IAA Hannover by jennyyingdi

VIEWS: 17 PAGES: 16

									     Volvo Bus Corporation




Volvo Bus Corporation
TL - Marketing Communication - 89030
     Volvo Bus Corporation



                                        Volvo 9300 - Mexico




                                       Volvo Bus Corporation          2005
                                       Sales 10675 buses 16500 MSEK
                                       Employees 7700
                                       Operating profit 470 MSEK
Volvo Bus Corporation
TL - Marketing Communication - 89030
     Volvo Bus Corporation




                                           The Volvo Group Vision
                                       To be valued as the world’s leading provider
                                            of commercial transport solutions


                                          The Volvo Group Mission
                                         By creating value for our customers we
                                           create value for our shareholders.
                                             We use our expertise to create
                                        transport-related hard and soft products
                                             of superior quality, safety and
                                                   environmental care
                                               for demanding customers
                                                 in selected segments.
                                              We work with energy, passion
                                              and respect for the individual.


Volvo Bus Corporation
TL - Marketing Communication - 89030
        Volvo Bus Corporation



   Towards Sound Profitability
through Customer Satisfaction and
     Operational Excellence
                                          CUSTOMER SATISFACTION
                                            AND PRODUCTIVITY




                                          OPERATOR´S COST




   Volvo Bus Corporation
   TL - Marketing Communication - 89030
     Volvo Bus Corporation


                         Soft Products – Volvo Bus Services
                             Products                         Services

    Trucks & Tractors                        Customer Financing
    Buses, Coaches & Chassis                 Vehicle & Equipment Insurance
    Construction Equipment                   Rental
    Industrial & Marine Engines              Extended Warranty
    Aircraft Engines/Components              Maintenance & Repair
    Used Vehicles & Equipment                Customer Assistance (VAS)
    Superstructure                           Remanufacturing
    Attachments                              Vehicle & Transportation
    Parts                                     Management (e.g. Dynafleet Online)
    Software                                 Credit cards
    Accessories                              Dealer Financing
                                              Training
                                              Consulting
                                              Aircraft Engine Overhaul
                                              Logistics & Parts Distribution
                                              IT Services
                                              Facility Management




Volvo Bus Corporation
TL - Marketing Communication - 89030
     Volvo Bus Corporation
                                       Customer satisfaction
                                                            Low               Reduce                 Passenger
    Passenger/Bus                                                             life cycle
                                         Uptime!            running                                  satisfaction
                                                            cost              cost
                                                                                                                        VLP
                                                                                                            Result      LCC
                                                                          Vehicle
                                                                          usage                               Operators
                                                    Vehicle
                                                                              Vehicle                         productivity
                                                   availability
                                                                            performance
                                                          Vehicle
                                                        productivity

                                                                                                                     Km/Bus
                                                        Operators cost
                   Coach cost structure                                              City cost structure

                                       21%
                                                     personal                                           32%
                    35%                                                             39%
                                                     capital
                                                     maintenance repair
                                                     tyres
                     1%                              fuel
                                       33%                                                1%          14%
                       10%
                                                                                               14%




Volvo Bus Corporation
TL - Marketing Communication - 89030
     Volvo Bus Corporation



                                       Customer demand …is?




    The UPTIME Bus…
     …..With low LCC
                                            …what is it like?


Volvo Bus Corporation
TL - Marketing Communication - 89030
     Volvo Bus Corporation



                                       Customer demand …is?




The UPTIME Bus…
 …..With low LCC                            …what is it like?
                                             Not of interest
                                         What transport solutions
                                       do our customers need?
Volvo Bus Corporation
TL - Marketing Communication - 89030
               Volvo Bus Corporation

                                                       The VBC complete offer is sold as a value adding business solution that
                                                       helps the operator cut costs and increase revenues. We deliver low
                                                       lifecycle cost and high vehicle lifetime productivity

                                                                               Vehicle lifetime productivity
                                                                                             VLP

                                                                 LCC


                     Sales                         Driver          Running            Fixed         S & A cost           Profit
                    Revenue                        Cost             Cost              Cost

                    Vehicle                         Driver         Fuel and          Road and         Planning
                   availability                  cost/time/km         oil           other taxes      and Admin.
                    Vehicle                         Driver       Maintenance         Insurance        Building
                  productivity                    utilization                                          cost
Value
                   Vehicle                          Driver         Vehicle          Depreciation      Sales and
Drivers
                 performance                     productivity      repairs                            Marketing
                     Vehicle                        Driver           Body            Financing
                     usage                       related cost       repairs
                    Vehicle                                         Tires                              = Areas that the VBC
                attractiveness                                                                           complete offer improves
               for passengers
          Volvo Bus Corporation
          TL - Marketing Communication - 89030
                        Volvo Bus Corporation

