2004_2_Daimler Supplier Magazine_eng

Transcription

gs 0204 engl..b 18.06.2004 11:20 Uhr Seite 32
2nd Quarter 2004
GlobalSupplier
Together in Success
Global Supplier
An Extended Enterprise® Magazine
for DaimlerChrysler suppliers
and associates
2nd Quarter 2004, No.18
Published by DaimlerChrysler
Responsible for Content: Claudia Dautermann,
GP & S/PCom, Hauspostcode G 356, DaimlerChrysler,
71059 Sindelfingen, Germany
Phone +49(70 31) 90-8 87 04, Fax +49 (70 31) 90-4 51 06
claudia.dautermann@daimlerchrysler.com
Your contacts around the world
South Africa: DaimlerChrysler South Africa (Pty) Ltd.,
Donna Mhlanga, PO Box 671, East London 5200,
South Africa
Phone +27 (43) 7 06-28 80, Fax +27 (43) 7 06-25 54,
donna.mhlanga@daimlerchrysler.com
U.S.A.: DaimlerChrysler Corporation,
Irina Jamison, OSB/COM
CIMS 484-06-15, Auburn Hills MI USA, 48326-2527,
Phone +1 (248) 5 76-32 59, Fax +1 (248) 5 76-21 93,
is17@daimlerchrysler.com
Brazil: DaimlerChrysler do Brasil Ltda.,
Magdalena Thaler Cuevas, Av. Alfred Jurzykowski,
562, Cep. 09680-900, São Bernardo do Campo – SP,
Pool-ID InteracaoPremio@WK-AMERICA2
Global Supplier is published on a regular
basis and is available free of charge. You
can subscribe to it through the DaimlerChrysler Supplier Portal. To subscribe, go
to http://daimlerchrysler.covisint.com
(k Home k Global Supplier k Online
Abonnement).
Editor: Hans-Jürgen Mülln
Editorial direction: Christiane Morys
Layout: Désirée von Seld (Art Direction)
for DaimlerChrysler suppliers and associates
Editorial office and design:
CD Communication GmbH,
Hanauer Landstraße 135-137,
60314 Frankfurt am Main,
www.cdcommunication.de
Editorial staff: Laurens Breurkens, Claudia Dautermann, Günter Fabricius, Andrea Geyer, Irina Jamison,
Simone Kloppenburg, Tina Lösch, Julie Rogier, Silke
Rommel, Monica Schmickler, Sabine Schulz, Heike
Schulze, Christoph Starzynski, Karin Trüg
Photo credits: DaimlerChrysler, Studio für professionelle Fotografie K. D. Busch (Stuttgart, Germany)
Printing: Reichert GmbH, Druck + Kommunikation,
70806 Kornwestheim, Germany
Connecting Buyers
IPS Opens Horizons
On the way toward becoming a globally integrated
purchasing organization for non-production materials,
International Procurement Services (IPS) has taken
an important step: since March 1, IPS has been
implementing its new “Global NPM Network” (“GNN”)
model. For a report on this latest move at IPS, see
pages 4 to 7.
2
Global
Contents
Editorial
Global
Cover Story
4 IPS: Global NPM Network (GNN)
Connecting Buyers – IPS Opens Horizons
Interview
8 GP&S: Talking to Thomas W. Sidlik
“The Road to 2007”
Forum
10 POSA: Extended Enterprise® Supplier Evening
in Taiwan
An Evening of Getting to Know Each Other
11 CVD: Atego 2/Axor 2 Supplier Conference
“A Huge Challenge”
Project
14 CVD: Global Steering Wheel Project
All Behind One Wheel
Company
16 MCG/CVD/Chrysler Group: Customer Specific
Requirements ISO/TS 16 949:2002
More Than Just The Fine Print
News
19 IPS: eShop
Award for a Well-Designed Application
DaimlerChrysler Integrity Code
Integrity in Business Relationships
USA
Collaboration
20 Chrysler Group
Partnership for the Environment Provides Value
to the Supply Chain
Process
22 Chrysler Group: “Flexible Effectivity”
Process Improvement Allows for Earlier Validation of New Vehicles
Europe
Project
24 MCG: R 171 Product Project
As Strong as an Espresso
Forum
27 MCG: Forums for BR 221 and BR164/251
Let’s Get Ready!
Collaboration
30 IPS/PP: Procurement Market Investigation –
Production Service Providers
Moving Up to the Major League
3
Winning Together,
Winning Globally
To our Readers,
The vision at Global Procurement & Supply,
to shape the world’s most effective supply
network, is becoming more and more concrete. In this issue of Global Supplier you
will find a series of outstanding examples
from the different DaimlerChrysler business
units. These articles demonstrate how, together, we can make our vision a reality.
International Procurement Services (IPS):
Included here is information about the decision made last January to further develop the
organization and globally expand the reach
of International Procurement Services as a
key part of the Global NPM Network (GNN).
Since July 2002, IPS has continuously and
consistently moved forward in expanding its
global responsibilities to create a globally
integrated purchasing organization for nonproduction materials. These important efforts are almost complete and are bringing
us significantly closer to realizing our vision.
Commercial Vehicle Division: The report on
the Atego 2/Axor 2 supplier conference
clearly shows that the Commercial Vehicles
Division is also moving forward in its internationalization of cooperative projects. The
updated Atego 2/Axor 2 models will be produced as “global products” in an alliance between plants in Germany, Brazil and Turkey.
This project is an important milestone for the
European/Latin American truck business
With this issue of Global Supplier magazine you also received the Extended Enterprise® brochure. Extended Enterprise®
is our Supplier Cooperation Program.
DaimlerChrysler has recently evolved this
program in response to the challenges of
the marketplace. We have established a
clear focus on performance. Performance
is the basis for a global cooperation between DaimlerChrysler and its suppliers.
units (Mercedes-Benz) on their way to forming a global alliance with the Commercial
Vehicles Division.
Commercial Vehicle Division launches in
2004 also include the new Thomas Built
Buses, and the model refinement of the
Freightliner “Business Class” vehicle.
Mercedes Car Group: An article about the
product offensive at the Mercedes Car Group
includes details of the exciting new SLK
roadster, which is already on the market.
Still to come in 2004 are the launches of the
new A-Class and the CLS.
Chrysler Group: 2004 is the year of “People,
Pride and Product” at Chrysler Group. By
the end of this year, Chrysler Group will have
launched the following 9 new products:
1. Chrysler 300
2. Chrysler Crossfire Roadster
3. Chrysler PT Cruiser Convertible
4. Chrysler Town & Country and Dodge
Caravan
5. Jeep® Wrangler Unlimited
6. Jeep® Grand Cherokee
7. Dodge Magnum
8. Dodge Dakota
9. Dodge Ram SRT-10
These projects pursue ambitious objectives
whose significance cannot be overestimated.
Our new projects will continue to set the
standards in their market segments.
What does all this activity mean for Global
Procurement and Supply, and what does this
mean for you as our supply partner? With the
considerable number of new or updated product launches, the focus is to join together to
deliver performance and quality on a global
basis. Throughout the DaimlerChrysler supply base, our expectations are as high as the
tremendous opportunities.
Extremely important to our efforts are direct
communication and cooperative discussions
with our supply partners. I am firmly convinced that these open lines of communication will lead to success. So, be actively
engaged, and take advantage of the opportunities available to you. Let us win together;
let us win globally.
I kindly ask you to take the time to
review the new Extended Enterprise®
program. Additional information can
be found on the Internet at:
http://daimlerchrysler.covisint.com
Thomas W. Sidlik
Member of the Board of Management
Executive Vice President
Global Procurement and Supply
DaimlerChrysler AG
2
Global
Contents
Editorial
Global
Cover Story
4 IPS: Global NPM Network (GNN)
Connecting Buyers – IPS Opens Horizons
Interview
8 GP&S: Talking to Thomas W. Sidlik
Forum
10 POSA: Extended Enterprise® Supplier Evening
in Taiwan
An Evening of Getting to Know Each Other
11 CVD: Atego 2/Axor 2 Supplier Conference
Project
14 CVD: Global Steering Wheel Project
Company
16 MCG/CVD/Chrysler Group: Customer Specific
News
19 IPS: eShop
Award for a Well-Designed Application
USA
Collaboration
20 Chrysler Group
Partnership for the Environment Provides Value
to the Supply Chain
Process
22 Chrysler Group: “Flexible Effectivity”
Process Improvement Allows for Earlier Validation of New Vehicles
Europe
Project
24 MCG: R 171 Product Project
Forum
27 MCG: Forums for BR 221 and BR164/251
Let’s Get Ready!
Collaboration
30 IPS/PP: Procurement Market Investigation –
Moving Up to the Major League
3
Winning Together,
Winning Globally
To our Readers,
The vision at Global Procurement & Supply,
to shape the world’s most effective supply
network, is becoming more and more concrete. In this issue of Global Supplier you
will find a series of outstanding examples
from the different DaimlerChrysler business
units. These articles demonstrate how, together, we can make our vision a reality.
International Procurement Services (IPS):
Included here is information about the decision made last January to further develop the
organization and globally expand the reach
of International Procurement Services as a
key part of the Global NPM Network (GNN).
Since July 2002, IPS has continuously and
consistently moved forward in expanding its
global responsibilities to create a globally
integrated purchasing organization for nonproduction materials. These important efforts are almost complete and are bringing
us significantly closer to realizing our vision.
Commercial Vehicle Division: The report on
the Atego 2/Axor 2 supplier conference
clearly shows that the Commercial Vehicles
Division is also moving forward in its internationalization of cooperative projects. The
updated Atego 2/Axor 2 models will be produced as “global products” in an alliance between plants in Germany, Brazil and Turkey.
This project is an important milestone for the
European/Latin American truck business
With this issue of Global Supplier magazine you also received the Extended Enterprise® brochure. Extended Enterprise®
is our Supplier Cooperation Program.
DaimlerChrysler has recently evolved this
program in response to the challenges of
the marketplace. We have established a
clear focus on performance. Performance
is the basis for a global cooperation between DaimlerChrysler and its suppliers.
units (Mercedes-Benz) on their way to forming a global alliance with the Commercial
Vehicles Division.
Commercial Vehicle Division launches in
2004 also include the new Thomas Built
Buses, and the model refinement of the
Freightliner “Business Class” vehicle.
Mercedes Car Group: An article about the
product offensive at the Mercedes Car Group
includes details of the exciting new SLK
roadster, which is already on the market.
Still to come in 2004 are the launches of the
new A-Class and the CLS.
Chrysler Group: 2004 is the year of “People,
Pride and Product” at Chrysler Group. By
the end of this year, Chrysler Group will have
launched the following 9 new products:
1. Chrysler 300
2. Chrysler Crossfire Roadster
3. Chrysler PT Cruiser Convertible
4. Chrysler Town & Country and Dodge
Caravan
5. Jeep® Wrangler Unlimited
6. Jeep® Grand Cherokee
7. Dodge Magnum
8. Dodge Dakota
9. Dodge Ram SRT-10
These projects pursue ambitious objectives
whose significance cannot be overestimated.
Our new projects will continue to set the
standards in their market segments.
What does all this activity mean for Global
Procurement and Supply, and what does this
mean for you as our supply partner? With the
considerable number of new or updated product launches, the focus is to join together to
deliver performance and quality on a global
basis. Throughout the DaimlerChrysler supply base, our expectations are as high as the
tremendous opportunities.
Extremely important to our efforts are direct
communication and cooperative discussions
with our supply partners. I am firmly convinced that these open lines of communication will lead to success. So, be actively
engaged, and take advantage of the opportunities available to you. Let us win together;
let us win globally.
I kindly ask you to take the time to
review the new Extended Enterprise®
program. Additional information can
be found on the Internet at:
http://daimlerchrysler.covisint.com
Thomas W. Sidlik
Member of the Board of Management
Executive Vice President
Global Procurement and Supply
DaimlerChrysler AG
4
Global
Cover Story
5
IPS Global NPM Network (GNN)
The modified Lead Buying organization at GNN
North America
International Procurement Services (IPS) is moving toward becoming a globally integrated purchasing organization for non-production materials. In mid-2003, with the agreement of the Executive Automotive Committee
(EAC), efforts got underway for closer worldwide networking of IPS with the purchasing organizations in the
global business units of DaimlerChrysler and FUSO. The result: the new “Global NPM Network” or “GNN.” This
year, the new concept is being implemented in stages. Klaus Saalmann, head Global Procurement Integration,
spoke with us about its objectives.
Europe/South America/
South Africa
Global Savings
Global
Commodity
Lead
Connecting Buyers
IPS Opens Horizons
IPS has consistently expanded its global responsibilities with
the aim of becoming a globally integrated purchasing organization for non-production materials.* This is the foundation for
launching the new “Global NPM Network” (GNN). It represents
a merging and further development of already existing internationally operating networks for procurement of non-production
materials by DaimlerChrysler.
Local
Commodity
Autonomy
MBE
GNN concept were able to benefit from a wealth of experience,
along with the vast skill and expertise of the buyers who had
experience in the previous purchasing networks. “The concept
is a joint effort. We’ve worked out a definition for how it all
should function. Now we’re going to prove that a network
structured in such a way can really work.”
creates new potential in order to generate benefits in both
quantity and quality. In addition to targeted 2006 cost savings, Global Lead Buying
the concept is intended to bring about clear improvements in
the quality, technology and supply areas. “In terms of the ambitious objectives that we’ve set for ourselves over the coming
years, our previous globally active networks have reached their
limits,” Saalmann stated, explaining the need for this “great
leap forward.”
North America
South Africa
Savings Teams
Asia/Pacific
Global
Commodity Lead
Regional
Commodity Lead
Local Commodity
Autonomy
* See also Global Supplier, 4th Quarter 2002, Issue No. 12,
pp. 4-7.
Regional Savings
IPS AH
MBUSA
MBUSI
FTL
DC Mex
DCAuP
DC Brazil
DCSA
A Joint Model for a Common Effort The developers of the
A Great Leap Forward GNN bundles business volumes and
The Cornerstones In a purchasing network consisting of
12 purchasing organizations controlling complexity will
be a major issue. To meet the challenge, such a network must
remain focused on common objectives. Personnel must be
committed and disciplined. The connection on a technical level
between DC’s nationally based companies and IPS is thus only
one aspect of this organization. Effective cooperation is measured by four organizational cornerstones: a jointly run LeadBuying Organization, savings teams and, where appropriate,
standardized processes as well as a common processes for
target commitments and controlling processes with the help
of a globally applicable Balanced Scorecard.
MFTBC
IPS STR
DDC
Regional
Commodity
Lead
Asia/Pacific
Driving factors
Commodity strategy
Common commodity code
Supplier management
iBSC
Local targets
e-Business
Skill management
GNN targets
IPS Auburn Hills
Detroit Diesel Corp. (DDC)
MBUSA (sales organization)
MBUSI (Standort Tuscaloosa)
Freightliner Trucks (FTL)
DaimlerChrysler Mexico (DCMex)
IPS Stuttgart
Mercedes-Benz Spain (MBE)
DaimlerChrysler Brazil (DCBrazil)
DaimlerChrysler South Africa (DCSA)
Modified Lead-Buying To increase the focus on generating
cost savings, the new concept provides for a modification of
the existing Lead-Buying Organization. This modification takes
the different characteristics of commodity groups into account.
In addition to the existing Global Commodity Lead and Local
Commodity Autonomy, the Regional Commodity Lead has been
introduced. Those in charge expect this special move to expand potentials to a great degree. “There’s a whole series of
commodity groups that are not produced on the global or local
level but can still be bundled effectively on the regional level.
An example of this would be construction services in the
NAFTA zones,” Saalmann explained. In light of this, the following three regions were formed:
■ North America
■ Europe, which, due to product relationships, also includes
South America and South Africa
■ Asia/Pacific, including Australia.
Mitsubishi Fuso Truck & Bus Corp. (MFTBC)
DaimlerChrysler Australia/Pacific (DCAuP)
GAIN (“Global and Integrated NPM Network”) Teams
Support the Launch Implementation of the Lead-Buying
Organization, which is mandatory for all locations, is now
being supported by 23 “GAIN Teams” with international membership. The former PIC teams (Permanent International
Commodity Teams)** have been incorporated into these new
GAIN teams. Since March 1, in a “first wave” of examinations,
the GAIN teams have been working on increasing savings in
selected commodity groups. This is an intermediate step that
will help the Lead-Buying Organization to achieve its goals and
also bring about cost savings over the shorter term. In this
next wave beginning in mid 2004, additional GAIN teams will
take a closer look at further commodity groups. The new
organization greatly benefits from its members’ previous activities throughout the global network, and will be continuously
improved.
etc.
Common Processes
Balanced Scorecard
** See also Global Supplier, 1st Quarter 2001, Issue No. 5,
European edition, p. 14.
Local Savings
4
Global
Cover Story
5
The modified Lead Buying organization at GNN
North America
International Procurement Services (IPS) is moving toward becoming a globally integrated purchasing organization for non-production materials. In mid-2003, with the agreement of the Executive Automotive Committee
(EAC), efforts got underway for closer worldwide networking of IPS with the purchasing organizations in the
global business units of DaimlerChrysler and FUSO. The result: the new “Global NPM Network” or “GNN.” This
year, the new concept is being implemented in stages. Klaus Saalmann, head Global Procurement Integration,
spoke with us about its objectives.
South Africa
Global Savings
Global
Commodity
Lead
Connecting Buyers
IPS Opens Horizons
IPS has consistently expanded its global responsibilities with
the aim of becoming a globally integrated purchasing organization for non-production materials.* This is the foundation for
launching the new “Global NPM Network” (GNN). It represents
a merging and further development of already existing internationally operating networks for procurement of non-production
materials by DaimlerChrysler.
Local
Commodity
Autonomy
MBE
GNN concept were able to benefit from a wealth of experience,
along with the vast skill and expertise of the buyers who had
experience in the previous purchasing networks. “The concept
is a joint effort. We’ve worked out a definition for how it all
should function. Now we’re going to prove that a network
structured in such a way can really work.”
creates new potential in order to generate benefits in both
quantity and quality. In addition to targeted 2006 cost savings, Global Lead Buying
the concept is intended to bring about clear improvements in
the quality, technology and supply areas. “In terms of the ambitious objectives that we’ve set for ourselves over the coming
years, our previous globally active networks have reached their
limits,” Saalmann stated, explaining the need for this “great
leap forward.”
North America
South Africa
Savings Teams
Asia/Pacific
Global
Commodity Lead
Regional
Commodity Lead
Local Commodity
Autonomy
* See also Global Supplier, 4th Quarter 2002, Issue No. 12,
pp. 4-7.
Regional Savings
IPS AH
MBUSA
MBUSI
FTL
DC Mex
DCAuP
DC Brazil
DCSA
A Joint Model for a Common Effort The developers of the
A Great Leap Forward GNN bundles business volumes and
The Cornerstones In a purchasing network consisting of
12 purchasing organizations controlling complexity will
be a major issue. To meet the challenge, such a network must
remain focused on common objectives. Personnel must be
committed and disciplined. The connection on a technical level
between DC’s nationally based companies and IPS is thus only
one aspect of this organization. Effective cooperation is measured by four organizational cornerstones: a jointly run LeadBuying Organization, savings teams and, where appropriate,
standardized processes as well as a common processes for
target commitments and controlling processes with the help
of a globally applicable Balanced Scorecard.
