SC15 Case Scania ENG

DEADLINE January 17 2016

EARLY BIRD December 20 2015

CASE QUESTION IN SUSTAINERGIES CUP

Sustainergies creates innovative sustainability solutions and meaningful careers. We the leading platform for

companies, students and universities who want to collaborate on sustainability, in Sweden.

SMART TRANSPORTS IN A SUSTAINABLE CITY

Cities provides us with high accessibility to most of the services we need within

a limited area, but are also dependent on flows of people, goods and waste.

Scania wants to contribute to better transports and more sustainable cities.

Your task is to identify challenges and suggest which partners Scania could

collaborate with to build creative solutions.

Life in the city is conditioned by mobility and logistics which depend on successful

collaboration between several actors when stocking our stores and managing our waste.

Nonetheless increased transports poses many sustainability challenges to the city, including

emissions, noise and accidents.

Scania is a world-leading producer of trucks, buses and engines, aiming at becoming the

leader in sustainable transport. Their wide range of services and deep knowledge of

continuous improvement from production enable Scania to offer coordinated transport

solutions to improve flows and make cities more sustainable. Your task is to identify

inefficiencies in your city and suggest collaborations with the potential to create solutions.

Base your suggestions on the local conditions in your city, or another city familiar to you.

Describe a problem solvable by improved flows, specify which actors can be involved and

create a rough draft on how they could collaborate with Scania on a sustainable solution!

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Solve the case question on the front page, gather inspiration from the

background material and links. Above all, use your own ideas to create a

winning solution!

History and business of Scania Everything started in 1891 when a factory for producing railroad cars was founded in Södertälje

under the name Vagnfabriksaktiebolaget i Södertälje (Vabis). Soon, the company began to produce

both cars and trucks. In 1900, Maskinfabriksaktiebolaget Scania (Latin name of Skåne, the

southernmost Swedish region) was established in Malmö to manufacture bicycles. Scania also began

to produce cars and trucks. Eleven years later, Scania and Vabis merged to meet the increasing

competition in Europe. The first bus was produced and the production of cars, trucks and buses

continued both in Malmö and Södertälje.

Modern Scania is a global firm with operations in Europe, Latin America, Asia, Africa and Australia.

With 43,000 employees in 100 countries, Scania is strategically positioned where its clients need

them, wherever they operate. The head office with 5,000 employees is located in Södertälje and the

company had turnover of 92 billion SEK (approx. 9 billion euros) in 2014.

Scania aim to be the leader in sustainable transports and has solutions for both logistics (the

movement of goods) and transportation (the movement of people). In addition to building tailor-

made heavy trucks, buses, and engines, Scania provides services for efficient solutions and low

carbon dioxide emissions. The recipe for sustainable transport involves renewable fuels, hybrid

technique, education of drivers, and improved efficiency of the transport system, but also includes a

life cycle perspective on trucks, buses and engines to minimize environmental impact.

Striving for a sustainable future, Scania are guided by core values and a strong focus on continuous

improvements. The strengths of the company include motivated employees, flexible production,

modular systems, focus on quality, a comprehensive service network, as well as cutting edge

research and development. With its capabilities and partnerships, Scania are able to meet the

demands as our world become increasingly dependent on safe, efficient and sustainable transport

systems.

Core values of Scania: customer first, respect for the individual, quality.

More on the products and services by Scania

Scania has built a modular production system with a limited amount of main components to

allow for a large amount of adaptations while keeping the costs for product development,











production and spare part management low through economies of scale. All vehicles are

tailor-made for the specific needs of each customer to reduce their operating costs and

emissions.

Scania has an increasingly important role in the logistics chains that builds on much more

than the performance of the product – it includes services, solutions, an understanding of

the consumer and development of new business models. Both the customers of Scania and

their customers, the buyers of transport services, are becoming more interested in reducing

the costs for logistics. It is therefore important to tailor-make solutions based on a vast

understanding of the needs of the client together with other aspects of sustainability.

