United States 

Department of 

Agriculture 

Impact of Timber Production 

Forest Service and Transport Costs on Stand 

Northeastern Forest 

Experiment Station Management 

Research Paper NE-612 

Chris B. LeDoux 
Abstract 

Decisions to manage immature eastern hardwood stands on steep terrain must be 

based on an understanding of the impact of timber production costs on optimal 

rotation length and present net worth. Planners and managers can make improved 

decisions by knowing how the interaction of timber production and transportation 

costs affect individual stand management. Simulations with a complete systems 

model indicate that managers and planners must consider cable logging technology, transportation network standards, and transport vehicles. 

The Author 

Chris B. LeDoux is an industrial engineer and Project Leader with the Northeastern Forest Experiment Station, Morgantown, West Virginia. 

Manuscript received for publication 16 December 1987 

Northeastern Forest Experiment Station 

370 Reed Road, Broomall, PA 19008 

April 1988 
Introduction 

Interest in promoting management of immature eastern 

hardwood stands has increased (USDA 1981, Smith and 

Eye 1986). The efficient management of eastern hardwood 

stands located on steep terrain depends on logging and 

processing technology, current and future market demands 

and prices for hardwood products, stand growth and yield 

response, stand composition, and landowners objectives. 

Decisionmakers must know which stand and harvesting variables affect costs and benefits and understand how these 

variables interact for a particular management plan. They 

must be able to develop a financially sound plan that 

accounts for the short- and long-term effects of individual 

silvicultural treatments. Finally, decisionmakers must be 

abreast of logging technology, transportation networks, and 

transport vehicles. The choice of logging equipment will 

constrain stand management significantly. 

In this article, the impact of cable logging technology, 

transportation network standards, and transport vehicles on 

stand management is evaluated with a complete systems 

simulation model called MANAGE (LeDoux 1986). The 

results can be used to help planners and managers understand the impact of timber production costs on eastern 

hardwood management. 

Cable Logging Technology 

The initial entry into a young stand is difficult financially. 

The low volumes and value removed per acre generally 

make thinnings and cleanings impractical. However, 

improvement cleanings and thinnings must be done early in 

the life of the stand to fully capture the benefits of thinning 

(Marquis 1986, Dale and Hilt 1986). It is desirable that product and volumes removed during early thinnings include 

related logging costs. It is important to match logging technology to initial entry conditions to ensure financially feasible short-term outcomes (LeDoux and Brodie 1982, LeDoux 

1 986). 

For example, Table 1 shows the present net worth derived 

from thinning a 40-year-old red and white oak stand with 

three different machine configurations. The Ecologger I is a 

medium-sized cable yarder capable of handling small and 

large logs. The Radio Horse 9 prebunching winch is small 

and designed for handling small logs. The Bitterroot cable 

Table 1.-Hawesting by different machine configurations 

for the initial entrya 

Machine Stump-to-landing Present net 

configuration cost worth 

------------ Dollarslacre ------------ 

Prebunching 

Radio Horse 9 408.06 -78.32 Swinging Bitterroot 

Yarding Ecologger I 338.54 -8.80 

Yardina Bitterroot 313.69 16.05 

aConditions-Forest model plot No. 3; age, 40; site index, 

70; treedacre, 201; stand composition, red and white oak; 

basal area, 81.3; volume/acre, 1,945 ft3 (Smalian's method); 

average stand d.b.h., 7.4; volume cutlacre, 978 ft3; firewood 

value, $329.74lacre; wood sold as firewood at roadside, 

$30.00/cord; real interest rate, 4%. 

yarder is a small yarder capable of handling small logs. The 

three logging systems differ in initial investment costs as 

well as in the size of crews required. For example, the prebunching winch would require two people, the small Bitterroot two people, and the medium-sized Ecologger I a crew 

of three or four.' 

Although prebunching small logs to increase the efficiency 

of the swing machine is generally desirable (LeDoux and 

Butler 1982), prebunching logs with the Radio Horse 9 and 

swinging them with the small Bitterroot yarder would be 

very expensive and result in losses of $78.32 per acre. The 

prebunch and swing cost is high because the limited capacity of the Bitterroot Yarder is not improved by bunching. 