MFTBC
IPS STR
DDC
Regional
Commodity
Lead
Asia/Pacific
Driving factors
Commodity strategy
Common commodity code
Supplier management
iBSC
Local targets
e-Business
Skill management
GNN targets
IPS Auburn Hills
Detroit Diesel Corp. (DDC)
MBUSA (sales organization)
MBUSI (Standort Tuscaloosa)
Freightliner Trucks (FTL)
DaimlerChrysler Mexico (DCMex)
IPS Stuttgart
Mercedes-Benz Spain (MBE)
DaimlerChrysler Brazil (DCBrazil)
DaimlerChrysler South Africa (DCSA)
Modified Lead-Buying To increase the focus on generating
cost savings, the new concept provides for a modification of
the existing Lead-Buying Organization. This modification takes
the different characteristics of commodity groups into account.
In addition to the existing Global Commodity Lead and Local
Commodity Autonomy, the Regional Commodity Lead has been
introduced. Those in charge expect this special move to expand potentials to a great degree. “There’s a whole series of
commodity groups that are not produced on the global or local
level but can still be bundled effectively on the regional level.
An example of this would be construction services in the
NAFTA zones,” Saalmann explained. In light of this, the following three regions were formed:
■ North America
■ Europe, which, due to product relationships, also includes
South America and South Africa
■ Asia/Pacific, including Australia.
Mitsubishi Fuso Truck & Bus Corp. (MFTBC)
DaimlerChrysler Australia/Pacific (DCAuP)
GAIN (“Global and Integrated NPM Network”) Teams
Support the Launch Implementation of the Lead-Buying
Organization, which is mandatory for all locations, is now
being supported by 23 “GAIN Teams” with international membership. The former PIC teams (Permanent International
Commodity Teams)** have been incorporated into these new
GAIN teams. Since March 1, in a “first wave” of examinations,
the GAIN teams have been working on increasing savings in
selected commodity groups. This is an intermediate step that
will help the Lead-Buying Organization to achieve its goals and
also bring about cost savings over the shorter term. In this
next wave beginning in mid 2004, additional GAIN teams will
take a closer look at further commodity groups. The new
organization greatly benefits from its members’ previous activities throughout the global network, and will be continuously
improved.
etc.
Common Processes
Balanced Scorecard
** See also Global Supplier, 1st Quarter 2001, Issue No. 5,
European edition, p. 14.
Local Savings
6
Global
Cover Story
7
Inquiry
The GNN buyers at DaimlerChrysler
locations worldwide (from left to
right): Heiko Wilhelm, Germany;
Abelardo Barginski, Brazil; Dr. Heinrich
Reidelbach, Germany; Oscar Albin,
Mexico; Ernest Kleynhans, South
Africa; Klaus Saalmann, Germany;
Kelvin Prior, Australia; Robert Sakala,
USA; Yvonne Gillet, Spain; Jim Manthe,
USA; Tazuo Fujiike, Japan; Norbert
Maier, Germany.
Global Supplier also asked Klaus Saalmann his views on the subject: What
will be the impact on suppliers?
Mr. Saalmann, what factors are critical
for the successful implementation of
the GNN concept?
Klaus Saalmann There are three success
factors that are critical for implementation:
communication, communication, and once
again, communication. That’s why the structured work of the GAIN teams is so important, particularly during the two initial
waves. The team members will not only
identify and bring about cost savings, they
will also get to know each other above and
beyond national borders and cultural differences. You might say that this is a way of setting up and practicing the continuous collaboration that will be so necessary in daily
business operations and also invigorate the
Lead-Buying Organization as well as the
GNN. Our suppliers are an important component in this communication, and so we
expect that our purchasing efforts will be
supported by real, active contributions from
their side. So, suppliers with a broad world
view will be able to use this network to expand their business relationships. This is a
legitimate approach and something that we
welcome.
Opinions
What kinds of things do suppliers have
to get ready for?
Klaus Saalmann On one hand, the requirements are going to get more complex;
and, on the other, there will be increased
opportunities, especially for those suppliers
that serve regional markets. Introduction of
our new regional commodity lead function
and the greater weighting of regional commodities will result in increased bundling
and larger purchasing volumes. In the case
of global commodity groups and global contracts, we’re certainly going to have to rethink things. That’s because during our
rounds of discussions in devising the GNN
concept, different country-based business
units repeatedly called our attention to the
fact that it really doesn’t make sense in each
case to set a uniform worldwide price for a
given product without taking special local
factors into consideration when creating the
price structure. This means that global contracts are going to get more complex in the
future. We expect our suppliers to prepare
themselves for this change. What’s more, the
same issues apply in a reduced/limited way
to regional commodities.
Will the changes in the global lead organization also mean that the contact
persons for suppliers will also change?
Klaus Saalmann Operative purchasing
will continue to function through the local
buyer. For global and regional commodities,
however, major decisions will have to be approved by the lead buyer. In some cases,
such as global contracts, the negotiations
will be conducted by the lead buyer. So that’s
why, in this respect, I’d like to point out that
the global or regional lead buyer can also
belong to a “foreign” business unit within
the GNN. In the past, this has been a source
of occasional irritation for our suppliers. So,
suppliers shouldn’t be surprised if, for instance, Freightliner appears in a market and
negotiates a volume there for DaimlerChrysler.
been made in working with DaimlerChrysler
in Auburn Hills to merge purchasing strategies and, in this way, to achieve greater synergies in the supplier management process.
Another challenge with regard to purchasing
is to achieve better coordination of suppliers
and commodity groups.
What advantages do you expect for
your location from this cooperation?
Ernest Kleynhans The advantages will be
Global Supplier asked NPM purchasing
managers Ernest Kleynhans, Group
Manager, DaimlerChrysler South
Africa, and Oscar Albin, Senior Manager, DaimlerChrysler Mexico.
What challenges does the introduction
of the GNN present to you?
Ernest Kleynhans A great challenge is
communicating the changes brought by the
GNN to our location in South Africa. We also
have to ensure that we become the benchmark in terms of involvement and speed and
are a most reliable partner. Another important challenge lies in increasing the skills
and competencies of our employees.
Oscar Albin Communication will be the
greatest challenge. Effective communication
is the fundamental prerequisite for improving the collaboration in purchasing efforts.
In Mexico, significant efforts have already
the ability to share knowledge and experience, the use of common processes, as well
as participation in global contracts.
Oscar Albin The direct benefits that we
hope to achieve from this cooperation are
bringing about direct savings through the
merging of purchasing efforts, which can be
brought about by better cooperation between
the purchasing areas and the introduction
of jointly applied purchasing methods.
What impact will the GNN have on
suppliers?
Ernest Kleynhans Motivated suppliers
will embrace the GNN’s activities. They will
view these changes as an opportunity to
implement their strategies and to grow their
businesses by serving the global needs of
DaimlerChrysler.
Oscar Albin The impact that we’d like to
see on suppliers is cost reductions through
bundling of volumes, improved performance
from our existing suppliers and the knowledge that all DaimlerChrysler business
units will be able to profit from the professional services from these suppliers.
What new challenges will result from
the GNN for your staff?
Ernest Kleynhans The implementation of
the first Global Balanced Scorecard associated with the rollout of new global processes
and tools as well as ensuring effective communication with global partners will also be
a great challenge for them.
Oscar Albin The most important challenge
for buyers will be learning to work together
with their colleagues from other GNN purchasing units. Since this project covers both
a regional and global cooperation, it will
change how commodity groups and supplier
strategies are implemented. These activities
will take up more of the buyers’ time – extra
time that must not end up being passed on
down the line to our internal customers in
the plants.
6
Global
Cover Story
7
Inquiry
The GNN buyers at DaimlerChrysler
locations worldwide (from left to
right): Heiko Wilhelm, Germany;
Abelardo Barginski, Brazil; Dr. Heinrich
Reidelbach, Germany; Oscar Albin,
Mexico; Ernest Kleynhans, South
Africa; Klaus Saalmann, Germany;
Kelvin Prior, Australia; Robert Sakala,
USA; Yvonne Gillet, Spain; Jim Manthe,
USA; Tazuo Fujiike, Japan; Norbert
Maier, Germany.
Global Supplier also asked Klaus Saalmann his views on the subject: What
will be the impact on suppliers?
Mr. Saalmann, what factors are critical
for the successful implementation of
the GNN concept?
Klaus Saalmann There are three success
factors that are critical for implementation:
communication, communication, and once
again, communication. That’s why the structured work of the GAIN teams is so important, particularly during the two initial
waves. The team members will not only
identify and bring about cost savings, they
will also get to know each other above and
beyond national borders and cultural differences. You might say that this is a way of setting up and practicing the continuous collaboration that will be so necessary in daily
business operations and also invigorate the
Lead-Buying Organization as well as the
GNN. Our suppliers are an important component in this communication, and so we
expect that our purchasing efforts will be
supported by real, active contributions from
their side. So, suppliers with a broad world
view will be able to use this network to expand their business relationships. This is a
legitimate approach and something that we
welcome.
Opinions
What kinds of things do suppliers have
to get ready for?
Klaus Saalmann On one hand, the requirements are going to get more complex;
and, on the other, there will be increased
opportunities, especially for those suppliers
that serve regional markets. Introduction of
our new regional commodity lead function
and the greater weighting of regional commodities will result in increased bundling
and larger purchasing volumes. In the case
of global commodity groups and global contracts, we’re certainly going to have to rethink things. That’s because during our
rounds of discussions in devising the GNN
concept, different country-based business
units repeatedly called our attention to the
fact that it really doesn’t make sense in each
case to set a uniform worldwide price for a
given product without taking special local
factors into consideration when creating the
price structure. This means that global contracts are going to get more complex in the
future. We expect our suppliers to prepare
themselves for this change. What’s more, the
same issues apply in a reduced/limited way
to regional commodities.
Will the changes in the global lead organization also mean that the contact
persons for suppliers will also change?
Klaus Saalmann Operative purchasing
will continue to function through the local
buyer. For global and regional commodities,
however, major decisions will have to be approved by the lead buyer. In some cases,
such as global contracts, the negotiations
will be conducted by the lead buyer. So that’s
why, in this respect, I’d like to point out that
the global or regional lead buyer can also
belong to a “foreign” business unit within
the GNN. In the past, this has been a source
of occasional irritation for our suppliers. So,
suppliers shouldn’t be surprised if, for instance, Freightliner appears in a market and
negotiates a volume there for DaimlerChrysler.
been made in working with DaimlerChrysler
in Auburn Hills to merge purchasing strategies and, in this way, to achieve greater synergies in the supplier management process.
Another challenge with regard to purchasing
is to achieve better coordination of suppliers
and commodity groups.
What advantages do you expect for
your location from this cooperation?
Ernest Kleynhans The advantages will be
Global Supplier asked NPM purchasing
managers Ernest Kleynhans, Group
Manager, DaimlerChrysler South
Africa, and Oscar Albin, Senior Manager, DaimlerChrysler Mexico.
What challenges does the introduction
of the GNN present to you?
Ernest Kleynhans A great challenge is
communicating the changes brought by the
GNN to our location in South Africa. We also
have to ensure that we become the benchmark in terms of involvement and speed and
are a most reliable partner. Another important challenge lies in increasing the skills
and competencies of our employees.
Oscar Albin Communication will be the
greatest challenge. Effective communication
is the fundamental prerequisite for improving the collaboration in purchasing efforts.
In Mexico, significant efforts have already
the ability to share knowledge and experience, the use of common processes, as well
as participation in global contracts.
Oscar Albin The direct benefits that we
hope to achieve from this cooperation are
bringing about direct savings through the
merging of purchasing efforts, which can be
brought about by better cooperation between
the purchasing areas and the introduction
of jointly applied purchasing methods.
What impact will the GNN have on
suppliers?
Ernest Kleynhans Motivated suppliers
will embrace the GNN’s activities. They will
view these changes as an opportunity to
implement their strategies and to grow their
businesses by serving the global needs of
DaimlerChrysler.
Oscar Albin The impact that we’d like to
see on suppliers is cost reductions through
bundling of volumes, improved performance
from our existing suppliers and the knowledge that all DaimlerChrysler business
units will be able to profit from the professional services from these suppliers.
What new challenges will result from
the GNN for your staff?
Ernest Kleynhans The implementation of
the first Global Balanced Scorecard associated with the rollout of new global processes
and tools as well as ensuring effective communication with global partners will also be
a great challenge for them.
Oscar Albin The most important challenge
for buyers will be learning to work together
with their colleagues from other GNN purchasing units. Since this project covers both
a regional and global cooperation, it will
change how commodity groups and supplier
strategies are implemented. These activities
will take up more of the buyers’ time – extra
time that must not end up being passed on
down the line to our internal customers in
the plants.
8
Global
9
Interview
GP&S Talking to Thomas W. Sidlik
Global Supplier Magazine interview
with Thomas W. Sidlik
Effective December 16, 2003, Thomas W.
Sidlik has taken on additional responsibilities for Global Procurement & Supply. This is
in addition to being a Board Member of
DaimlerChrysler AG since December 1998.
Prior to the merger, he served as Executive
Vice President – Procurement and Supply,
Chrysler Group. Before working in procurement-related positions, Mr. Sidlik was Executive Vice President and General Manager –
Jeep Operations, Vice President and Chairman, Chrysler Financial Corporation, Vice
President – Customer Satisfaction and Vehicle Quality and General Manager – Small
Car Operations. Additionally, Mr. Sidlik has
held positions in Engineering and Sales and
Marketing.
Mr. Sidlik is a member of the New York University Stern School of Business Board of
Overseers, member of the Visiting Committee of the Graduate School of Business at the
University of Chicago, Vice-Chairman of the
National Minority Supplier Development
Council and Chairman of the Council’s Executive Committee. He also serves as Executive
Sponsor, Automotive Industry Action Group
(AIAG).
His diverse experience has influenced his
views on the importance of developing a
benchmark-level global procurement organization. Global Supplier Magazine recently
had the opportunity to talk with Mr. Sidlik
about the current state of Global Procurement and Supply and the challenges that lie
ahead.
suppliers to provide innovative technology.
All this is communicated in what we call our
Strategy House, where it all rolls up to supporting our vision of shaping the world’s
most effective supply network.
How have you been able to leverage
your presence on the Board to help you
with your globalization efforts?
Mr. Sidlik, since December 16, 2003,
you have been appointed to represent
Global Procurement and Supply (GP&S)
on the Board of Management. What are
your thoughts on the strategy of GP&S,
and where do you want to take the organization in the future?
To understand what the strategy of GP&S is,
you first have to look at DaimlerChrysler’s
four strategic pillars. Those strategic pillars
are: Global Presence, Broad Product Range,
Strong Brands and Technology Leadership.
While our primary objective is to increase
company value through a Global Procurement and Supply organization, our strategy
is also linked to the four pillars. That is, for
Global Presence, we provide suppliers and
procurement support in all markets, while
speaking with one global voice. In supporting Strong Brands, we achieve a balance between creating common components across
business units, without having a negative
impact on our brands. For the Broad Product
Range, we support each business unit’s
unique needs with the ability to share global
capability. Finally, to support Technology
Leadership, it is extremely important for us
in GP&S to work closely with Engineering,
Research and Technology as well as with our
I have been trying to take full advantage to
inform our Board of Management of what we
are doing and how our supply network is increasing the value of our company. At Global
Procurement & Supply we are working to
support the overall DaimlerChrysler strategy.
We are doing this by focusing on three major
initiatives: global scale leverage, global supplier base management, and global infrastructure and processes. I am very proud of
what we are doing and the accomplishments
we’ve been able to attain so far.
How do you manage your suppliers on
a global basis?
In the area of global supply base management, this January marked the first time that
DaimlerChrysler honored our global suppliers. We gave out eight awards at our first
annual Global Supplier Awards event recognizing the accomplishments of our global
supply base in each commodity group (Chassis, Electrical, Exterior, Interior, Powertrain,
Raw Materials) as well as International Procurement Services (IPS) and Logistics. These
suppliers come from six different countries
and three continents. Let me tell you who
they are: Muhr and Bender (Germany),
Denso (Japan), Gentex (Germany), Autoliv
(Sweden), GKN (Great Britain), Magna International (Canada), Accenture International
(USA), and United Parcel Service (USA).
To continue to improve our supplier relations, we retooled our Extended Enterprise
So, how big is your global buy?
Our procurement volume offers tremendous
potential to the supply base: we buy about
100 Billion euro globally across the DaimlerChrysler automotive brands. With this potential, we offer our supply base global scale
leverage. We ask our suppliers to bring their
best ideas to the table – ideas that can be
leveraged globally. In turn, they will have an
opportunity to realize additional business,
access new markets and contribute to the
DaimlerChrysler’s vision of shaping the
world’s most effective supply network.
program to better communicate our supplier
relationship management philosophy to our
supply base. Our basic message to our suppliers is that our relationship is based on
Global Performance Based Cooperation. The
punch line for Extended Enterprise is “The
power of performance.”
years has been to continuously explore new
opportunities. The result is the next major
step in the evolving Extending Enterprise®
With all the complex systems involved initiative.
in various procurement functions, how The Extended Enterprise® program is a supplier relationship program where Global Perdo you get them to communicate and
formance Based Cooperation forms the basis
work together?
of DaimlerChrysler – Supplier relationships.
Global infrastructure and processes is the
It utilizes a more global perspective than
third initiative the Board expects GP&S to
ever in evaluating the performance and value
focus on. All benchmark procurement orgaof procurement and supply activities and we
nizations share one thing – common prohope it will take our supply chain network to
curement processes and tools. We have a
number of processes and tools that are being the next level (please reference the Extended
Enterprise® brochure for more information
implemented and shared across business
on the program).
units. One, for example, is the Global SupOur suppliers now have a uniform and transplier Portal that provides access to all DCX
supplier applications via one common frame- parent process of doing business with Daimwork with a single sign-on. We are also work- lerChrysler – one that allows both suppliers
ing on a global supplier database, a common and DaimlerChrysler to directly discuss and
compare the achieved performance. We want
global supplier scorecard, a global sourcing
matrix and many other activities. Using com- our supply partners to know that we set the
same high expectations for them as our cusmon procurement processes and tools will
tomers do for us. Those suppliers who enbenefit our suppliers as they will be able to
hance the value of the automotive Daimlerdo business more seamlessly across our
Chrysler brands are rewarded with global
business units.
business. The performance of DaimlerChrysler’s products is the prerequisite to the
Could you tell our readers what, from
success of the whole DaimlerChrysler supyour perspective, does it take to be a
plier network. That performance is driven by
world-class supplier? What do suppliers need to do to earn new business or a commitment to competitive cooperation.
increase their current business?
It is important that all our suppliers as well
as everyone in GP&S understand that we all
have to make commitments to ensure we
continue to strive to become the world’s most
effective supply network. In keeping with
our commitment to excellence, DaimlerChrysler’s response to challenges of recent
8
Global
9
Interview
GP&S Talking to Thomas W. Sidlik
Global Supplier Magazine interview
with Thomas W. Sidlik
Effective December 16, 2003, Thomas W.
Sidlik has taken on additional responsibilities for Global Procurement & Supply. This is
in addition to being a Board Member of
DaimlerChrysler AG since December 1998.
Prior to the merger, he served as Executive
Vice President – Procurement and Supply,
Chrysler Group. Before working in procurement-related positions, Mr. Sidlik was Executive Vice President and General Manager –
Jeep Operations, Vice President and Chairman, Chrysler Financial Corporation, Vice
President – Customer Satisfaction and Vehicle Quality and General Manager – Small
Car Operations. Additionally, Mr. Sidlik has
held positions in Engineering and Sales and
Marketing.
Mr. Sidlik is a member of the New York University Stern School of Business Board of
Overseers, member of the Visiting Committee of the Graduate School of Business at the
University of Chicago, Vice-Chairman of the
National Minority Supplier Development
Council and Chairman of the Council’s Executive Committee. He also serves as Executive
Sponsor, Automotive Industry Action Group
(AIAG).
