1. Stellenbosch University Department of Forest and Wood Science South African Forestry Operations Outlook – the human factor as the major challenge for mechanization and outsourcing in our industry D. Längin, October 2008

2. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 2 Status quo – 2008 ● Status quo – 2008 Where are we heading? ● Where are we heading? Discussion and conclusion ● Discussion and conclusion Overview

3. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 3 Forest production factors [Heinimann, 2000]

4. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 4 Harvesting methods/systems in SA [Warkotsch, 1986]

5. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 5 Harvesting Systems in SA 2007 [Längin, Oberholzer, Ackerman, 2007]

6. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 6 Mechanization in SA ? ? Mechanization in % South Africa Central Europe Scandinavia South Africa

7. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 7 The Vision Vision of future semi-automated logging systems [Fryk & Kaarnametsa]

8. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 8 Outsourcing of operations in SA % of outsourcing in South Africa [Längin & Ackerman, 2007]

9. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 9 FTS 2007 survey results Most pressing challenges and problems from a contractor perspective: A. Rates, contracts, negotiation & costing B. Relationship grower & contractor C. Growers’ problems effecting contractors’ operational aspects D. Labour & workforce

10. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 10 The biggest challenge – labour [Längin & Ackerman, 2007]

11. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 11 Aldhouse, P. 2007, HIV’s killing fields. New Scientist 195(2612): 6-9 HIV infection in Africa

12. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 12 Strategic questions 1.Who will log in future? (Outsourcing versus own operations) 2.Mechanization of forest operations? 3.Human aspects? (workforce, land ownership, social responsibility)

13. Stellenbosch University Department of Forest and Wood Science Where are we heading?

14. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 14 Delphi study 2008 Delphi study: A. Research and development needs in SA B. Past and future drivers of change in FE C. Future harvesting systems in SA D. Future developments in outsourcing

15. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 15 Change factors in SA forestry until 2020 Environmental Climate Change Certification Water Issues Economical Fuel costs Cost of labour and contractors Timber price Policy Land Reform Role of Government in the sector (DWAF) Labour related aspects (e.g. wages) Socio/cultural HIV & Aids Labour availability Poverty & unemployment Technological Mechanization of operations New Technology (e.g. ICT, remote sensing) Productivity improvement

16. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 16 FE change factors during last 10 years South AfricaInternational 1 – factor of highest importance

17. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 17 FE change factors over next 10 years South Africa International 1 – factor of highest importance

18. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 18 Mechanization – when? When will mechanization in forestry operations become dominant in SA?

19. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 19 Impact of mechanization? What will be the impact of mechanization on..

20. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 20 Required action for mechanization Action required to make mechanization work in SA? [1 – highest importance]

21. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 21 Outsourcing trends % of outsourcing in South Africa

22. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 22 How will the role of harvesting and transport contractors evolve during the next decade? Developments in outsourcing

23. Stellenbosch University Department of Forest and Wood Science Conclusion

24. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 24 Human challenges for mechanization Productivity drivers in mechanized harvesting systems: compartment conditions (e.g. slope) tree size.. operator skills operations management

25. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 25 Education, training and skills.. Foresters : ● Harvest planning for mechanized operations ● Management of contractors ● Harvesting Systems costing Forest Contractor : ● Contractors mind shift required (from manual to mechanized operations management) ● Sound operator training approach ● Active and improved management of productivity drivers ● Shift systems design ● Remuneration of operators Machine operators : ● High skills level required for machine operators ● Operator wellness

26. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 26 7 April 2015NAME OF PRESENTATION Single shifts Multiple shifts –Better utilisation of capital, but the number of shifts in 24 hours is the big question? –Nightshift – productivity 50% below day shift (SA Mining research) Split shift (two operators sharing one shift) –higher labour costs –20% higher production (Canadian research) Job rotation –Taking responsibility for own work quality, e.g. Harvester / Forwarder Shift systems design

27. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 27 Outsourcing of operations Human resource / labour force Forest Contractor Forest Grower control regulate deliver - Research - Innovation - Development - Training

28. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 28 How to meet current challanges Invest in innovative harvesting systems and encourage contractors to buy in. Own operations.. Improve harvest planning. Match harvesting systems with logging chance factors (not the other way round). Take responsibility and initiative to reinstate Forest Engineering research, development & capacity building in South Africa.

29. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 29 How to meet current challanges Encourage application of technological advanced innovations in forest operations. Reassess productivity in current operations. Ensure a sound understanding of productivity and cost drivers in mechanized operations. Ergonomics and labour aspects (wages, health and safety, training & skills development) Focus on improving the supply chain, from stump to mill.

30. y o u r k n o w l e d g e p a r t n e r D. Längin, October 2008 30 Thank You !