2006_3_Daimler Supplier Magazine_eng

Transcription

GlobalSupplier
Global Supplier 03|2006 – An Extended Enterprise® Magazine for DaimlerChrysler suppliers and associates
BlueTec: Meeting Tomorrow’s Standards Today
DaimlerChrysler will present its innovative BlueTec technology at this year’s IAA Commercial Vehicle
Show in Hanover. Without the smooth, reliable cooperation between suppliers and Procurement
Truck Group and Buses (PTG) the BlueTec success would have been inconceivable. More on page 4.
02
Extended Enterprise®
Contents
Contents
Global Supplier 03|2006
Cover Story
04
Procurement Mercedes Car Group and Vans
19
Technology advantages at the IAA Commercial Vehicle Show
Strong Partnerships
Strong cooperation with system suppliers plays a key role for PMC
Spotlight
20
09
Preview: Global Supplier Award 2006 (Global)
22
09
Designs for the 2006 Global Supplier Awards Trophy (Global)
PMC lives a culture of high performance and intensive feedback
Global
Procurement and Supply Chrysler Group
10
12
Sustainability as Global Commitment
24
Future Challenges
Procurement Truck Group and Buses
Global Responsibility
The New Management Model strengthens IPS’s procurement position
A Factory in the City
A new production building at the DaimlerChrysler-plant Gaggenau
18
Opening the Door in North East Asia
The Chrysler Town & Country is being produced and sold in Asia
International Procurement Services
16
Driving the Change
Successful supplier cooperation is based on common values
Purchasing activities for vans were transferred from PTG to PMC
14
A Brilliant Outlook
Paint-film coating as a key technology for modular vehicle construction
Standards for Global Business Relationships
The Global IT Frame Contract strengthens worldwide supply partnerships
26
Performance Based Supplier Support
PTG concludes successful “quality offensive” with a supplier
Editorial
03
Well Prepared for the Future
Editorial
Well Prepared for the Future
Thomas W. Sidlik
Member of the Board of Management
Executive Vice President
of the cleanest light trucks in the world. Thanks
to its parallel-hybrid system with combined
diesel engine and electric motor/generator
technology, this truck, primarily intended for
use in urban areas, consumes 20 % less fuel and
emits 46 % less particulates. In addition, with its
BlueTec technology DaimlerChrysler is not only
meeting the environmental standards and economic requirements of today but also building
a solid foundation for the innovations of tomorrow. For a good look at how much this progressive, future-oriented technology is the result of
outstanding cooperation with suppliers, please
see the cover story starting on page 4.
Global Procurement & Supply
DaimlerChrysler
To our Readers,
September 2006 – the IAA Commercial Vehicle
Show in Hanover will open its doors. Not only
are we at DaimlerChrysler really looking forward
to this event, so are our suppliers and customers. There will be many new products presented
along with technologies already anticipating
today what will be coming tomorrow. Customers
and the trade press will be asking the exhibitors
a lot of questions, not the least of which will be
whether they are well prepared for the future.
My answer to that question right now: Yes, we
at GP&S are well prepared for the future. In
our Procurement Truck Group and Buses (PTG),
through the G-PEP program we have set the
framework for a successful global organization
to support the Mercedes-Benz, Freightliner,
Thomas Built Buses, Sterling Trucks, Fuso,
Setra, Western Star Trucks, Orion and Detroit
Diesel Truck Group brands.
With its Canter Eco Hybrid the DaimlerChrysler
subsidiary Mitsubishi Fuso has introduced one
But we’re not only well prepared for the future
with our commercial vehicles. GP&S is a global
organization with established lead buying as an
essential factor. Our many new passenger cars
for 2006 have been enthusiastically received by
our customers.
Whether it’s the new Mercedes GL-Class, which
sets new standards in the luxury SUV segment,
the Jeep Compass, the Chrysler Aspen or the
Dodge Nitro – just to name a few. With their
innovative technologies and exciting designs,
all these new vehicles are sure to generate a lot
of interest.
In the course of the strategic and operative integration of the Group through DaimlerChrysler’s
New Management Model, the global supplier
program Extended Enterprise® will play an even
greater part in our mutual success. This reorganization has set an important agenda for realigning all of our business units and developing
an even stronger and more effective organization. This effort concerns Global Procurement &
Supply as whole and will also affect the individual purchasing units. For example, you may
find out more about the integration of the van
business from Procurement Truck Group and
Buses (PTG) into Procurement Mercedes Car
Group and Vans (PMC) on page 12 and about
the new directions at International Procurement
Services (IPS) on page 14.
On pages 22–23, Frank W. Deiss, the head of
(PMC), explains how important a culture of high
performance and intensive feedback between
DaimlerChrysler and its suppliers really is in
ensuring the long-term competitiveness of both
sides of our partnership. In the current situation
faced by the automotive industry, Deiss firmly
believes that “major change should be viewed
as a major opportunity” and that everyone
needs to work together to proactively shape the
future.
For instance, the introduction of the Chrysler
Town & Country into the North East Asian market
clearly shows that for a global enterprise like
DaimlerChrysler, proactive shaping of the future
does not stop at national borders or at the
edge of continents. This Chrysler minivan is not
only finding a promising sales market there, it’s
being produced there as well: In spring 2006
the first Chrysler Town & Country left the plant
of the China Motor Corporation in Yangmei,
Taiwan, where it is being built as part of a new
joint venture. Read more on page 24.