His diverse experience has influenced his
views on the importance of developing a
benchmark-level global procurement organization. Global Supplier Magazine recently
had the opportunity to talk with Mr. Sidlik
about the current state of Global Procurement and Supply and the challenges that lie
ahead.
suppliers to provide innovative technology.
All this is communicated in what we call our
Strategy House, where it all rolls up to supporting our vision of shaping the world’s
most effective supply network.
How have you been able to leverage
your presence on the Board to help you
with your globalization efforts?
Mr. Sidlik, since December 16, 2003,
you have been appointed to represent
Global Procurement and Supply (GP&S)
on the Board of Management. What are
your thoughts on the strategy of GP&S,
and where do you want to take the organization in the future?
To understand what the strategy of GP&S is,
you first have to look at DaimlerChrysler’s
four strategic pillars. Those strategic pillars
are: Global Presence, Broad Product Range,
Strong Brands and Technology Leadership.
While our primary objective is to increase
company value through a Global Procurement and Supply organization, our strategy
is also linked to the four pillars. That is, for
Global Presence, we provide suppliers and
procurement support in all markets, while
speaking with one global voice. In supporting Strong Brands, we achieve a balance between creating common components across
business units, without having a negative
impact on our brands. For the Broad Product
Range, we support each business unit’s
unique needs with the ability to share global
capability. Finally, to support Technology
Leadership, it is extremely important for us
in GP&S to work closely with Engineering,
Research and Technology as well as with our
I have been trying to take full advantage to
inform our Board of Management of what we
are doing and how our supply network is increasing the value of our company. At Global
Procurement & Supply we are working to
support the overall DaimlerChrysler strategy.
We are doing this by focusing on three major
initiatives: global scale leverage, global supplier base management, and global infrastructure and processes. I am very proud of
what we are doing and the accomplishments
we’ve been able to attain so far.
How do you manage your suppliers on
a global basis?
In the area of global supply base management, this January marked the first time that
DaimlerChrysler honored our global suppliers. We gave out eight awards at our first
annual Global Supplier Awards event recognizing the accomplishments of our global
supply base in each commodity group (Chassis, Electrical, Exterior, Interior, Powertrain,
Raw Materials) as well as International Procurement Services (IPS) and Logistics. These
suppliers come from six different countries
and three continents. Let me tell you who
they are: Muhr and Bender (Germany),
Denso (Japan), Gentex (Germany), Autoliv
(Sweden), GKN (Great Britain), Magna International (Canada), Accenture International
(USA), and United Parcel Service (USA).
To continue to improve our supplier relations, we retooled our Extended Enterprise
So, how big is your global buy?
Our procurement volume offers tremendous
potential to the supply base: we buy about
100 Billion euro globally across the DaimlerChrysler automotive brands. With this potential, we offer our supply base global scale
leverage. We ask our suppliers to bring their
best ideas to the table – ideas that can be
leveraged globally. In turn, they will have an
opportunity to realize additional business,
access new markets and contribute to the
DaimlerChrysler’s vision of shaping the
world’s most effective supply network.
program to better communicate our supplier
relationship management philosophy to our
supply base. Our basic message to our suppliers is that our relationship is based on
Global Performance Based Cooperation. The
punch line for Extended Enterprise is “The
power of performance.”
years has been to continuously explore new
opportunities. The result is the next major
step in the evolving Extending Enterprise®
With all the complex systems involved initiative.
in various procurement functions, how The Extended Enterprise® program is a supplier relationship program where Global Perdo you get them to communicate and
formance Based Cooperation forms the basis
work together?
of DaimlerChrysler – Supplier relationships.
Global infrastructure and processes is the
It utilizes a more global perspective than
third initiative the Board expects GP&S to
ever in evaluating the performance and value
focus on. All benchmark procurement orgaof procurement and supply activities and we
nizations share one thing – common prohope it will take our supply chain network to
curement processes and tools. We have a
number of processes and tools that are being the next level (please reference the Extended
Enterprise® brochure for more information
implemented and shared across business
on the program).
units. One, for example, is the Global SupOur suppliers now have a uniform and transplier Portal that provides access to all DCX
supplier applications via one common frame- parent process of doing business with Daimwork with a single sign-on. We are also work- lerChrysler – one that allows both suppliers
ing on a global supplier database, a common and DaimlerChrysler to directly discuss and
compare the achieved performance. We want
global supplier scorecard, a global sourcing
matrix and many other activities. Using com- our supply partners to know that we set the
same high expectations for them as our cusmon procurement processes and tools will
tomers do for us. Those suppliers who enbenefit our suppliers as they will be able to
hance the value of the automotive Daimlerdo business more seamlessly across our
Chrysler brands are rewarded with global
business units.
business. The performance of DaimlerChrysler’s products is the prerequisite to the
Could you tell our readers what, from
success of the whole DaimlerChrysler supyour perspective, does it take to be a
plier network. That performance is driven by
world-class supplier? What do suppliers need to do to earn new business or a commitment to competitive cooperation.
increase their current business?
It is important that all our suppliers as well
as everyone in GP&S understand that we all
have to make commitments to ensure we
continue to strive to become the world’s most
effective supply network. In keeping with
our commitment to excellence, DaimlerChrysler’s response to challenges of recent
10
Global
11
Forum
CVD Atego 2/Axor 2 Supplier Conference
POSA Extended Enterprise® Supplier Evening in Taiwan
An Evening of Getting
to Know Each Other
The DaimlerChrysler Extended Enterprise Supplier Evening, (which
was) organized by the Procurement Office South Asia (POSA), took
place at the Splendor Hotel in Taichung, Taiwan on the 2nd of March
Besides the 110 participants 40 representatives of the local media
were also invited. These representatives participated in a press conference, organized by DaimlerChrysler Taiwan.
Frank W. Deiss presented the
objectives of the Extended
Enterprise® supplier program
at DaimlerChrysler.
parts, interior systems and trim components, plastic
parts, rubber parts, diecast engine parts, fog lamps, sintered parts, sunblinds and fasteners.
Intensive Procurement Activities in Asia The supplier evening opened with a speech by Wolfram Geisler,
CEO of DC Taiwan, who welcomed the guests, in particular Mr. CJ Hsu, chairman of TAITRA and VIP guest of
the evening. Mr. Hsu expressed his sincerest thanks and
Initiated discussions with potential Taiwanese suppliers (from
The principal purpose of the supplier evening was to appreciation to DaimlerChrysler for its commitment to
left to right): Dr. Rainer Balbach,
provide a communicative platform for potential local sourcing in Asia and, of course, Taiwan. He promised to
General Manager, Procurement
Office South Asia; Alexander
continue the efforts to develop the potential of the local
Taiwanese suppliers, representatives of Global ProSeitz, Director for Interior Trim &
supplier industry and that TAITRA would continue its
curement
&
Supply
(GP&S)
and
MMC/Fuso.
Safety, Worldwide Procurement
& Supply Commodity; Frank W.
support for the supplier market investigations. Frank
The goal of the meeting was to promote mutual unDeiss, Director for Interior Parts
Deiss, Director of Interior equipment (MEP 3), addressed
derstanding
and
to
extend
DaimlerChrysler’s
procureMercedes Benz Passenger Cars;
Wolfram Geisler, President &
the participants on GP&S Extended Enterprise, and
ment resources in the areas of low-priced (vehicle)
Chief Executive Officer, Daimlerdescribed the commitment of DaimlerChrysler and to departs
and
exports
from
Asia.
Chrysler Taiwan Ltd.; Jess Liu,
veloping a strong global supply base together with its
Twenty-five Taiwanese suppliers used the opportuPR Director, DaimlerChrysler
Taiwan Ltd.
supplier partners.
nity to participate and present their products to the
buyers in the exhibition. These suppliers were chosen from the supplier list of TAITRA, a non-profit
A Huge Success The event was seen as a huge suctrade promotion body of the local government that
cess by all participants. The local suppliers had the
provides consultation for vendor profiles in Taiwan.
opportunity to learn more about and immerse themAlso invited were supplier companies that already
selves in the objectives and philosophy of GP&S and
maintain business connections with DaimlerChrysler Extended Enterprise, while the procurement represenand its Alliance partners as well as systems suppliers tatives were able to make meaningful contacts with
and second-tier suppliers. A range of competitive
the local supplier industry.
products were showcased including fine blanking
In February 2004, the DaimlerChrysler plant in Wörth hosted a global supplier conference on the Atego 2/Axor 2
model refinement project. Attended by approximately 130 suppliers, many participants traveled from Brazil and
Turkey to attend the forum. The day-long event focused on the measures required to ensure a smooth and successful
series launch, and served as a means to prepare for the try-out phase.
Conference participants were warmly
greeted by the head of the Wörth plant, Dr.
Michael Dostal, who pointed out that this
project differed from all previous product development projects. Dostal noted that the
project was the first model refinement of the
Atego and Axor truck model series to involve
all DaimlerChrysler locations.* In his view,
it represented an important step for the European/Latin American business units (Mercedes-Benz) on their way toward forming a
global alliance with the Commercial Vehicles
Division. Dostal described the project tasks
as “a huge challenge for all of us.” This is
because the new Atego 2 and Axor 2 are
manufactured as “global products”, not only
in Wörth, but also in an alliance with the
DaimlerChrysler plants in São Bernardo do
Campo, Brazil and Aksaray, Turkey.
* See also Global Supplier, 4th Quarter
2003, Issue No. 16, pp. 16-17.
A Significant Role for Suppliers In his
remarks, Dostal stated that the need to coordinate the model refinement project across
all locations had changed the character of
the cooperative effort. He stressed that “our
suppliers are not just part of the process
chain but are co-workers, team members and
partners, who are all working with us to
bring our customers outstanding products.”
This meant that suppliers had to shoulder a
large part of the responsibility because their
share of the added-value in the overall vehicle amounted to over 85%. In light of this,
Dostal called on the supply partners to be
sure to deliver top quality in order to provide
customers with reliable, high-quality vehicles. He added that this included the establishment of a supplier management system
at upper tier suppliers to help ensure the
In his welcoming remarks, plant manager Dr. Michael Dostal pointed out
the increased level of responsibility
on the part of suppliers in the product
development process.
10
Global
11
Forum
POSA Extended Enterprise® Supplier Evening in Taiwan
An Evening of Getting
to Know Each Other
The DaimlerChrysler Extended Enterprise Supplier Evening, (which
was) organized by the Procurement Office South Asia (POSA), took
place at the Splendor Hotel in Taichung, Taiwan on the 2nd of March
Besides the 110 participants 40 representatives of the local media
were also invited. These representatives participated in a press conference, organized by DaimlerChrysler Taiwan.
Frank W. Deiss presented the
objectives of the Extended
Enterprise® supplier program
at DaimlerChrysler.
parts, interior systems and trim components, plastic
parts, rubber parts, diecast engine parts, fog lamps, sintered parts, sunblinds and fasteners.
Intensive Procurement Activities in Asia The supplier evening opened with a speech by Wolfram Geisler,
CEO of DC Taiwan, who welcomed the guests, in particular Mr. CJ Hsu, chairman of TAITRA and VIP guest of
the evening. Mr. Hsu expressed his sincerest thanks and
Initiated discussions with potential Taiwanese suppliers (from
The principal purpose of the supplier evening was to appreciation to DaimlerChrysler for its commitment to
left to right): Dr. Rainer Balbach,
provide a communicative platform for potential local sourcing in Asia and, of course, Taiwan. He promised to
General Manager, Procurement
Office South Asia; Alexander
continue the efforts to develop the potential of the local
Taiwanese suppliers, representatives of Global ProSeitz, Director for Interior Trim &
supplier industry and that TAITRA would continue its
curement
&
Supply
(GP&S)
and
MMC/Fuso.
Safety, Worldwide Procurement
& Supply Commodity; Frank W.
support for the supplier market investigations. Frank
The goal of the meeting was to promote mutual unDeiss, Director for Interior Parts
Deiss, Director of Interior equipment (MEP 3), addressed
derstanding
and
to
extend
DaimlerChrysler’s
procureMercedes Benz Passenger Cars;
Wolfram Geisler, President &
the participants on GP&S Extended Enterprise, and
ment resources in the areas of low-priced (vehicle)
Chief Executive Officer, Daimlerdescribed the commitment of DaimlerChrysler and to departs
and
exports
from
Asia.
Chrysler Taiwan Ltd.; Jess Liu,
veloping a strong global supply base together with its
Twenty-five Taiwanese suppliers used the opportuPR Director, DaimlerChrysler
Taiwan Ltd.
supplier partners.
nity to participate and present their products to the
buyers in the exhibition. These suppliers were chosen from the supplier list of TAITRA, a non-profit
A Huge Success The event was seen as a huge suctrade promotion body of the local government that
cess by all participants. The local suppliers had the
provides consultation for vendor profiles in Taiwan.
opportunity to learn more about and immerse themAlso invited were supplier companies that already
selves in the objectives and philosophy of GP&S and
maintain business connections with DaimlerChrysler Extended Enterprise, while the procurement represenand its Alliance partners as well as systems suppliers tatives were able to make meaningful contacts with
and second-tier suppliers. A range of competitive
the local supplier industry.
products were showcased including fine blanking
In February 2004, the DaimlerChrysler plant in Wörth hosted a global supplier conference on the Atego 2/Axor 2
model refinement project. Attended by approximately 130 suppliers, many participants traveled from Brazil and
Turkey to attend the forum. The day-long event focused on the measures required to ensure a smooth and successful
series launch, and served as a means to prepare for the try-out phase.
Conference participants were warmly
greeted by the head of the Wörth plant, Dr.
Michael Dostal, who pointed out that this
project differed from all previous product development projects. Dostal noted that the
project was the first model refinement of the
Atego and Axor truck model series to involve
all DaimlerChrysler locations.* In his view,
it represented an important step for the European/Latin American business units (Mercedes-Benz) on their way toward forming a
global alliance with the Commercial Vehicles
Division. Dostal described the project tasks
as “a huge challenge for all of us.” This is
because the new Atego 2 and Axor 2 are
manufactured as “global products”, not only
in Wörth, but also in an alliance with the
DaimlerChrysler plants in São Bernardo do
Campo, Brazil and Aksaray, Turkey.
* See also Global Supplier, 4th Quarter
2003, Issue No. 16, pp. 16-17.
A Significant Role for Suppliers In his
remarks, Dostal stated that the need to coordinate the model refinement project across
all locations had changed the character of
the cooperative effort. He stressed that “our
suppliers are not just part of the process
chain but are co-workers, team members and
partners, who are all working with us to
bring our customers outstanding products.”
This meant that suppliers had to shoulder a
large part of the responsibility because their
share of the added-value in the overall vehicle amounted to over 85%. In light of this,
Dostal called on the supply partners to be
sure to deliver top quality in order to provide
customers with reliable, high-quality vehicles. He added that this included the establishment of a supplier management system
at upper tier suppliers to help ensure the
In his welcoming remarks, plant manager Dr. Michael Dostal pointed out
the increased level of responsibility
on the part of suppliers in the product
development process.
12
Global
Forum
13
Achim Hornung (left) expected that
the concerted effort would continue
right up until the very end of the
project. Heiner Harbusch (right) discussed the success of the “Global
Cockpit” parallel project.
Dr. Henning Oeltjenbruns
was sure that the new
Atego and Axor vehicles
would be a great success.
quality and stability of the processes in place
at their lower-tier subcontractors.
Dostal concluded by emphasizing that “the signals that I’ve been getting from the project are
already very positive ones and give us every
good reason to feel confident that we’ve all
done our homework well.”
The Key to Mutual Success In his talk,
Achim Hornung, in charge of purchasing for
the Atego 2/Axor 2 project, asked “that we all,
just before the end of project, continue to make
a concerted effort to ensure that the Atego 2
and Axor 2 are successfully positioned on the
market.” He added that “in particular, we must
consider the quality, cost and scheduling targets that we all agreed on back at the beginning of the project.” The prerequisite for this
process is a well-functioning change request
management, which Hornung described as the
“key factor in our mutual success.” He cited
the nearly glitch-free launch of the Actros MP2
as the model, stating “that one should be our
benchmark.” At the same time, he conceded
that the pressure on the suppliers in this project was considerably higher than in traditional
projects, noting that “the international approach to this project is demanding the highest
performance from all of you in coping with the
great challenges.” However, Hornung went on
to say that the consistent global approach to
the project would open competitive advantages
that would “bring equal benefit to both sides.”
He noted the use of local advantages as well as
130 supplier representatives had come
to the event to discuss and settle open
issues directly with representatives
from DaimlerChrysler in specially set
up “topic zones” (below).
Heiner Harbusch, Dr. Michael
Dostal, Dr. Henning Oeltjenbruns and Achim Hornung
(from left to right) just before
taking the stage.
increases in volumes made possible by production level increases. Hornung further
stated that due to the successes in the Atego 2/Axor 2 project, in which both Western
European, Brazilian and Turkish supplies
were covering worldwide needs, Procurement Commercial Vehicles (PCV) “would be
thinking globally” in all future contract
awards and added that “we will intensify this
approach.” He encouraged supply partners
to “take this road with us. Good performance
will qualify you for further contracts and
bring you into consideration for new orders
in the new markets such as those opening up
in Asia.”
Extra Effort to the Finish Line Dr. Henning Oeltjenbruns, product team leader for
the Atego and Axor model series, explained
the need for the model refinement by citing
the previous success of the Atego and Axor
vehicles. “Many of our competitors are now
aiming at making comparable products because they have recognized the advantages
of these vehicle designs.” As such, there is
an urgent need to take action and to revise
both vehicles from the ground up. He explained the fundamental measures for the
model refinement in the four areas of appealing design, focus on the needs of the driver,
vehicle handling and ride, as well as payload
capacity and economical operation.
Most noticeable is the new exterior design
of both model series, which was modeled
on the appearance of the Actros in order to
emphasize the connection and continuity
among the Mercedes-Benz truck families.
“We’re quite convinced,” Oeltjenbruns
stated, summarizing the product presenta-
tion, “that this comprehensive model refinement will ensure market success for our vehicles to the end of this decade.”
Addressing the supply partners directly,
Oeltjenbruns thanked them for the work
they had accomplished: “Thanks to your support, today almost all parts are now available
from series production tools.” He noted that
some extra effort was needed until the Commercial Vehicles IAA this September. In particular, he mentioned the great challenge
posed by almost parallel launches at the
three plants in Germany, Brazil and Turkey.
He concluded, “once again, we need your full
support and flexibility when it comes to optimizing your parts and conducting examinations during the try-outs.”
Successful ‘Global Cockpit’ Project
Heiner Harbusch from the Development department at MB Trucks discussed the Global
Cockpit** project running in parallel to the
Atego/Axor model refinement. The result is a
standardized MB Truck cockpit with an even
clearer segment-oriented relationship, making use of a commonized parts strategy for
components. In Harbusch’s words, Global
Cockpit thus stands for “a standardized design applying to all countries. This approach
will enable us to succeed in consistently implementing our product strategy and focusing on attractive aspects of the driver’s workplace for all MB truck series in all markets.”
The tasks for all those involved in the project
have become significantly more complex and
more demanding. Harbusch particularly
mentioned the introduction of a global product development and production process as
well as globally coordinated testing and sam** See also Global Supplier, 2nd Quarter
2003, Issue No. 14, pp. 8-9.
ple parts evaluations at all three plants in
Germany, Brazil and Turkey. Nevertheless,
“we’ve succeeded well in implementing this
global project, thanks to the support from
our suppliers,” Harbusch stated, concluding
his presentation.
