Services through the truck’s lifecycle : A case study of the utilization of Scania’s long-haulage trucks

Abstract: Scania is one of the leading manufacturing companies of long-haulage trucks, buses as well as industrial and marine engines. Offering services is becoming increasingly important for Scania, as well as for any other truck OEM company, to stay competitive. Today Scania offers several services connected to the company’s products. The current service portfolio targeting the long-haulage truck is mainly focused on meeting the needs of the first owner of the vehicle. However, the truck goes through different phases during its lifecycle, operating under varying conditions in different businesses. With this in mind, the study aimed at answering the following research questions: RQ1 - What are the characteristics of the phases that a long-haulage truck faces during its lifecycle? RQ2 - How do these phases relate to the nature of the customers’ businesses with their associated challenges, demands and needs? RQ3 - Based on the results of RQ1 and RQ2, what service areas could a long-haulage truck OEM offer their customers? In order to answer RQ1 and RQ2, an internal mapping including interviews with experienced Scania employees, was conducted. This was followed by an external mapping, in which hypotheses generated from the internal mapping were tested through interviews with owners of used long-haulage trucks as well as distributors. Based on the internal and external mapping, development of service areas targeting the later owners of the long-haulage truck’s lifecycle was carried out, including brainstorming sessions and workshops. The result of the study showed that the long-haulage truck’s life is characterized by differences in utilization and not by distinctive owners groups, the phases in the truck’s lifecycle are consequently use phases. When describing the characteristics of the use phases, two parameters primarily define the life of the truck. Firstly, with the truck’s increasing age, the utilization of the truck goes from focusing on logistics to moving things from A to B. Secondly, with increased age, the emphasis on advanced technology shifts to basic technology in regards of the truck’s physical condition as well as the owner’s need and desire for technology. Advanced technology is related to a utilization focus on logistics while basic technology goes hand in hand with moving things from A to B. In addition, the further away in the lifecycle, the focus on delivery precision, need of the business having high use frequency of the used truck, the demand for technically advanced functions, need for vehicle reliability and tendency to turn to OEM for R&M decreases. Furthermore, the further away in the lifecycle and from the starting point Europe, the driver’s level of loyalty towards the business, incentive to use technical devices in driver environment and focus on the driver’s working situation is reduced. Based on above description of the long-haulage truck’s life, a truck OEM company such as Scania can offer services related to R&M, the transition that occurs when the truck is sold or bought, safety and security aspects and driver convenience. The order the services areas are given in is the order the areas are considered to have the most offering potential. Recommendations for future work involve development of the services, which currently are suggestions. To ensure further successful development, additional studies, including quantitative on-site examinations of for example users outside Europe, needs to be carried out.