Development of a Market Model for the Trading of Wood Fuels and Biochar

This bachelor thesis presents a detailed examination of Pyronet’s processes, interfaces, and finan- cial flows, outlining a functioning and efficient market model for the trading of wood fuels and biochar, with a specific focus on the economical and practical viability of its operation.

Benjamin Roth & Manuel Strupp, 2024

Art der Arbeit Bachelor Thesis
Auftraggebende Pyronet GmbH
Betreuende Dozierende Flückiger, Andreas
Keywords Sustainability, Market Model, Biochar, BPMN, SWOT, Dynamic Investment Analysis,
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Pyronet is a start-up developing climate-positive pyrolysis heating systems. The heaters produce high-quality biochar which has several possible applications, especially with a growing demand in the agricultural sector. In addition, the carbon sequestration by the heaters can permanently reduce CO2 emissions in the atmosphere. For the PyroHeat product line, which is currently in development for residential heating, the logistics and economic viability of the operations are assessed in this thesis.
Through interviews with the intended partners and company internal sources, processes were de- fined and improved through the BPMN framework. A SWOT analysis of the various interfaces further identified possible strategies to mitigate risks and take advantage of opportunities with the aim of gaining a competitive advantage and improving process efficiency. Furthermore, a financial model was built, outlining the costs involved with those trade flows with the respective partnerships. Suita- ble margins were then calculated, and the economic viability was assessed.
The outcome of the thesis is a functioning and efficient market model, outlining processes including an extensive analysis of the partnerships. Process steps were designed in accordance with regula- tory requirements to ensure the quality of all raw materials and environmental safety. The logistics were visualized, associated costs with partners were comprised, and suitable margins for the client and partners were calculated. The financial model can easily be modified by the client to reassess the economic viability with changing variables and market conditions. The model shows, that under the current conditions and with the current knowledge, the company can operate profitably in the long term. The overall cashflows involved with the heaters are comparable to other heating options, making the product, an attractive alternative for clients. The thesis also provides recommendations for future improvements, as well as a comprehensive overview of possible supply chain integration with its partners. Furthermore, critical factors that can influence the economic viability of the model which should be closely monitored and controlled were identified in this approach.
Studiengang: Business Administration International Management (Bachelor)
Vertraulichkeit: vertraulich
Art der Arbeit
Bachelor Thesis
Auftraggebende
Pyronet GmbH, Basel
Autorinnen und Autoren
Benjamin Roth & Manuel Strupp
Betreuende Dozierende
Flückiger, Andreas
Publikationsjahr
2024
Sprache der Arbeit
Englisch
Vertraulichkeit
vertraulich
Studiengang
Business Administration International Management (Bachelor)
Standort Studiengang
Brugg-Windisch
Keywords
Sustainability, Market Model, Biochar, BPMN, SWOT, Dynamic Investment Analysis,