Busy and Productive In the second part
of the conference, the participants were assembled in small groups which met in “topic
zones” where experts from the departments
at MB Trucks informed them about the new
product features, launch management, supplier management as well as the related
processes. In this setting, they had ample opportunities to discuss problems and address
open issues. The supplier representatives
made full use of these mini-forums. Plus,
attendees were among the first to get a look
at the new Atego and Axor vehicles in an
uncamouflaged state. At the end of the conference, Andreas Dudenhöffer from PCV,
moderator of the extremely busy conference,
summed up the eventful day: “I think we’ve
all profited from today’s activities.”
12
Global
Forum
13
CVD Supplier Conference Atego 2/Axor 2
Achim Hornung (left) expected that
the concerted effort would continue
right up until the very end of the
project. Heiner Harbusch (right) discussed the success of the “Global
Cockpit” parallel project.
Dr. Henning Oeltjenbruns
was sure that the new
Atego and Axor vehicles
would be a great success.
quality and stability of the processes in place
at their lower-tier subcontractors.
Dostal concluded by emphasizing that “the signals that I’ve been getting from the project are
already very positive ones and give us every
good reason to feel confident that we’ve all
done our homework well.”
The Key to Mutual Success In his talk,
Achim Hornung, in charge of purchasing for
the Atego 2/Axor 2 project, asked “that we all,
just before the end of project, continue to make
a concerted effort to ensure that the Atego 2
and Axor 2 are successfully positioned on the
market.” He added that “in particular, we must
consider the quality, cost and scheduling targets that we all agreed on back at the beginning of the project.” The prerequisite for this
process is a well-functioning change request
management, which Hornung described as the
“key factor in our mutual success.” He cited
the nearly glitch-free launch of the Actros MP2
as the model, stating “that one should be our
benchmark.” At the same time, he conceded
that the pressure on the suppliers in this project was considerably higher than in traditional
projects, noting that “the international approach to this project is demanding the highest
performance from all of you in coping with the
great challenges.” However, Hornung went on
to say that the consistent global approach to
the project would open competitive advantages
that would “bring equal benefit to both sides.”
He noted the use of local advantages as well as
130 supplier representatives had come
to the event to discuss and settle open
issues directly with representatives
from DaimlerChrysler in specially set
up “topic zones” (below).
Heiner Harbusch, Dr. Michael
Dostal, Dr. Henning Oeltjenbruns and Achim Hornung
(from left to right) just before
taking the stage.
increases in volumes made possible by production level increases. Hornung further
stated that due to the successes in the Atego 2/Axor 2 project, in which both Western
European, Brazilian and Turkish supplies
were covering worldwide needs, Procurement Commercial Vehicles (PCV) “would be
thinking globally” in all future contract
awards and added that “we will intensify this
approach.” He encouraged supply partners
to “take this road with us. Good performance
will qualify you for further contracts and
bring you into consideration for new orders
in the new markets such as those opening up
in Asia.”
Extra Effort to the Finish Line Dr. Henning Oeltjenbruns, product team leader for
the Atego and Axor model series, explained
the need for the model refinement by citing
the previous success of the Atego and Axor
vehicles. “Many of our competitors are now
aiming at making comparable products because they have recognized the advantages
of these vehicle designs.” As such, there is
an urgent need to take action and to revise
both vehicles from the ground up. He explained the fundamental measures for the
model refinement in the four areas of appealing design, focus on the needs of the driver,
vehicle handling and ride, as well as payload
capacity and economical operation.
Most noticeable is the new exterior design
of both model series, which was modeled
on the appearance of the Actros in order to
emphasize the connection and continuity
among the Mercedes-Benz truck families.
“We’re quite convinced,” Oeltjenbruns
stated, summarizing the product presenta-
tion, “that this comprehensive model refinement will ensure market success for our vehicles to the end of this decade.”
Addressing the supply partners directly,
Oeltjenbruns thanked them for the work
they had accomplished: “Thanks to your support, today almost all parts are now available
from series production tools.” He noted that
some extra effort was needed until the Commercial Vehicles IAA this September. In particular, he mentioned the great challenge
posed by almost parallel launches at the
three plants in Germany, Brazil and Turkey.
He concluded, “once again, we need your full
support and flexibility when it comes to optimizing your parts and conducting examinations during the try-outs.”
Successful “Global Cockpit” Project
Heiner Harbusch from the Development department at MB Trucks discussed the Global
Cockpit** project running in parallel to the
Atego/Axor model refinement. The result is a
standardized MB Truck cockpit with an even
clearer segment-oriented relationship, making use of a commonized parts strategy for
components. In Harbusch’s words, Global
Cockpit thus stands for “a standardized design applying to all countries. This approach
will enable us to succeed in consistently implementing our product strategy and focusing on attractive aspects of the driver’s workplace for all MB truck series in all markets.”
The tasks for all those involved in the project
have become significantly more complex and
more demanding. Harbusch particularly
mentioned the introduction of a global product development and production process as
well as globally coordinated testing and sam** See also Global Supplier, 2nd Quarter
2003, Issue No. 14, pp. 8-9.
ple parts evaluations at all three plants in
Germany, Brazil and Turkey. Nevertheless,
“we’ve succeeded well in implementing this
global project, thanks to the support from
our suppliers,” Harbusch stated, concluding
his presentation.
Busy and Productive In the second part
of the conference, the participants were assembled in small groups which met in “topic
zones” where experts from the departments
at MB Trucks informed them about the new
product features, launch management, supplier management as well as the related
processes. In this setting, they had ample opportunities to discuss problems and address
open issues. The supplier representatives
made full use of these mini-forums. Plus,
attendees were among the first to get a look
at the new Atego and Axor vehicles in an
uncamouflaged state. At the end of the conference, Andreas Dudenhöffer from PCV,
moderator of the extremely busy conference,
summed up the eventful day: “I think we’ve
all profited from today’s activities.”
14
Global
Project
15
CVD Global Steering Wheel Project
Rafael Unterbirker, head of PCV 20,
about the project: “It’s a very good
example of how standardizing parts
and bundling volumes can generate
great potentials for savings.”
Reflecting the growing
global activities at CVD,
buyers and developers at Mercedes-Benz
Trucks, Freightliner and EvoBus collaborated
to reduce the amount of steering wheel variants. “The goal was to bring about savings
through standardization and bundling of
volumes and to implement this approach
step-by-step,” stated Rafael Unterbirker,
Senior Manager Procurement Interior,
Electrics/Electronics. In three successive
workshops that took place in Wörth, Portland and Stuttgart, the team thoroughly
examined differences in the steering wheel
systems at MB Trucks, Freightliner and
EvoBus. The objective: to reach a consensus
on a common steering wheel design to be
used in trucks all over the world.
One Wheel In Four Variants For The
Whole World The team developed four
In October 2002, the “Global Steering Wheel” project started as
part of the “Component Strategy CVD”* initiative at Commercial
Vehicles Division (CVD). The project goal was to realize cost
savings by achieving global standardization of steering wheels
extending across all business units and model series. The idea
was originally conceived during the Global Cockpit project at
Mercedes-Benz Trucks. This project was concerned with developing a new steering wheel for the model refinement of the Atego/Axor trucks in Germany, Brazil and Turkey. During development, the project managers asked themselves this fundamental
question: why don’t we go ahead and introduce a standardized
steering wheel that can be used throughout CVD?
* See also Global Supplier, 1st Quarter 2004,
Issue No. 17, pp. 8-9.
options for a standard steering wheel and
presented the options to the project steering
committee. In June 2003, the committee
selected the fourth alternative – a slightly
modified compromise affecting the originally
favored first option. “Based on this decision,
the steering wheel for the new Actros was
supposed to be the one used worldwide in all
business units and model series,” explained
Nils Karl at Procurement Commercial Vehicles, who represented the MB Trucks procurement department in the project. However, the fourth solution ended up being
modified somewhat to meet the needs of
Freightliner. To save money, the simple steering wheel from the current MB Trucks Atego
series will be installed in Freightliner
trucks. The horn function integrated in the
steering wheel was also retained to meet the
needs of North American markets. Despite
these two special features desired by
Freightliner, the basic overall decision was
to ensure that “everyone gets the Actros
steering wheel,” as Karl stressed. By the end
of the year, this steering wheel will be available in both 450 and 500 millimeter diameters, and depending on the application,
offer the following center section variants:
“Basic”, “Airbag”, “Multifunction” and “Airbag-Multifunction”.
A Considerable Reduction in Complexity The successful standardization “has allowed us to considerably reduce the complexity of steering wheels,” Karl reported.
Before standardization, there were nearly
two dozen steering wheel variants with a
total of 55 part numbers. In the future, this
will be simplified to one steering wheel
available in four variants, along with the Atego model specifically intended for Freightliner. Takata-Petri, a global manufacturer
of steering wheels and airbags, will help implement the project. The supplier already
produces the current Actros “Multifunction”
and “Airbag-Multifunction” steering wheels.
Takata-Petri, a proven supply partner, was
also able to win the contract to produce the
current systems in greater quantities as well
as to develop and manufacture the required
“Basic” and “Airbag” center section variants
starting this coming October.
(On the left) The steering wheel team
at DaimlerChrysler (standing, from
left to right): Mr. Gruber, EvoBus
Development; Mr. Seilnacht, MB
Trucks Development; Mr. Dietel,
Freightliner Purchasing; Mr. Schäfer,
MB Trucks Development; Mr. Affeld,
Mr. Roland Berger. (bottom row, from
left to right) Mr. Ritchie, Freightliner
Development; and Mr. Karl, PCV.
(On the right) The project management at Takata-Petri (from left to
right) Mr. Becker, Mr. Braun, Mr. Karl
(DC) and Mr. Kress.
The South African Advantage In addition
to its proven competence and active role in
existing projects, Takata-Petri presented
another advantage to tip the scales in favor of
its proposal. The globally active supplier will
produce part of the steering wheels at its
plant in South Africa, and, in this way, be able
to lower costs even further. Analysis of the
conditions carried out by project members on
location showed that the South African plant
produces at the same levels of quality as in
Europe. “Takata-Petri South Africa produces
top quality,” Karl confirmed. Thus, in the
future, the components and systems for DaimlerChrysler Brazil and Freightliner will be
produced in South Africa, while the steering
wheels for DaimlerChrysler’s Wörth plant,
Mercedes-Benz Türk and EvoBus will continue to be made in Europe.
A Model Global Project All in all, the project personnel are extremely happy with the
high level of cooperation during the Global
Steering Wheel project and the definite results achieved. “The standards we’ve set
for global projects have been fully met,” Karl
emphasized. “By standardizing parts and
bundling volumes across business units, we
were able to achieve an increase in production levels of at least 150 per cent. We were
also able to reduce both the amount of variants and their price.” Added to this are the
benefits made possible by Takata-Petri’s
South African facilities – a standard design
and significantly lower global price for the
new Actros steering wheel. The project also
quite clearly shows the opportunities awaiting suppliers “that are willing to work in
helping us forge a relationship based on
globalization, performance, and partnership,”
Karl stated, summing up the benefits.
14
Global
Project
15
CVD Global Steering Wheel Project
Rafael Unterbirker, head of PCV 20,
about the project: “It’s a very good
example of how standardizing parts
and bundling volumes can generate
great potentials for savings.”
Reflecting the growing
global activities at CVD,
buyers and developers at Mercedes-Benz
Trucks, Freightliner and EvoBus collaborated
to reduce the amount of steering wheel variants. “The goal was to bring about savings
through standardization and bundling of
volumes and to implement this approach
step-by-step,” stated Rafael Unterbirker,
Senior Manager Procurement Interior,
Electrics/Electronics. In three successive
workshops that took place in Wörth, Portland and Stuttgart, the team thoroughly
examined differences in the steering wheel
systems at MB Trucks, Freightliner and
EvoBus. The objective: to reach a consensus
on a common steering wheel design to be
used in trucks all over the world.
One Wheel In Four Variants For The
Whole World The team developed four
In October 2002, the “Global Steering Wheel” project started as
part of the “Component Strategy CVD”* initiative at Commercial
Vehicles Division (CVD). The project goal was to realize cost
savings by achieving global standardization of steering wheels
extending across all business units and model series. The idea
was originally conceived during the Global Cockpit project at
Mercedes-Benz Trucks. This project was concerned with developing a new steering wheel for the model refinement of the Atego/Axor trucks in Germany, Brazil and Turkey. During development, the project managers asked themselves this fundamental
question: why don’t we go ahead and introduce a standardized
steering wheel that can be used throughout CVD?
* See also Global Supplier, 1st Quarter 2004,
Issue No. 17, pp. 8-9.
options for a standard steering wheel and
presented the options to the project steering
committee. In June 2003, the committee
selected the fourth alternative – a slightly
modified compromise affecting the originally
favored first option. “Based on this decision,
the steering wheel for the new Actros was
supposed to be the one used worldwide in all
business units and model series,” explained
Nils Karl at Procurement Commercial Vehicles, who represented the MB Trucks procurement department in the project. However, the fourth solution ended up being
modified somewhat to meet the needs of
Freightliner. To save money, the simple steering wheel from the current MB Trucks Atego
series will be installed in Freightliner
trucks. The horn function integrated in the
steering wheel was also retained to meet the
needs of North American markets. Despite
these two special features desired by
Freightliner, the basic overall decision was
to ensure that “everyone gets the Actros
steering wheel,” as Karl stressed. By the end
of the year, this steering wheel will be available in both 450 and 500 millimeter diameters, and depending on the application,
offer the following center section variants:
“Basic”, “Airbag”, “Multifunction” and “Airbag-Multifunction”.
A Considerable Reduction in Complexity The successful standardization “has allowed us to considerably reduce the complexity of steering wheels,” Karl reported.
Before standardization, there were nearly
two dozen steering wheel variants with a
total of 55 part numbers. In the future, this
will be simplified to one steering wheel
available in four variants, along with the Atego model specifically intended for Freightliner. Takata-Petri, a global manufacturer
of steering wheels and airbags, will help implement the project. The supplier already
produces the current Actros “Multifunction”
and “Airbag-Multifunction” steering wheels.
Takata-Petri, a proven supply partner, was
also able to win the contract to produce the
current systems in greater quantities as well
as to develop and manufacture the required
“Basic” and “Airbag” center section variants
starting this coming October.
(On the left) The steering wheel team
at DaimlerChrysler (standing, from
left to right): Mr. Gruber, EvoBus
Development; Mr. Seilnacht, MB
Trucks Development; Mr. Dietel,
Freightliner Purchasing; Mr. Schäfer,
MB Trucks Development; Mr. Affeld,
Mr. Roland Berger. (bottom row, from
left to right) Mr. Ritchie, Freightliner
Development; and Mr. Karl, PCV.
(On the right) The project management at Takata-Petri (from left to
right) Mr. Becker, Mr. Braun, Mr. Karl
(DC) and Mr. Kress.
The South African Advantage In addition
to its proven competence and active role in
existing projects, Takata-Petri presented
another advantage to tip the scales in favor of
its proposal. The globally active supplier will
produce part of the steering wheels at its
plant in South Africa, and, in this way, be able
to lower costs even further. Analysis of the
conditions carried out by project members on
location showed that the South African plant
produces at the same levels of quality as in
Europe. “Takata-Petri South Africa produces
top quality,” Karl confirmed. Thus, in the
future, the components and systems for DaimlerChrysler Brazil and Freightliner will be
produced in South Africa, while the steering
wheels for DaimlerChrysler’s Wörth plant,
Mercedes-Benz Türk and EvoBus will continue to be made in Europe.
A Model Global Project All in all, the project personnel are extremely happy with the
high level of cooperation during the Global
Steering Wheel project and the definite results achieved. “The standards we’ve set
for global projects have been fully met,” Karl
emphasized. “By standardizing parts and
bundling volumes across business units, we
were able to achieve an increase in production levels of at least 150 per cent. We were
also able to reduce both the amount of variants and their price.” Added to this are the
benefits made possible by Takata-Petri’s
South African facilities – a standard design
and significantly lower global price for the
new Actros steering wheel. The project also
quite clearly shows the opportunities awaiting suppliers “that are willing to work in
helping us forge a relationship based on
globalization, performance, and partnership,”
Karl stated, summing up the benefits.
16
Global
17
Company
MCG/CVD/Chrysler Group Customer Specific
is zum Erscheinen der neuen ISO 9000:2000 werden die Anforderungskataloge VDA 6.1 und
Requirements
for Supplier Quality
ISO/TS
16
949:2
SO/ TS 16 949:2002
QS 9000 ihre Geltung behalten. Zertifizierungen nach VDA 6.1 können so bis zum Jahr 2000
X” beibehalten und durchgeführt werden. Um den weltweit eingeführten Wiedererken-
Schulung zum QM-System harmonisiert: Das neu entwickelte hybride Schulungsprogramm ist
ein Ausbildungsprogramm auf CD-ROM- Basis unter Verwendung des Internets für das neue QMen, wurde die TS 16 949 als “VDA 6.1 Harmonisiert“ herausgegeben.
System und zur Ausbildung von internen Auditoren. Ziel des Schulungssystems ist die Verknüpfung von Selbstlernelementen mit Gruppenarbeitselementen unter Hilfe tutorieller Unterstützung sowie die Nutzung der aus diesem System resultierenden Vorteile. Dadurch soll, neben
In the autofundierten
industry, ISO/TS
16 949:2002
serves
as the international
standard
for
quality
sysKenntnissen
aus
derverfolgt
Normenreihe
ISO/TS
16einer
949,
die management
umfassende
Technik
des AudiDas Online-Übungskonzept
unter Voraussetzung
Selbstlernphase
die Ziele
“Durchführung
praktischer
tems. Companies supplying production materials to DaimlerChrysler will also be required to provide proof of
tierens
erlernt
werden.
registration based on this globally applicable quality standard – including the customer-specific requirements
ungswert und die Akzeptanz der VDA-Schriftenreihe zum Qualitätsmanagement beizubehal-
Übungsaufgaben” und ”Erarbeitung und Diskussion von Lösungen im Team”. Die Betreuung der Arbeitsgruppen erfolgt
at DaimlerChrysler AG.
Asked by Globaldurch
Supplier,
Linda
and Patrick Ruizerreichbaren
Martin, responsible
for supplier
development
at Chrysler
einen
perPetro
Netzkommunikation
Tutor sowie
für Teilnehmer
und Tutor
zugängliche synchrone und asynGroup and at Mercedes Car Group respectively, emphasized the great importance of these requirements.
chrone Diskussions- und Frageforen. Neben der Bereitstellung verschiedener Kommunikationsmöglichkeiten mittels Stan-
dard-Tools ermöglicht die Plattform eine individuelle Betreuung des Nutzers. Durch die persönliche Nutzerkennung wird der
Chrysler Group
MercedesCar Group
Mercedes-Benz and Maybach
Commercial Vehicles Division
Mercedes-Benz
ISO/TS 16949-Zertifikat
IATF-Repräsentant: Henry Gryn, Tel. +1(248) 512-1655, hg3@daimlerchrysler.com
ISO/TS 16949 related business unit customer specific requirements listed on IATF and linked websites
PPAP-, MSA-, FMEA-, SPC-,
APQP manuals
VDA Books 1 -18
PO Terms and Conditions
Purchasing Terms and Conditions
Purchase Order Clauses
Mercedes-Benz Special Terms MBST
Technical Specification
Component Specification
“Implemented customer requirements determine the ef- The Mercedes-Benz Special Terms (MBST) apply for the
jeweilige
Teilnehmer
gestaltet
eine eigene
Lernumgebung.