Ecolution by Scania is an example of the solutions offered. It lowers fuel consumption by 11

percent on average and begins by Scania preforming a thorough analysis of the customer’s

operations, including transport assignments, cargo, driving conditions, as well as the

potential for improvement of the drivers. Then optimization of the vehicles, choice of fuel,

training of drivers, tailor-made service deals and continuous evaluation create a solution.

Another of the solutions offered by Scania is the Fleet Management tool that helps the

customers to monitor their vehicles and learn where it is possible to reduce e.g. idle driving

or sharp breaks.











The research and development is located in Södertälje and is an important knowledge hub

with around 3,500 employees. Scania runs several collaborations with other actors and have

among other things invested 50 million SEK (5 million euros) in the multidisciplinary research

facility Integrated Transport Research Lab (ITRL) at the Royal Institute of Technology in

Stockholm. At ITRL research is performed on autonomous buses, electric roads, off peak

deliveries and improved regulating methods to reduce traffic congestions.

Examples of Scania in cities

“For Scania, ensuring profitability for our customers depends on close dialogue and

partnership to find solutions throughout the logistics value chain.”

Scania Annual Report

Scania runs many projects in cities worldwide. Collaboration and close dialogue is crucial to

create sustainable solutions, since every city is a system where the transportation of people

and logistics for goods and waste are closely interconnected. In the project “Vision

Stockholmsbågen”, Scania collaborate with the project development and construction

Skanska and engineering consultancy WSP to develop the city’s infrastructure through

sustainable solutions. They are investigating potential extensions of “Förbifart Stockholm”

(Bypass Stockholm), a series of underground expressway tunnels, to create a green solution

for public transportation and actively contribute to the local development of Stockholm.

The project “Off peak” is exploring if more deliveries of goods can be done by night, a

collaboration between the City of Stockholm, Scania, Volvo, Lidl, Svebol Logistics,

Martin&Servera and the Royal Institute of Technology. As the population of Stockholm is

growing the need for deliveries of goods increases while the space for streets remain

constant, causing congestion. Currently, deliveries by heavy-trucks are banned between

22:00 and 06:00 in the majority of the city, but in the project “Off peak” two custom made

trucks have been allowed on a test basis to deliver groceries by night. Expected results

include more rapid deliveries, improved work environment for the driver, and increased

utilization of vehicles. So far, there have been fewer complaints on noise than anticipated

and the concept is expected to be scalable globally.

Scania is also financing a biogas plant in the Indian city Nagpur, in collaboration with

Swedfund, while providing expertise on how to make environmentally friendly fuel by

extracting biogas from the sewage system. In this city project, a waste issue is solved while

extracting an environmentally friendly fuel for the busses used for public transportation.











In the capitol of Ghana, Accra, Scania are currently involved in the implementation of a Bus

Rapid Transit system (BRT-system) with the purpose to alleviate the heavy congestion. A

BRT-system can reach speeds similar to those of subway and commuter trains, but is

cheaper and easier to implement. It includes components such as specific bus lanes, pre-

boarding ticket controls, priority of buses at traffic lights, and station platforms of equal

height to the floors of the buses. Scania has vast experience from BRT-systems and currently

have 3,500 buses on five continents in similar systems.

Transport-related challenges in cities The mechanism of cities is gathering a lot of people and resources in a small area. This

enables the main benefit of cities, good accessibility to services such as electricity, water,

health care, education, finance, media, entertainment, transport, recycling, research, and

more. Simultaneously, cities are challenged to provide all these services in a sustainable and

including manner.

More than half the global population lives in cities and by 2050 the share is expected to

reach two thirds. Already, cities and their populations are responsible for 70% of the global

emissions of carbon dioxide and many cities are larger economies than countries, e.g. New

York is a larger economy than South Korea! Clearly, cities are becoming increasingly

important actors in the transition to a sustainable society. Cities have great opportunities to

find innovative and intelligent solutions!











Did you know?!

The average speed in central London is slower today

than during the era of horses and carriages.

To concentrate a lot of people and resources in a small area is not only positive. Congestion

is one of the largest problems in cities and disrupts the flows of goods, waste and people.