This issue of Global Supplier Magazine covers
these and other global procurement activities
of DaimlerChrysler. These global activities confirm that the further increase in our global
scope will be an enabler for our success into
the future. It proves once again that what’s
true for GP&S also applies to the company as
a whole: We are well prepared for the future.
With my best regards,
Thomas W. Sidlik
04
Cover Story
BlueTec: Meeting Tomorrow’s
Standards Today
In anticipation of the Euro 4 exhaust emissions standards to take effect as of October 2006, DaimlerChrysler will present its innovative BlueTec technology at this year’s IAA Commercial Vehicle Show in
Hanover. Without the smooth, reliable cooperation between suppliers and Procurement Truck Group
and Buses (PTG) the BlueTec success story would have been inconceivable.
Cover Story
05
Driving the fast lane to leadership in technology: BlueTec in the series Mercedes-Benz Atego, Actros and Axor.
The Challenge: Stricter Emissions Standards
With the introduction of the Euro 0 standards in 1990, the European Union
(EU) started to implement a gradual reduction in the amount of pollutants
permitted in motor vehicle exhaust. Soon the Euro 4 standards will take
effect in October 2006, followed by the Euro 5 ones in October 2009. This
step-by-step reduction of harmful emissions is making great demands on
the technologies and resources at vehicle manufacturers. What’s more,
a continuation of the EU’s program to reduce such pollutants (Euro 6)
is considered a certainty. For DaimlerChrysler, this clear trend toward
even cleaner diesel technology has already been made a major part of its
intensive development work. In fact, in the spring of 2005, over four years
before the due date, DaimlerChrysler was the first vehicle manufacturer
to put trucks that were already Euro 5 compliant on the market.
The Cornerstone: SCR Technology
The Euro 1 to Euro 3 emissions standards were able to be met by further
improvements in internal engine design. However, the subsequent standards can only be achieved through aftertreatment of exhaust gases.
There are two fundamental ways of approaching this problem: One
approach involves further modifying the engine to reduce the amount
06
Cover Story
The close cooperation between the buyers at PTG and suppliers is the key to the BlueTec success
story: “All the suppliers did outstanding work, from initial development all the way to the start of
series production,” stated Thomas Beer, Lead Buyer for exhaust systems at PTG.
Employment of BlueTec in public transit buses.
BlueTec: engine and SCR components.
of nitrogen oxide emissions by using exhaust gas recirculation along
with downstream filtering of particulate matter. The other approach to
reducing nitrogen oxides is to employ a particle reduction method within
the engine followed by aftertreatment of the exhaust by means of Selective Catalytic Reduction (SCR). Due to its extensive global presence,
DaimlerChrysler has had considerable experience with both methods.
Because of the specific market conditions encountered in Europe,
DaimlerChrysler decided to go with SCR, which it is now marketing under
the brand name “BlueTec”.
1,500 filling stations from the Arctic Circle to the south of Spain and from
Ireland all the way to Moscow. For owners of large vehicle fleets, such as
trucking companies, a practical and economical alternative would be to
have their own separate AdBlue pumps available at their truck depots.
The Decisive Innovation: BlueTec
BlueTec combines SCR technology with further improvements in the
diesel engine. Since nitrogen oxide can be effectively reduced by means
of exhaust gas aftertreatment, the engine can then be designed to optimize combustion, which already results in less particulate emissions
and greatly reduced fuel consumption. By introducing an additive called
“AdBlue” (an aqueous urea solution) into the exhaust gas stream, the
SCR technology converts the nitrogen oxide in the SCR catalytic converter
into the harmless substances water and nitrogen. This SCR technology,
which was originally developed for emission control in power plants, has
been further developed by DaimlerChrysler since the late 1980’s. The SCR
system consists of an AdBlue tank, a metering system and a catalytic
converter located in the muffler. Today, AdBlue is already available at over
The Advantages: Both Ecological and Economical
No other currently employed diesel technology can reduce harmful particulate and gaseous exhaust emissions as well as BlueTec. BlueTec is not
only environmentally-friendly, it’s also extremely economical to use. That’s
because the optimized combustion process reduces fuel consumption
from 2 to 6 %. In addition, purchases of low-emissions vehicles are being
promoted in many European states through government incentive programs. For example, in Germany the highway toll for Euro 5 vehicles is up
to three cents less per kilometer.
Real Teamwork: Suppliers and Procurement
The close cooperation between the buyers at PTG Procurement and
suppliers is the key to the BlueTec success story: “All the suppliers did
outstanding work, from initial development all the way to the start of
series production,” stated Thomas Beer, the Lead Buyer for exhaust systems at PTG. The development of this new diesel technology occurred
in close cooperation with the system integrator Purem Exhaust Systems
(a 100 % subsidiary of DaimlerChrysler) and the suppliers Eberspächer,
Cover Story
07
The BlueTec system ist perfectly adapted to each truck model and its performance.
Tenneco Automotive, Argillon, Hilite, Rhein Bonar, Elkamet and Kautex.
During this development work, it was necessary to keep to a very tight
three-year schedule. The concept competition and the selection of suppliers took place in 2001/2002, and by the spring of 2005 the first
BlueTec5-equipped truck left the Wörth assembly plant. The installation
space and weight allocated for the system as well as fine-tuning the
AdBlue injection with the catalytic converter presented some very tough
technical challenges. Many parts of the system were especially developed
in close cooperation with the supply partners. That’s why the complex
system was not sourced just from one single system supplier but from
several suppliers and technology partners. Eberspächer and Tenneco
Automotive were responsible for the muffler housing, Argillon for the
catalytic converters, Hilite for the metering system and Rhein Bonar,
Elkamet and Kautex for the tanks. Purem Exhaust Systems was in charge
of ensuring efficient supplier management and integrating the individual
components. “The biggest challenge,” recalls Dr. Ralf Pötzschke, the
Euro 4 project manager, “was to adapt the great complexity of the technology to meet the needs of a commercial-vehicle installation within a relatively short period of time and then to get it ready for series production.”
