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Corporation-wide business

Author
Sonija Pator
Doughfleet
Triglavian Outlaws and Sobornost Troika
#1 - 2013-12-12 06:30:26 UTC
I'm interested in finding out how industrial focused corporations set up their operation.

I don't know much about manufacturing and the other elements that surround it. But from what I've seen, it looks as if there aren't many opportunities nor reasons for industrial characters to network with each other nor patronize one another. Instead, it appears that one high SP manufacturer can do everything they need themselves, besides the mining and generation of other basic materials, and they would not find any practical advantage in splitting their operation with other players. When I've spoken to industrialists in my alliance, they haven't been able to name situations where a younger or less specialized player could profitably help them.

So when I consider that situation, it makes me wonder how industrial corporations are set up. How do they conceive and arrange corp-wide industry? If an indy player's interest was purely in getting the most out of their industrial activities, why would join an indy corporation? And if there are instances of fruitful teamwork to be had(besides mining, P1, etc), where is it? How is the ISK handled, and how is corp-member incentive granted?

In other words, how do you fruitfully run a corp like a corp?

Thanks, all!
Elmore Jones
New Eden Mining Organisation
The Craftsmen
#2 - 2013-12-12 09:49:00 UTC
Mostly these things aren't done with 100% cooperation because of trust issues I think. The single player is limited by number of alts with correct skills to use slots for manufacture so alts or help will be needed to do anything large scale. In my 0.0 days I made items for the corps cap ship program as my skills allowed - one of the guys overseeing the project would tell me he needs X dcu ii's (etc) so I build them. Because blueprints, even locked to prevent theft, can only be used by 1 person at a time we got around this by simply owning our own for most items and a trusted few could manufacture from the capital bpos and bpcs the corp owned.

Back into highsec working with the excellent Stevant + T'khulu we established a trust that allowed us to share a pos without fear that one of the others would run away and sell our bpos \o/ We could then offer other members and alliance mates research services at our labs. This sort of core structure is quite vital for the success of a venture - from there you can find ways to encourage members to particular areas. T2 manufacturers always need the T1 base items made and these are often from cheap easy to research bpos lower sp players can afford. Hauling services are another small way to contribute as iirc you can pilot a t1 indy now pretty much from day 1. Assuming you can get access to pocos with decent tax rate, assign corp members a particular item to make for corp alongside their own isk making PI.

Running a corp is at the end of the day about providing content for your members in their chosen field, and working out ways to keep going under the ineveitable wardecs indy corps attract. Look forward to lots of spreadsheets, managing component stocks and planning with the hope that the guys assigned have time to complete the tasks assigned :D

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Abdiel Kavash
Deep Core Mining Inc.
Caldari State
#3 - 2013-12-12 10:16:36 UTC  |  Edited by: Abdiel Kavash
The short answer is that you are right. A solo player (potentially with the help of alts) can run any industrial process by themselves. Being in a corporation brings almost no additional benefits and only introduces risks.

The long answer is that there are a few niche markets where this is beneficial. Mostly you're looking at areas where industry is intertwined with another activity: moon mining and reactions (which requires the support of combat fleets), boosters or polymer reactions (which need inputs that are not easily sourced in Jita and easy to obtain from people mining them on the spot), or capital and especially supercapital production which needs sovereignty and a fat logistical backbone. Either way you're not benefiting from teaming up with other industrialists, but with people who can help you out in other areas.
Sonija Pator
Doughfleet
Triglavian Outlaws and Sobornost Troika
#4 - 2013-12-12 16:01:14 UTC
I'm fortunate, in that I have all of the necessary boons to make things work, as far as I know:
  • Trust is there, near as it can be granted in Eve. Or at the ability to circumvent trust and have the right guy with the right roles do some lynchpin stage of the op.
  • Logistics are there in spades. Many of my corpmates have their personal JF's, while I can also contract our alliance freight service relatively cheaply.
  • There's a handful of high SP indy's, who possess a lot of personal resources as well as corporate backing if they have a hole in their needs. So anything at all can conceivably be manufactured.
  • Our space is exceptionally rich, and barely tapped.
  • We've got more moons and moon products than we actually know what to do with.
  • Our leadership structure is stable and resilient, but also fluid, while our broader group is [proud]ultra-low drama[/proud], and eager to pitch in when needs arise.
  • And then there's me: someone who knows only so much, but has the vigor and willingness(at the moment) to put the time in to hammer out the finer points on what to do, how to do it, and how to structure it... And of course spreadsheet the living daylights out of it.

