Delivered 1/2021 ENG

Delivered SCANDIC TRANS 2021

A PARADIGM SHIFT FOR THE PAPER MOUNTAINS AT THE FOREFRONT OF GREENER TRANSPORT “UNEXPECTED DISRUPTION” CHEAPEST IS RARELY THE BEST

Delivered SCANDIC TRANS 2021

22 6 10

20

4

Read about:

4

THE EUROPE TRAFFIC IS INTENSIFIED

12

An increased flow of goods and more routes

6 10

2

SWEDISH SEVAN Food from the Middle East gains ground in Finland

MUSTI GROUP Chooses greener transports with renewable diesel

16

THE PROFILE Meet economy expert Johnny Åkerholm

COMMUNICATION – THE KEY TO SUCCESS This is how we do it at Scandic Trans

18

ORKLA The Norwegian food giant chooses Scandic Trans

20 THE ROAD TOWARDS A PAPERLESS OFFICE

Much more than you think can be automated

22 A WEEK ON THE ROAD Follow driver Benjamin to Southern Sweden

The logistics of the future Introduction.................................... 3 The Europe traffic is intensified.. 4 Sevan – Eastern food across the Baltic Sea..................... 6 Porkka – precious cargo of Nordic quality............................. 8 Musti Group chooses green transports............................. 10 Profile Johnny Åkerholm.............. 12 What does the shipping price include?.................................. 14 Gripen Wheels values customer service............... 15 Communication channels at Scandic Trans.............................. 16 One year with the pandemic....... 17 Orkla chose Scandic Trans once again........................................ 18 The digitalization – a question close to heart.................................. 20 A week on the road....................... 22

Scandic Trans Lagervägen 14 65610 Korsholm Production: bySand och Kustmedia Editorial: Mikael Löfqvist, Majo Lehto, Johan Lövdahl, Anna Sand, Lisbeth Bäck, Text & Picture: Anna Sand / bySand Layout: Emilia Häggman / Kustmedia Print: KTMP 2021 Cover: Linda Svarfvar

Over the last 10 years the logistics sector has transformed from a digital novice into the branch that drives development. Ten years ago the mobile phone was just for calling and sending messages and everything else was done on paper or with the help of a system that printed out what people wanted on paper.

I truly believe that the revolution that is now taking place within the logistics sector is going to fundamentally change our way of working.

The pace of this change depends on ourselves but also on legislation. In order for this to happen we need structural changes to enable larger scale standardisation.

We can see that artificial intelligence is an unbelievable opportunity that requires large initial investments, but can provide benefits worth exploring. We are going to make use of AI in everything from transporting things to transport management and even in finance. Our way of working will be characterized by this type of development within the next few years and we will involve every relevant interest group.

Trends within logistics come in waves just as in other industries. The current trend is that consultants and systems providers sell their services with the motivation that they will reduce transport costs, but there is a big risk and, in most cases, extra work involved will make it difficult to realise the promised savings. In the long run the focus should shift from saving money on individual transports to analysing the big picture and responsible ways of doing business.

The future is in our hands. Join us in building a future for the next generation.

Mikael Löfqvist CEO Scanic Trans

3

The Europe traffic is intensified Scandic Trans’ international transports have increased considerably the past years, after efforts on the European market – both from the head office in Finland as well as from the subsidiary Scandic Logistics on the Swedish west coast. Despite the fact that a pandemic came in the way and temporary lowered the volumes, it looks like 2021 will be a very good year for the new routes.

Text: Anna Sand • Picture: Linda Svarfvar

The focused sales work started three years ago, and since then one has gone from zero to notable and regular volumes when it comes to both import and export.

– We have greatly focused on new procurements and quotations, which has led to a successful result.

Previous customers have chosen to continue to employ Scandic Trans and new have been added since they have been so pleased. Thanks to Scandic Trans many have experienced a new level of reliability, states Richard Romar, project manager within market development at the head office.

Also Joakim Lassen at Scandic Logistics in Helsingborg have reasons to be pleased.

– We went out with a very aggressive budget for 2020, then completely unaware about what to except in the spring. Despite the decline that the pandemic caused during the first part of the year we made a positive result and then 2021 got off to a flying start – one of such magnitude that we now will have to

4

revise this year’s budget, Lassen says.

From Sweden there are weekly solid flows between among other Poland and Scandinavia, and fortunately these are clients that have not been affected by the pandemic.

– We are of course thankful for the fact that our biggest client has not been affected – this is also reflected in our turnover, Lassen further states.

Ever since February, ten trucks are weekly loaded for export of ADR-classified goods, dangerous goods that is, to a new client in southern Europe.

– This meant a very nice start of the year for us, and we are now talking such volumes that we plan putting in our own trucks and trailers on this route.

– We have also received a number of other, smaller European clients, Lassen continues, and we also continue to work with the same haulage contractors as earlier. We now have solid flows to all of the Baltic countries, he adds.

Richard Romar, to the left and Joakim Lassen.

Scandic Trans has during the past year been able to use their own cars for part of the European traffic, since the total amount of export has increased.

The effort to increase the amount of returning goods is constantly ongoing and new relations are built all the time, for example also in Hungary and Romania.

Maintaining good relations with the customers is vital according to Lassen – something he however feels has been much more challenging during the past year.

– Business trips and customer visits are currently a thing of the past, and for me personally it initially felt very hard to meet the customers only digitally.

Electronic meetings do however save a great deal of time and effectivity, and they are also good from an environmental point of view. But I hope that they will not replace physical meetings altogether – I feel that they are extremely important.