The Purchasing Perspective: Flexibility and Fairness
The use of a new technology always presents a big challenge in achieving
cost targets and in ensuring the overall cost-effectiveness of a project.
The foundation for successful cooperation is already laid with the selection of suppliers: “In this case, we were able to draw on an international
set of suppliers and make comparisons of price and performance on
a global basis and also conduct joint analyses with our colleagues at
passenger car procurement,” Beer explains, adding that “the goal was
to select the best suppliers worldwide based on technical and cost criteria. The change-management system employed during the development
phase is also an important part of our cost-control measures. Innovative
projects like BlueTec can only succeed if suppliers keep their word and
keep their costs transparent during any subsequent change management.” Another success factor in the purchasing activities was the crossfunctional collaboration among the Development, Quality Assurance, Production and Purchasing departments. In view of the very tight project
schedule, this smooth cooperation was of major significance to the success of the project.
High Demand Speaks for Itself
The launch of the new BlueTec technology has exceeded all expectations.
Originally, 5,000 units were planned for 2005, but only a year after
BlueTec’s introduction, the DaimlerChrysler plant in Wörth had already
produced 10,000 trucks with the BlueTec system. This system was first
featured on the Mercedes-Benz Actros heavy truck, followed by implementation on Axor and Atego trucks as well as Mercedes-Benz buses.
08
Cover Story
The BlueTec project team including representatives from Argillon, DaimlerChrysler, Eberspächer, Hilite, Purem, and Tenneco Automotive.
The high demand for this new diesel technology speaks for itself: around
two thirds of all Euro 4/Euro 5 trucks display the Mercedes star.
An Investment in the Future: BlueTec Worldwide
At DaimlerChrysler, BlueTec technology not only means success now
but also an investment in the future. That’s because the SCR technology
doesn’t just ensure compliance with the Euro 4 and Euro 5 emissions
standards, it’s also the basis for complying with future ones. Even today,
DaimlerChrysler is already in a very good position to meet the stringent
requirements of the Euro 6 emissions standard, which is the next phase
of emissions legislation and is expected to take effect in 2012 for all
commercial vehicles registered in Europe. But that’s not all. BlueTec is
also attracting greater interest in markets beyond Europe. For instance,
in three to four years countries in the NAFTA region and Japan will introduce the EPA 10 and JP 09 exhaust standards, respectively. And SCR will
Europe
Japan
be the technology used to meet these standards. For this reason, work
is now proceeding ‘full steam ahead’ on the Euro 6 project, particularly
in getting ready for future technical innovations by identifying parts that
could be potentially shared worldwide. From his Lead Buyer’s perspective,
Thomas Beer notes the following: “Our consistent application of global
lead buying enables us to pursue a common supplier strategy with our
colleagues in Japan and the US right from the start and to implement it
successfully.” With a new project like this, PTG has one primary goal in its
cooperation with suppliers. “When it comes to price and technology, we
expect reliable and sustained benchmark performance from our supply
partners,” emphasizes Dr. Marcus Schoenenberg, in charge of Powertrain
purchasing, adding that “in return, as the world’s largest manufacturer
of commercial vehicles we can offer our suppliers some interesting perspectives and prospects, such as collaboration on exciting cutting-edge
projects along with attractive production volumes.”
Additional information:
BlueTec web special at www.mercedes-benz.com in the section “Trucks”
www.purem.de
Spotlight
Global
2006 Global Supplier Award
09
Global
A Trophy to Honor Suppliers
In January 2007, Global Procurement & Supply (GP &S) Representatives from GP &S recently reviewed six diswill honor the winners of the 2006 Global Supplier Award tinctive designs for the 2006 Global Supplier Awards
in Detroit.
Trophy.
Detroit, Michigan | USA
The 2006 Global Supplier Award will be assigned in nine categories: six
Production Commodities (Chassis, Electrical/Electronics, Interior, Exterior, Powertrain and Raw Materials), two Non-Production Commodities
(General Goods & Services, Production Equipment & Services) and
Logistics. To become an eligible supplier for this year’s award, suppliers
have to fulfill certain requirements, such as global business relations and
a specific volume of business with DaimlerChrysler. Where Production
Commodities are concerned, the business volume with the Chrysler Group
on the one side and the combined business volume with the Truck Group
and Mercedes Car Group on the other needs to amount to at least three
million euros in each case. Suppliers of Non Production Commodities
must reach a volume of one million euros each in at least two of the
following three regions: NAFTA, Europe & South Africa and Asia/Pacific.
In the category of Logistics, only suppliers are eligible who cooperate with
DaimlerChrysler on a global scale. Here again, the minimum business
volume is one million euros.
The determining factor for winning the award is the supplier’s performance
in the four value drivers – quality, technology, cost and supply. The names
of the winning suppliers will remain a well-kept secret until the award
event at the historic Firehouse in Detroit in January 2007.
Auburn Hills, Michigan | USA
Students from Detroit’s highly regarded Center for Creative Studies presented their designs at DaimlerChrysler Headquarters in Auburn Hills.
