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Scania Annual Report 2011

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SCANIA’S STRATEGY<br />

13<br />

Profitable business through customised solutions<br />

<strong>Scania</strong> works closely with customers to enable them to perform their transport tasks<br />

optimally, from both economic and environmental perspectives. Through a good knowledge<br />

of customers and their operations, <strong>Scania</strong> designs customised vehicle and service solutions<br />

and thereby contributes to their profitability. The hub is <strong>Scania</strong>’s modular product system,<br />

which also plays a key role in ensuring an efficient, profitable <strong>Scania</strong>.<br />

<strong>Scania</strong> is traditionally associated with its products –<br />

trucks, buses and engines. Defining exactly the right<br />

product for the customer’s tasks is a fundamental<br />

element of the company’s operations. However, <strong>Scania</strong><br />

increasingly focuses on designing a comprehensive<br />

solution together with the customer.<br />

The right products are profitable<br />

Correct product specification is the hub of <strong>Scania</strong>’s<br />

business. Through <strong>Scania</strong>’s modular product system,<br />

various customer wishes – as well as new environmental<br />

requirements – can quickly be met, without expanding<br />

the number of parts included in its in vehicles proportionately.<br />

The modular system is an effective method for<br />

optimising customer vehicles. Meanwhile the concept<br />

contributes to short lead times, high quality and less<br />

downtime, more efficient servicing and a smaller<br />

number of parts in stock.<br />

<strong>Scania</strong>’s modular system also maximises the number<br />

of vehicle variants, while minimising the number of<br />

components. This lowers <strong>Scania</strong>’s research, development,<br />

production and servicing costs. Quality is high<br />

and production series are longer, which is cost-effective<br />

both for customers and for <strong>Scania</strong>.<br />

Services support the customer’s business<br />

A deep knowledge of customers’ operations is also<br />

fundamental to <strong>Scania</strong>’s service-related products. <strong>Scania</strong><br />

endeavours to build long-term relationships with its customers<br />

and is dedicated all the way to the customer’s business<br />

– from specifying the best-suited vehicle to providing the<br />

best servicing and support in day-to-day transport work.<br />

<strong>Scania</strong>’s service workshops are one of its most<br />

important points of contact with customers. They are<br />

strategically located near transport arteries and logistics<br />

centres in order to ensure high uptime. Through continuous<br />

advice and regular, professional servicing at <strong>Scania</strong>,<br />

customers can minimise downtime. Maintenance and<br />

repairs are available 24 hours a day. <strong>Scania</strong> also offers<br />

mobile workshops that satisfy servicing needs and field<br />

workshops that are integrated with customer operations,<br />

for example at mines.<br />

<strong>Scania</strong>’s range of services is organised in modules,<br />

where customers may choose a single service or a customised<br />

package of services. For customers with strict<br />

demands, <strong>Scania</strong> has designed the Ecolution by <strong>Scania</strong><br />

concept, in which the vehicle is specified in detail, for<br />

example to deliver the best fuel efficiency and environmental<br />

qualities. The service element of Ecolution by<br />

<strong>Scania</strong> includes maintenance and repair agreements,<br />

roadside assistance, driver training, driver support and<br />

Fleet Management, financing and follow-up.<br />

A focus on customer profitability<br />

For a European long-haulage company, about 70 percent of costs are related to driver salaries and fuel.<br />

The company’s profitability thus depends largely on the driver’s proficiency, which in turn may be connected<br />

to his salary. A knowledge of the customer’s business enables <strong>Scania</strong> to deliver the right product,<br />

backed up by services that provide reliability and<br />

kundens<br />

high<br />

kostnader<br />

uptime – a comprehensive solution that boosts<br />

the customer’s earning capacity.<br />

Higher revenue<br />

– The right vehicle for<br />

the right task<br />

– High uptime<br />

– Fast repairs<br />

– Attractive to the driver<br />

Administration 7 %<br />

Repair and<br />

Maintenance 9 %<br />

Vehicles 11 %<br />

Customer costs<br />

Tyres 3 %<br />

Drivers<br />

salaries 35 %<br />

Reduced costs<br />

– Low fuel consumption<br />

– Driver training<br />

– Effective financing<br />

– Long service life and<br />

high resale value<br />

Fuel 35 %<br />

Operations <strong>Scania</strong> <strong>2011</strong>

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