Using the medium-sized Ecologger I yarder to log this scenario would be expensive and result in losses of $8.80 per 

acre. Using the small Bitterroot to yard the small logs and 1 

volumes would result in net gains of $16.05 per acre. Thus, 

the short-term goal of thinning to clean the stand and I 

recover logging costs can be met by using the Bitterroot 

yarder. The long-term benefits of thinning evolve over time 

and are not addressed here. Careful selection and matching 

of cable logging technology to initial stand entry can 

achieve both short- and long-term stand management 

objectives. 

'The use of trade, firm, or corporation names in this publication is for the information and convenience of the 

reader. Such use does not constitute an official endorsement or approval by the U.S. Department of Agriculture or the Forest Service of any product or service to the 

exclusion of others that may be suitable. 
Table 2.-Simulated optimal rotation length and present net worth by road and truck 

class and hauling distancea 

Road class 2; truck class 1 Road class 3; truck class 3 

Haul Optimal Present Optimal Present 

distance rotation net worth rotation net worth 

(miles) 

- 

Years Dollarslacre - Years Dollarslacre 

aConditions-Forest model plot No. 3; age, 40; site index, 70; treeslacre, 55; average 

stand d.b.h., 11.2 inches; volume/acre, 966 ft3 (Smalian's method); real interest rate, 4%. 

Haul Distance and Transportation Network 

Managers also must consider the haul mileage, transportation network, and vehicles from stump-to-mill. The distance 

that products must be hauled from stump-to-mill will have 

an impact on the way a stand is managed. The road standards and vehicles used for transporting products will impact 

stand management significantly. 

In the previous discussion of cable logging technology, the 

products from the thinning were sold as firewood at roadside. Transporting them to a mill site would not be economical. The residual stand products-sawlogs-would be 

transported to a mill at final harvest. The residual stand 

growth and development were simulated using MANAGE. 

Table 2 shows the optimal (maximum present net worth) 

rotation length and related present net worth by truck and 

road class, and haul mileage for the residual stand. 

On road class 2 and 3 a loaded log truck can achieve 

speeds of 35 and 25 miles per hour, respectively. Truck class 

1 is a truck tractor, 6x4, tandem axle with tandem 30- to 35- i 

foot trailer and an additional 15- to 20-foot trailer. Truck 

class 3 is a truck tractor, 4x2, single axle with tandem trailer. 

Gross vehicle weights are 105,000 and 59,000 pounds, 

respectively, for truck class 1 and 3. 
Figure 1 shows the difference in present net worth per acre 

for transporting products with alternate road and truck class 

configurations. In all situations, present net worth decreases 

as haul mileage increases. Present net worth dramatically 

decreases the farther products are transported on poorer 

roads with smaller trucks. For example, the difference in 

present net worth at 15 miles from the mill is $59.87 per acre 

(Fig. I), while the difference at 105 miles from the mill is 

$327.29 per acre or a 547 percent increase. Haul mileage 

and road and truck class also affect optimal rotation age. 

Managers may use the data in Table 2 to form management 

contours by haul distance and road and truck class configurations. Accordingly, Figures 2 and 3 show management 

zones or contours for a hypothetical woodshed. Clearly, the 

advantage of better roads and larger capacity trucks is 

demonstrated with optimal rotations of 90 years from the 

mill out to 65 miles and 100-year rotations to the back 

reaches of the woodshed (Fig. 2). By contrast, smaller 

trucks on poorer roads dictate longer and longer rotations 

for stands that are far away from the mill (Fig. 3). 

It is imperative that planners and managers account for 

transportation costs in stand management objectives. For 

example, if a planner assumed transportation to take place 

over good roads with large trucks for the 175-mile distance, 

present net worth would be $398.59 per acre. However, if 

the products from the future stand were hauled on poor 

roads and with small trucks, the present net worth per 

acre would be $44.73, a loss of $353.86 per acre. 

HAUL DISTANCE FROM MILL (Miles) 

Figure 1 .-Simulated present net worth by haul distance and road and truck class 

combinations. 
Figure 2.-Simulated management zones or contours for a hypothetical woodshed by hauling distance to a mill. Conditions: road class 2, truck 

class 1. 

