With between 10,000 and 15,000 felling sites every year, a complex logistics system is required to make Sveaskog’s main range of products – solid wood, timber and biofuel – accessible to a wider market. It is a system that results in timber being sorted correctly and distributed to the company’s 140 or so customers in a regular, even flow.
Doubling of rail transports
Sveaskog’s home market is currently Northern Europe, with Sweden being the principle market. It is from that perspective that we build and develop our logistics system.
At present, around 10% of Sveaskog’s haulage is carried by rail, the aim being to double this figure within four years. By taking this approach, we will also be contributing towards achieving our environmental goal of reducing CO2 emissions by 30% between 2008 and 2015. Developing rail haulage will also give us a wider geographical base, enabling us to reach more and more potential customers.
Added value for customers
In addition to extending Sveaskog’s market reach, an efficient logistics system also delivers added value to customers.Providing efficient deliveries is one way of helping customers develop their products.
So far, 90% of transports are taken by road, although things are also happening in that area as well. The ETT and DME projects are two examples of developments that will, in a few years’ time, probably deliver a more efficient system of haulage and lower environmental emissions.
Streamlining reduces costs
Constantly working to develop our logistics allows us to keep our costs down. Employing a more efficient transport system means that we can transport more timber per kilometre, using fewer transports and producing lower carbon dioxide emissions.
We have identified six improvement areas within logistics in which we are continually working:
- Priority planning
Carefully planning of the order in which various forest areas should be felled and when timber should be forwarded to the road, in order to adapt production to demand.
- Timber exchange
Develop timber exchange with other parties to reduce transports to different customers.
- Route optimisation and returns
Plan transports so that trucks carry as much timber as possible per kilometre.
- Improved stock management
Compile exact information on stock quantities and locations and assess the significance of different stock locations with regard to logistics.
- Purchase of transport services
Sveaskog buys all its transportation from hauliers, shipping companies and other transport companies. Purchasing shall be structured at the same time as an analysis of the degree of service Sveaskog requires is carried out.
- Transport system
Sveaskog transports via road, rail and sea. Early discussion about combining the various modes of transport helps reduce costs.