Lassen also cares about building collegial relations and striving towards mutual development with the haulage contractor one collaborates with.

– We have strengthened the collaboration with our European partners, we have focused on open relations with them and that in turn has created a synergy effect. We have more and bigger procurements going on and it looks like 2021 is going to be a very good year.

During the year they have also been able to use their own trucks and trailers for part of the traffic in Europe, since the total amount of export has increased.

– The goal is to double the turnover the coming two years, Romar tells us. A great deal of building material has for our part been added to the export traffic, as well as plastic products. When looking at import we have among other a new, exclusive big client in the Baltics when it comes to frozen goods.

There are permanent, regular flows to France, Germany, the Benelux countries and northern Italy, while temperature controlled food has the biggest growth potential.

– The world moves on and people consume – in spite of the pandemic, Romar states.

"

We have greatly focused on new procurements and quotations, which has led to a successful result.

Previous customers have chosen to continue to employ Scandic Trans and new have been added since they have been so pleased.

5

Middle Eastern food gains ground in Finland

When Hratch Maroutian came to Sweden from Beirut in 1967, there was hardly any clothes in his bag, instead it was full of eastern spices, bulgur and olive oil. The strong traditions and the love of meze food led him to found the company Sevan – today market-leading in Sweden when it comes to food from the Middle East, on the rise also in Finland.

Text: Anna Sand • Picture: Linda Svarfvar and press images from Sevan The first import to Sweden started in 1988 and the company was founded the following year. Today it is managed by the two sons. Currently Sevan has a bit over 40 employees, a turnover of 350 million SEK and sales offices also in Norway and in Finland, countries to which a great deal of the export goes via daily express service.

– We are growing strongly within the Finnish retail trade. We have also been doing well within the restaurant business, but the past year has of course been a unique one, Annika Kumpunen, sales manager in Finland, states.

She tells us that the Finns are curious about meze food and have become much quicker to catch new trends during recent years.

– The consumers’ interest has not died down during the year – quite the opposite – they have had more time to think about things like cooking.

So far hummus and falafel are the products that sell the best in Finland, followed by different legumes.

6

– Here we have much more to give, Kumpunen further believes.

Besides the import of eastern food, Sevan has for a few years now also had their own production, in a brand new hummus factory in Rosersberg north of Stockholm.

– In the same building we now also have our main office, and here the everyday food of the future with inspiration from the Middle East is produced, packaged and distributed. The factory is logistically nicely located next to the E4 and the goal is to become northern Europe’s leading hummus manufacturer, Kumpunen continues.

Sevan has been operative on the Finnish market since 2012 and for just as long they have had Scandic Trans as logistics partner.

– Our earlier collaborations left me very pleased with them, and thanks to their terminal in Turku and the daily express traffic between the capital city and Stockholm, we quickly get our fresh food out to the

– The collaboration with Sevan is very smooth and both parties do their best to be accommodating when it comes to transport bookings, time tables and other wishes, Jan Svarfvar, transport planner at Scandic Express, says.

Finnish stores. The products are loaded at the factory in Stockholm in the afternoon and reach Finnish ground the following morning, which is fantastic, Kumpunen feels.

Quality and flexibility are qualities that she values in her logistics partner.

– The well-known drivers know our business, routes and all circumstances. If needed we can get temperature logs from the transports and if the volumes change Scandic Trans reacts quickly. Furthermore you always get personal service with Scandic Trans and Scandic Express, Kumpunen adds.

She feels it is both parties’ responsibility to strive towards filling the loading units and thereby the greenest possible transports.

– Scandic Trans cares about the future and sustainability, and we have recently introduced a new falafel package with 78 percent less packaging material.

Kumpunen appreciates that the collaboration is developing and improving as they go along.

– A long-term partnership is always nice – I almost consider my contact persons at Scandic Express as colleagues, she smiles.

Among them are Jan Svarfvar and Aleksi Koivisto, both transport planners at Scandic Express in Turku. Four express vehicles daily run the route Stockholm-Turku-Helsinki.

– In other words we have two express vehicles in Stockholm and the surrounding regions every weekday and two in the Helsinki region, Svarfvar explains.

Besides this, a route truck between Turku and Vaasa, and one more, with Turku as starting point, in the southwestern part of Finland.

– A long-term partnership is always nice – I almost consider my contact persons at Scandic Express as colleagues, Sevan’s sales manager Annika Kumpunen says.

– The offices in Turku and Mustasaari work closely together, he adds.

The express vehicles are driver specific and FRC-classified cars that mainly transport food, but also other things, among other express goods, pharmaceuticals, consumer goods, package freight and ADR-classified goods. They are all equipped with tail gate lifts, so the driver can independently take care of the loading and unloading without access to a forklift or a loading ramp. An express vehicle takes around 20 EUR-pallets.

In connection to the harbor in Turku, Scandic Trans disposes of over 2 300 m2 terminal and storage space, including cooler and freezer storage. Most of Sevan’s products are taken directly to the end customer in the southern part of the country, but merchandise bound further inland is distributed from the terminal in Turku.

– The collaboration with Sevan works like a charm and both parties do their best to be accommodating when it comes to transport bookings, time tables and other wishes, Svarfvar finally concludes.

• Hratch Maroutian comes to Sweden from Beirut in 1967. He starts to import goods from the Middle East in 1988. Sevan is founded in 1989, they buy their first truck and acquires their first storage. The corporate group is today led by the son Michael Maroutian.

• In 2001 Sevan buys Isaksson Food and they double their turnover. Thereafter they make several other company acquisitions in order to strengthen their position when it comes to food from the Middle East.

