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Scania annual report 2003

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CUSTOMERS AND SERVICE<br />

Maximum uptime requires optimal service<br />

To many of today’s transport companies,<br />

high vehicle availability is<br />

a prerequisite for profitability. The<br />

quality of the service network is<br />

as important as the quality of their<br />

vehicles.<br />

Demands for faster, more reliable and<br />

cheaper deliveries are forcing transport<br />

companies to improve the efficiency of their<br />

operations. By updating, customising and<br />

constantly expanding its range of servicerelated<br />

products, <strong>Scania</strong> is offering these<br />

customers increasingly cost-effective<br />

solutions.<br />

Many customers prefer repair and maintenance<br />

contracts, where they pay a fixed<br />

per-kilometre price so they can focus on<br />

their core business – transport and logistics.<br />

Other customers want a fixed per-repair<br />

price for both parts and labour.<br />

With 1,500 authorised <strong>Scania</strong> workshops<br />

around the world, more than 1,000<br />

of them in Europe, the service market is a<br />

key competitive factor for <strong>Scania</strong>. Its importance<br />

to <strong>Scania</strong>’s profitability is continuously<br />

increasing. The EU’s modified block exemption<br />

system for the motor vehicle sector has<br />

intensified the competition in this market.<br />

Customers now have an even broader<br />

range of choices when they want service or<br />

repairs performed.<br />

<strong>Scania</strong> is responding to this competition<br />

with expanded availability, where speed,<br />

quality and expertise are key concepts.<br />

Quality<br />

The customer pays to ensure that his vehicle<br />

will always work. An unplanned stoppage<br />

always represents a cost, and in the<br />

worst case it means lost business. Through<br />

high quality and availability in its service network,<br />

<strong>Scania</strong> helps the customer to limit<br />

these costs.<br />

To make sure that all <strong>Scania</strong> customers<br />

will receive the same high level<br />

of service and quality wherever they are<br />

located, <strong>Scania</strong> has expanded its Dealer<br />

Operating Standards (DOS) internal certification<br />

programme. This sets standards for<br />

availability, sales and delivery, access to<br />

parts as well as maintenance and repairs,<br />

among other things. Environmental standards<br />

in the sales and service organisation<br />

have also been tightened. Compliance<br />

with the DOS standards is monitored<br />

regularly.<br />

Expertise<br />

There is a steadily growing need for training<br />

in the service sector. The advanced<br />

technology built into coming vehicles will<br />

demand a high level of employee skills.<br />

Right from the start, reference people<br />

from <strong>Scania</strong>’s service workshops participated<br />

in the task of developing the new R-<br />

series. The result has been a truck with<br />

faster and easier maintenance, enabling<br />

customers to use their vehicles even more<br />

efficiently.<br />

Instructors are trained regularly at the<br />

company’s own training centres, for example<br />

in Germany, Great Britain, Sweden,<br />

Brazil, Dubai and South Korea. These instructors,<br />

in turn, train service technicians<br />

at local centres.<br />

During <strong>2003</strong> <strong>Scania</strong> Network Training<br />

organised the fourth Top Team final, in<br />

which service technicians from 17 countries<br />

participated. This recurring competition<br />

is a much-appreciated way of raising<br />

the level of expertise in the service organisation.<br />

<strong>Scania</strong> Assistance<br />

Today’s customers expect maximum<br />

vehicle availability, with a minimum of unplanned<br />

stoppages. <strong>Scania</strong> Assistance is<br />

there to help get the vehicle back to work<br />

again as quickly as possible in case of<br />

unplanned stoppages.<br />

Aside from Europe, <strong>Scania</strong> Assistance<br />

is found in South Korea, Israel, Morocco,<br />

Tanzania, South Africa, Brazil, Argentina<br />

and Mexico.<br />

The investment of recent years in the<br />

<strong>Scania</strong> Assistance organisation have<br />

helped lower the average time between a<br />

service call from the driver until the vehicle<br />

is back on the road. In four years, this time<br />

has fallen from 10 hours and 28 minutes<br />

to 4 hours and 26 minutes.<br />

Personal contact with the customer<br />

Customer financing is all about building close<br />

relationships. Zuzana Tomackova, head of<br />

<strong>Scania</strong>’s customer financing in the Czech<br />

Republic and Slovakia, and Katerina Svancerova,<br />

Credit Manager, conclude multi-year contracts<br />

with <strong>Scania</strong>’s customers, so creating long-term<br />

trust is important.<br />

In the Czech Republic, and perhaps even<br />

more so in Slovakia, business is often based on<br />

personal contacts. It is vital that customers feel<br />

just as important as they are, Ms Tomackova<br />

says.<br />

She was among those who started up the<br />

company in 1998, when the Czech market was<br />

large enough for its own finance company.<br />

The first few years were devoted to building<br />

up a customer portfolio. During 2002 a branch<br />

office opened in neighbouring Slovakia. Today<br />

Ms Tomackova has a team of 13 people who<br />

handle customer financing operations in the<br />

two countries.<br />

As head of customer financing, Zuzana<br />

Tomackova is often on the road, meeting her<br />

customers.<br />

“I enjoy talking with them and learning<br />

about their everyday lives. This is part of building<br />

relationships – exactly what customer financing<br />

is about.”<br />

Today Ms Tomackova and her team finance<br />

about half of all <strong>Scania</strong> trucks sold in the Czech<br />

Republic. The market has grown sharply, and<br />

competition for customers is very tough.<br />

“Our major advantage is that we are flexible<br />

and fast. This is often the reason why customers<br />

choose us for their financing. We work out of<br />

the same building as <strong>Scania</strong>’s Czech sales company,<br />

and that proximity is important. Here<br />

customers can get everything in one place.”<br />

ANNUAL REPORT <strong>2003</strong> 22

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