By Henrik Fagrenius, Managing Director, Scania Commercial Vehicles India Pvt. Ltd.
Scania has been developing its modular product range since the 1930s. Modularisation means that every customer is offered a tailor-made vehicle at the right time. Since each product is made entirely on the basis of the customer’s business and the real-world situation, it ensures the best possible performance and quality. This, in turn, enables the owner of the vehicle to enjoy good profitability, low maintenance costs and high resale value. Meanwhile, the modular product system lowers Scania’s costs, since by using a limited number of components the company can give each customer an optimised product.
This business model accounts for Scania’s profitable working every year for more than seven decades and often describes its relationship with customers as a “win-win” situation. When Scania discusses modularisation, it is not primarily as a model for lowering production costs. Instead, the company views modularization as an essential means of being able to meet both customer and legislative requirements as quickly as possible.
The Scania business model must not be confused with standardization. The objective is to tailor solutions for each customer. Modularisation begins and ends with the customer. Every vehicle delivered is produced with an eye on the customer’s driving pattern, industry, legal environment, total topography and climate.
Scania works closely with customers to enable them to completely fulfil their transport tasks, from both economic and environmental perspectives. With a good knowledge of customers and their operations, the company designs customized vehicle and service solutions and thereby contribute to their profitability.
The company is traditionally associated with its main products – trucks, buses and engines. Defining exactly the right product for the customer’s tasks is a fundamental element of its operations. However, it unfailingly focuses on designing a comprehensive solution together with the customer.
Right, profitable products
The modular system is an effective method for optimizing customer vehicle utilisation. Meanwhile the concept contributes to short lead times, high quality and less downtime, more efficient servicing and a smaller number of parts in stock and parts availability. The system also maximises the number of vehicle variants while minimizing the number of components required. This lowers research, development, production and servicing costs. The product quality is high and the production series longer. Thus it is cost-effective both for customers and for the company.
A deep knowledge of customers’ operations is also fundamental to Scania’s service-related products. The company endeavors to build long-term relationships with its customers and is dedicated all along to their business right from specifying the most suited vehicle to providing the best servicing support.
Scania’s service workshops are the major points of contact with customers. They are strategically located near transport arteries and logistics centres in order to ensure high uptime. Through continuous advice and regular, professional servicing, customers can minimise downtime. Maintenance and repairs are available all the 24 hours.
Scania also offers mobile workshops that satisfy servicing needs and field workshops that are integrated with customer operations, for example, at mines.
The range of company services is organised in modules, whereby customers may choose a single service or a customized package of services.
It has also designed the Ecolution by Scania concept to ensure that the vehicle is specified in order to deliver the best fuel efficiency and environmental qualities. The service element of Ecolution by Scania includes maintenance and repair agreements, roadside assistance, driver training, driver support and fleet management, financing and follow-up.
Standardisation of interfaces
Modularisation is based on standardisation of the interfaces connection points between component series to ensure that they fit together in different combinations. These interfaces are designed in such a way that they do not change over time.
This makes it possible to install new components with improved product performance without any need to change the associate components.
Customer needs may be the same as regards specific components despite different applications, in which case Scania uses the principle “same need, identical solution”. A large percentage of the components in a bus are shared with a truck.
The shortest truck cab variant may be used to maximise cargo capacity both in light distribution service and in a heavy tipper truck operating in a mine.
A powerful, high-torque engine may satisfy the need for maximum traction power in a demanding operation or for maintaining a uniform speed during long highway journeys.
Components based on specific needs
Together with the customer, the Scania salesperson specifies components with an eye on performance. Examples of performance steps are different cab sizes, engine output steps, frame strengths and the number of axles.
The factors that influence customer profitability vary, depending on the nature of operations. A truck transporting timber in the Nordic region drives up to 200,000 km per year under difficult conditions, especially in winter.
The engine also powers a crane while the vehicle helps during loading and unloading. This puts a heavy strain on the engine.
Different capabilities are required in a vehicle operating in a hot climate at Brazilian sugar cane plantations, with a gross combination weight of 120 tonnes.
The truck and bus variants built are continuously evaluated, enabling Scania to have the smallest possible number of parts and the largest possible selection of variants in its product portfolio.
The wide range of choices available to customers is achieved through the design of the interfaces between different components.
Each interface is precisely defined to allow the greatest possible flexibility when components are combined into the correct performance steps in the vehicle.
Scania’s cabs are strongly modularised, with a common frame and common outer panels. Cabs are fitted at different heights to suit varied applications. With three roof heights for the P- and G-series and four for the R-series, customers have ample opportunities to optimize space and comfort in the cab.
In between the front and rear wall, which are the same in all cab series, is the same door structure (different heights) and modularized side panels (different heights and lengths).
The windscreen is the same on all cabs. A few door and sidewall variants cover the entire cab range.
Driven, steered and live beam axles are part of Scania’s modularised range, which is used in various combinations in 2- and 3-axle trucks and buses, as well as in 4- and 5-axle trucks, tandem bogies, etc.
Some driven axles are available with hub reduction and can also be utilized as driven front axles.
With two main gearboxes in combination with range and splitter units, Scania covers the need for haulage ranging from 16 tonnes to 200 tonnes gross train weight.
Gearboxes are available with manual or automated gear changing (Scania Opticruise) and can be ordered with an integrated Scania Retarder.
Scania’s engine range is based on three series featuring five, six or eight cylinders, with the cylinder and related components sharing a common design.
This means that engine development work can focus on optimizing the combustion in one cylinder, which is used in all engines.
The basic design of the engines is very similar and they share many parts and components, radically reducing the number of unique parts that are included.
Modularisation is a viable product strategy for new markets. By continuing to refine its modular product system, Scania can break into new markets and segments in a cost-effective way, thereby laying the groundwork for profitable growth.