                                                                                             Costs and revenue for one individual bus and route for city operation - Swebus
                          Kunderna kräver garanterad
                               Kostnad per km                                            1   Parametres                                12 m standard bus
                                                                                         2   Currency                                      SEK kSEK
                                                                                         3   Purchase price                                2100 kSEK
                                                                                         4   Depreciating time                               12 years         19,4 commer speed
                                                                                         5   Nominal interest rate                              %              233 comm km/day
                                                     Vilka egenskaper                    6   Residual value                                 1,0 %
                                                      Skall vår nästa                    7   Average route speed                           20,9 km/h            7,0   dead milage/day
                                                                                         8   Layover times                                  7,0 %              19,8   tot average speed
                                                     buss/ coache ha                     9   Comm bus hours per day                          12 hours           240   tot bus km/day
                                                        För att möta                    10   Dead milage of commercial milage                 3 %              12,1   tot bus hours/day
                                                                                        11   Dead milage speed                               60 km/h            285   bus op days/year
                                                      kunderans krav                    12   Average sch traffic days/year                  300 days          3453    bus op bushour/y
                                                        på låg LCC                      13   Average availability of a bus                   95 %            66475    comm km/year
                                                                                        14   Total operated buskm per year                                   68469    km
                              LCC-teoretisk uppbyggnad                                  15                                                                  kSEK         SEK       SEK
                                                                                        16   Costs                                                          /year       /bus h     /km
                                                                                        17   Nominal depreciating                                               173          50      2,53
Inköpskostnad                                         Operativ kostnad                  18   Interest                                                             0            0     0,00
-Pris         -Admin/Teknik                                                             19   Nominal capital costs                                    37%       173          50      2,53
                                                      -Arbetskostnad     -Fastigheter
                                                                                        20   Driver/Cond salary/month                         0 kSEK
-Installation -Utbildning                             -Förbrukningsmtrl -Avfallshant    21   Emp tax etc                                     50 %
-Ombyggnad -Transport                                 -Oplan stillestånd -Reservd.ha    22   Working hours/month                            140 hours
                                                                                        23   Driver utilisation                              90 %              126 hours in bus/month
                                                                                        24   Driver cost per bus                                       0%        0          0      0,00
Förebyggande underhåll                                Reparationer                      25   Fuel consumption/km                           0,45 litre        30811 litres per year
                                                                                        26   Fuel cost/litres/(kwh)                        9,00 SEK
-Arbete     -Material                                 -Arbete      -Material
                                                                                        27   Fuel cost                                                60%      277      80          4,05
-Planering  -Planerade rep.                           -Produktionsbortf                 28   service costs                                                     6,0                  0,09
                                                                                        29   typreperationer                                                   7,8                  0,11
                                                                                        30   tyres                                                             0,0
                                                                                        31   insurance                                                         0,0 kSEK             0,00
                               Avveckling                                               32   vehicle tax                                                       0,0 kSEK             0,00
                               -Ombyggnad                                               33   Misc. cost                                              3%         14       4          0,20
                               -Försäljning                                             34   Total costs per total bus km                          100%        464     134          6,78
                                                                                        35   Total cost per comm bus km                                                             6,99
Volvo Bus Corporation




                                                                                                       Hur kan vi möta detta krav?
              Volvo Bus Corporation
              TL - Marketing Communication - 89030
     Volvo Bus Corporation

             Soft product target group, Total population and lifecycle approach
                                                   Whole Life Cost per Bus - Single Deck
                                                       Possible change of ownership

                             £70 000


                             £60 000

                                                                                                             accidents + vandalism
                             £50 000
            Cost per Annum




                                                                                                             Heavy maint
                                                                                                             Cleaning
                             £40 000
                                                                                                             Routine maint
                                                                                                             Labour
                             £30 000                                                                         Tyres
                                                                                                             Finance
                             £20 000                                                                         Capital
                                                                                                             Fuel (FDR)
                             £10 000                                                                         Fuel (Net)


                                 £0
 New bus offers                        1   2   3   4   5   6   7     8     9   10   11   12   13   14   15
                                                                   Years

                Adjusted soft offers


                                                           • Refurbishment
                                                           • Upgrade
                                                           • Remanufacturing

Volvo Bus Corporation
TL - Marketing Communication - 89030
     Volvo Bus Corporation




                                       Volvo Bus Sales Academy
Volvo Bus Corporation
TL - Marketing Communication - 89030
           Volvo Bus Corporation
                                                                 LCC
                                                           Life Cycle Cost
                                                         Volvo Bus initiatives
                                                            Type of operation ?

 Acquisition                                             Operation - maintenance                       Repurchase
                                                                             Incentive programs
                                                              Exchange
                                             Mechanics training
Vehicle
                                                         LPA program VAS                Fleet management
specification               Workshop efficiency
                                                                          Technical     Fuel management
                         Own workshop              Parts contracts
                                                                          assistance        TPM
Buy vehicle              Financing    Parts availability    Driver training                        Residual value

Operational lease                    Volvo workshop                                                           time
                                                              Refurbishing program Offer replacement
                                     Blue, Silver, Gold       Used vehicles         New generation
                                     maintenance                                         vehicle
                                                                     VAS
                                                                     Break down
                                                                     assistance

                                                We have to bundle them …. Reading customer needs
                                                Invite …. Look in customer
      Volvo Bus Corporation
      TL - Marketing Communication - 89030
     Volvo Bus Corporation


                                                        Low               Reduce               Passenger
    Passenger/Bus                                                         life cycle
                                       Uptime!          running                                satisfaction
                                                        cost              cost
                                                                                                                  VLP
                                                                                                    Result        LCC
                                                                      Vehicle
                                                                      usage                             Operators
                                                   Vehicle
                                                                          Vehicle                       productivity
                                                  availability
                                                                        performance
                                                         Vehicle
                                                       productivity

                                                                                                              Km/Bus
                                                 VBC strategy the Complete Offer

                   Uptime product                     competitive LCC                  profit sharing

                   Look in effects                    customer involvement             reward system

                   VBC organisation


Volvo Bus Corporation
TL - Marketing Communication - 89030
        Volvo Bus Corporation



   Towards Sound Profitability
through Customer Satisfaction and
     Operational Excellence
                                            CUSTOMER SATISFACTION
                       Through                AND PRODUCTIVITY



    Complete
      Offer
Product
                                            OPERATOR´S COST
               Service

                                 Relation

   Volvo Bus Corporation
   TL - Marketing Communication - 89030
     Volvo Bus Corporation

                                       Listen to me
                                            Volvo
                                         I’m your     9300 - Mexico
                                        customer




Volvo Bus Corporation
TL - Marketing Communication - 89030

								
To top