• Sevan’s goods are introduced to grocery stores in 2003.

• In 2014 Sevan starts planning a production business with focus on fresh hummus and fresh meze dishes.

The first products were fresh hummus with four different flavors, fresh falafel and pressed garlic.

• In 2009 Sevan builds warehouses and offices in Upplands Väsby with an area of 6 000 m2 and with 10 000 pallet places. In 2020 Sevan has outgrown Upplands Väsby and new facilities with factory, main office and warehouse are opened in Rosersberg.

7

Porkka

– professional equipment demands professional transports The Finnish company Porkka is internationally known for its quality and design when it comes to cooling equipment for the hotel and restaurant industry as well as for the marine and medical industry.

Porkka is nowadays a part of Festivo Finland Oy and the organization is operative also in Sweden, Norway and Great Britain. For 15 years Scandic Trans has been the company’s partner when it comes to shipments in Scandinavia.

Text: Anna Sand • Photo: Porkka Finland Oy

P

orkka’s main markets are besides Scandinavia and Great Britain also Central and Northern Europe and Russia.

– We are especially strong in France and Germany and when it comes to different solutions for the marine industry, Aki Levola, operative manager of the Finnish activities, tells us.

The two factories in Ylöjärvi and Kemijärvi employ around 150 people and after a temporary dip in the number of orders due to the pandemic, the order books are once again full – paradoxically because of the same reason.

– Due to the pandemic we got a huge order of cool-

8

ing equipment for vaccine storage to the Third World.

It is a one-time order of big proportions which is now being manufactured in Ylöjärvi, Levola continues.

But the global society situation also comes with challenges – the supply and delivery times of raw materials is one of them.

– Also, the prices have increased noticeably and the delivery reliability has weakened, Levola adds.

The factory in Ylöjärvi also doubles as the company’s central warehouse and all export happens from here.

– We have centralized the stockholding and all shipping to and from Ylöjärvi and Sweden and Nor-

Porkka’s clients are among others caterers, hotels and restaurants, hospitals and laboratories, the pharmaceutical industry as well as the maritime industry and shipping lines.

– It is easy to cooperate with Scandic Trans.

Moreover, all the goods arrive in perfect condition, which is important since the products are valuable, states Aki Levola, operative manager at Porkka Finland Oy.

way has for many years now been handled by Scandic Trans. Fast transports was the main reason why we chose them as our partner 15 years ago, but the excellent customer service, delivery guarantee and the well-educated drivers are good reasons to continue the collaboration.

Every week trucks leave for Sweden and Norway fully loaded with Porkka’s products.

– It is easy to contact Scandic Trans and they are easy to deal with. Also, all the goods arrive in impecca-

"

Since 2020 Porkka is also one of the companies that has chosen to switch to renewable fuel, HVO, for their transports in Scandinavia.

ble condition, which is important since the products are valuable, Levola adds.

Since 2020 Porkka is also one of the companies that has chosen to switch to renewable fuel, HVO, for their transports in Scandinavia.

– We didn’t hesitate for one second when Scandic Trans presented us with the opportunity. We’re talking big volumes and continuity, and with our quality and environment certification as base we also have to take our responsibility when it comes to transport, Levola feels.

The Porkka products’ low electricity consumption combined with a long lifetime as well as environmental friendly and recyclable materials also reflect the company’s sustainability work – the recycling degree for the products manufactured in Finland is over 95 percent.

9

Musti Group reaches their climate goals with renewable diesel Emissions reporting is demanded by all logistics partners Text: Anna Sand • Picture: Neste and Musti Group

Last year Scandic Trans introduced renewable diesel, HVO, as an alternative to all customers who are interested in lowering their transports’ effect on the environment. Higher and higher demands are put on both individuals and companies to lower their emissions and renewable fuels is a crucial factor for a sustainable logistics sector. Scandic Trans aspires to be at the forefront when it comes to the development within the industry.

– We had been looking for an alternative that lowers our own carbon footprint for quite some time, and among other things we considered gas cars, when the initiative to adopt renewable diesel was taken by one of our drivers, CEO Mikael Löfqvist opens.

A collaboration with Neste started and in the summer of 2020 the company was able to introduce Neste MY renewable diesel (HVO) as an alternative to all of the clients. The cost increase for using fossil free fuel is only 2-4 percent of the total shipment and does not require any investments in the vehicle fleet.

– Neste MY renewable diesel, which is made only from waste and renewable raw material, leads to as much as 90 percent less emissions of greenhouse gases (CO2) compared to ordinary, fossil diesel, says Heidi Peltonen, manager of sustainable collaborations at Neste, the world’s biggest producer of renewable diesel. It can also be mixed with ordinary diesel – no investments and no modifications of the motors are needed – only a decision at the fuel pump, she adds.

More and more clients appreciate, or even demand, proof of sustainable measures from their logistics partner, and together with the customers who have

10

chosen to switch to renewable diesel for their transports, Scandic Trans has had a very positive impact.

– It became evident that our customers were able to take advantage of the measures in their marketing, Löfqvist tells us.

The willingness to pay for ”greener” transports has clearly increased during the past decade. According to the IPC Cross-border e-Commerce Shopping Survey as many as 47 percent wanted to have a carbon dioxide neutral delivery of products they order online already in 2018, and 62 percent of the Finnish transport companies are interested in lowering their emissions with renewable diesel.

– By being among the first to offer our clients HVO we can show others the way, and in that way we can speed up the development. If nobody does anything, change is not possible, Löfqvist states.