Considerations for Managers 

Simulations presented here demonstrate the impact that 

timber production costs have on eastern hardwood management. How to manage a specific stand depends on the 

interaction of logging equipment, transportation networks, 

and transport vehicles, and how these variables directly 

affect optimal rotation length and related present net worth. 

The costs of timber production severely influence forest 

management prescriptions over the entire rotation period. 

Failure to consider logging and transportation costs may 

result in suboptimal decisions. Planning and analysis projections may represent gross errors in rotation and present 

net worth yields. Decisionmakers need to consider future 

products and the method of merchandising. Managers may 

wish to develop management zones or contours that 

Figure 3.-Simulated management zones or contours for a hypothetical woodshed by hauling distance to a mill. Conditions: road class 3, truck 

class 3. 

account for logging technology and transportation costs. 

Failure to do so could result in costly decisions based on 

erroneous projections. 

Although this work was based on data from one forest 

model plot and one tree distribution, similar analyses could 

be conducted for other conditions by simply making more 

simulation runs. For example, the results in Figures 2 and 3 

are based on identical stands, site quality, species, and the 

use of logging technology as opposed to conventional 

ground-based logging technology. In the applied setting, 

this is usually not the situation as sites and species vary, as 

well as logging technology. It is beyond the scope of this 

article to deal with all aspects of stand management, and it 

is not envisioned that such results as those summarized 

here will provide all the answers. 
Literature Cited 

Dale, E.M.; Hilt, D.E. 1986. Thinning pole and small sawtimber mixed oak stands. In: Smith, H. Clay; and Eye, 

Maxine, C., eds. Guidelines for managing immature 

Appalachian hardwood stands: Workshop proceedings; 

1986 May 28-30; Morgantown, WV. SAF Publ. 86-02. 

Morgantown, WV: West Virginia University Book: 99-1 17. 

LeDoux, C.B.; Butler, D.A. 1982. Prebunching? Results from 

simulation. Journal of Forestry. 80(2):79-82. 

LeDoux, C.B.; Brodie, J.D. 1982. Maximizing financial yields 

by integrating logging and silvicultural techniques. Journal of Forestry. 80(11):717-720. 

LeDoux, C.B. 1986. MANAGE: A computer program to 

estimate costs and benefits associated with eastern 

hardwood management. Gen. Tech. Pap. NE-112. Broomall, PA: US. Department of Agriculture, Forest Service, 

Northeastern Forest Experiment Station. 7 p. 

Marquis, D.A. 1986. Thinning Allegheny hardwood pole and 

small sawtimber stands. In: Smith, H. Clay; and Eye, 

Maxine C., eds. Guidelines for managing immature 

Appalachian hardwood stands: Workshop proceedings; 

1986 May 28-30; Morgantown, WV. SAF Publ. 86-02. 

Morgantown, WV: West Virginia University Book: 68-84. 

Smith, H. Clay; Eye, Maxine C.; eds. 1986. Guidelines for 

managing immature Appalachian hardwood stands: 

Workshop proceedings; 1986 May 28-30; Morgantown, 

WV. SAF Publ. 86-02. Morgantown, WV: West Virginia 

University Book. 283 p. 

U.S. Department of Agriculture. 1981. Proceedings of the 

national silviculture workshop on hardwood management; 1981 June 1-5; Roanoke, VA. U.S. Department of 

Agriculture, Forest Service, Timber Management, 

Washington, D.C. 304 p. 

LeDoux, Chris B. 1988. Impact of timber production and transport costs on 

stand management. Res. Pap. NE-612. Broomall, PA: U.S. Department 

of Agriculture, Forest Service, Northeastern Forest Experiment 

Station. 5 p. 

Evaluates the impact of cable logging technology, transportation network 

standards, and transport vehicles on stand management. Managers can use 

results to understand the impact of timber production costs on eastern 

hardwood management. 

Keywords: Cable logging; stand management. 

5 

bU. S. GOVERNMENT PRINTING OFFICE: 1988/548-066/60013 

- - 
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