Finalists shared with the GP&S panel how each forward-looking design
symbolizes the cooperation so evident throughout the DaimlerChrysler
Extended Enterprise®.
The selected design will be crafted with materials that add further symbolism, and will be presented to winning companies in each award category. As in past years, the fourth annual event will be held at the historic
Detroit Firehouse in conjunction with the 2007 North American International Auto Show. The Global Supplier award supports the philosophy
of the company’s Extended Enterprise® – making quality parts, with
appropriate technology, delivered on time, at a fair price.
“The Global Supplier Award recognizes our top performing partners, who
are exceeding our expectations,” said Thomas W. Sidlik, Board of Management Global Procurement & Supply. “These fine, talented students
help communicate our close and cooperative partnership through their
inspired artwork.”
The top three winning trophy designers will each earn a scholarship from
DaimlerChrysler. Detroit’s College for Creative Studies is one of the US’s
leading arts education institutions.
Your contact:
Your contact:
Andrew Ogawa, GOP Communications
ao96@daimlerchrysler.com
http://daimlerchrysler.covisint.com
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Global
Integrity, social responsibility and environmentally friendly policies are major factors in DaimlerChrysler’s success. An increasingly globalized economy will make them even more important in
current and future supplier relationships.
Setting a Global Example
The increasing globalization of business relationships has not only
expanded the areas of activity of global companies, it has also extended
their areas of responsibility. The increase in economic integration and
the growing need for mobility is also changing the underlying economic,
ecological, social and political parameters. Correlating these factors with
the sustained corporate success of DaimlerChrysler is a global challenge,
not only for its employees but also for its value-adding supply partners.
Only a global commitment to a common set of core values will enable
these challenges to become success factors, stresses Thomas W. Sidlik,
Vice President Global Procurement & Supply: “We walk the talk, valuing
partnerships based on mutual trust. We have four corporate values that
drive all we do: passion, discipline, respect and integrity. Those values
permeate everything we do at Global Procurement & Supply: Our passion
for high quality products at the best possible price, the discipline to follow
our established processes for long-term success, our respect for our
co-workers and our supply base, and integrity of action marked by fairness, honesty and trustworthiness.”
Conserving Resources and Minimizing Environmental Impact
The “Global Compact”, an agreement between corporations and the
United Nations concluded in 2001, provides for minimum social and
ecological standards in business activities. DaimlerChrysler doing more
than keeping to this agreement in formal sense, it is also actively applying
it. In fact, this commitment is well documented in its 2006 Sustainability
Report. DaimlerChrysler is promoting new product and production technologies that conserve natural resources, minimize environmental impact
and preserve natural ecosystems. A good example of this approach is the
use of natural fibers. For the first time ever in automobile construction,
abaca natural fibers are now being used in vehicle exteriors – in the
Mercedes-Benz A-Class and B-Class. These fibers come from banana
plants grown in the Philippines.
DaimlerChrysler’s commitment to production with minimal impact on the
environment also applies to materials and components sourced from its
suppliers worldwide. In this respect, particular attention is paid to criteria
applying to materials selection and recycling requirements. To ensure that
appropriate consideration is given to ecological factors in collaboration
with suppliers, the applicable “Supplier Plans” call for implementation of
environmentally friendly technologies, materials and production methods
and their continuous analysis and evaluation. Many suppliers to DaimlerChrysler now are in compliance with the ISO Standard 14 001. In fact, this
certification is already mandatory for suppliers to DaimlerChrysler plants
in the United States.
Addressing Social Responsibility
DaimlerChrysler is convinced that social responsibility is a key factor in
its long-term success. Fair wages, equal opportunity and solid program
of qualification will make globalization an opportunity for international
cooperation based on equality. The “Mondialogo” competition is emphatic
confirmation of this approach: In cooperation with UNESCO, DaimlerChrysler started this initiative to promote global dialog among different
cultures. More than 1,700 young engineers from 79 countries worked
closely together to apply new technologies to improve conditions in developing countries.
Beyond this, DaimlerChrysler’s procurement activities seek to support
ethnic minorities and disadvantaged social groups. Within the past seven
years alone, DaimlerChrysler has almost doubled its purchases from such
suppliers. Moreover, through numerous activities DaimlerChrysler is supporting increased levels of sourcing from minorities in the Tier 2 supply
chain. As result, in 2005 two minority suppliers that achieved extraordinary success in helping themselves become better qualified were honored
by DaimlerChrysler as a “Minority Business Enterprise of the Year.”
A Concerted Effort for a Common Future
DaimlerChrysler is committed to corporate leadership that focuses on
values that will help shape a better future. However, these economic, ecological and social policies can only be globally applied if all its business
partners share these same exact values. To this end, Mr. Sidlik recently
made it abundantly clear that this is exactly what DaimlerChrysler expects
from its suppliers around the world: “As globally acting companies, we all
have the corporate responsibility to foster technologies and processes
that respect the environment, to be actively committed to all people by
displaying the highest ideals in social responsibility and to continue to
research and develop technologies that will improve mobility and safety
for people who drive our vehicles. We all have to lead by example when
it comes to living these values. We will. And we are counting on our suppliers to do so, too.”
Your contact:
Dr. Norbert Otten, EA/S Policy Issues & CSR
norbert.otten@daimlerchrysler.com
www.daimlerchrysler.com/sustainability
Global
Living Values: cover of the DaimlerChrysler 2006 Sustainability Report.