Neben
Zugriffen
brands
Mercedes-Benz
and Maybach
at Mercedes
Carauf ISO/TS 16 949fectiveness
of qualityzugelassen
managementund
registration
fordarüber
us,”
MCG Quality Guideline No. 1, access
Integration für 2004 geplant
Blue dot manuals
via Covisint Supplier Portal
Group (MCG) and for the brands Mercedes-Benz at the
Linda Petro explained. “Providing proof of registration
spezifische Daten werden auch Bibliotheken bereitgestellt.
and understanding the documents that are connected to Commercial Vehicles Division (CVD). These assign
Bernd-Martin Lembke
Thomas Lucke
Henry Gryn
responsibilities for joint processes for all departments
them for us create trust in cooperation with our part+49 (7031) 90-88725
+49 (711)17-24429
+1(248) 512-1655
(Purchasing, Quality, Logistics, Product Origination,
ners,” Patrick Ruiz Martin added.
bernd-martin.lembke@daimlerchrysler.com
thomas.lucke@daimlerchrysler.com
hg3@daimlerchrysler.com
The website for the International Automotive Task Force Environment). The MBST are contract components for
at www.vda-qmc.de (under the section “IATF – Customer all partners of MCG and CVD. They are updated annually
Cooperating with suppliers is more suc- diagram illustrates the areas of applicaand distributed among the contacts at DC business
Specific Requirements”) documents the specifications
cessful if the underlying ground rules
tion for the various documents and exare more transparent. The requirements plains who can be contacted for each of
partners. The MBST can be accessed by those contractthe different business units at DaimlerChrysler define
for cooperation have been clearly dethem.
ing partners who have access to the DaimlerChrysler
for product realization. A series of documents and
fined in all parts of the corporation. The
processes are listed showing the customer’s ideas, rang- Supplier Portal.
The Component Specifications are part of every inquiry
ing from the original product idea to stable series profor new product projects sent to partners by MCG and
duction and replacement part supply.
The Chrysler Group Requirements For the most im- The Chrysler Group manuals (blue dot manuals) are
Bis Ende 1998 waren
beimwith
VDA-QMC
fast 1.000
Zertifikate
derprocesses
Zertifizierungen
CVD. Along
the specifications
and logistics
concept gemeldet. Der überwiegende Teil
portant
of product realization, Chrysler Group marked by a blue dot and serve as guidelines for imporof
the
components
to
be
developed,
the
specifications
lay
relies
on
the
instructions
that have proven themselves
tant processes in product realization. The books
Shared MCG and CVD Requirementsfand
The davon
VDA
in Deutschland (848) statt. Weitere Zertifikate wurden in Österreich, der Tschechischen Republik,
out the ground rules and the responsibilities for product
Books, also known as “Red Books,” provide detailed inin the US auto industry and that are found in the manuals PAP4CDS (Product Assurance Planning), DVPR (Design
Frankreich
Spanien, der Schweiz, England, Italien, Irland, Ungarn, Polen, Slowenien, der
Verification Planning & Report), and PAT (Product Assurstruction for processes that ensure smooth
cooperationund realization.
listedSlowakei,
below. Here, Belgien,
the book PPAP (Production Part ApThe MCG Quality Guideline No 1 provides a connected
ance Testing) cover quality planning in the development
and timely delivery at satisfactory levels of quality.
proval Process) sets standards for product and process
Mexiko, Brasilien, Kanada, Finnland, Südafrika, der Türkei, Tunesien und Saudi-Arabien erteilt.
overview of the expectations MCG has throughout prodphase. Software development and trial planning are
The customer requirements of MCG frequently refer to
releases. Suggestions are also made in the manuals on
■ Measurement System Analysis MSA,
uct realization and names the responsible departments
described in SAP (Software Assurance Planning) and
these standards. These are available from VDA at
■ Failure Mode and Effects Analysis FMEA,
that are integrated into each phase. The guideline can be
DOE (Design of Experiments); process release, in PSO
www.vda-qmc.de.
■ Statistical Process Control SPC,
(Process Sign off). All manuals can be ordered from LPS
In addition, the Purchasing Terms and Conditions delin- obtained from the DaimlerChrysler Supplier Portal at
■ Advanced Product Quality Planning APQP.
http://daimlerchrysler.covisint.com (under the section
– Detroit Production Center (+1 248 564 4748) Autoweb
eate the responsibilities of both MCG and CVD in their
distributes the in-house engineering standards; just
cooperation with partners. In connection with orders for “Mercedes Car Group – Knowledge”). The guidelines are
also to extend to apply to CVD for 2004 under current
call 248-601-7140 or see http://standards.autoweb.net.
development work and product shipments, these form
These documents can be ordered from AIAG (Tel.
The Technical Specifications of Chrysler Group are a
a uniform component of all development and supply con- plans.
+1 (248) 358-3003) in the USA, and from Carwin Concomponent of the purchase contract.
tinuous (Tel. +44 (1) 708-86133) in Europe (UK).
tracts. These are sent along with the contract documents –
just as are the PO purchase order (PO) clauses as well as
the terms and conditions of the Chrysler Group.
ISO/ TS 16 949:2002
16
Global
17
Company
MCG/CVD/Chrysler Group Customer Specific
is zum Erscheinen der neuen ISO 9000:2000 werden die Anforderungskataloge VDA 6.1 und
Requirements
for Supplier Quality
ISO/TS
16
949:2
SO/ TS 16 949:2002
QS 9000 ihre Geltung behalten. Zertifizierungen nach VDA 6.1 können so bis zum Jahr 2000
X” beibehalten und durchgeführt werden. Um den weltweit eingeführten Wiedererken-
Schulung zum QM-System harmonisiert: Das neu entwickelte hybride Schulungsprogramm ist
ein Ausbildungsprogramm auf CD-ROM- Basis unter Verwendung des Internets für das neue QMen, wurde die TS 16 949 als “VDA 6.1 Harmonisiert“ herausgegeben.
System und zur Ausbildung von internen Auditoren. Ziel des Schulungssystems ist die Verknüpfung von Selbstlernelementen mit Gruppenarbeitselementen unter Hilfe tutorieller Unterstützung sowie die Nutzung der aus diesem System resultierenden Vorteile. Dadurch soll, neben
In the autofundierten
industry, ISO/TS
16 949:2002
serves
as the international
standard
for
quality
sysKenntnissen
aus
derverfolgt
Normenreihe
ISO/TS
16einer
949,
die management
umfassende
Technik
des AudiDas Online-Übungskonzept
unter Voraussetzung
Selbstlernphase
die Ziele
“Durchführung
praktischer
tems. Companies supplying production materials to DaimlerChrysler will also be required to provide proof of
tierens
erlernt
werden.
registration based on this globally applicable quality standard – including the customer-specific requirements
ungswert und die Akzeptanz der VDA-Schriftenreihe zum Qualitätsmanagement beizubehal-
Übungsaufgaben” und ”Erarbeitung und Diskussion von Lösungen im Team”. Die Betreuung der Arbeitsgruppen erfolgt
at DaimlerChrysler AG.
Asked by Globaldurch
Supplier,
Linda
and Patrick Ruizerreichbaren
Martin, responsible
for supplier
development
at Chrysler
einen
perPetro
Netzkommunikation
Tutor sowie
für Teilnehmer
und Tutor
zugängliche synchrone und asynGroup and at Mercedes Car Group respectively, emphasized the great importance of these requirements.
chrone Diskussions- und Frageforen. Neben der Bereitstellung verschiedener Kommunikationsmöglichkeiten mittels Stan-
dard-Tools ermöglicht die Plattform eine individuelle Betreuung des Nutzers. Durch die persönliche Nutzerkennung wird der
Chrysler Group
MercedesCar Group
Mercedes-Benz and Maybach
Commercial Vehicles Division
Mercedes-Benz
ISO/TS 16949-Zertifikat
IATF-Repräsentant: Henry Gryn, Tel. +1(248) 512-1655, hg3@daimlerchrysler.com
ISO/TS 16949 related business unit customer specific requirements listed on IATF and linked websites
PPAP-, MSA-, FMEA-, SPC-,
APQP manuals
VDA Books 1 -18
PO Terms and Conditions
Purchasing Terms and Conditions
Purchase Order Clauses
Mercedes-Benz Special Terms MBST
Technical Specification
Component Specification
“Implemented customer requirements determine the ef- The Mercedes-Benz Special Terms (MBST) apply for the
jeweilige
Teilnehmer
gestaltet
eine eigene
Lernumgebung.
Neben
Zugriffen
brands
Mercedes-Benz
and Maybach
at Mercedes
Carauf ISO/TS 16 949fectiveness
of qualityzugelassen
managementund
registration
fordarüber
us,”
MCG Quality Guideline No. 1, access
Integration für 2004 geplant
Blue dot manuals
via Covisint Supplier Portal
Group (MCG) and for the brands Mercedes-Benz at the
Linda Petro explained. “Providing proof of registration
spezifische Daten werden auch Bibliotheken bereitgestellt.
and understanding the documents that are connected to Commercial Vehicles Division (CVD). These assign
Bernd-Martin Lembke
Thomas Lucke
Henry Gryn
responsibilities for joint processes for all departments
them for us create trust in cooperation with our part+49 (7031) 90-88725
+49 (711)17-24429
+1(248) 512-1655
(Purchasing, Quality, Logistics, Product Origination,
ners,” Patrick Ruiz Martin added.
bernd-martin.lembke@daimlerchrysler.com
thomas.lucke@daimlerchrysler.com
hg3@daimlerchrysler.com
The website for the International Automotive Task Force Environment). The MBST are contract components for
at www.vda-qmc.de (under the section “IATF – Customer all partners of MCG and CVD. They are updated annually
Cooperating with suppliers is more suc- diagram illustrates the areas of applicaand distributed among the contacts at DC business
Specific Requirements”) documents the specifications
cessful if the underlying ground rules
tion for the various documents and exare more transparent. The requirements plains who can be contacted for each of
partners. The MBST can be accessed by those contractthe different business units at DaimlerChrysler define
for cooperation have been clearly dethem.
ing partners who have access to the DaimlerChrysler
for product realization. A series of documents and
fined in all parts of the corporation. The
processes are listed showing the customer’s ideas, rang- Supplier Portal.
The Component Specifications are part of every inquiry
ing from the original product idea to stable series profor new product projects sent to partners by MCG and
duction and replacement part supply.
The Chrysler Group Requirements For the most im- The Chrysler Group manuals (blue dot manuals) are
Bis Ende 1998 waren
beimwith
VDA-QMC
fast 1.000
Zertifikate
derprocesses
Zertifizierungen
CVD. Along
the specifications
and logistics
concept gemeldet. Der überwiegende Teil
portant
of product realization, Chrysler Group marked by a blue dot and serve as guidelines for imporof
the
components
to
be
developed,
the
specifications
lay
relies
on
the
instructions
that have proven themselves
tant processes in product realization. The books
Shared MCG and CVD Requirementsfand
The davon
VDA
in Deutschland (848) statt. Weitere Zertifikate wurden in Österreich, der Tschechischen Republik,
out the ground rules and the responsibilities for product
Books, also known as “Red Books,” provide detailed inin the US auto industry and that are found in the manuals PAP4CDS (Product Assurance Planning), DVPR (Design
Frankreich
Spanien, der Schweiz, England, Italien, Irland, Ungarn, Polen, Slowenien, der
Verification Planning & Report), and PAT (Product Assurstruction for processes that ensure smooth
cooperationund realization.
listedSlowakei,
below. Here, Belgien,
the book PPAP (Production Part ApThe MCG Quality Guideline No 1 provides a connected
ance Testing) cover quality planning in the development
and timely delivery at satisfactory levels of quality.
proval Process) sets standards for product and process
Mexiko, Brasilien, Kanada, Finnland, Südafrika, der Türkei, Tunesien und Saudi-Arabien erteilt.
overview of the expectations MCG has throughout prodphase. Software development and trial planning are
The customer requirements of MCG frequently refer to
releases. Suggestions are also made in the manuals on
■ Measurement System Analysis MSA,
uct realization and names the responsible departments
described in SAP (Software Assurance Planning) and
these standards. These are available from VDA at
■ Failure Mode and Effects Analysis FMEA,
that are integrated into each phase. The guideline can be
DOE (Design of Experiments); process release, in PSO
www.vda-qmc.de.
■ Statistical Process Control SPC,
(Process Sign off). All manuals can be ordered from LPS
In addition, the Purchasing Terms and Conditions delin- obtained from the DaimlerChrysler Supplier Portal at
■ Advanced Product Quality Planning APQP.
http://daimlerchrysler.covisint.com (under the section
– Detroit Production Center (+1 248 564 4748) Autoweb
eate the responsibilities of both MCG and CVD in their
distributes the in-house engineering standards; just
cooperation with partners. In connection with orders for “Mercedes Car Group – Knowledge”). The guidelines are
also to extend to apply to CVD for 2004 under current
call 248-601-7140 or see http://standards.autoweb.net.
development work and product shipments, these form
These documents can be ordered from AIAG (Tel.
The Technical Specifications of Chrysler Group are a
a uniform component of all development and supply con- plans.
+1 (248) 358-3003) in the USA, and from Carwin Concomponent of the purchase contract.
tinuous (Tel. +44 (1) 708-86133) in Europe (UK).
tracts. These are sent along with the contract documents –
just as are the PO purchase order (PO) clauses as well as
the terms and conditions of the Chrysler Group.
ISO/ TS 16 949:2002
Global
19
News
IPS eShop
Award for a Well-Designed
Application
l
onors wil
In 2004 h gain – to the
ed a
be award bal suppliers
best glo
The project team (from left to right), with
Holger Finkenstein, Norbert Maier (project
manager) and Milian Braun, accepted the
award on behalf of DaimlerChrysler.
On March 31, during the 10th IIR Forum for Purchasing and
Logistics, “EPCON 2004”, hosted by IIR Deutschland GmbH in
Bad Homburg, DaimlerChrysler AG received the “IIR eProcurement Award” for its online marketplace “eShop – easy Shopping”. eShop is an electronic catalog retrieval system that
DaimlerChrysler personnel can use to procure consumable production materials over the Internet. Using this system, they
have access to around 80 catalogs with 1.3 million products.
Manfred Strub, business manager of Pasyo Consulting, procurement expert and a member of the award jury, was very impressed by the system, stating that “eShop is a well-designed
application with smooth process flows.” With its annual presentation of the “IIR eProcurement Award”, IIR Deutschland
GmbH offers companies that have developed innovative, outstanding eProcurement solutions the opportunity to make their
achievements known to a larger audience. The eShop project
won out over fiver other competitors in the award jury’s deliberations. eShop project manager Norbert Maier and members
of his project team were on hand to accept the award.
>> Global DaimlerChrysler Suppliers – 100 % Performance – 8 Award Winners
Special achievement deserves special recognition. Winning this award means being among the very best. This year, only the very
best of our global suppliers in the categories of “Chassis”, “Electrical”, “Exterior”, “Interior”, “Logistics”, “Non-Production Material”,
“Power Train” and “Raw Material” will join the select group of award winners.
Award winning suppliers know that we set the same high expectations for our suppliers as our customers do for us. That’s because:
our products are driven by performance – our cooperation is driven by performance – and, in turn, cooperation drives our performance.
>> The power of performance
In 1999, the initial release of the DaimlerChrysler Integrity Code specified mandatory
guidelines for employee conduct in business
transactions.
The original Integrity Code has now been
supplemented by the “Principles of Social
Responsibility” (see also Global Supplier, 3rd
Quarter 2003, p. 14: “Shaping Our Shared
Future Together”).
Standards for Specific Business Activities New rules of conduct were formulated
for management and employees in order
to foster equal opportunity and prevent discrimination. These rules govern conduct
among managers and subordinates, contact
with suppliers and other business partners
as well as relationships with political parties
and government agencies. In implementing
these rules, DaimlerChrysler requires that
each employee conduct himself/herself in a
manner that is responsible and beyond reproach.
Dealing With Suppliers Section IV (“Conflicts of Interest”) of DaimlerChrysler’s new,
expanded Integrity Code pertains to contacts
with suppliers:
“Employees must avoid personal interests
or financial activities that conflict, or appear
to conflict, with DaimlerChrysler’s interests
or that influence, or appear to influence,
their judgment or actions in performing their
duties as employees. In particular, employees
must comply with the (...) guidelines dealing
with gifts, meals, entertainment, and other
benefits from business partners.”
To communicate these changes with our
external partners, DaimlerChrysler has sent
this revised Integrity Code to the management of its top 15,000 suppliers.
The Integrity Code brochure is now available
for download in the supplier portal:
(http://daimlerchrysler.covisint.com)
Global
19
News
IPS eShop
Award for a Well-Designed
Application
l
onors wil
In 2004 h gain – to the
ed a
be award bal suppliers
best glo
The project team (from left to right), with
Holger Finkenstein, Norbert Maier (project
manager) and Milian Braun, accepted the
award on behalf of DaimlerChrysler.
On March 31, during the 10th IIR Forum for Purchasing and
Logistics, “EPCON 2004”, hosted by IIR Deutschland GmbH in
Bad Homburg, DaimlerChrysler AG received the “IIR eProcurement Award” for its online marketplace “eShop – easy Shopping”. eShop is an electronic catalog retrieval system that
DaimlerChrysler personnel can use to procure consumable production materials over the Internet. Using this system, they
have access to around 80 catalogs with 1.3 million products.
Manfred Strub, business manager of Pasyo Consulting, procurement expert and a member of the award jury, was very impressed by the system, stating that “eShop is a well-designed
application with smooth process flows.” With its annual presentation of the “IIR eProcurement Award”, IIR Deutschland
GmbH offers companies that have developed innovative, outstanding eProcurement solutions the opportunity to make their
achievements known to a larger audience. The eShop project
won out over fiver other competitors in the award jury’s deliberations. eShop project manager Norbert Maier and members
of his project team were on hand to accept the award.
>> Global DaimlerChrysler Suppliers – 100 % Performance – 8 Award Winners
Special achievement deserves special recognition. Winning this award means being among the very best. This year, only the very
best of our global suppliers in the categories of “Chassis”, “Electrical”, “Exterior”, “Interior”, “Logistics”, “Non-Production Material”,
“Power Train” and “Raw Material” will join the select group of award winners.
Award winning suppliers know that we set the same high expectations for our suppliers as our customers do for us. That’s because:
our products are driven by performance – our cooperation is driven by performance – and, in turn, cooperation drives our performance.
In 1999, the initial release of the DaimlerChrysler Integrity Code specified mandatory
guidelines for employee conduct in business
transactions.
The original Integrity Code has now been
supplemented by the “Principles of Social
Responsibility” (see also Global Supplier, 3rd
Quarter 2003, p. 14: “Shaping Our Shared
Future Together”).
Standards for Specific Business Activities New rules of conduct were formulated
for management and employees in order
to foster equal opportunity and prevent discrimination. These rules govern conduct
among managers and subordinates, contact
with suppliers and other business partners
as well as relationships with political parties
and government agencies. In implementing
these rules, DaimlerChrysler requires that
each employee conduct himself/herself in a
manner that is responsible and beyond reproach.
Dealing With Suppliers Section IV (“Conflicts of Interest”) of DaimlerChrysler’s new,
expanded Integrity Code pertains to contacts
with suppliers:
“Employees must avoid personal interests
or financial activities that conflict, or appear
to conflict, with DaimlerChrysler’s interests
or that influence, or appear to influence,
their judgment or actions in performing their
duties as employees. In particular, employees
must comply with the (...) guidelines dealing
with gifts, meals, entertainment, and other
benefits from business partners.”
To communicate these changes with our
external partners, DaimlerChrysler has sent
this revised Integrity Code to the management of its top 15,000 suppliers.
The Integrity Code brochure is now available
for download in the supplier portal:
(http://daimlerchrysler.covisint.com)
20
USA
Collaboration
21
Chrysler Group
Partnership for the
Environment Provides Value
to the Supply Chain
based Chemico Systems, Inc., “The concept of having suppliers
align their goals and strategies with their customers is right on
target. Until now, it has been extremely difficult for suppliers,
particularly smaller suppliers, to get an accurate understanding
of what OEMs were seeking relative to environmental initiatives.
