Scania - Annual Report 2006

Scania annual report 2006 15 “ Scania has about 1,000 service workshops in Europe and a total of 1,500 around the world. and practical topics ranging from daily vehicle maintenance to economical, safe driving. Financing Financing and insurance solutions are rapidly growing elements of Scania’s operations. At the end of 2006, the customer financing portfolio amounted to SEK 31,800 m. Scania offers customised financing solutions, enabling the customer to choose between loan financing and various forms of leases. The overall transaction may also include insurance. In about 40 markets, wholly owned finance companies are responsible for customer financing. In markets where Scania does not have its own finance company, financing is provided through export financing solutions or through collaboration with banks. During 2006 Scania established new finance companies in Hungary, Switzerland and Chile. Cross-border marketing organisation Since the early 1990s, Scania has made sizeable investments in its own sales and service organisation. This has included both setting up new companies and acquiring national distributors, local dealerships and workshops. Today more than 40 percent of all Scania employees work at sales and service companies, compared to 10 percent in the early 1990s. And the trend is continuing. Starting in 2006, Scania’s sales and service organisation has been divided into two parts. Franchise and Factory Sales is responsible for Scania’s product portfolio: trucks, buses, industrial and marine engines, parts and services. Sales and Services Management is responsible for Scania’s wholly owned sales and service network. To take better advantage of economies of scale while responding to greater customer demands, Scania is establishing regional business units in its sales and through the Dealer Operating Standards (DOS). DOS is based on a number of pledges to customers that must be met in order for a dealer to be certified by Scania. To ensure that each business then sticks to its pledges, periodic audits provide follow-up. In Europe, all Scania workshops are now DOS- certified. DOS is continuously spreading, and the aim is to certify all Scania workshops around the world. Standardised goals, tools and training programmes as well as common working methods are also being introduced globally. Supporting the customer’s business Scania’s services and IT -based systems improve customer profitability and competitiveness by contributing to the efficient utilisation of vehicles in daily business operations. One example is Scania Fleet Management - an administrative tool for transport management and vehicle monitoring. Driver training To customers, one increasingly important element of Scania’s service portfolio is driver training. Drivers are key individuals at transport companies. Well-trained drivers mean improved fuel economy, lower repair and maintenance costs, better road safety and reduced environmental impact. Scania provides active driver training in over 30 countries. During 2006, more than 7,000 truck and bus drivers received such training. Courses include both theoretical ”