Streets crammed by traffic are not only frustrating for the travellers. Goods are at the risk of

not arriving on time, logistics become more expensive while both noise and emissions

increase. An ineffective transportation system is not only costly financially and

environmentally, it has negative social impact too. Time consuming commutes to work and

other activities can lower life quality and if different parts of the city are poorly connected, it

can cause increased segregation.

Climate change is one of most severe global issues for the transport sector. Locally, poor air

quality is an obvious problem in many large cities. Vehicles driven by fossil fuels do not only

release greenhouse gases, but also nitrogen, sulphur and other particles causing health

issues. An example of waste is how many trucks are driven only partially loaded, or even

empty. There are many causes, such as certain cargos being difficult to load efficiently and

challenges of finding a suitable load to transport on the route back. If this waste can be

reduced, it would remove a lot of trucks from the streets with reduced congestion, less

impact on the climate and improved air quality as benefits.

Additional links and inspiration

About Scania: http://www.scania.com/scania-group/

Ecolution: https://www.scania.com/products-services/Ecolution-by-Scania/

BRT-project Accra: http://www.scania.com/media/pressreleases/N14020EN.aspx

Nagpur project: http://www.scania.com/media/pressreleases/N15008EN.aspx

More on flows in cities:

Collection of articles: http://www.sustainablecitiescollective.com/all/10?ref=navbar

WWF: http://www.wwf.se/source.php/1523656/Sustainablecities_ENG.pdf

Solve the case question on the front page, gather inspiration from the

background material and links. Above all, use your own ideas to create a

winning






http://www.scania.com/scania-group/

https://www.scania.com/products-services/Ecolution-by-Scania/

http://www.scania.com/media/pressreleases/N14020EN.aspx

http://www.scania.com/media/pressreleases/N15008EN.aspx

http://www.sustainablecitiescollective.com/all/10?ref=navbar

http://www.wwf.se/source.php/1523656/Sustainablecities_ENG.pdf






Criterion of the Jury

The jury will apply the following criterion to evaluate all

solutions, agree upon five finalists and decide on a winner.

Analysis: How strong is your description of a problem

solvable by improved flows of people, goods and waste in the city?

Pioneering: How innovative are your suggestions of which actors Scania could

collaborate with and your rough draft of a sustainable solution?

Sustainability: What is the potential of your suggestions to contribute to a more

sustainable city?

Rules

§ Early Bird-feedback to all solutions handed in no later than December 20 2015.

Sustainergies will provide you with feedback on your ideas and suggestions no later

than January 4 2016. Remember, you are allowed to make changes until the final

deadline.

§ Final deadline January 17 2016. All solutions must be handed in through:

http://sustainergies.se/logga-in. If you submit several solutions, your last uploaded

version will enter the competition.

§ Hand in your solution individually or as a team. If you compete as a team, any prize

money will be shared between all members of the team. Any solution can be

registered on one person only, please write the names of all your team-members in

the solution. Hint: to increase your chances of winning when working as a team,

submit several different solutions by registering them on different team-members, up

to one solution per person.

§ Solutions may consist of text, images, graphics, movies or other digital formats.

Irrespectively of how you design your solution may it not exceed a comparable length

of 3,000 words. Your solution can be in English or Swedish.

§ Appendices are allowed. Use appendices only if you believe they are relevant to

support your solution with additional information. Your solution must be fully

understandable without the appendices.






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Three cases, three chances to win

You can compete together with Scania, BillerudKorsnäs and Trafikverket, individually or in

teams. For each case, the top-five solutions will be named and the jury will select one winner

of the big prize-check of 25,000 SEK (2,500 euros). Go for it!

What is Early Bird?

Submit a draft of your solution no later than December 20 2015 to receive our personal

feedback January 4 2016. Perhaps it will help you win!

Hotline for Sustainergies Cup

Sustainergies will answer all questions about the competition. You do not need to contact

Scania, BillerudKorsnäs or Trafikverket. We will do our utmost to support you and there are

no stupid questions!

E-mail: [email protected]

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SC15 Case Scania ENG