What choice the customers finally make has proved to be a generation issue and the personal attitude of the company leaders when it comes to climate issues are often what tips the scale. One of Scandic Trans’ clients who has chosen to switch to Neste MY renewable diesel for all transports is Musti Group.

Musti Group is the Nordic countries’ leading pet ac-

Musti Group is the Nordic Countries’ leading pet accessories group and is operative in Sweden, Norway and Finland. This past year the corporate group has defined tangible climate goals and in order to achieve them they have among other things switched to renewable diesel for all their transports with Scandic Trans.

cessories chain, and operative in Sweden, Norway and Finland. With a turnover of 284 million euro and 293 stores as well as 1 160 employees, the transports make up an important aspect of the business.

– The role of the logistics has grown year by year and at the same time the number of kilometers has increased – as well as the emissions. Scandic Trans has been our logistics partner for almost two years and we have daily traffic from Sweden to Finland - we load one to two truck and trailers per day, Tuomas Lampinen, Transport and Logistics Operations Manager at Musti Group, tells us.

– We looked at different alternatives in order to lower both the number of kilometers and emissions, and from our point of view the switch from fossil to renewable diesel was the quickest and easiest way to make a change, Lampinen continues.

Besides the switch to HVO, Musti Group has also restructured their stockholding in order to decrease the distance between warehouse and store, and thereby lower the number of driven kilometers in order to furthermore lower their emissions. The corporate group’s goal for 2021 is to lower the emissions caused by the transports with 10-15 percent compared to 2019.

– When it comes to the transports with Scandic Trans, the switch to HVO creates a decrease of as much as 90 percent for the actual road transports on land, Lampinen adds.

Thanks to the reporting service that Scandic Trans developed in collaboration with Neste, the Musti Group receives additional emissions reports for every transported pallet.

– Emissions reports and a plan for lowering the emissions is something we nowadays demand from all of our logistics partners.

With the reports there is concrete proof of the company’s sustainability work and responsibility when it comes to environmental issues.

– The transporters that offer this today have had good timing – in a few years it may be too late to get onboard, Löfqvist and Lampinen believes.

The logistics companies can quickly switch to renewable fuel since Neste’s MY renewable diesel does not require any investments in the vehicle fleet – only a decision at the fuel pump.

11

Finland needs rethinking

and bigger risk-bearing capacity With almost a lifelong experience of economy issues - as head of department at Bank of Finland, Undersecretary at the Ministry of Finance, Secretary-General of European Bank for Reconstruction and Development in London as well as CEO at Nordic Investment Bank – it is no exaggeration to say that Johnny Åkerholm knows what he is talking about when he analyses the Finnish economy and predicts the development after one year in the throes of a pandemic.

Text: Anna Sand • Picture: Anna Sand

T

he pandemic has, like for everyone else, affected also Johnny Åkerholm’s life the past year. Since he retired in 2012, he usually splits his time between his home in the capital city, the apartment in Vaasa and the commissions of trust he has here as well as the summer cottage in the Petsmo archipelago in Mustasaari.

Furthermore – during normal circumstances – he also likes to travel regularly.

– We have spent most part of the past year in Ostrobothnia, due to understandable reasons, Åkerholm tells us.

He describes the pandemic as ”an unexpected disturbance”.

– It has affected industries normally quite unresponsive to disturbances, which has been unique in itself.

The most important lesson is that we never can control and plan everything and that we need to be prepared also for improbabilities, both businesswise and economically, Åkerholm says.

But. The problems we have in Finland and that are the reason behind the financial numbers we now see, were there already before, and for them the pandemic cannot be blamed.

Johnny Åkerholm, born in Mustasaari, splits his time between Helsinki, Vaasa and the summer cottage in Petsmo. For the future and solving the structural problems Finland has today he suggests education and research, innovators and entrepreneurs with bigger private risk-bearing capacity.

12

– Finland’s problems are structural and depend mainly on two factors: on one hand we nowadays have a very unfavourable population structure. It puts high pressure on the public sector and that is a phenomenon that will continue for a long time still. On the other hand our productivity growth is way too low. Many countries have had and have problems with this, but we might be one of the countries worst off. Finland has clearly failed at this, Åkerholm states.

The problems will hence remain after the pandemic.

– We can definitely expect a period with higher growth numbers afterwards, but there is a risk that these numbers are misinterpreted. A growth peak due to the fact that people want to start traveling again and use the money they have saved after staying at home for a year, unfortunately does not solve the country’s structural problems, Åkerholm further explains.

"

The need for transports will henceforth increase in step with the standard of living.

How long the growth peak will last depends according to him on how the inflation pressure is kept in charge.

– Today many believe that we after such a long time without an inflation are immune to it, but this is not the case. The world powers’ policies have been very expansive and can be described as nothing less than a war economy, which creates an inflation pressure within different sectors. Inflation and the higher interests that come with it would mean big problems for all those in debt – states, companies and households alike. I hope that this scenario does not become real, Åkerholm adds.

How then to correct our structural problems? What is the solution?

– Unfortunately there is no magic button to push, Åkerholm smiles. One important thing would be to encourage the immigration of competence and expertise, at the same time as we stop our own ”brainiacs” from leaving.

– This is no easy task – the language is difficult, the salaries are low, the taxes high and many have an inaccurate and bleak picture of our country and our climate. It is not impossible, but measures are needed in order for it to work, he deems.

Our big Achilles heel is still the productivity, which today rises too slowly to finance a Nordic welfare state.

– We have good innovations in Finland, but we are

bad at turning them into sellable products and services. High added values are the key to a higher productivity and therefore we must bring about investments that create this additional value.