The paradigm shift we see today exists when individuals and
organizations, such as DaimlerChrysler, see the value of collaborating with large and small companies such as Chemico Systems.
Our experience participating in this organization has been
tremendous.”
Reginald Modlin, Director of Environmental & Energy Planning,
DaimlerChrysler, sees the benefit from DaimlerChrysler’s perspective, “This partnership demonstrates that leading companies
in the automobile industry and the government can work together to identify and address issues that will bring about a positive impact for the environment while improving the economic
viability of the industry and its supply chains.”
For suppliers interested in taking advantage of this important
initiative, contact Reginald Modlin, Director of Environmental &
Energy Planning, DaimlerChrysler rrm6@daimlerchrysler.com
or +1 (248) 576-8076.
For more information about Suppliers Partnership for the Environment, visit www.supplierspartnership.org.
December 2003: U.S. EPA Deputy Administrator Stephen
Johnson celebrates SP’s one year anniversary with two
of SP’s founding members, General Motors Corporation
and Lear Corporation, and welcomes SP’s newest member, DaimlerChrysler Corporation. (In photo from left
to right): Patricia Beattie, General Motors Corporation
and SP At-Large Chair; U.S. EPA Deputy Administrator
Stephen Johnson; SP’s Chairman Rebecca Spearot,
Lear Corporation; and Reginald Modlin, DaimlerChrysler
Corporation and SP’s Work Group Chair.
DaimlerChrysler is working to increase the business performance of companies in the supply chain, while
reducing environmental impacts. As active members of the Suppliers Partnership for the Environment,
DaimlerChrysler is living out its commitment to help suppliers achieve real environmental improvements
while providing value to supplier companies of all sizes.
The Suppliers Partnership for the Environment (SP) is an innovative collaboration between automobile original equipment
manufacturers, their suppliers and the U.S. Environmental
Protection Agency (EPA).
Originally established in 2002, the group creates new business-centered approaches to environmental protection that improve the environment while providing value throughout the
entire automobile supply chain. The organization provides a
forum for small, mid-sized and large automotive suppliers to
work together, learn from each other and share environmental
best practices.
Notes Stephen L. Johnson, Deputy Administrator for the Environmental Protection Agency, “The Suppliers’ Partnership for
the Environment establishes a forum where the EPA and the
automobile supply industry can work together to achieve common goals of environmental performance. Through pollution
prevention, smarter decisions can be implemented throughout
the automobile manufacturing process that will benefit the environment and a company’s bottom line. We welcome DaimlerChrysler’s participation in this important effort.”
Environmental Performance and the Bottom Line
The Partnership is a “member-driven” activity that provides
quantifiable value to members. Work Groups address issues of
importance that include:
• Design for the Environment (DfE)
• Energy Optimization
• Environmental Performance Metrics
• SP Technical Assistance Workshops
As an example, a recent SP Technical Assistance Workshop
held at a small family-owned, tier-three supplier reviewed environmental and energy saving opportunities. Based on recommendations stemming from the three-day workshop, the supplier reduced annual energy costs by $370,000 – a significant
cost reduction for this supplier with $7 million annual revenues. The Partnership has many other examples of how a supplier’s manufacturing process may be explored to see if there
are alternative energy optimization and environmental process
improvements that could decrease costs, while reducing the
environmental footprint of the supply chain.
From the Supplier Perspective For suppliers, this cooperative environmental initiative addresses a long-standing need.
Notes Leon C. Richardson, President and CEO of Michigan-
Suppliers Partnership
for the Environment 2004
Membership Roster:
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
Ashland Inc.
B.A.E. Industries, Inc.
Chemico Systems, Inc.
DaimlerChrysler Corporation
Delphi Corporation
Detroit Chassis LLC
Elm Plating Company
Federal-Mogul Corporation
FlexForm Technologies
Flo-Matic Corporation
General Motors Corporation
Guardian Automotive
Haas TCM
JD Plating Co.
Johnson Controls, Inc.
Lear Corporation
Motorola, Inc.
Petoskey Plastics, Inc.
Renosol Corporation
Visteon Corporation
20
USA
Collaboration
21
Chrysler Group
Partnership for the
Environment Provides Value
to the Supply Chain
based Chemico Systems, Inc., “The concept of having suppliers
align their goals and strategies with their customers is right on
target. Until now, it has been extremely difficult for suppliers,
particularly smaller suppliers, to get an accurate understanding
of what OEMs were seeking relative to environmental initiatives.
The paradigm shift we see today exists when individuals and
organizations, such as DaimlerChrysler, see the value of collaborating with large and small companies such as Chemico Systems.
Our experience participating in this organization has been
tremendous.”
Reginald Modlin, Director of Environmental & Energy Planning,
DaimlerChrysler, sees the benefit from DaimlerChrysler’s perspective, “This partnership demonstrates that leading companies
in the automobile industry and the government can work together to identify and address issues that will bring about a positive impact for the environment while improving the economic
viability of the industry and its supply chains.”
For suppliers interested in taking advantage of this important
initiative, contact Reginald Modlin, Director of Environmental &
Energy Planning, DaimlerChrysler rrm6@daimlerchrysler.com
or +1 (248) 576-8076.
For more information about Suppliers Partnership for the Environment, visit www.supplierspartnership.org.
December 2003: U.S. EPA Deputy Administrator Stephen
Johnson celebrates SP’s one year anniversary with two
of SP’s founding members, General Motors Corporation
and Lear Corporation, and welcomes SP’s newest member, DaimlerChrysler Corporation. (In photo from left
to right): Patricia Beattie, General Motors Corporation
and SP At-Large Chair; U.S. EPA Deputy Administrator
Stephen Johnson; SP’s Chairman Rebecca Spearot,
Lear Corporation; and Reginald Modlin, DaimlerChrysler
Corporation and SP’s Work Group Chair.
DaimlerChrysler is working to increase the business performance of companies in the supply chain, while
reducing environmental impacts. As active members of the Suppliers Partnership for the Environment,
DaimlerChrysler is living out its commitment to help suppliers achieve real environmental improvements
while providing value to supplier companies of all sizes.
The Suppliers Partnership for the Environment (SP) is an innovative collaboration between automobile original equipment
manufacturers, their suppliers and the U.S. Environmental
Protection Agency (EPA).
Originally established in 2002, the group creates new business-centered approaches to environmental protection that improve the environment while providing value throughout the
entire automobile supply chain. The organization provides a
forum for small, mid-sized and large automotive suppliers to
work together, learn from each other and share environmental
best practices.
Notes Stephen L. Johnson, Deputy Administrator for the Environmental Protection Agency, “The Suppliers’ Partnership for
the Environment establishes a forum where the EPA and the
automobile supply industry can work together to achieve common goals of environmental performance. Through pollution
prevention, smarter decisions can be implemented throughout
the automobile manufacturing process that will benefit the environment and a company’s bottom line. We welcome DaimlerChrysler’s participation in this important effort.”
Environmental Performance and the Bottom Line
The Partnership is a “member-driven” activity that provides
quantifiable value to members. Work Groups address issues of
importance that include:
• Design for the Environment (DfE)
• Energy Optimization
• Environmental Performance Metrics
• SP Technical Assistance Workshops
As an example, a recent SP Technical Assistance Workshop
held at a small family-owned, tier-three supplier reviewed environmental and energy saving opportunities. Based on recommendations stemming from the three-day workshop, the supplier reduced annual energy costs by $370,000 – a significant
cost reduction for this supplier with $7 million annual revenues. The Partnership has many other examples of how a supplier’s manufacturing process may be explored to see if there
are alternative energy optimization and environmental process
improvements that could decrease costs, while reducing the
environmental footprint of the supply chain.
From the Supplier Perspective For suppliers, this cooperative environmental initiative addresses a long-standing need.
Notes Leon C. Richardson, President and CEO of Michigan-
Suppliers Partnership
for the Environment 2004
Membership Roster:
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
•
Ashland Inc.
B.A.E. Industries, Inc.
Chemico Systems, Inc.
DaimlerChrysler Corporation
Delphi Corporation
Detroit Chassis LLC
Elm Plating Company
Federal-Mogul Corporation
FlexForm Technologies
Flo-Matic Corporation
General Motors Corporation
Guardian Automotive
Haas TCM
JD Plating Co.
Johnson Controls, Inc.
Lear Corporation
Motorola, Inc.
Petoskey Plastics, Inc.
Renosol Corporation
Visteon Corporation
22
USA
Process
Chrysler Group “Flexible Effectivity”
Process Improvement
Allows for Earlier
Validation of New Vehicles
The Flexible Effectivity Process The
At Chrysler Group, efforts are underway to provide earlier validation of pilot
vehicles. Flexible Effectivity is a process and system enhancement that will
allow change to be processed for quality issues discovered during a pilot phase
without having to wait for the next pilot. The improved process provides a
“glide path” to assure that the Chrysler Development System milestones can
be achieved and aligns the Chrysler Group change process with industry best
practices.
Flexible Effectivity is a process that enables
the Chrysler Group to divide pilot programs
into multiple phases; for example, S1a, S1b,
S1c. Chrysler Group Supplier Quality championed these improvements, led by Robert
Sexton, Manager, Pilot Launch & Change
Management, DaimlerChrysler Procurement
& Supply. When fully implemented, pilot vehicles will be scheduled in these phases and
change notices can be timed to support them.
Currently, the pilot scheduling system is set
up to order all required pilot parts in a singular delivery. The change notice system
only permitted change at the start of a pilot.
If a problem was found early in the build,
the company had to wait until the next pilot
event to make the change according to the
business rules. Invariably, this fostered a
need to manage changed parts within a pilot
phase manually and inefficiently. Excess
and obsolete inventory created by this process further exacerbated the problem.
These limitations encouraged the use of a variety of methods “outside of the process” to
make changes. It reduced the ability to know
the engineering level of the part built and
had the potential to lead to wasted effort for
the product development teams.
Robert Sexton explains: “Implementation of
Flexible Effectivity will resolve these issues
by allowing part change and shipment at
each phase, with the overall goal of providing
an earlier change validation process, reducing excess and obsolete material at the using
plants and providing better visibility of part
change levels for materials used on the vehicles impacted by design changes.” Flexible
Effectivity will manage the changes needed
to develop the pilot vehicles and expedite the
parts to the plants.
Flexible Effectivity process provides improved discipline to the entire Pilot Process
by allowing changes to be written that are
needed for pilot vehicles at an earlier point.
Further, it will provide a more stable environment to manage change, eliminating the
need for multiple change notices required
for several model years or because the parts
are used in several plants.
All told, adding flexibility to this process
brings dramatic benefits, including improved
change notice management, earlier validation of new vehicles and reduced effort to
coordinate change. When fully implemented
in late 2004, Flexible Effectivity is expected
to result in significant improvements in expense per unit sold per new model launch,
and reduced excess and obsolescence costs
per new model launch.
>> 2 passes – 76 curves – 1000 butterflies in your tummy
Catching a glance of the new SLK is enough to increase your heartbeat. You start the engine –
and get chills up and down your spine. Then, 22 seconds later, the new Vario roof opens and you’re
off. Enjoying, enjoying and still enjoying.
Our products are driven by performance. And so is our idea of cooperation. Because in everyday life
and everyday competition there’s no room for anything less than 100 %. What our customers expect
of us, that’s what we expect from you: performance at its best.
22
USA
Process
Chrysler Group “Flexible Effectivity”
Process Improvement
Allows for Earlier
Validation of New Vehicles
The Flexible Effectivity Process The
At Chrysler Group, efforts are underway to provide earlier validation of pilot
vehicles. Flexible Effectivity is a process and system enhancement that will
allow change to be processed for quality issues discovered during a pilot phase
without having to wait for the next pilot. The improved process provides a
“glide path” to assure that the Chrysler Development System milestones can
be achieved and aligns the Chrysler Group change process with industry best
practices.
Flexible Effectivity is a process that enables
the Chrysler Group to divide pilot programs
into multiple phases; for example, S1a, S1b,
S1c. Chrysler Group Supplier Quality championed these improvements, led by Robert
Sexton, Manager, Pilot Launch & Change
Management, DaimlerChrysler Procurement
& Supply. When fully implemented, pilot vehicles will be scheduled in these phases and
change notices can be timed to support them.
Currently, the pilot scheduling system is set
up to order all required pilot parts in a singular delivery. The change notice system
only permitted change at the start of a pilot.
If a problem was found early in the build,
the company had to wait until the next pilot
event to make the change according to the
business rules. Invariably, this fostered a
need to manage changed parts within a pilot
phase manually and inefficiently. Excess
and obsolete inventory created by this process further exacerbated the problem.
These limitations encouraged the use of a variety of methods “outside of the process” to
make changes. It reduced the ability to know
the engineering level of the part built and
had the potential to lead to wasted effort for
the product development teams.
Robert Sexton explains: “Implementation of
Flexible Effectivity will resolve these issues
by allowing part change and shipment at
each phase, with the overall goal of providing
an earlier change validation process, reducing excess and obsolete material at the using
plants and providing better visibility of part
change levels for materials used on the vehicles impacted by design changes.” Flexible
Effectivity will manage the changes needed
to develop the pilot vehicles and expedite the
parts to the plants.
Flexible Effectivity process provides improved discipline to the entire Pilot Process
by allowing changes to be written that are
needed for pilot vehicles at an earlier point.
Further, it will provide a more stable environment to manage change, eliminating the
need for multiple change notices required
for several model years or because the parts
are used in several plants.
All told, adding flexibility to this process
brings dramatic benefits, including improved
change notice management, earlier validation of new vehicles and reduced effort to
coordinate change. When fully implemented
in late 2004, Flexible Effectivity is expected
to result in significant improvements in expense per unit sold per new model launch,
and reduced excess and obsolescence costs
per new model launch.
>> 2 passes – 76 curves – 1000 butterflies in your tummy
Catching a glance of the new SLK is enough to increase your heartbeat. You start the engine –
and get chills up and down your spine. Then, 22 seconds later, the new Vario roof opens and you’re
off. Enjoying, enjoying and still enjoying.
Our products are driven by performance. And so is our idea of cooperation. Because in everyday life
and everyday competition there’s no room for anything less than 100 %. What our customers expect
of us, that’s what we expect from you: performance at its best.
24
Europe
Project
25
MCG R 171 Product Project
“Interpersonal Aspects” Fundamental to the suc-
The SLK roadster was debuted at this year’s “Automobilsalon” auto
show held in Geneva, and since then it’s been causing a sensation in
the automotive press. One reason for this attention is the series of
awe-inspiring new product features; along with the remarkably
smooth, glitch-free product launch. Recently, we spoke with the project managers about the orderly project that first got underway in
October 1999.
A product project with never a need to “call the fire department”, with
seamless continuity, without any mad, hectic running around, with
consistent stability and studied concentration – a project that moved
briskly along and ended up producing the outstanding result desired –
that, in a nutshell, is project R 171. Measured in terms of the reduced
development times and the high standards set forth in the project
assignment – to outdo its predecessor and make it even better – it
was a smooth, low-key series of events. Such a successful project was
thoroughly planned and well organized, even though it did involve integrating new methods and process steps that were, to some extent,
implemented here for the first time.
cess of the project were activities devoted to preventive measures and on-time availability. Project managers, like Frank Haas, in charge of R 171 materials,
unanimously emphasize the “interpersonal aspects”
as being critical to success. For Udo Weist, in charge of
R 171 development, the secret to successful project
work lies in a “one-on-one chemistry”, particularly at
the function group level, which is the core of the project. “The people involved have got to get along well in
an informal sense, and a function group has got to
work as a true team. Frankness and openness in dealing with project issues, as well as clearly defined
processes and ‘rules of the game’, are the basis for productive, goal-oriented work. In a project like R 171, a
personal identification with the product is, without a
doubt, an important source of extra motivation.”
A Concerted Effort By Suppliers Horst Bardehle,
strategic project manager for R 171, confirms that the
supply partners involved also showed great dedication
to the effort. He himself was “fascinated by the motivation and enthusiasm shown by both project members and project suppliers,” adding that there was a
“concerted effort by both Mercedes-Benz and the suppliers to bring out a really great car.” This view is
echoed on the supplier side. Dr. Ralf Kümper, Director
Early, Close Collaboration Close integration of suppliers as early on as possible in the product development
process also contributed to success. Hermann Haas,
Customer Segment lead from DaimlerChrysler at Passenger Car Information Systems at Siemens VDO Automotive, the production supplier for indicating instruments,
confirms this. He stated that “the project teams from
Siemens VDO Automotive and DaimlerChrysler worked
together very closely. There were regular development
meetings, other productive project meetings and visits to
each other’s plants. In this way, we could head off difficulties and problems, working together to eliminate
them.” Dr. Kümper at Lear noted that he, too, had similar
experiences: “The vehicle innovations were realized
of Sales & Program Management at Lear Corporation, the within the tight development times because of the close
supply partner and production supplier of the SLK inteand trustworthy cooperation with the function group at
gral sport seats, underscores this attitude: “For me, each DaimlerChrysler.” He especially praised Lear’s integraseat project has its own inherent interests. But it’s altion in the design phase. “This was the only way to meet
ways particularly interesting to bring innovations into
the cost and scheduling targets in such a technically
such a special and evocative vehicle and, in this way, to
demanding area.”
become a part of the larger project effort. That’s where
it all really clicks.”
Planning for Success Other success factors were the
Jochen Schwemmle, business manager, and his staff at
proactive, preventive methods in quality control, such as
the Wörwag paint and coatings company, the supplier of in the way suppliers of launch-critical parts were accomthe environmentally friendly water-based paint system
panied throughout the processes by an interdisciplinary
for the SLK interior, puts it in a similar way: “For a sports coordination team. By means of supplier audits, this
car like the new SLK, the people involved were very inteam ensured that there was continuous communication
terested in the design right from the start. Of course, dur- with suppliers regarding processes, the requirements
ing the project, the focus is on schedules and milestones. for component quality, the milestones along the way to
However, when all was said and done, we were quite
achieving targets and the controlling measures. In addiaware that our efforts were important to the overall suction, during the process, design-stage vehicles were
cess of the project. That’s why we’re proud to have
jointly assembled by DC and suppliers for the purpose of
worked on such a project and proven our abilities.”
examining and ensuring component maturity-level and
quality. In fact, the first of these vehicles was already
built in the prototype phase. “We did have an above-average maturity level at quite an early point in the project,”
Haas recalls. He attributes this to the consistent employment of Cax technology. “The R 171 is the first vehicle
from our company that was completely developed digitally from the very start.” This yielded key advantages
for the entire product development process. Due to the
Even the famous Vario roof could be
high degree of detail in the vehicle data used in the Cax
improved even more: now it opens
process, it was possible to work on a design that was
or closes in only 22 seconds – even
by remote control.
very close to the actual, final product and to achieve
complete coordination of all components and processes.
Thus, test vehicles were available significantly earlier
than ever before.
„
(On the left) The successful
project team and management with Job No. 1 in the
Bremen assembly plant.
A love for detail: the new,
beautifully sculpted interior
door pull with integral power
window switch, exclusively
on the new SLK.
24
Europe
Project
25
MCG R 171 Product Project
“Interpersonal Aspects” Fundamental to the suc-
The SLK roadster was debuted at this year’s “Automobilsalon” auto
show held in Geneva, and since then it’s been causing a sensation in
the automotive press. One reason for this attention is the series of
awe-inspiring new product features; along with the remarkably
smooth, glitch-free product launch. Recently, we spoke with the project managers about the orderly project that first got underway in
October 1999.
