 and 1933 the cost of producing newsprint fell by 387 marks per ton.
The most significant factor in maintaining competitive power was the technical development and increased output brought about in the mills. That alone accounted for half the savings achieved. The reduction in the buying price of wood and in delivery costs accounted for about a third of the difference in production costs, and other factors for the remaining fifth. In addition, the devaluation of the Finnish mark was crucial. Measures taken to reduce costs were effective in so far as the paper mills, with only one or two exceptions, maintained their competitiveness in international markets and managed not only to retain but also to extend their markets.
The PDF includes a summary in English.
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Ahvenainen,
E-mail:
ja@mm.unknown
The paper deals with the possibilities of decreasing the costs of timber harvesting and silvicultural work through regional cooperation between private forest owners in Finland. Alternatives based on joint management and, on the other hand, joint ownership were compared with activities on a forest-unit basis. According to the results obtained, considerable savings in costs can be gained through cooperation on a regional basis. Examination of the data obtained from the study shows that in the case of harvesting some 40 million Finnish marks can be saved annually by application of the joint-management alternative, and as much as 90 million marks annually by the joint-ownership alternative, when taking the whole country into consideration. The corresponding values for silvicultural work were 2 million marks and 4 million marks, respectively.
The PDF includes a summary in English.
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Vesikallio,
E-mail:
hv@mm.unknown
The first part of the study includes a summary of conclusions from five earlier reports dealing with terrain transportation costs, effect of terrain, load, snow and additional machine components on the mobility of forest tractors, and the distance a vehicle has to move in forest transportation of timber. In the second part of the study the effect of these separate factors on the transport output have been analysed on the basis of simulating a transportation of 3,000 loads by computer.
It was concluded that no specific terrain factor had a dominating effect on any component of the forwarding output. However, many terrain-factor combinations with a nonsignificant effect on the mobility and also on the forwarding output were identified. The most significant factors affecting the output were the size of load and the distance driven during the cycle.
The PDF includes a summary in Finnish.
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Haarlaa,
E-mail:
rh@mm.unknown
Emphasis was laid on the finding of regression equations to indicate the dependence of standard error upon various variables in systematic sampling. As a result, the size of sample for a given precision could be computed, under varying alternatives of sample plot size and type. Another task was that of examining inventory costs by means of time studies. On combination of the results in regard to the sample size and survey time, the relative efficiency of different alternatives could be discussed, with a view to the precision of the total volume of growing stock.
The PDF includes a summary in Finnish.
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Nyyssönen,
E-mail:
an@mm.unknown
- Roiko-Jokela, E-mail: pr@mm.unknown
- Kilkki, E-mail: pk@mm.unknown
Category : Research article
The EU’s influence on national forest policies is growing, and the implementation of forest-related policies proposed by the Commission will affect the practice of forestry in Europe. For instance, the Nature Restoration Law sets concrete areal goals for restoring forest ecosystems and for conservation, the Deforestation Regulation requires meticulous tracking of wood’s origin, and the renewed Renewable Energy Directive (RED III) sets new criteria to sustainable forest biomass procurement. So far there have been no studies that have looked into the impacts from the economic and operational point of view. In this study, structural systems analysis was first performed to discover the relevant variables (and their functioning) associated with the roundwood harvesting operations and the operating environment. A scenario approach was then applied to capture the potential levels of implementation of the EU’s forest-related policies. Finally, using different scenarios (low-, moderate- and high-impact) and a systems analysis framework, the impact of alternative levels of implementation was quantified in terms of harvesting costs, measured in € m–3. The results indicate that with the low- and moderate-impact scenarios the harvesting costs would increase by less than 10% from the current levels in three different regions in Finland. Such an increase (less than 10%) could be tolerated over a period of a few years, but a sudden increase is likely to lead to challenges to the running of businesses. With the high-impact scenario the harvesting costs would increase by between 15% and 18%, depending on the region. This magnitude of increase (of approximately a sixth) corresponds to a severe change in the roundwood harvesting operations and operating environment.