In Sweden they have according to Åkerholm been much better at catching their innovations, while we often have chosen to stick to the old.

– In Finland the public sector has chosen to support the creation of specific work places instead of supporting research and development. It is a dangerous road when dealing with the tax payers’ money, Åkerholm says. Finland also has considerably less venture capital and considerably less rich people than our western neighbour, and we have in addition created a system where it is possible to be very passive – you do not even have to try to succeed.

The pandemic itself will lead to structural changes in the society – the digitalization pace is one example.

These changes bring both threats and possibilities.

– Now we have to make the most of the opportunities. We should bring about a quicker and bigger rethinking. The one who manages to benefit from the changes that are brewing and that will become reality will succeed, Åkerholm says.

– Efforts on different solutions for development activity would be wise, he continues. The trend is clear: the industry production’s relative importance goes down – instead more and more services outside the direct goods production are developed. The traditional production industries will in the future function just as much as service companies.

Catching trends and tendencies is in other words vital, no matter what the industry is.

– You have to have a precise timing – it can go wrong for the early bird, as well as for those who are late for the party. Åkerholm feels that the same goes for the transport industry.

– The need for transports will henceforth increase in step with the standard of living. The transport forms will however most probably go through changes – partially because of the climate problematic, partially as a result of changes in the demand and production structure.

The pressure to develop and increasingly exploit climate-friendly modes of transport are increasing.

New products and services create new transport needs as the same time as the digitalization eliminates some of the transports.

– The postal service is a typical example of changed structures; the transport of letters and newspapers is decreasing, while the e-commerce increases the transport of packages.

13

What does the shipping price include?

The cheapest is seldom the best, and the transport industry is no exception. As a customer in need of a freight forwarder it might be tempting to look for the best price for one’s transports, but Scandic Trans has chosen to look at it from another perspective – they are not the cheapest option, but on the other hand the most affordable.

• Management & maintenance 2%

• Insurances & congestion charges 5% • Return on capital & interest 9% • Repairs and service 6%

• Salaries 29%

Text: Anna Sand – At Scandic Trans and Scandic Logistics we have made it our point to offer our customers a total experience, opens Joakim Lassen, sales manager at Scandic Logistics in Helsingborg. We have a personal connection to our customers and live close to them. We focus a lot on follow-up meetings, customers visits – whenever possible – and on building relationships with our customers.

– By listening to their needs we at the same time develop our own organization, he adds.

Quick decisions – short lead times A customer of Scandic Trans and Scandic Logistics is also always guaranteed quick decisions and personal service.

– With us there is no automated customer service, instead you as our customer always get to talk to a real person – one of our Johnnys. We are all Johnny with you as our customer, Joakim explains.

– We know our customers and we know their flows, and thanks to the fact that we all have our own authority within certain areas, the customers always get quick decisions and therefore also short lead times, he continues.

The communication with the customers is extremely important and according to Joakim it is vital to always inform them about issues on the road and about possible delays.

What do you pay for?

In other words it is not only the transport from point A to point B you are paying for when you choose Scandic Trans or Scandic Logistics.

– On a purely tangible level the total shipping consists of, besides the actual transport, harbor and ferry charges, fuel and paychecks as well as possible extra options, depending on the type of goods. Temperature controlled goods and dangerous goods are subjected to additional fees bcause they require vehicles with special equipment and higher operating costs, due to refrigerator and freezer units, Joakim explains.

14

• Ferries 30%

• Fuel 19%

A small price to pay for a healthier environment Since the summer of 2020 Scandic Trans also offers all customers an HVO supplement - that is a slightly more expensive price for a more sustainable transport from an environmental point of view.

– The HVO fuel is made of bio-waste and if the customer chooses this addition we yearly supplement our vehicles with the amount of HVO fuel that corresponds to the customer’s consumption and yearly transports, Joakim continues.

The trend is obvious – more and more customers ask for sustainable solutions when it comes to transports. These customers are mainly found within a specific industry – namely the food production.

Continuous development is included Yet another point is included in the shipment price – not to be forgotten.

– Our own development. The digitalisation, the continuous development of our own systems – which also will benefit the customers – our follow-up, our competence and our service. We never bend the rules, whether it comes to resting times or something else, and we offer an exclusive vehicle fleet for all our transports. An entirety which thereby makes us a very affordable choice, Joakim concludes.

Gripen Wheels:

– Good service more important than the price The service and customer service efforts and the fact that Scandic Trans cares about building relations with its customers, living close to them and getting to know their flows, has paid off. For many customers this is precisely reasons that tips the scale when choosing a logistics partner. One of them is Gripen Wheels Finland.

Text: Anna Sand • Picture: Anna Sand Gripen Wheels is the biggest wholesaler in the Nordic countries when it comes to heavy tires, rims and tubes and they provide heavy duty tires, agricultural tires, industry and harbor tires, truck tires, forest tires, ATV tires and other terrain tires, as well as rims and tubes to all of these. Their own import and big storage capacity make up the base of the business, with its head office and main warehouse in Jönköping, Sweden.

The subsidiary in Finland, which today employs 17 people, was founded a little over 15 years ago and is located at Lintuvuori industrial area in Mustasaari. For almost as long the company has used Scandic Trans for the weekly deliveries of goods from Jönköping to Mustasaari.

– Gripen Wheels Finland has its own import and sells on to retailers in all of Finland and also to the Baltic countries. We are talking

volumes of about 450 containers per year. From Sweden we also weekly take on more urgent deliveries – it can be anything from two to twenty freight meters, sales manager Leif Norrgård explains.