A product project with never a need to “call the fire department”, with
seamless continuity, without any mad, hectic running around, with
consistent stability and studied concentration – a project that moved
briskly along and ended up producing the outstanding result desired –
that, in a nutshell, is project R 171. Measured in terms of the reduced
development times and the high standards set forth in the project
assignment – to outdo its predecessor and make it even better – it
was a smooth, low-key series of events. Such a successful project was
thoroughly planned and well organized, even though it did involve integrating new methods and process steps that were, to some extent,
implemented here for the first time.
cess of the project were activities devoted to preventive measures and on-time availability. Project managers, like Frank Haas, in charge of R 171 materials,
unanimously emphasize the “interpersonal aspects”
as being critical to success. For Udo Weist, in charge of
R 171 development, the secret to successful project
work lies in a “one-on-one chemistry”, particularly at
the function group level, which is the core of the project. “The people involved have got to get along well in
an informal sense, and a function group has got to
work as a true team. Frankness and openness in dealing with project issues, as well as clearly defined
processes and ‘rules of the game’, are the basis for productive, goal-oriented work. In a project like R 171, a
personal identification with the product is, without a
doubt, an important source of extra motivation.”
A Concerted Effort By Suppliers Horst Bardehle,
strategic project manager for R 171, confirms that the
supply partners involved also showed great dedication
to the effort. He himself was “fascinated by the motivation and enthusiasm shown by both project members and project suppliers,” adding that there was a
“concerted effort by both Mercedes-Benz and the suppliers to bring out a really great car.” This view is
echoed on the supplier side. Dr. Ralf Kümper, Director
Early, Close Collaboration Close integration of suppliers as early on as possible in the product development
process also contributed to success. Hermann Haas,
Customer Segment lead from DaimlerChrysler at Passenger Car Information Systems at Siemens VDO Automotive, the production supplier for indicating instruments,
confirms this. He stated that “the project teams from
Siemens VDO Automotive and DaimlerChrysler worked
together very closely. There were regular development
meetings, other productive project meetings and visits to
each other’s plants. In this way, we could head off difficulties and problems, working together to eliminate
them.” Dr. Kümper at Lear noted that he, too, had similar
experiences: “The vehicle innovations were realized
of Sales & Program Management at Lear Corporation, the within the tight development times because of the close
supply partner and production supplier of the SLK inteand trustworthy cooperation with the function group at
gral sport seats, underscores this attitude: “For me, each DaimlerChrysler.” He especially praised Lear’s integraseat project has its own inherent interests. But it’s altion in the design phase. “This was the only way to meet
ways particularly interesting to bring innovations into
the cost and scheduling targets in such a technically
such a special and evocative vehicle and, in this way, to
demanding area.”
become a part of the larger project effort. That’s where
it all really clicks.”
Planning for Success Other success factors were the
Jochen Schwemmle, business manager, and his staff at
proactive, preventive methods in quality control, such as
the Wörwag paint and coatings company, the supplier of in the way suppliers of launch-critical parts were accomthe environmentally friendly water-based paint system
panied throughout the processes by an interdisciplinary
for the SLK interior, puts it in a similar way: “For a sports coordination team. By means of supplier audits, this
car like the new SLK, the people involved were very inteam ensured that there was continuous communication
terested in the design right from the start. Of course, dur- with suppliers regarding processes, the requirements
ing the project, the focus is on schedules and milestones. for component quality, the milestones along the way to
However, when all was said and done, we were quite
achieving targets and the controlling measures. In addiaware that our efforts were important to the overall suction, during the process, design-stage vehicles were
cess of the project. That’s why we’re proud to have
jointly assembled by DC and suppliers for the purpose of
worked on such a project and proven our abilities.”
examining and ensuring component maturity-level and
quality. In fact, the first of these vehicles was already
built in the prototype phase. “We did have an above-average maturity level at quite an early point in the project,”
Haas recalls. He attributes this to the consistent employment of Cax technology. “The R 171 is the first vehicle
from our company that was completely developed digitally from the very start.” This yielded key advantages
for the entire product development process. Due to the
Even the famous Vario roof could be
high degree of detail in the vehicle data used in the Cax
improved even more: now it opens
process, it was possible to work on a design that was
or closes in only 22 seconds – even
by remote control.
very close to the actual, final product and to achieve
complete coordination of all components and processes.
Thus, test vehicles were available significantly earlier
than ever before.
„
(On the left) The successful
project team and management with Job No. 1 in the
Bremen assembly plant.
A love for detail: the new,
beautifully sculpted interior
door pull with integral power
window switch, exclusively
on the new SLK.
26
Europe
Project
Europe
Forum
27
MCG Forums for BR 221 and BR 164/251
A Well-Coordinated Launch Despite the shortened
The strategic project manager for
R 171, Horst Bardehle, is understandably happy: “His” project was
both smooth and successful.
development times, project personnel had greater room
to maneuver, which was used to advantage from the prototype phase all the way to the series launch for optimizing components and processes. “As far as quality went,
we were at a high level right up to Job No. 1,” recall both
Haas and Gerhard Huck, a member of the project team.
“So it’s really no surprise that the testing under practical
conditions simulating actual customer use went so well.”
Overall, the success of the R 171 project is due to the
“very good coordination of the launch phase,” as emphasized by Hermann Haas at Siemens VDO Automotive;
and to the “cooperation between true partners,” as
stressed by Jochen Schwemmle at Wörwag, who adds
that it was “open and constructive with a well-functioning information exchange system that was willing to
include our suggestions.” Frank Haas hits the bull’s-eye
when, in a deliberate allusion to a claim recently made
in a DC press release, he characterized the project and
its outstanding teamwork as being as “strong as an
Italian espresso.”
Invigorating and
Vigorous
Its predecessor sold a total of
308,000 times and, in doing so, exceeded the fondest expectations of
its creators. The new SLK is supposed to not only continue this success story but to top it. That’s one
of the reasons why R 171 has such
outstanding equipment and features,
and that’s why it has a significantly
sportier exterior, one with a striking,
evocative design. The impressive
interior was crafted with exclusive
materials such as real metal trim and
a greatly expanded level of equipment such as the sporty gearshift
and integral sport seats with magnesium backrest frames. If desired,
these seats can also be equipped
with the new, innovative AirScarf
system, a heater integrated in the
headrests for comfort while touring
top-down at lower temperatures.
Even the justifiably famous Vario roof
has been improved once again. Now
it can be opened or closed in only
22 seconds – even with a remote
control. The pivoting rear glass lets
the trunk volume be increased by
40 per cent with the roof open.
What’s more, the skill of the design
engineers has produced a new SLK
with a taut, tight chassis with the
feel and drivability of a sports car yet
with a comfortable ride over long
stretches. The sheer joy in driving
the SLK is also due to its unique
range of four, six and eight cylinder
engines, which have outputs ranging
from 120 kW to 265 kW and will
drive the new SLK to greater heights
of success.
Let’s Get Ready!
In anticipation of Mercedes Car Group product launches, two forums of major significance were held
during the first quarter of this year. The project BR 221 forum was held in February at the Mercedes
Event Center in Sindelfingen. The forum for BR 164/251 was held in March in Alabama, home state of the
Tuscaloosa DaimlerChrysler plant. At the events in Germany and the United States, nearly 300 representatives from the supply sector and DaimlerChrysler received the latest information on the status of these
projects, participated in maturity-level (design-status) workshops, visited information booths and attended breakout sessions. These activities helped participants identify areas where further action was
still required in the respective projects.
The new S-Class keeps the promise of its predecessors: setting the standard for innovation for the Mercedes-Benz brand – a brand
that has substantial influence in shaping the
entire automotive industry. Although the
S-Class continues to dominate the premium
vehicle segment, in his opening remarks,
Prof. Dr. Eberhard Haller, Sindelfingen plant
manager and spokesperson for the S/SL/
Maybach management, urged his audience
to keep a key thing in mind: “We must not
be content to rest on our laurels, because our
competitors have been catching up. BR221
must continue the S-Class success story and,
once again, surpass its competition. Today
we should take full advantage of the many
opportunities available here to discuss
frankly and openly the challenges still facing
us and to ensure that our targets for costs,
design maturity and quality are fully met.”
Meeting High Customer Expectations
In his remarks, Dr. Joachim Kramer, head of
S-Class product management, reiterated
“how difficult business in this segment has
become.” He stated that in order to continue
to expand Mercedes-Benz market leadership,
“we must once again satisfy the high expectations of our customers and be sure that
our new vehicle takes these demands into ac-
count.” In addition to quality, comfort and
convenience, he cited reliability, safety,
design and image as the most compelling
reasons for purchasing an S-Class. Kramer
noted, “We expect BR221 to build on the
legacy of its successful predecessor and reaffirm S-Class leadership in the premium
segment.” To meet this objective, the production facilities were adapted to meet the
specific requirements of the new S-Class.
Michael Burke, head of production planning
for body shell and paint, and PP-lead for
S/SL vehicles, discussed the status of the
preparations in the Sindelfingen plant and
called on suppliers to do their part to ensure
the success of the pre-production series:
“The objective of this series is to increase the
product maturity level of both the product
and the production processes. To achieve
this, we need 100% of your parts to come
from series-ready production tools and be
delivered on time for the start of the preproduction series.”
Significance of Suppliers Harald Kröger,
head of Materials Purchasing for Electrics/
Electronics and in charge of the S/SL/SLK/
Maybach model series at MEP, also left no
doubt about the great responsibility shouldered by the suppliers, stating the “71 per
In maturity-level workshops with a
total of 27 “round tables,” the preparations for the pending start of the
pre-production series for the new
S-Class were jointly worked out.
„
26
Europe
Project
Europe
Forum
27
A Well-Coordinated Launch Despite the shortened
The strategic project manager for
R 171, Horst Bardehle, is understandably happy: “His” project was
both smooth and successful.
development times, project personnel had greater room
to maneuver, which was used to advantage from the prototype phase all the way to the series launch for optimizing components and processes. “As far as quality went,
we were at a high level right up to Job No. 1,” recall both
Haas and Gerhard Huck, a member of the project team.
“So it’s really no surprise that the testing under practical
conditions simulating actual customer use went so well.”
Overall, the success of the R 171 project is due to the
“very good coordination of the launch phase,” as emphasized by Hermann Haas at Siemens VDO Automotive;
and to the “cooperation between true partners,” as
stressed by Jochen Schwemmle at Wörwag, who adds
that it was “open and constructive with a well-functioning information exchange system that was willing to
include our suggestions.” Frank Haas hits the bull’s-eye
when, in a deliberate allusion to a claim recently made
in a DC press release, he characterized the project and
its outstanding teamwork as being as “strong as an
Italian espresso.”
Invigorating and
Vigorous
Its predecessor sold a total of
308,000 times and, in doing so, exceeded the fondest expectations of
its creators. The new SLK is supposed to not only continue this success story but to top it. That’s one
of the reasons why R 171 has such
outstanding equipment and features,
and that’s why it has a significantly
sportier exterior, one with a striking,
evocative design. The impressive
interior was crafted with exclusive
materials such as real metal trim and
a greatly expanded level of equipment such as the sporty gearshift
and integral sport seats with magnesium backrest frames. If desired,
these seats can also be equipped
with the new, innovative AirScarf
system, a heater integrated in the
headrests for comfort while touring
top-down at lower temperatures.
Even the justifiably famous Vario roof
has been improved once again. Now
it can be opened or closed in only
22 seconds – even with a remote
control. The pivoting rear glass lets
the trunk volume be increased by
40 per cent with the roof open.
What’s more, the skill of the design
engineers has produced a new SLK
with a taut, tight chassis with the
feel and drivability of a sports car yet
with a comfortable ride over long
stretches. The sheer joy in driving
the SLK is also due to its unique
range of four, six and eight cylinder
engines, which have outputs ranging
from 120 kW to 265 kW and will
drive the new SLK to greater heights
of success.
Let’s Get Ready!
In anticipation of Mercedes Car Group product launches, two forums of major significance were held
during the first quarter of this year. The project BR 221 forum was held in February at the Mercedes
Event Center in Sindelfingen. The forum for BR 164/251 was held in March in Alabama, home state of the
Tuscaloosa DaimlerChrysler plant. At the events in Germany and the United States, nearly 300 representatives from the supply sector and DaimlerChrysler received the latest information on the status of these
projects, participated in maturity-level (design-status) workshops, visited information booths and attended breakout sessions. These activities helped participants identify areas where further action was
still required in the respective projects.
The new S-Class keeps the promise of its predecessors: setting the standard for innovation for the Mercedes-Benz brand – a brand
that has substantial influence in shaping the
entire automotive industry. Although the
S-Class continues to dominate the premium
vehicle segment, in his opening remarks,
Prof. Dr. Eberhard Haller, Sindelfingen plant
manager and spokesperson for the S/SL/
Maybach management, urged his audience
to keep a key thing in mind: “We must not
be content to rest on our laurels, because our
competitors have been catching up. BR221
must continue the S-Class success story and,
once again, surpass its competition. Today
we should take full advantage of the many
opportunities available here to discuss
frankly and openly the challenges still facing
us and to ensure that our targets for costs,
design maturity and quality are fully met.”
Meeting High Customer Expectations
In his remarks, Dr. Joachim Kramer, head of
S-Class product management, reiterated
“how difficult business in this segment has
become.” He stated that in order to continue
to expand Mercedes-Benz market leadership,
“we must once again satisfy the high expectations of our customers and be sure that
our new vehicle takes these demands into ac-
count.” In addition to quality, comfort and
convenience, he cited reliability, safety,
design and image as the most compelling
reasons for purchasing an S-Class. Kramer
noted, “We expect BR221 to build on the
legacy of its successful predecessor and reaffirm S-Class leadership in the premium
segment.” To meet this objective, the production facilities were adapted to meet the
specific requirements of the new S-Class.
Michael Burke, head of production planning
for body shell and paint, and PP-lead for
S/SL vehicles, discussed the status of the
preparations in the Sindelfingen plant and
called on suppliers to do their part to ensure
the success of the pre-production series:
“The objective of this series is to increase the
product maturity level of both the product
and the production processes. To achieve
this, we need 100% of your parts to come
from series-ready production tools and be
delivered on time for the start of the preproduction series.”
Significance of Suppliers Harald Kröger,
head of Materials Purchasing for Electrics/
Electronics and in charge of the S/SL/SLK/
Maybach model series at MEP, also left no
doubt about the great responsibility shouldered by the suppliers, stating the “71 per
In maturity-level workshops with a
total of 27 “round tables,” the preparations for the pending start of the
pre-production series for the new
S-Class were jointly worked out.
„
28
Europe
Forum
29
Prof. Dr. Eberhard Haller
urged the project members
not to be content to rest on
their laurels.
Tuscaloosa It was no coincidence that the
BR 164/251 forum was held near Daimlerthe amount of changes down to a minimum.” Chrysler’s US production plant. With all the
preparations for the production tests for
Despite this issue, in his survey of the
W164 and V251, it is necessary to relocate
progress achieved and the steps yet to be
the project activities from Sindelfingen –
taken, he declared that he was “extremely
where the vehicles were originally developed
optimistic that we’ll meet our goals.” In his
and the pre-production series was readied
view, the level of dedication shown thus far
by the supply partners and the results of the for production – to Tuscaloosa. “Due to the
staggered launches, along with the new suptest runs with the development vehicles
cent of production expenses come from mapliers and the plant expansion, the upcomclearly indicated one thing: “BR221 will be
terial costs. This figure shows how much reing tasks won’t be made any easier,” exanother premium product featuring many
sponsibility you actually have in this project. innovations.”
plained Bill Taylor, President of MBUSI. It’s
As suppliers for the new S-Class, we trust
Ensuring the availability of parts from series- truly an enormous workload that’s making
that you will provide parts whose quality
ready production tools as well as their matu- great demands on all those involved in the
level befits this premium product and deliver rity level (design stage) was the central focus project. The slogan chosen for the forum was
them right on schedule.” This meant, he
certainly justified: “Get Ready!” In his reof the second part of the forum. To promote
went on, that it was not only necessary “for
marks, Taylor stressed the need for a close
this effort, attendees at the maturity-level
you to ensure reliable processes in your own workshops gathered around 27 circular
network of open communication to minimize
companies but also to safeguard them at
surprises at launch time.
tables and concretely discussed issues conyour subcontractors.” In his view, working
cerning tasks still to be completed before
together as partners required a great degree the start of the pre-production series. The re- Keep Working On The Cost Situation
of openness so that any problems could be
sulting ideas and suggestions on ensuring
Harald Bölstler, head of Materials Purchasing
jointly resolved as early as possible. “And
maturity levels of both parts and processes
for Mercedes-Benz Passenger Cars & smart,
that also means,” he stressed, “that you have flowed back into the immediate project at
announced that the supplier selection
to tell us what you expect from us and tell us hand and were also made available to supply process was essentially completed. He noted
where you see a need for action or improvepartners after the forum was over. The “infor- that suppliers are expected to assume full
ments on our side.” In keeping with his mes- mation exchange” areas devoted to eChange responsibility for managing their subconsage of open communication, Kröger stated
and Launch Management, Production, Qual- tractors and for the quality of parts they outthat he was not happy with the cost situation ity and Supply Logistic were well attended
source. Furthermore, he commented on the
for the project: “There are some places
by the suppliers. Supplier representatives
unsatisfactory cost situation, stating that
where we are still not reaching the cost tarand others obtained information on the on“we’ll be working on joint proposals all the
gets. More effort is needed to meet them.”
line services used to access various projectway up to Job 1 and even beyond the launch
In addition, he felt that more ideas were
related applications.
phase.” Bölstler emphasized the importance
needed on how to improve the economics of
of continuous cost monitoring and added
the product. Specifically, he noted that rethat the electronic change management
duction in complexity was a proven means of
process (eCM) was a critical part of this
both increasing quality and lowering costs.
effort. He characterized the eCM system as
an absolute “must” along with other, related
efforts to minimize the volume of changes.
BR 221: It’s A Real S-Class Like the other
speakers before him, Dr. Hermann-Joseph
Storp, Strategic Project Manager for the
BR221/C216, discussed the pending changes
and their management, stating that “we all
must take a good look at how we can keep
Dr. Hermann-Joseph Storp was
optimistic: the new S-Class “will
once again be a premium product
featuring many innovations.”
Perfect Product Quality Dr. Uwe Ernstberger, head of the M-Class/R-Class vehicle
product group at Passenger Car Development, placed great emphasis on the strategic
significance of the new model series. The
objective is to achieve market leadership in
the sports tourer and the SUV premium segments. When viewed in terms of the range of
competing vehicles, this goal demands “perfect product quality starting right at Job 1 –
this is the key element for success in these
markets.”
Picking up where Ernstberger had left off
with his call for “delivery of first-class products to the Tuscaloosa plant,” Hermann
Rosenstiel, the strategic project manager for
164/251, discussed the schedule of events
and the expected production levels. He noted
the objectives of the forum, stating “We hope
to develop a common understanding of what
the next steps these projects will entail,
to address open questions and problems directly and to clear up any remaining issues
without holding anything back.”
Focus on Quality and Timing Supplying
the Tuscaloosa plant with perfect products
requires a first class logistics system. This
was the topic explored by Joachim Tosstorff,
Vice President of Purchasing and Logistics
MBUSI. Tosstorff provided details about the
parts request procedures and on-time delivery of parts. He urged suppliers to handle
deliveries in a disciplined manner. “This is
because the staggered launch schedule
means suppliers will receive two different
requests for the same parts.” In his view, a
delivery could only be termed successful
“when we get the right part in the right quality at the right time in the right place.”
Wolfgang Demel, Vice President of Quality
MBUSI Quality, provided an overview of
the requirements of the sample-inspection
process as well as the quality required for
the pre-production series and production
tests. He urged suppliers to get closely involved by “personally participating in the activities involved in the pre-production series
and in the production tests.”