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12
Global
Future Challenges
Future Challenges
As part of the New Management Model at DaimlerChrysler, the purchasing responsibility for vans
was transferred from Procurement Truck Group and Buses (PTG) to Procurement Mercedes Car
Group and Vans (PMC). This integration was completed last month.
Integrated Procurement Activities
The transfer of van-related purchasing volumes to PMC means that in the
future these procurement activities will be fully integrated into passengercar procurement. In accordance with this move, the organizational units
were realigned to conform with the New Management Model; at the same
time, the related integrative processes were also completed. Within PMC,
the new responsibilities for van parts and systems were assigned based
on the existing commodities arrangement. PMC has already separately
informed its suppliers about any possible changes there are in contact
persons. In addition, purchasing methods and tools have been recoordinated as needed within PMC and at suppliers to ensure that standardized,
uniform processes are in place.
Potentials in Integration
Starting last March, the first procurement functions as well as the duties
of the purchasing offices in Vitoria (Spain) and Buenos Aires (Argentina)
were transferred over to PMC. This transfer did not mean any changes for
all suppliers served by the purchasing offices in Spain and Argentina. In
general, the reorganization of the purchasing units will particularly benefit
those suppliers that have already been providing services for vans and
passenger cars.
Building on Recent Successes
Ekhard Kaltenbrunner, Director of PMC/6, will now also be the key
account manager for the van area. For Kaltenbrunner the integration was
“thoroughly positive” experience. He stressed that it had been “a positive
one because the process was implemented in a professional manner and
with great consideration for the concerns of the personnel involved.” As
far as the transfer of van services to PMC is concerned, Stefan E. Buchner,
Vice President of PTG, feels very optimistic, stating that “I’m very sure that
our colleagues at PMC will be able to seamlessly build on the recent successes that we’ve had, for example in purchasing for the new Sprinter.”
Frank W. Deiss, Vice President of PMC, sees it the same way: “I’m looking
forward to working with a highly motivated team and excellent suppliers.
In fact, the integration of the van business into PMC is really going to have
a stimulating effect on the exchange of ‘best practices’.”
Future Challenges
One of the big challenges for PMC will lie in continuing to successfully
support the ongoing globalization of the van business. In 2007, the Buenos
Aires production plant will begin making the new Mercedes-Benz Sprinter,
while at the same time parallel production of the current Sprinter model
will continue there as well, presumably until 2009. In Charleston, South
Carolina (USA), the new Sprinter will be built for the NAFTA region, and
in Fuzhou (China), a joint venture is planned in order to produce the new
Vito/Viano models and the new Sprinter for the Chinese market.
Global
Future Challenges
Düsseldorf, Ludwigsfelde | Germany
Your contacts:
Volker Bahr, PMC/63
volker.bahr@daimlerchrysler.com
Karlheinz Hertweck, PMC/62
karlheinz.k.hertweck@daimlerchrysler.com
Buenos Aires | Argentina
Vitoria | Spain
13
14
15
The New Management Model at DaimlerChrysler is designed to further integrate the Group’s business units and to allow them to place even greater emphasis on their core tasks and responsibilities.
For International Procurement Services (IPS), this means an expansion of its consistent, globalized
approach through a realignment of its organizational structure.
Change Means Opportunities
Today’s fierce competition in the automotive industry has also produced
tougher conditions on the worldwide procurement market. At the same
time, this situation is also opening up opportunities for change that will
lead to sustained strengthening of DaimlerChrysler’s market position. The
New Management Model (NMM), presented this past spring by Dr. Dieter
Zetsche, Chairman of the Board of Management of DaimlerChrysler AG
and Head of Mercedes Car Group, is a decisive step in this direction. Its
objective is to realign all of the Group’s business units with a view toward
further increasing efficiency and improving operational excellence.
Initiatives for a Successful Future
As one of the four purchasing units within Global Procurement & Supply
(GP&S), IPS will apply the NMM to further integrate its organization. “This
new organizational structure, which was recently approved, will enable us
to focus even better on our core tasks,” explains Dr. Heinrich Reidelbach,
Vice President IPS. “At IPS, we’re working very hard to seize the opportunities presented by the NMM and to guide our organization into a secure
and successful future. In fact, much of what was initiated in the past, such
as the Global NPM Network (GNN) and Lead Buyer activities as well as
the strategic directions at IPS, already anticipated the approach defined
by the NMM. That’s reason enough to have full faith in a bright future for
our organization.”
Global Procurement Responsibilities
Since, in the past, IPS had already started many initiatives that are
helping to meet the objectives of the NMM, the current realignment of its
organizational structure will proceed even more smoothly. Furthermore,
the integration of the additional global procurement activities for nonproduction materials and services into IPS has considerably increased
its scope of responsibilities. An important step in the organizational
change has also been the merger of the three operative purchasing units,
IPS/G, IPS/P and IPS/M, into two new units called “Global Procurement
Production Equipment and Construction (IPS/P)” and “Global Procurement Marketing and IT (IPS/M)” with global procurement responsibilities.
Since August 1, 2006, the unit now known as “Global Procurement NPM
Subsidiaries (IPS/S)” (previously IPS/I) takes on direct responsibility
for 18 locations and operative responsibility for nine additional ones. In
order to better handle this expanded scope, the coverage at IPS/S has
been subdivided into four regions – NAFTA, South America, Europe/South
Africa and Asia/Pacific.