Every Friday Scandic Trans collects the goods from Jönköping, and they are unloaded on Monday afternoon in Mustasaari.

There the goods are reloaded for further transport out to retailers, that can be located in tens of places in the country.

The cooperation works smoothly and Norrgård appreciates that the transport is uncomplicated and does not require any terminal changes.

– We know each other and everybody knows how the transports, loading and unloading works. We have never considered other partners – the price is not what is crucial here, it is the service. We also appreciate that Scandic Trans has a good and new vehicle fleet, Norrgård concludes.

15

Communication – the key to success

Good communication is one of the secrets behind success within all types of organizations. Today focus often lies on the external communication, but structured communication plays at least as important a role for motivated coworkers, increased customer satisfaction and in the end better profitability.

The interaction between internal and external communication is extremely important and the digital channels today simplify the work on both levels. This is how we do it at Scandic Trans.

Text: Anna Sand

INTERNAL COMMUNICATION • E-mail and meetings: Daily matters are handled internally with e-mail and regular work place meetings and Teams. The internal communication should always be prioritized.

• YouTube: In order to inform staff, drivers and hauliers about current matters we have recently adopted a YouTube channel where we post our own content, for example instruction videos. Whenever a new clip is posted a link goes out to all vehicles and personnel.

EXTERNAL COMMUNICATION • The website: Today our website is somewhat static, while updates happen more regularly through our social media channels. Still it plays an important role, especially for new clients.

• Facebook: Here we publish current news, press releases, recruitment ads, pictures from the roads and much more. Here we address everyone who is interested – both internally and externally.

• Instagram: Here we post the drivers’ own pictures, pictures from our events and other bits and bobs. Here spontaneity reigns and the account is for everyone interested in our activities. Feel free to follow us!

• Linked In: Focus here lies mostly on company and industry specific matters. Recruitment and new services, industry news, official announcements and such to all our partners can be found here.

• Newsletter: Since the fall of 2020 our digital newsletter appears four times a year and all those who are interested are welcome to subscribe to it via e-mail. Here we present what is going on within the company and different articles from our own customer magazine Delivered. Here you are also given the opportunity to get to know our customers and employees better.

• Customer magazine: Our own magazine Delivered was born in the summer of 2019 and you are now holding the third edition in your hand.

It gets sent out to all of our customers, partners, hauliers and employees and has a wide content. The paper is produced in collaboration with our staff and local media agencies and you are welcome to post your feedback via our website or one of our social media channels.

16

The transport industry and the pandemic Text: Anna Sand • Picture: Anna Sand

When I meet with Fredrik Lång, transport manager at Scandic Trans since 2007, and Pontus Strandberg, traffic controller for the past three years, it is exactly one year to the day since Finland declared a national emergency. How has the pandemic affected the company, their daily work and the customer contact?

Fredrik and Pontus are part of the team responsible for all import from and all export to Sweden. They have a close collaboration within the group, which consists of three people in total, and it is also linked to the teams responsible for the traffic to and from the other Nordic countries.

After one year with the pandemic they have all, besides learned to telework if needed, learned to live with the uncertainty and the quick variations within the industry.

– When Finland was locked down in March 2020 everything was very uncertain, and in the beginning the amount of goods went down – something we feared would continue. Instead quite the opposite happened – it quickly started increasing before landing on a higher level than usual, Fredrik continues.

– The traffic balance has been askew, because the import volumes have increased, but also the export has increased in volume during the pandemic. In April-June of 2020 we noticed a decrease, which was then followed by a massive increase towards the end of 2020, Pontus clarifies.

– It has become evident that the irregularities in transport are noticeably bigger now. Before we always knew when during the week and the month the peaks and respectively valleys would occur – now they may differ from hour to hour. Also during weeks that normally are quieter, like the spring break, it was full speed ahead. It makes the job more interesting, but also more challenging, Fredrik further states.

However, their own way of dealing with customers has not changed that much due to the pandemic.

– We mainly keep in contact by phone and e-mail – just like before. Every year we used to book client weeks with a number of client visits. That we have not been able to do now, which is sad. It is always very rewarding to meet the clients face to face, but on the other hand, fewer and fewer client visits has been the trend now for ten years.

But within the transport management on the other hand one has been forced to find new ways to communicate and cooperate – mainly via Teams and group chats.

– It is an advantage to know each other and that you have worked together for a long time.

Some new elements have also become part of their work, as a result of the demands implemented by clients, when it comes to how unloading and loading should happen in order to reduce the risk of infection.

– The drivers have definitely been affected more than us, Pontus states. Many clients demand a clean bill of health, some check for fever and in some places the drivers are only allowed to back the car up and wait while the client takes care of the unloading.

This requires more planning – something that the transport management helps the drivers with, as well as with filling in all kinds of necessary forms and certifications.

There are national differences in how the industry handles the pandemic and the transports have also been affected by the fact that all ferry traffic from Helsinki to Stockholm is put on hold.

– Four boats are out of the picture and that clearly affects the planning and the time tables, Fredrik concludes.

17

Orkla – always in your shopping cart Text: Anna Sand • Picture: Linda Svarfvar and press images from Orkla

Orkla? Have you never heard of them? You should have. Every time you go shopping in a grocery store you probably buy some of their products and it is also very likely that they have been delivered by a Scandic Trans vehicle.

T

he Norwegian owned food corporation is one of the biggest companies in the Nordic countries when it comes to daily consumer goods, with around 18 000 employees and over 100 factories in 20 countries. The product portfolio is wide and in Finland Orkla operates within five different business areas.