“Green Light” For Payment During the
presentation made by Martin Allgaier, Manager of Finance and Controlling MBUSI,
suppliers learned about “the steps that are
necessary for our suppliers to be paid
promptly for their series production tools.”
As a rule, the following condition applies:
payment for production tools will be issued
after the parts have received the “green
light” after the sample-inspection process.
Allgaier explained the “Tool Tracking Sheet,”
a document used to continuously track tool
costs scheduling and manufacturing. The
sheet is important for all changes, which
have to be fully and completely documented.
All change-related costs will be individually
checked by purchasing and MBUSI “before
they are incurred.” Allgaier stated that as
owner of the tools, MBUSI expected that
tools be labeled as being in compliance with
the quality requirements as set forth by
ISO/TS 16 949 as well as with information
identifying the locations where they would
be put in service. He also announced that
there would be a program of audits. “In order
to ensure the production of top-quality parts,
we will be closely examining the level of
care and maintenance that our tools are receiving.”
The presentation ended with a talk by John
Reagan, Manager Service & Parts, who outlined the primary goals and challenges pertaining to replacement parts for this year
and beyond. During the breakout sessions,
attendees visited information booths for
information about the sample-inspection
process, engineering change control, tool
controlling and change management. In
addition, attendees visited information tables
to discuss open questions and problems with
experts from MBUSI and DaimlerChrysler.
28
Europe
Forum
29
MCG Foren BR 221 und BR 164/251
Prof. Dr. Eberhard Haller
urged the project members
not to be content to rest on
their laurels.
Tuscaloosa It was no coincidence that the
BR 164/251 forum was held near Daimlerthe amount of changes down to a minimum.” Chrysler’s US production plant. With all the
preparations for the production tests for
Despite this issue, in his survey of the
W164 and V251, it is necessary to relocate
progress achieved and the steps yet to be
the project activities from Sindelfingen –
taken, he declared that he was “extremely
where the vehicles were originally developed
optimistic that we’ll meet our goals.” In his
and the pre-production series was readied
view, the level of dedication shown thus far
by the supply partners and the results of the for production – to Tuscaloosa. “Due to the
staggered launches, along with the new suptest runs with the development vehicles
cent of production expenses come from mapliers and the plant expansion, the upcomclearly indicated one thing: “BR221 will be
terial costs. This figure shows how much reing tasks won’t be made any easier,” exanother premium product featuring many
sponsibility you actually have in this project. innovations.”
plained Bill Taylor, President of MBUSI. It’s
As suppliers for the new S-Class, we trust
Ensuring the availability of parts from series- truly an enormous workload that’s making
that you will provide parts whose quality
ready production tools as well as their matu- great demands on all those involved in the
level befits this premium product and deliver rity level (design stage) was the central focus project. The slogan chosen for the forum was
them right on schedule.” This meant, he
certainly justified: ‘Get Ready!’ In his reof the second part of the forum. To promote
went on, that it was not only necessary “for
marks, Taylor stressed the need for a close
this effort, attendees at the maturity-level
you to ensure reliable processes in your own workshops gathered around 27 circular
network of open communication to minimize
companies but also to safeguard them at
surprises at launch time.
tables and concretely discussed issues conyour subcontractors.” In his view, working
cerning tasks still to be completed before
together as partners required a great degree the start of the pre-production series. The re- Keep Working On The Cost Situation
of openness so that any problems could be
sulting ideas and suggestions on ensuring
Harald Bölstler, head of Materials Purchasing
jointly resolved as early as possible. “And
maturity levels of both parts and processes
for Mercedes-Benz Passenger Cars & smart,
that also means,” he stressed, “that you have flowed back into the immediate project at
announced that the supplier selection
to tell us what you expect from us and tell us hand and were also made available to supply process was essentially completed. He noted
where you see a need for action or improvepartners after the forum was over. The “infor- that suppliers are expected to assume full
ments on our side.” In keeping with his mes- mation exchange” areas devoted to eChange responsibility for managing their subconsage of open communication, Kröger stated
and Launch Management, Production, Qual- tractors and for the quality of parts they outthat he was not happy with the cost situation ity and Supply Logistic were well attended
source. Furthermore, he commented on the
for the project: “There are some places
by the suppliers. Supplier representatives
unsatisfactory cost situation, stating that
where we are still not reaching the cost tarand others obtained information on the on“we’ll be working on joint proposals all the
gets. More effort is needed to meet them.”
line services used to access various projectway up to Job 1 and even beyond the launch
In addition, he felt that more ideas were
related applications.
phase.” Bölstler emphasized the importance
needed on how to improve the economics of
of continuous cost monitoring and added
the product. Specifically, he noted that rethat the electronic change management
duction in complexity was a proven means of
process (eCM) was a critical part of this
both increasing quality and lowering costs.
effort. He characterized the eCM system as
an absolute “must” along with other, related
efforts to minimize the volume of changes.
BR 221: It’s A Real S-Class Like the other
speakers before him, Dr. Hermann-Joseph
Storp, Strategic Project Manager for the
BR221/C216, discussed the pending changes
and their management, stating that “we all
must take a good look at how we can keep
Dr. Hermann-Joseph Storp was
optimistic: the new S-Class “will
once again be a premium product
featuring many innovations.”
Perfect Product Quality Dr. Uwe Ernstberger, head of the M-Class/R-Class vehicle
product group at Passenger Car Development, placed great emphasis on the strategic
significance of the new model series. The
objective is to achieve market leadership in
the sports tourer and the SUV premium segments. When viewed in terms of the range of
competing vehicles, this goal demands “perfect product quality starting right at Job 1 –
this is the key element for success in these
markets.”
Picking up where Ernstberger had left off
with his call for “delivery of first-class products to the Tuscaloosa plant,” Hermann
Rosenstiel, the strategic project manager for
164/251, discussed the schedule of events
and the expected production levels. He noted
the objectives of the forum, stating “We hope
to develop a common understanding of what
the next steps these projects will entail,
to address open questions and problems directly and to clear up any remaining issues
without holding anything back.”
Focus on Quality and Timing Supplying
the Tuscaloosa plant with perfect products
requires a first class logistics system. This
was the topic explored by Joachim Tosstorff,
Vice President of Purchasing and Logistics
MBUSI. Tosstorff provided details about the
parts request procedures and on-time delivery of parts. He urged suppliers to handle
deliveries in a disciplined manner. “This is
because the staggered launch schedule
means suppliers will receive two different
requests for the same parts.” In his view, a
delivery could only be termed successful
“when we get the right part in the right quality at the right time in the right place.”
Wolfgang Demel, Vice President of Quality
MBUSI Quality, provided an overview of
the requirements of the sample-inspection
process as well as the quality required for
the pre-production series and production
tests. He urged suppliers to get closely involved by “personally participating in the activities involved in the pre-production series
and in the production tests.”
“Green Light” For Payment During the
presentation made by Martin Allgaier, Manager of Finance and Controlling MBUSI,
suppliers learned about “the steps that are
necessary for our suppliers to be paid
promptly for their series production tools.”
As a rule, the following condition applies:
payment for production tools will be issued
after the parts have received the “green
light” after the sample-inspection process.
Allgaier explained the “Tool Tracking Sheet,”
a document used to continuously track tool
costs scheduling and manufacturing. The
sheet is important for all changes, which
have to be fully and completely documented.
All change-related costs will be individually
checked by purchasing and MBUSI “before
they are incurred.” Allgaier stated that as
owner of the tools, MBUSI expected that
tools be labeled as being in compliance with
the quality requirements as set forth by
ISO/TS 16 949 as well as with information
identifying the locations where they would
be put in service. He also announced that
there would be a program of audits. “In order
to ensure the production of top-quality parts,
we will be closely examining the level of
care and maintenance that our tools are receiving.”
The presentation ended with a talk by John
Reagan, Manager Service & Parts, who outlined the primary goals and challenges pertaining to replacement parts for this year
and beyond. During the breakout sessions,
attendees visited information booths for
information about the sample-inspection
process, engineering change control, tool
controlling and change management. In
addition, attendees visited information tables
to discuss open questions and problems with
experts from MBUSI and DaimlerChrysler.
30
Europe
Collaboration
31
IPS/PP Procurement Market Investigation –
Moving Up to the
Major League
A successful audit at Miebach Logistics (from
left to right): Ralf Herrmann (Miebach Logistics), Volker Aﬂmann (PP), Hilmar Stockinger
(PP), Michael Trabner (PP), Raimund Billes
(IPS/S), Dr. Claus Herbst (PP), Detlev Petri
(PP), Hans Janka (PP), Joachim Gerdes (IPS/D)
and Tobias Rinza (Miebach Logistics).
In the fall of 2002, International Procurement Services (IPS) teamed with Production Planning (PP) at Mercedes-Benz
Passenger Cars to examine the procurement market for planning services. Internally designated as “Procurement Market
Research”, this investigation led to the new grouping known as the “strategic supplier set.” Adopted in February 2004,
the strategic supplier set consists of the best planning service providers currently available.
This joint examination of the procurement
market originated from the Production Planning at Mercedes-Benz Passenger Cars. Due
to the anticipated increase in car variants,
Production Planning expects a parallel increase in the use of planning services. As
planning requirements for automotive projects exceed internal capacities, an increased
reliance on outsourcing to external service
providers is anticipated. Thus, the group undertook an advanced investigation into the
procurement market to optimize the quality
of procurement decisions and compile a set
of suitable suppliers that could be turned to
quickly and specifically.
Looking For The Best “This was the first
time we’ve carried out such a comprehensive
study,” stated Raimund Billes at IPS supplier
management. The study was supported by a
cross-functional team made up of personnel
from IPS along with various functional areas
in Production Planning.
The first step was to divide planning services
into five areas: factory/logistics planning and
facilities planning, body shell, paintwork and
assembly planning. In each case, the objective was to assign only the most competent
suppliers to these five areas.
From General Assessment to Fine-Tuning Around 300 planning services were
identified as potential candidates for the new
listing. During the initial assessment, candidates were sent a questionnaire over the
Internet. “The questionnaire looked at company facts and figures, globalization-related
activities, technology and planning qualifications in the areas being examined,”
reports Dr. Claus Herbst at Production Planning. The pool was narrowed to 30 companies meriting further investigation. Then,
from mid-March until August 2003, 19 of
these companies were visited on location
by interdisciplinary project teams from IPS
and PP. The visits helped the group make a
more exact assessment of each situation.
After this “fine-tuning” stage, a select group
of planning services was deemed to be worthy candidates for inclusion in the “strategic
supplier set.”
Regular Review of the Supplier Set
Encourages Competition Based on the
results of the procurement market study,
and as part of its commodity strategy project
“Plant, Manufacturing, Logistics and Equipment Planning”, IPS drew up a supplier set
that was jointly approved with PP last Febru-
ary. This set lists the most competent planning services. The set is commonly known,
with good reason, as the “Major League” list.
As is the case in sports ratings, only the best
can retain their major league status. This
means that the positions of the top-listed
companies will fluctuate as they remain in
continuous competition with each other. This
approach reflects the policy of Extended Enterprise®, DaimlerChrysler’s supplier program. Mr. Billes emphasizes this fact, stating
“this puts the focus of our supplier management on competitiveness and the continuous
improvement of supplier performance.”
Competencies More Clearly Presented
The results of the procurement market study
provide solid, “actionable” information about
the performance of individual planning services. In fact, the database contains information on over 150 suppliers. Further detailed
information is available on those 19 suppliers closely examined on location. “The
specific capabilities of these companies are
now much easier to determine,” Billes noted.
To ensure that only the best suppliers remain in the set, a dedicated team will continuously update data, evaluate the procurement market, and re-examine the supplier
set. The Supplier Reviewing System (L@rs) –
a comparison of strengths and weaknesses –
and the External Balanced Scorecard (EBSC),
the instrument for setting mutual target
agreements, will also play a key role in reviewing and updating these supplier data.
Continuously Improving Performance
All these measures work together to improve
the competitiveness and the performance of
planning services. Each service provider that
gets itself into top shape will have a chance
to make the cut and join the major league.
“This gives suppliers a major incentive to get
included in the supplier set,” adds Joachim
Gerdes at IPS. That’s because only those who
have become “major leaguers” will be among
DaimlerChrysler’s preferred suppliers.
A three-step selection process leads
to “major-league” status.
“Major League”
Result:
Strategic Supplier Set
(“Major Leaguers”)
L
On-site evaluation of
19 potential planning service providers
L
After a general evaluation,
30 candidates were selected
L
Over 300 services for
factory, systems and logics
planning were identified.
Online questionnaire sent
out.
30
Europe
Collaboration
31
IPS/PP Procurement Market Investigation –
Moving Up to the
Major League
A successful audit at Miebach Logistics (from
left to right): Ralf Herrmann (Miebach Logistics), Volker Aﬂmann (PP), Hilmar Stockinger
(PP), Michael Trabner (PP), Raimund Billes
(IPS/S), Dr. Claus Herbst (PP), Detlev Petri
(PP), Hans Janka (PP), Joachim Gerdes (IPS/D)
and Tobias Rinza (Miebach Logistics).
In the fall of 2002, International Procurement Services (IPS) teamed with Production Planning (PP) at Mercedes-Benz
Passenger Cars to examine the procurement market for planning services. Internally designated as “Procurement Market
Research”, this investigation led to the new grouping known as the “strategic supplier set.” Adopted in February 2004,
the strategic supplier set consists of the best planning service providers currently available.
This joint examination of the procurement
market originated from the Production Planning at Mercedes-Benz Passenger Cars. Due
to the anticipated increase in car variants,
Production Planning expects a parallel increase in the use of planning services. As
planning requirements for automotive projects exceed internal capacities, an increased
reliance on outsourcing to external service
providers is anticipated. Thus, the group undertook an advanced investigation into the
procurement market to optimize the quality
of procurement decisions and compile a set
of suitable suppliers that could be turned to
quickly and specifically.
Looking For The Best “This was the first
time we’ve carried out such a comprehensive
study,” stated Raimund Billes at IPS supplier
management. The study was supported by a
cross-functional team made up of personnel
from IPS along with various functional areas
in Production Planning.
The first step was to divide planning services
into five areas: factory/logistics planning and
facilities planning, body shell, paintwork and
assembly planning. In each case, the objective was to assign only the most competent
suppliers to these five areas.
From General Assessment to Fine-Tuning Around 300 planning services were
identified as potential candidates for the new
listing. During the initial assessment, candidates were sent a questionnaire over the
Internet. “The questionnaire looked at company facts and figures, globalization-related
activities, technology and planning qualifications in the areas being examined,”
reports Dr. Claus Herbst at Production Planning. The pool was narrowed to 30 companies meriting further investigation. Then,
from mid-March until August 2003, 19 of
these companies were visited on location
by interdisciplinary project teams from IPS
and PP. The visits helped the group make a
more exact assessment of each situation.
After this “fine-tuning” stage, a select group
of planning services was deemed to be worthy candidates for inclusion in the “strategic
supplier set.”
Regular Review of the Supplier Set
Encourages Competition Based on the
results of the procurement market study,
and as part of its commodity strategy project
“Plant, Manufacturing, Logistics and Equipment Planning”, IPS drew up a supplier set
that was jointly approved with PP last Febru-
ary. This set lists the most competent planning services. The set is commonly known,
with good reason, as the “Major League” list.
As is the case in sports ratings, only the best
can retain their major league status. This
means that the positions of the top-listed
companies will fluctuate as they remain in
continuous competition with each other. This
approach reflects the policy of Extended Enterprise®, DaimlerChrysler’s supplier program. Mr. Billes emphasizes this fact, stating
“this puts the focus of our supplier management on competitiveness and the continuous
improvement of supplier performance.”
Competencies More Clearly Presented
The results of the procurement market study
provide solid, “actionable” information about
the performance of individual planning services. In fact, the database contains information on over 150 suppliers. Further detailed
information is available on those 19 suppliers closely examined on location. “The
specific capabilities of these companies are
now much easier to determine,” Billes noted.
To ensure that only the best suppliers remain in the set, a dedicated team will continuously update data, evaluate the procurement market, and re-examine the supplier
set. The Supplier Reviewing System (L@rs) –
a comparison of strengths and weaknesses –
and the External Balanced Scorecard (EBSC),
the instrument for setting mutual target
agreements, will also play a key role in reviewing and updating these supplier data.
Continuously Improving Performance
All these measures work together to improve
the competitiveness and the performance of
planning services. Each service provider that
gets itself into top shape will have a chance
to make the cut and join the major league.
“This gives suppliers a major incentive to get
included in the supplier set,” adds Joachim
Gerdes at IPS. That’s because only those who
have become “major leaguers” will be among
DaimlerChrysler’s preferred suppliers.
A three-step selection process leads
to “major-league” status.
“Major League”
Result:
Strategic Supplier Set
(“Major Leaguers”)
L
On-site evaluation of
19 potential planning service providers
L
After a general evaluation,
30 candidates were selected
L
Over 300 services for
factory, systems and logics
planning were identified.
Online questionnaire sent
out.
2nd Quarter 2004
GlobalSupplier
Together in Success
Global Supplier
for DaimlerChrysler suppliers
and associates
2nd Quarter 2004, No.18
2nd Quarter 2004
GlobalSupplier
Published by DaimlerChrysler
Responsible for Content: Claudia Dautermann,
OSB/COM, Hauspostcode G 356, DaimlerChrysler,
71059 Sindelfingen, Germany
Phone +49(70 31) 90-8 87 04, Fax +49 (70 31) 90-4 51 06
claudia.dautermann@daimlerchrysler.com
Your contacts around the world
South Africa: DaimlerChrysler South Africa (Pty) Ltd.,
Donna Mhlanga, PO Box 671, East London 5200,
South Africa
Phone +27 (43) 7 06-28 80, Fax +27 (43) 7 06-25 54,
donna.mhlanga@daimlerchrysler.com
U.S.A.: DaimlerChrysler Corporation,
Irina Jamison, OSB/COM
CIMS 484-06-15, Auburn Hills MI USA, 48326-2527,
Phone +1 (248) 5 76-32 59, Fax +1 (248) 5 76-21 93,
is17@daimlerchrysler.com
Connecting Buyers
IPS Opens Horizons
pages 4 to 7.
Global Supplier is published on a regular
basis and is available free of charge. You
can subscribe to it through the DaimlerChrysler Supplier Portal. To subscribe, go
to http://daimlerchrysler.covisint.com
(k Home k Global Supplier k Online
Abonnement).
Brazil: DaimlerChrysler do Brasil Ltda.,
Magdalena Thaler Cuevas, Av. Alfred Jurzykowski,
562, Cep. 09680-900, São Bernardo do Campo – SP,
Pool-ID InteracaoPremio@WK-AMERICA2
Editor: Hans-Jürgen Mülln
Editorial direction: Christiane Morys
Layout: Désirée von Seld (Art Direction)
Editorial office and design:
CD Communication GmbH,
Hanauer Landstraße 135-137,
60314 Frankfurt am Main,
www.cdcommunication.de
Editorial staff: Laurens Breurkens, Claudia Dautermann, Günter Fabricius, Andrea Geyer, Irina Jamison,
Simone Kloppenburg, Tina Lösch, Julie Rogier, Silke
Rommel, Monica Schmickler, Sabine Schulz, Heike
Schulze, Christoph Starzynski, Karin Trüg
Photo credits: DaimlerChrysler, Studio für professionelle Fotografie K. D. Busch (Stuttgart, Germany)
Printing: Reichert GmbH, Druck + Kommunikation,
70806 Kornwestheim, Germany
Connecting Buyers
IPS Opens Horizons
pages 4 to 7.

2004_2_Daimler Supplier Magazine_eng

Transcription

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