Standardized Processes and Systems
The unit previously known as IPS/S is now called IPS/B, which stands
for “Business Management and Global Governance.” In fact, the goal of
operational excellence that is included in the NMM means that IPS/B now
has a special function: It is responsible for ensuring the implementation of
existing IPS processes and systems as well as the standardization and
redevelopment of processes for the new locations now served by IPS. The
objective here is to introduce the processes and systems documented in
the IBooK (IPS Book of Knowledge) across the board in the coming years
while still taking the special conditions and specific requirements of each
location in consideration. In particular, systems such as GLOBUS, GPSIS,
Web Lead Buying or L@rs as well the Commodity Strategy and External
Balanced Scorecard supplier management processes are to be implemented at all IPS locations. This will be done on the basis of the Common
Commodity Code (CCC). The consistent deployment of standardized processes and systems will allow IPS to make better global purchasing
decisions based on data that is readily comparable, globally available and
continuously updated.
Realignment of Plant Purchasing Areas to Come in 2007
The unit IPS/D “Procurement NPM Germany” will remain largely
unchanged except for being expanded by an additional department in
charge of purchasing for company owned sales and service outlets. More
changes are to follow in 2007, when an organizational realignment of the
German plant purchasing departments (IPS/D) is planned.
Continue to Maintain Benchmark Position
The measures mentioned above, designed to achieve greater efficiency
and global presence, will greatly contribute toward strengthening the
position of IPS and its suppliers in today’s global competition. The new
structure at IPS will allow to use the opportunities presented by the NMM
to continue to maintain the benchmark position worldwide. Accordingly,
Dr. Reidelbach stresses the following: “In this way, we’ll be vigorously
supporting the strategy of the entire DaimlerChrysler Group as well
as strengthening our own position as the Group’s global procurement
organization.”
The IPS-Team (right to left): Horst Straub, Director Global Procurement Marketing & IT (IPS/M); Dr. Heinrich Reidelbach, Vice President IPS; Gabriele Muz, Director Business
Management & Global Governance (IPS/B); Thomas van Lessen, Director Procurement Non-Production Material Germany (IPS/D); Klaus Saalmann, Director Global Procurement NPM Subsidiaries (IPS/S) and Jim A. Sorensen, Director Global Procurement Production Equipment & Construction (IPS/P).
16
A Production Center for Special Transmissions
Before construction of the new Building 60 at the DaimlerChrysler plant in
Gaggenau could even begin, the planners first had to find a place to put it.
Given the cramped conditions on the plant grounds, several buildings had
to be torn down and the existing grade then lowered by four meters, a step
which required removal of 32,000 cubic meters of earth. Only after all this
had been accomplished could the foundation for the new structure be laid
out. In October 2004, erection of the new factory building began on a site
of 6,000 square meters. The two-story building, with a total of 12,000
square meters of floor space, was to be the new consolidated location for
the production of special transmissions, which had previously been spread
out over several buildings.
Standards and Innovative Solutions
Right from the start of planning, it was clear to project manager Ola Hanell
(WG/TS) that this construction project would demand greatest dedication
from all concerned and require some innovative solutions: “The schedule
was extremely tight, the technical challenges were enormous and the cost
targets were very ambitious.” Added to all this was the fact that the existing industry standards for one-story production buildings had only limited
application to the construction of a two-story one. This initial situation
meant that there were some uncertainties but also some opportunities
to work with the planners and suppliers to develop new approaches and
solutions. “At DaimlerChrysler, we had set our sights very high and also
expected the same from our suppliers in order to prevent any unpleasant
surprises on either side as early on as possible,” Hanell explains.
High Quality and Fast Assembly
Among the biggest challenges in the construction of this building were
the planning and installation of the supporting framework and concrete
slabs. For instance, the standard grid spacing of supports on the upper
floor was doubled to 28.80 meters, thus allowing greater flexibility in
setting up systems and machines. Both the ground floor and the upper
floor were designed to withstand a load of 5 tons per square meter on.
This degree of stability was necessary not only to handle the weight of
the production systems themselves but also the considerably higher “live”
loads encountered during system changeovers. “A new feature was the
method of constructing the building shell,” recalls Gerhard Bender, the
construction supervisor for the new building: “Within only 24 hours, 2,000
square meters of concrete were placed and then immediately coated
with water-glass sealer.” A major factor in ensuring the achievement of the
quality, cost and scheduling targets during this construction phase was
the special dedication on the part of Rheiner Stahlbau GmbH. “We had
some very positive experiences with this supplier: exemplary planning,
outstanding delivery logistics and super-smooth assembly of the 2,500
tons of heavy steel framing. In addition, they provided detailed documentation of their raw-material suppliers as well as clear and accurate inventory records and billing documents. What’s more, they met all the cost
targets specified in the contract and were very fair and cooperative in
handling any necessary changes and additional work.”
The Right Partners for Project Planning and Construction
Knut Helmstätter, Project Manager for Technical Building and Facilities,
emphasizes that the new facility meets the most modern technical standards: “Even though we had only six months to set up all the technical
facilities, the planners and suppliers did some very good work. Furthermore, we had to have step-by-step, on-the-fly coordination of broad
range of subcontracted services, such as installation of cooling lubricant
systems, with the construction-related planning at the plant.” Florian
Manhart (IPS/PB), in charge of construction purchasing in Germany,
feels that the prompt realization of this factory can be attributed to the
good collaboration among all those involved in the project: “Despite an
exceedingly tight schedule and ambitious cost targets for Building 60,
we succeeded in constructing a high-quality, attractive structure because
we had engaged the right partners for project planning and construction.