  • The only problem is figuring out what's profitable and sustainable for a group, and getting some ideas on how others have managed their personnel and production systems.

    In a way, its kinda tragic that such potential and opportunity has been going to waste on guys who don't know what to do with it(besides being generally awesome and functional). At least, yet.

    I would love to hear from some corps who have corp-wide operations, in order to find out what kinds of things they produce or do, and how it's made into a group activity, rather than solo, or dependent on one or two workhorses.
    Lucas Kell
    Solitude Trading
    S.N.O.T.
    #5 - 2013-12-12 16:47:29 UTC  |  Edited by: Lucas Kell
    Contrary to what some people here are saying, there are ways that corporation can benefit from combined efforts. One of these is the ability to run considerably more queues for production. Another is the ability to share BPOs. Like in real life manufacturing, the reason for a single company to have fewer larger factories is reduced overheads. BPOs can cost a lot of isk, so 5 people buying 1 each that they may use 20% of the time is 5x the overhead of a group of 5 people buying 1 and splitting it between them.

    The other is specialism. Some people enjoy mining, or hauling (or a combination). These people can collect resources and ship product out to markets. Some people enjoy the spreadsheet side of it, the planning, the strategist, and the prediction of market trends. some enjoy the raw marketing, how to squeeze profit out of a product and get the best value for their income. Most of us can do all of these things, but few of us excel at all of them. A corp with a group of people who decide where to buy and sell, and for how much, with a 2nd group of people deciding what should get built and how many not to flood the market, then a 3rd group of people shipping items and bringing in raw product, with all 3 groups using their queues would do far far far better than a guy with a bunch of alts, as they would be able to dedicate their time to their chosen trade, so each piece would be done to perfection, and you could get more overall done. I often run into sheer time barriers where I can't plan, buy/sell, manufacture and haul the volume of items I need to to maximise profit levels, and if I had double my time, I could easily double my profit.

    The issues that arise with all this though are trust. BPOs can be locked down, so they can be used, but not taken, built the same cannot be done for materials. In order to use materials from a corp hangar, the player must be able to access the hanger, thus could just take the materials and run.
    The permission system in EVE is pretty archaic with no real way of managing people properly. Essentially you either have to decide to trust someone with all of an aspect, or not to trust them at all with it. There's no middle ground. I can;t say "well you can produce goods from this hangar, but you can't take from it", or "you can sell these items, but only from the corp hanger with profits and fees going to the corp, and only within these set % of basevalue margins".

    If however you have a group of people you can 100% trust, you could build a good corp as long as you had a well defined structure, well defined roles, dedicated members and a whole lot of capital.

    EDIT: And it sounds like what you are missing is a strategic planner. You need someone to decide in advance what items need to be built and how many, with predictions on profitability, then they need to stay ahead of your manufacturers, queuing up workloads, but not too far ahead.

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    Saleani Tsolyani
    Bey Su
    #6 - 2013-12-12 16:50:34 UTC
    One web article you may want to read is one on Aideron Robotics.
    http://www.gameskinny.com/5b56a/exploring-eve-online-4-the-aura-of-aideron-robotics

    Sonija Pator wrote:
    It appears that one high SP manufacturer can do everything they need themselves, besides the mining and generation of other basic materials, and they would not find any practical advantage in splitting their operation with other players. When I've spoken to industrialists in my alliance, they haven't been able to name situations where a younger or less specialized player could profitably help them.

    If one makes T2 items, there are a number of bottlenecks that require more hands than one player can do. Making copies for invention is one bottleneck. Care and feeding of the moon mining POSes and reactors are others. Doing it all yourself is a recipe for burnout.

    If your alliance holds sovereignty in nullsec, and if that alliance has any intention of deploying outposts, the amount of mining and PI materials required will be something that no single player cannot do.
    Batelle
    Federal Navy Academy
    #7 - 2013-12-12 19:53:01 UTC
    BPO sharing is one, definitely. I have also known small groups of people to do capital or supercapital construction together. Corps are needed for pos stuff, often a single player even with alts cannot fully utilize all the research slots you can get out of a hisec pos, in which case other players use them too and help pay for fuel if they make significant use of it. When you have free research slots, its also not unusual to have other characters do free research or copying on corp BPOs.

