Scania Annual and Sustainability Report 2017
Total Page:16
File Type:pdf, Size:1020Kb
THE SCANIA REPORT 2017 Annual and Sustainability Report Scania’s aim is to drive the shift towards a sustainable Global driving forces are reshaping the world and defining the future of transport. transport system, creating a world of mobility that is 08-09 better for business, society and the environment. We are clearly framing what ‘driving the shift towards a sustainable transport system’ means for our customers and for Scania. Scania takes a leading role in reshaping the ecosystem 10-11 of transport and logistics, supported by our strong culture and key competitive advantages. 12-15 By providing our customers with ‘here and now solutions’, we take them into the future of sustainable transport – in cities, industries or long-haulage logistics. Through working in innovative partnerships, 16-23 we accelerate change. 24-27 The engagement of our highly skilled employees fuels this change journey. 28-29 Scania delivers solutions that contribute to the United Nation’s Sustainable Development Goals. 30-31 2017 HIGHLIGHTS Scania looks back on another year of strong performance and on major milestones. From the continued launch of the new truck generation to entering new partnerships — our commitment to contributing to a sustainable future in the ecosystem of transport and logistics remains in focus. Scania adds a 13-litre Trials of battery Euro 6 gas engine electric buses are designed for long initiated and the distance transport to development its extensive range of is ongoing. At sustainable transport Busworld in Kortrijk, solutions, offering CO2 Belgium, Scania reductions of between presented its 15 and 90 percent. battery electric Citywide Low Floor bus that will go on sale in 2018. The bus range for alternative fuels is strengthened with the addition of Scania Interlink Low Decker and Scania Citywide Low Entry Suburban, used for suburban and intercity operations. They are both now available for the full range of alternative fuels as well as in hybrid mode. The new generation XT truck range, tailor-made for the construction industry, is launched. Its operational uptime is five percent higher than before, with 5,000 more service-life hours, thus reducing operating costs over the product’s lifecycle and increasing residual value for the owner. Scania joins the Global Industry Partnership on Soot-Free Clean Bus Fleets with a commitment to, by 2018, provide modern soot-free buses to 20 major cities in Africa, Asia, Latin America and Australia. In order to triple production capacity and achieve a 50 percent The largest industrial solar roof in the reduction in energy consumption compared to the technology Netherlands is installed at Scania’s and methods used in the current foundry, Scania invests production unit in Zwolle, constituting in a new energy-efficient foundry in Södertälje, Sweden. the latest significant step in the transition to using exclusively renewable energy in production. Fleet Care with Uptime Guarantee is Representatives from over 80 of Scania’s main launched. Scania ensures that timely suppliers meet to train and discuss sustainability maintenance and repairs are carried challenges in the supply chain, when Scania out on weekday evenings, nights and arranges its Sustainability Supplier Day. weekends, to enable truck and bus operators to fully focus on providing their services. Scania welcomes Sweden-Germany partnership on mobility and electrical roads. A key focus of the cooperation will be the development of electrified road technology, work that has already been started by Scania in cooperation with its German counterpart Siemens. The prestigious Green Scania One is Truck Award 2017 is introduced – a digital awarded to Scania’s new marketplace that generation R 450 Highline enables fleet owners truck, based on its superior and drivers to access fuel performance. connected services to help them optimise their transport operations. Following the introduction of trucks for long-haulage Scania takes the lead in a full-scale and construction, Scania focuses on future-oriented autonomous truck platoon that will traffic low-carbon transport solutions for urban use. With the public roads while transporting containers introduction of the lighter trucks powered by the new between port terminals. The full potential 7-litre engine, Scania offers urban transporters a new of platooning is realised when trucks from level of transport efficiency with fuel savings of up different manufacturers communicate, to 10 percent. why Scania also joins forces with others to take strides towards a broad implementation of platooning technology. Scania sets new Scania is introducing target to reduce CO2 a new generation emissions from all of Euro 6 V8 engines operations globally that represents by 50 percent until a new standard in 2025, with 2015 fuel consumption. as a baseline. The engines can reduce fuel consumption by 7 to 10 percent for customers with vehicles that have higher combined truck and trailer weights, higher average