In this study a formula has been developed to describe the influence of the change of cost level on such a mechanization prognosis, where is assumed that wages and machine costs bear compound interest. In the study there are some numerical examples.
In the formula p1 = annual per cent increase of wages, p3 = annual per cent increase of machine costs, p2 = sudden and incident per cent increase of machine costs, and tv = delay in the profitability of mechanization.
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In 1957 the annual cuttings in Finland were 40.2 million m3 without bark. The aim of the study was to estimate the rate of mechanization of harvesting of timber in Finland, and make a prediction of the state of mechanization by 1972. According to the study, harvesting and transportation of the felling volume in 1957 would have required about 25.5 million working hours. Mechanization of forest work has decreased it only by 0.32 million working hours. The profitability of forest work has improved in 1950s, which is mainly due to changes in harvesting, such as shifting to longer lengths of pulpwood and props and cutting unbarked timber.
The study predicts that in 1972 it will take 14.8 million working hours to harvest and 5.4 million working hours to transport a corresponding felling volume as in 1957. However, a new way of producing timber or a working method of wood may change the picture completely. Reduction in harvesting expenses through mechanization may lead to diminishing the minimum diameter of logs, which affects profitability of work. It is also probable that mechanization of wood transportation will lead to working sites with longer distances of forest transportation. Also, industry using wood as raw material will also obviously expand.
The article includes a summary in English.