    Lowsec reaction towers are a fairly scalable business that involves lots of work and startup capital. It wouldn't be unusual to have a partner or multiple partners help with hauling, placing buy orders, moving jump freighters, fueling, etc.

    Most t1 production can be done as a solo activity entirely in hisec, and much of the work is simply figuring out what to make. Even with ship production the primary bottleneck is getting a source of cheap minerals, so its not very conducive to collaboration.

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    SurrenderMonkey
    State Protectorate
    Caldari State
    #8 - 2013-12-12 20:15:34 UTC  |  Edited by: SurrenderMonkey
    Saleani Tsolyani wrote:

    If one makes T2 items, there are a number of bottlenecks that require more hands than one player can do. Making copies for invention is one bottleneck. Care and feeding of the moon mining POSes and reactors are others. Doing it all yourself is a recipe for burnout.



    Not... really. If you make T2 items and you insist on being your own entire supply chain then, yeah, maybe.

    There's no actual need to do soup-to-nuts vertical integration, however, and for most items, the low skill requirement and low effort of copy alts makes it easy to circumvent that particular issue.

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    Inxentas Ultramar
    Ultramar Independent Contracting
    #9 - 2013-12-12 23:33:21 UTC  |  Edited by: Inxentas Ultramar
    I agree with Lucas Kell. Small example: I hate hauling. A dude in my alliance makes POS fuel locally. Trust issues are introduced when a delivery at my POS can't be done by an official contract. He delivers, I pay ISK. I see this no different from the pizza delivery guy, hardly an obstacle in him being paid by someone genuinely happy with the service. Likewise, I sell off raw PI materials and help lower POCO tax in the area. We each have our specializations and benefit from what the other is doing. Jolly co-operation.

    There are other ways to make things work. Blueprint copies for example. Alliance- or corp wide contracts. While the mechancs are indeed quite archaic, there are many ways around them. That materials/hanger problem you pointed out? You can still drag items into a hanger to which you have no 'take' or 'query' access, you just can't take anything out anymore. A trusted party eventually sets the job and outputs into a hanger to which only the trusted group has access. Not perfect, but a useable workaround. We use this system for incidental POS fuel manufacture and T1 PVP rigs.

    In order for this to work your corp members need to trust this group of manufacturers to put their donated items to good use, and not to abuse their access to hangers and wallets for their own gain. A sound plan thats well communicated works better then just selling things to bump the corp wallet. Bump it for what? Even if the intent is to sell off an end product, the financial gains should reward every contributor in some way. If you can keep transparent about that you'll keep people more motivated to keep the wheels of your operation turning.
    Katran Luftschreck
    Royal Ammatar Engineering Corps
    #10 - 2013-12-14 03:38:50 UTC
    Access to corp sponsored BPOs for your factory runs can save you literally billions of ISK, simply by never having to buy them yourself.

    http://youtu.be/t0q2F8NsYQ0

    SJ Astralana
    Syncore
    #11 - 2013-12-14 14:37:00 UTC
    I ran a corporation back in the day with a sizeable group of industrial-minded members, and the trick is to involve everyone in a larger vision. Members will outgrow the vision and move on, but younger players will thrive learning how all the pieces fit together. It is possible to mitigate risk by locking down BPOs and limiting access to material stores to just a few members. You can't discount the fact that a lot of players just enjoy the social aspect of group mining, and if you kick back proceeds of the group's success in tangible ways that exceed the ability of any one individual, and if you make it fun, they're not going to go rogue for 80mil an hour if they're having fun for 75.

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    Xuixien
    Solar Winds Security Solutions
    #12 - 2013-12-15 05:45:13 UTC
    There's really no reason. EVE is broken in that just a small number of players (6-10) with alts (or just 1 player with a JF...) can supply an entire NullSec alliance with almost everything that it needs. There is almost no reason for "industrial" players to band together, except for:

    - Access to a POS (a single player can do this, though.)
    - Ore buyback (Benefits the vets more than the newbs.)
    - Locked BPOs
    - Hauling

    A corporation in EVE isn't really a business venture as much as it is a group of friends coming together to hang out. That's why it's under the "Social" tab and not the "Business" tab...

    Epic Space Cat, Horsegirl, Philanthropist