Orkla Suomi consists of Orkla Foods Finland and Orkla Confectionery & Snacks Finland – the two leading food businesses in the country.

Additionally the company Orkla Care Finland develops products for personal well-being as well as cleaning and household products, while Condite is the country’s number one

18

importer and wholesaler when it comes to raw material for the bakery and food industry. Finally, the company Pierre Robert focuses on underwear, also sold within the retail trade.

This spring the corporate group expanded on the Finnish market by acquiring the domestic company Fort Deli, which provides frozen products, sauces and condiments. The purpose is to create two parallel units – one that focuses on the sale of daily consumer goods and one focusing on the HoReCa-sector. Orkla’s latest acquisition in Finland before that was made in 2019 when they took over Kotipizza Group – this was also a part of the same strategy.

Kotipizza was founded by the Vaasa resident Rabbe Grönblom in 1987 and over the years it became the biggest pizza chain in the Nordic countries.

Every time you go shopping you probably buy one of Orkla’s products. Some of their most famous brands are Panda, Felix and Taffel.

– For us it was a given to switch to more environmental friendly fuels for our transports, something Scandic Trans also has given us the opportunity to do.

Orkla has two factories in Finland – one in Vaajakoski and one on the Åland Islands.

– Of the products manufactured in Vaajakoski about 70 percent is distributed on the domestic market, and the rest is exported, Mauri Suuronen, Logistics and SC Planning Manager, tells us. The potato and chips products manufactured on Åland are sold exclusively in Finland, Suuronen continues.

In Turku they have their own logistics center and both export and import have for many years now been handled by Scandic Trans.

– We are talking big volumes daily – often temperature controlled goods in some form. The trucks are fully loaded and the high quality of the transports and customer service at Scandic Trans is important to us. When choosing freight forwarder it is the entirety that is decisive, and it consists of five different parts: quality, price, the sustainability and environment aspect and also the partnership itself and the valuation therein, Suuronen explains.

Despite the past year’s challenges Orkla has put an offensive focus on the development of plant based

food, reducing the greenhouse gases within their own business and also on new packaging solutions, which make the product portfolio more sustainable.

– Last year 95 percent of Orkla’s packages were reusable and 47 percent of the packages were entirely or partially based on recycled material. Orkla’s goal for 2025 is 100 respectively 75 percent.

Since 2014 the corporate group has reduced the emissions of greenhouse gases within their own business with 62 percent, and last year the global nonprofit environment organization CDP named Orkla one of the world’s best public companies when it comes to climate leadership. Orkla was given the highest mark, A, which places the corporate group among the 270 best of more than 9 600 companies that took part in the reporting for year 2020.

– For us it was a given to switch to more environmental friendly fuels for our transports, something Scandic Trans also has given us the opportunity to do, Suuronen concludes.

19

At the forefront of digitalization with an open mind

These past years digitalization has been high on Scandic Trans’ priority list. Together with the company’s own system vendor, with Johan Lövdahl at the forefront, one has focused on automating order handling, invoicing, purchase ledgers and customer reporting.

Text: Anna Sand • Photo: Anna Sand – Much more than you think can be automated, states CEO Mikael Löfqvist together with Johan Lövdahl, who works with the company’s invoicing, but who also has made the digitalization his own ”baby”.

The automated pricing directly affects the invoicing, which thanks to this always is exact and up to date and the need for post crediting is basically nonexistent.

The outset for the development that is happening is mainly governed by the demands from EU, the customers’ demands as well as the new technology and the opportunities it creates. Add involvement and an open mind and you have a winning concept, something that also has been recognized within the industry.

– A Finnish program and expert company for transport handling, that provides the industry, wholesale trade and retail trade online the advantages of a transparent transport deal, recently named Scandic Trans the best transport company when it comes to reporting, Löfqvist tells us.

Almost all customers nowadays demand or want delivery notification, which has led to an increased work load for the transport management.

– The notification system will soon be automated with the help of geofencing. When the vehicle, equipped with a GPS transmitter, approaches the geographically limited geofence area, the personnel in charge receives an automatic notification regarding the incoming haulage, Johan explains.

After unloading, the customer has the possibility to directly receive an electronic version of the waybill – and not only that, but also, if necessary, pictures of possibly damaged goods and other necessary documents.

– We are still one of few players within the industry that offer this, Löfqvist states.

The development concerns the whole chain of processes within the company and starts already at the order handling.

– The bookings today happen mainly so, that the customer via EDI (Electronic Data Interchange) connects to our order handling system, or via our own web portal, where the clients have their own login. The customer can at the same time choose which updates he or she wants for the transport and see the current status of the order, Löfqvist explains.

The customer also directly receives the transport price – the days of waiting for a quotation is over.

– The pricing system has developed enormously and two thirds of our clients today has digital deals with automated pricing. The fact that the system suggests a ready price is revolutionizing to us, states Johan, who developed the system in close collaboration with the system vendor.

20

The same goes for the customer specific emissions reports, which become more and more requested as the sustainability demands increase.

– Our own emissions calculations and measuring systems are also continuously developed. Thanks to AI – artificial intelligence – the systems develop themselves gradually and at the same time we keep our eyes open for new possibilities to develop – even for services that no one yet has requested, Lövdahl continues.

– Together with our system vendor we function a bit like product developers, which incites both parties. One condition is of course a good dialogue

Together with the system developer and the program provider Scandic Trans continuously develop both their internal system and the services and reporting to the customers.

– During the past year Scandic Trans has managed to become almost paperless, Johan Lövdahl tells us.