speeds, or both. 2017 IN Contents Scania in brief 2-3 Scania at a glance 2017 2 Our business 4-7 Creating value for our customers 4 NUMBERS CEO statement 6 Our global context 8-9 A fast-changing world 8 Net sales Operating income Driving the shift 10-15 Towards a sustainable transport system 10 Paving the way for leadership 12 119,713 Operating12,434 Income The Scania Way 13 Tailor-made for applications 14 SEK m. Operating income Operating margin SEK m. % Our approach to sustainable transport 16-23 140,000 14,000 14 Securing our customers’ future 16 120,000 Sustainable transport pioneers 18 12,000 12 Lean solutions for industry value chains 20 Eliminating waste in logistics 22 100,000 10,000 10 80,000 Making it happen 24-35 8,000 8 Innovation and partnership 24 A top employer with top employees 28 60,000 6,000 6 Delivering on the SDGs through 40,000 4,000 4 sustainable transport 30 Sustainable every step of the way 32 20,000 2,000 2 Corporate governance 36-39 0 0 0 Report of the Directors 40-55, 119 2013 2014 2015 2016 2017 2013 2014 2015 2016* 2017 How Scania performed in 2017 40 Sustainability report statement 44 Total vehicle deliveries and service Scania’s operational performance was Risk and risk management 45 sales reached all-time high levels and strong during the year despite going through Board of Directors 50 Scania’s net sales rose to a record the biggest industrial changeover in the Executive Board 52 level in 2017. company’s history. The operating margin Group financial review 53 increased to 10.4 percent in 2017. Financial reports 56-128 * Operating income 2016 excluding items Consolidated income statements 58 affecting comparability. Consolidated balance sheets 60 Consolidated statement changes in equity 62 Number of employees Connected Scania vehicles Consolidated cash flow statements 63 Notes to the consolidated financial statements 64 49,263 302,755 Parent Company financial statements, Scania AB 116 No. Units (accumulated) Notes to the Parent Company financial 60,000 350,000 statements 117 Proposed distribution of earnings 119 Auditor’s report 120 50,000 300,000 Key financial ratios and figures 124 250,000 Definitions 126 40,000 Multi-year statistical review 127 200,000 30,000 Sustainability KPIs 129 150,000 Sustainability report index 132 20,000 100,000 Financial information 133 10,000 50,000 About this report 133 0 0 2013 2014 2015 2016 2017 2013 2014 2015 2016 2017 At the end of 2017 the number of The number of connected vehicles employees had increased by 3,020 is steadily increasing, enabling Scania people compared to the end of 2016. to further optimise customer solutions. Scania Annual and Sustainability Report 2017 1 Scania in brief SCANIA AT A GLANCE 2017 Scania is a world-leading provider of transport solutions, including trucks and buses for heavy transport applications combined with an extensive product-related service offering. Scania offers vehicle financing, insurance and rental services to enable our customers to focus on their core business. Scania is also a leading provider of industrial and marine engines. Luleå Södertälje Lahti Oskarshamn St. Petersburg Meppel Słupsk Zwolle Angers Bengaluru Bangkok Taipei São Paulo Johannesburg Kuala Tucumán Lumpur Regional Product Centres Production units Research and development Sales and services With around 49,300 employees in about 100 countries, our sales and service network is strategically placed where our customers Global net sales need us, no matter where they operate. Research and development Trucks 62% activities are mainly concentrated in Sweden, with branches in Buses and coaches 9% Brazil and India. Production takes place in Europe, Latin America Engines 1% and Asia with facilities for global interchange of both components Service-related products 19% and complete vehicles. In addition there are regional production Used vehicles 6% centres in Africa, Asia and Eurasia. Other 3% Scania is part of Volkswagen Truck & Bus. Under this umbrella the brands Scania, MAN and Volkswagen Caminhões e Ônibus work closely together with the aim to turn Volkswagen Truck & Bus and its brands into a Global Champion. 2 Scania Annual and Sustainability Report 2017 Scania in brief in Scania Our solutions Sales and deliveries 2017 Trucks Latin America 12% Europe 59% Scania supports transport companies across Africa and Oceania 5% the world by delivering heavy trucks for each Eurasia 8% customer’s need. We offer tailor-made solutions Asia 16% for 36 different applications including long- haulage, urban applications and construction. 82,472 Units Buses and coaches Latin America 28% Scania offers a complete range of city buses Europe 24% and coaches for public transport operators and Africa and Oceania 10% coach companies. As urbanisation increases, Eurasia 4% Asia 34% public transport is growing in importance. 8,305 Units Engines Latin America 16% Scania engines can be found at the heart of Europe 46% machines required to be in use 24 hours a day, Africa and Oceania 3% including wheel loaders, patrol boats and Eurasia 3% Asia 32% power gensets.