Our suppliers made fair, competitive offers, were cooperative and constructive in their work with us and charged fairly for their services. You
can be sure that when it comes to future construction projects, we’re
going to look even harder all over Germany for these kinds of partners,
develop relationships with them and prefer them in requesting quotes
and bids for new projects.”
Some Unusual Local “Insights”
All the construction phases are now successfully completed, and production of special transmissions has now started in Building 60. Beyond
that, the residents of Gaggenau are amazed at the unusual view they have
of the inner workings of the facility as seen through the new building’s
expansive glass front sections facing the town, an architectural feature
specially designed by the studios of Kohlbecker Architects and Engineers,
located in Gaggenau. “This large glass area gives people in Gaggenau
an opportunity to literally get some real insight into the operations at
the DaimlerChrysler plant,” explains Prof. Christoph Kohlbecker. “As a
resident of Gaggenau, I find that the sight of this building all lit up at night
is a very pleasant one.”
17
It took only 18 months to construct one of the DaimlerChrysler Group’s most modern production
facilities at its Gaggenau plant. The project team from the Gaggenau plant’s Technical Service department (WG/TS) and International Procurement Services (IPS) are justifiably proud of the result.
18
The Global IT Frame Contract worked out by International Procurement Services (IPS) sets forth
the contractual basis for governing worldwide supplier partnerships. In fact, it has already become
a widely accepted model for making such arrangements.
A New Contract Model
International Procurement Services started working on drawing up the
first Global IT Frame Contract some three years ago. The idea behind this
project was to devise and implement a new contract model covering the
well-established collaboration with globally active suppliers. This model
was intended to meet the needs of the global procurement activities
at IPS as well as the global requirements for standardization mandated
by DaimlerChrysler. A global framework agreement of this type was first
developed with T-Systems, one of DaimlerChrysler’s top suppliers. This
agreement with T-Systems took effect on January 1, 2004, and at the end
of 2005 it was renewed for another three years.
Cross-Functional Collaboration in Preparing the Agreement
“Drawing up this first global framework agreement is certainly a milestone
in defining the partnership between IPS and its suppliers,” stresses Horst
Straub Director General Procurement (IPS/M). “That’s because this agreement supports both the global orientation of IPS as well as our globally
active supply partners.” For Frederique Vermelin (IPS/MI), the great challenge lay in crafting the Global Frame Contract in such a way that would
specify standardized, globally applicable contract provisions and yet still
allow enough flexibility for local and regional variants to be prepared
as needed by Global NPM Network (GNN) locations. In addition, the objective was to bundle different contract contents and services into modules
that could be ultimately brought together as a whole. “The collaboration
among the contributing departments, procurement and the legal staff at
Global
DaimlerChrysler as well as with the suppliers turned out to be particularly
valuable,” Vermelin reports. “In the final analysis, the resulting agreement
represents a great achievement for all those involved.”
Benefits for DaimlerChrysler and its Suppliers
The Global IT Frame Contract, which, following T-Systems, was also successfully concluded with Hewlett Packard, brings equal benefits to IPS
and its suppliers. First, it provides for standardized global management
of contracts and services. This uniformity enables cost positions and
catalogs of services to be readily compared. Second, it keeps cost flexibility transparent. Third, it allows both sides in a partnership to make real
progress in their own integrative efforts and in meeting the needs of
a globalized business climate. As Frederique Vermelin explains it: “As far
as we’re concerned, the primary issues here are being able to deal successfully with the complexities of the global procurement market and,
at the same time, keeping contracts as simple as possible. Maintaining an
appropriate and efficient balance between these two demands will also
be the central feature of future Global IT Frame Contracts.”
Frederique Vermelin, IPS/GE
frederique.vermelin@daimlerchrysler.com
Strong Partnerships
19
The modular manufacturing of the smart fortwo at the
Hambach plant still functions as a role model for successful
cooperation with system suppliers.
Strong Partnerships
In the future, stable and strong cooperation with system suppliers will also remain one of the fundamental prerequisites for a successful purchasing strategy at Procurement Mercedes Car Group
and Vans (PMC).
New Developments in Cooperation with System Suppliers
Since 2000 there has been increased focus, and not just at PMC, on the
potentials available in system-development partnerships. This especially
concerns involving system suppliers in bundling of competencies and
possibly increasing their share of added-value and development work.
Since then, in close cooperation with colleagues at the Chrysler Group,
logistics chains have been optimized and inventory/balance-sheet accuracy considerably improved. “During these developments, which we went
through as part of our cooperation with system suppliers, we were able
to get some very good results in some cases. However, it also became
evident that we were going to have to realign and redefine our requirements and expectations of our system suppliers,” explains Hans Storck,
in charge of PMC/5.
Requirements of System-Development Partnerships
Now, six years later, as result of its own experiences and in working with
colleagues at Chrysler, PMC is now much better off. Particular attention
was paid to addressing deficits in competencies pertaining to vehicle
integration as well as in achieving an optimum balance between the everincreasing complexities of product requirements and growing product
responsibility. As a result, as Storck emphasizes, PMC’s expectations of
its cooperation with system suppliers have changed accordingly: “We’re
going to be conducting a more discriminating analysis of our supplier sets
and be asking the following questions: Where are strong system-development partnerships important? How can we relieve our system suppliers of
the burden of having too much responsibility for the product? And finally:
Where exactly can DaimlerChrysler be more active and supportive through
intensive supply base management?” In the future, in system partnerships
it will thus be a matter of placing greater emphasis on making finer distinctions not only in applying knowledge but also in sharing the added value.
