Current issue: 53(2)

Under compilation: 53(3)

Impact factor 1.683
5-year impact factor 1.950
Silva Fennica 1926-1997
1990-1997
1980-1989
1970-1979
1960-1969
Acta Forestalia Fennica
1953-1968
1933-1952
1913-1932

Articles containing the keyword 'long-distance transportation'.

Category: Research article

article id 177, category Research article
Tuomo Nurminen, Heikki Korpunen, Jori Uusitalo. (2009). Applying the activity-based costing to cut-to-length timber harvesting and trucking. Silva Fennica vol. 43 no. 5 article id 177. https://doi.org/10.14214/sf.177
The supply chain of the forest industry has increasingly been adjusted to the customer’s needs for precision and quality. This has changed the operative environment both in the forest and on the roads. As the total removal of timber is increasingly divided into more log assortments, the lot size of each assortment decreases and the time consumed in sorting the logs increases. In this respect, the extra assortments have made harvesting work more difficult and affected the productivity of both cutting and forest transport; this has thus increased the harvesting costs. An activity-based cost (ABC) management system is introduced for timber harvesting and long-distance transport, based on the cut-to-length (CTL) method, in which the logistic costs are assigned to timber assortments and lots. Supplying timber is divided into three main processes: cutting, forest transport, and long-distance transportation. An ABC system was formulated separately for each of these main operations. Costs were traced to individual stands and to timber assortment lots from a stand. The cost object of the system is thus a lot of timber that makes up one assortment that has been cut, forwarded, and transported from the forest to the mill. Application of the ABC principle to timber harvesting and trucking was found to be relatively easy. The method developed gives estimates that are realistic to actual figures paid to contractors. The foremost use for this type of costing method should be as a tool to calculate the efficiency of an individual activity or of the whole logistic system.
  • Nurminen, Metsätoimisto Tuomo Nurminen, Joensuuntie 5 B 8, FI-41800 Korpilahti, Finland ORCID ID:E-mail:
  • Korpunen, Finnish Forest Research Institute, Parkano Research Unit, Kaironiementie 54, FI-39700 Parkano, Finland ORCID ID:E-mail:
  • Uusitalo, Finnish Forest Research Institute, Parkano Research Unit, Kaironiementie 54, FI-39700 Parkano, Finland ORCID ID:E-mail:

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