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Ahtikoski,
Natural Resources Institute Finland (Luke), Tekniikankatu 1, FI-33720 Tampere, Finland
https://orcid.org/0000-0003-1658-3813
E-mail:
anssi.ahtikoski@luke.fi
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Väätäinen,
Natural Resources Institute Finland (Luke), Yliopistonkatu 6, FI-80100 Joensuu, Finland
https://orcid.org/0000-0002-6886-0432
E-mail:
kari.vaatainen@luke.fi
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Anttila,
Natural Resources Institute Finland (Luke), Latokartanonkaari 9, FI-00790 Helsinki, Finland
https://orcid.org/0000-0002-6131-392X
E-mail:
perttu.anttila@luke.fi
- Laitila, Natural Resources Institute Finland (Luke), Yliopistonkatu 6, FI-80100 Joensuu, Finland E-mail: juha.laitila@luke.fi
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Mutanen,
Natural Resources Institute Finland (Luke), Yliopistonkatu 6, FI-80100 Joensuu, Finland
https://orcid.org/0000-0003-0533-9356
E-mail:
antti.mutanen@luke.fi
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Lindblad,
Natural Resources Institute Finland (Luke), Yliopistonkatu 6, FI-80100 Joensuu, Finland
https://orcid.org/0009-0003-6766-6587
E-mail:
jari.lindblad@luke.fi
- Sikanen, Natural Resources Institute Finland (Luke), Yliopistonkatu 6, FI-80100 Joensuu, Finland E-mail: lauri.sikanen@luke.fi
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Routa,
Natural Resources Institute Finland (Luke), Yliopistonkatu 6, FI-80100 Joensuu, Finland
https://orcid.org/0000-0001-7225-1798
E-mail:
johanna.routa@luke.fi
Uneven-aged forests set certain challenges for cut-to-length harvesting work. It is a challenge to cost-effectively remove larger trees while leaving a healthy understory for regrowth. The study’s aim was to evaluate productivity and costs of harvesting two-storied Silver birch (Betula pendula Roth) and Norway spruce (Picea abies (L.) H. Karst.) stands by creating time consumption models for cutting, and using existing models for forwarding. Damage to the remaining understory spruce was also examined. Four different harvesting methods were used: 1) all dominant birches were cut; 2) half of them thinned and understory was preserved; compared to 3) normal thinning of birch stand without understory; and 4) clear cutting of two-storied stand. Results showed the time needed for birch cutting was 26–30% lower when the understory was not preserved. Pulpwood harvesting of small sized spruces that prevent birch cutting was expensive, especially because of forwarding of small amounts with low timber density on the strip roads. Generally, when taking the cutting and forwarding into account, the unit cost at clear cuttings was lowest, due to lesser limitations on work. It was noted that with increasing removal from 100 to 300 m3 ha–1, the relative share of initial undamaged spruces after the harvest decreased from 65 to 50% when the aim was to preserve them. During summertime harvesting, the amount of stem damage was bigger than during winter. In conclusion, two-storied stands are possible to transit to spruce stands by accepting some losses in harvesting productivity and damages on remaining trees.
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Niemistö,
Natural Resources Institute Finland (Luke), Natural resources, Kampusranta 9 C, FI-60320 Seinäjoki, Finland
https://orcid.org/0000-0002-9152-2108
E-mail:
ext.pentti.niemisto@luke.fi
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Korpunen,
Norsk institutt for bioøkonomi (NIBIO), Division of Forest and Forest Resources, Department of Forest operations and digitalization, Divisjon for skog og utmark, Avdeling for Driftsteknikk og digitalisering, Høgskoleveien 8, 1433 Ås, Norway
https://orcid.org/0000-0001-9749-5684
E-mail:
heikki.korpunen@nibio.no
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Nuutinen,
Natural Resources Institute Finland (Luke), Production systems, Yliopistokatu 6 B, FI-80100 Joensuu, Finland
https://orcid.org/0000-0003-3360-4444
E-mail:
yrjo.nuutinen@luke.fi
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Oikari,
Karelwood, Kontiolahti, Finland
E-mail:
markku.oikari@karelwood.com
- Kärhä, Metsäteho Oy, Helsinki, Finland E-mail: kk@nn.fi
- Palander, University of Eastern Finland, Faculty of Science and Forestry, Joensuu, Finland E-mail: tp@nn.fi
- Pajuoja, Metsäteho Oy, Helsinki, Finland E-mail: hp@nn.fi
- Ovaskainen, University of Eastern Finland, Faculty of Science and Forestry, Joensuu, Finland E-mail: ho@nn.fi
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Laitila,
Finnish Forest Research Institute, Joensuu Research Unit, Joensuu, Finland
E-mail:
juha.laitila@metla.fi
Category : Review article
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Zhang,
School of Forestry & Wildlife Sciences, Auburn University, AL 36849-5418, USA
E-mail:
yaoqi.zhang@auburn.edu
- Zhang, School of Forestry & Wildlife Sciences, Auburn University, AL 36849-5418, USA E-mail: dz@nn.us
- Schelhas, Southern Research Station, USDA Forest Service, Tuskegee University, AL, USA E-mail: js@nn.us
Category : Research note
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Kärhä,
Stora Enso Wood Supply Finland, Talvikkitie 40 C, FI-01300 Vantaa, Finland
E-mail:
kalle.karha@storaenso.com