21

A week on the road The logistics industry was the natural choice for Benjamin Launokorpi, born and living on Kemiönsaari. In 1954 his maternal grandfather Bengt Ginström founded the transport company which his mother Birgitta now owns, Trans B. Ginström Ab Oy, and which he now works for. The routes differ from week to week, just like the type of goods. Benjamin usually moves between Skåne and Norrbotten in Sweden and in the southern part of Finland. We followed one of his typical work weeks.

Text: Anna Sand • Picture: Linda Svarfvar Benjamin has driven the family company’s truck fulltime since 2015, after both education and compulsory military service were completed.

– I studied logistics at the Vocational College in Närpiö and completed a combined academic and vocational education, he tells us.

For six years now he has been in charge of the 24 meter long vehicle combination, consisting of a freezer truck with double loading systems in two levels, with dividing walls for different temperature zones built by NTM in Närpiö.

– I drive a lot of temperature controlled goods, but also all kinds of other goods. It can be electronics, paper or metal products, plants and much more, Benjamin continues.

This work week started on a Saturday evening with departure for Turku harbor to catch the ferry over to Stockholm, after a few hours of reloading at Scandic Trans’ terminal in Turku. On the other side of the Baltic Sea he started by unloading fresh vegetables in Stockholm, early on Sunday morning.

– Sundays are usually quite calm. I had the opportunity to eat lunch with a few colleagues and could continue without stress down towards Halmstad, where I had an unloading time at a brewery on Monday morning, Benjamin says. I finished my work day on Sunday by watching TV and reading newspapers.

After an early unloading on Monday morning the journey continued towards Helsingborg.

– I made it just in time – I had an unloading time at 9.00 and arrived at 8.55. Due to the restrictions I only got to back up and wait in the truck while the receiver unloaded the goods. It is quite normal nowadays in Sweden, he adds, and on the next location it was the same procedure.

That was in Malmö, where Benjamin unloaded goods consisting of candy and chocolate at 10.30.

– After that I called the office in Mustasaari to ask if there was anything I could pick up on the way back up. Our transport manager Fredrik Lång took care of that and I was able to collect products that were not supposed to be loaded until the following day, Benjamin continues.

22

The next unloading place, outside Kristianstad, closed for the day at 16.00 and Benjamin arrived at 15.58.

– It was too late and there was no one there to receive the goods. I had no choice but to wait on the parking lot outside the factory until the next morning.

On Tuesday morning, after unloading at 7.00, it was time to head back to Helsingborg for loading at a foodstuff terminal.

– By showing them my forklift licence I was given the opportunity to perform the loading myself and then I was able to place the goods in the exact right order.

In the afternoon his next loading was booked for 14.00 in Vaggeryd, where a big part of the loading space was filled by new TV’s.

– Before that I had the time to eat a warm lunch along the road – that is not always the case, and often you just grab something out of the truck’s refrigerator.

After loading all of the TV’s he noticed that there still was free loading space in the truck, and after a quick call to the office Benjamin got to drive to Aneby for a final loading there just before 4 pm, before it was time to head back to Stockholm. Along the way he made another stop in Mjölby at Motel & Restaurang Eat to take a shower.

– These kinds of opportunities are highly appreciated by us drivers, Benjamin smiles.

When we reach him in the forenoon on Wednesday he is onboard Viking Grace, on his way back to Turku.

– Yesterday became a full workday – the driving time can be no more than ten hours two days a week, all other days can be at the most nine hours. The workday can in total be 15 hours at the most, and yesterday I got up to 14, while the actual driving time was just below ten hours.

When he reaches Turku, reloading in Scandic Trans’ own terminal awaits, and then he continues to deliver goods on the Finnish side.

-– I know I will be unloading in Tampere at 12 on Thursday and from there I am continuing north towards Mänttä and Vaajakoski. The last unloading place will be at the big Metsä factory in Äänekoski.

After that the truck and trailer should be empty and the rest of the workweek open, Benjamin concludes.

Saturday evening: Departure from Turku harbor for Stockholm Sunday morning: Unloading in Stockholm, thereafter departure for Halmstad Monday: 7.00 Unloading brewery goods in Halmstad, departure for Helsingborg 9.00 Unloading in Helsingborg 10.30 Unloading in Malmö 12.00 Loading in Malmö 13.00 Loading in Vellinge 16.00 Arrival in Kristianstad Tuesday: 7.00 Unloading in Kristianstad, departure for Helsingborg 10.00 Loading in Helsingborg 14.00 Loading in Vaggeryd 15.40 Loading in Aneby, departure for Stockholm Wednesday: Departure with Viking Grace for Turku 20.30 Reloading at the terminal in Turku harbor Thursday: 10.30 Unloading in Tampere 12.00 Unloading in Mänttä 14.30 Unloading in Vaajakoski 15.30 Unloading in Äänekoski

Vaasa

Jyväskylä Mänttä

Tampere

Turku

HELSINKI

OSLO

Stockholm

Nyköping Linköping Göteborg Jönköping

Halmstad

Kristianstad Malmö Ystad

23

We’re sending Johnny.

Our goal is that you as our customer experience the transport of your goods as simply as possible.

That’s why we include so much more than just the transport, and you can reach us whenever you need.

We are always at hand, around the clock, and with us you get your very own contact person - Someone who makes your dealings with us smooth, personal and safe. We have decided to call him Johnny.

But it might just as well be Carina at the front office or Magnus who is our transport manager. Their main focus is your unique transport. All of us at Scandic Trans are your Johnnys - every day of the week.

No problem, we’re sending Johnny.

North European carrier with strong specialist areas www.scandictrans.fi +358 20 120 2500