The system suppliers of the future will need to provide a significant amount
of added value that is not scattered over several independent business
units within a larger corporate group. Instead, this added value will have
to lie fully within the purview of the management of the actual contract
partner. This means that system suppliers will have to be exceptionally
qualified in order to take responsibility for optimizing the entire supply
chain and ensuring reliable, punctual deliveries. In the future, DaimlerChrysler will no longer support nested supplier relationships with direct
competitors of a given system supplier.
Clear Premises, Strong Suppliers
PMC sees competitive bidding with clearly laid out premises and conditions as essential to maintaining fair and stable supplier relationships:
“In view of the variance and frequency of changes occurring during development, PMC will no longer have any “early” concept-phase bidding but
only invitations to bid that are based on a complete, final set of specifications,” Storck states. In addition, in each case Production and Purchasing
will check to see where a system development-partnership has fulfilled
the standardization requirements that DaimlerChrysler sets for itself and
its suppliers. This also applies to the Chassis purchasing area, which
Storck is in charge of. This area has been strengthened by the global
merging of all DaimlerChrysler’s purchasing activities for front-wheel drive
vehicles: “It’s right here where we need strong global suppliers that can
make attractive offers based on efficient location and supply management
extending across many regions. That’s the only way that we’ll achieve
the aim of having our system partnerships make a sustained contribution
to the success of our products.”
Your contact:
Hans Jürgen Storck, PMC/5
hans.j.storck@daimlerchrysler.com
20
A Brilliant Outlook
Thanks to the new technology parts coated with paint film can be delivered to automobile assembly plants and immediately installed.
A Brilliant Outlook
21
A Brilliant Outlook
Paint-film coating is advancing toward becoming a key technology for flexible modular vehicle construction. The success of this project is the result of intensive collaboration between DaimlerChrysler
Research and Technology and experienced suppliers.
A Successful Torture Test
The first test of the new paint film technology went exceptionally well –
even though DaimlerChrysler engineers subjected it to some of the most
extreme conditions imaginable. In the South Africa they torture-tested
a film-coated plastic roof element on a prototype of the Mercedes-Benz
R-Class. Scorching heat (42°C) and air as dry as dust had no effect on the
black-painted roof module: no waves, blisters or micro-cracks formed, nor
did the paint bleach out, fade or dull. The developers at DaimlerChrysler
were very pleased.
An Innovative Manufacturing Process
This first practical test run after numerous tests in the laboratory was
a major step in the development of an innovative painting technology
that is going to radically change the way paint is applied to body parts and
add-on components. This innovation is called ‘paint-film technology,’ and
the process used to apply it is known as ‘film coating.’ In contrast to conventional painting methods, in which body parts are first formed and then
painted on the exterior, the process used in film coating basically runs in
the reverse order. The first step is to create a thin external shell of paint
film that has the same shape of the future component. This fragile paintfilm shell is then strengthened by applying the stabilizing component
structure behind it. In a state-of-the art coating system, thermoplastic carrier film is first coated with the colored base paint and then with a clear
coat. After a drying stage, the two coatings on the film are physically dry
and ready for the next steps. However, even though they are dry to the
touch at this point the coatings are still not chemically hardened. This is
precisely caused because they are dry but not yet finally hardened that
the flat, coated thermoplastic film can be easily suction-formed in a deepdrawing tool. After the deep-drawing is completed, the shaped thin-wall
film is then hardened under ultraviolet light.
Ecological and Economic Benefits
The decisive advantage of film-coating lies in the separation of two process steps: the drying and the hardening. It saves an immense amount
of time. Without any further processing, plastic parts coated with paint
film can be delivered to automobile assembly plants and immediately
installed. What’s more, in contrast to the usual liquid painting process,
paint-film systems inherently do not produce overspray (excess paint that
does not end up on the part during spraying). This means that paint resiStuttgart | Germany
48° N | 9° O
dues and vapors that must either be recycled or disposed of in environmentally acceptable ways don’t even occur in the first place. In addition
to these ecological benefits, paint-film technology brings economic ones
as well. That’s because paint lines are among the most expensive systems
in plants where cars and parts are made. In fact, the cost of painting
a plastic part can come to 30–50 % of its overall cost. By coating these
parts with paint film, these costs can be substantially reduced.
Close Cooperation from Development to Production
During the whole project not only was the cooperation strategy within
DaimlerChrysler Research and Technology successfully implemented but
experienced suppliers jumped on board right from the start. Dr. HansJoachim Ludwig, Vice President Engineering at Decoma Europe, emphasizes the many facets of this cooperation: “Working together with the
paint manufacturer Wörwag, Decoma brought its knowledge and expertise in machine technology and in process and materials technology to
bear in the project. New technologies, machine configurations and processes were developed within the process-and-production chain in order
to meet the requirements specified for the quality and properties of the
end product. This cooperation was shaped by a common goal, a mutual
appreciation of the project and open communication.”
The Future: Success in Series Production
Nothing succeeds like success – so it’s reasonable to expect that this
coating technology, first developed for roof modules, will soon be applied
to other plastic add-on body parts. Willi Assmann, in charge of the Body
section for the M-Class and R-Class at Passenger Car Development is
convinced that “paint-film technology can become a key technology
for future types of modular design.” Modular design is the wave of the
future because it would allow economical and flexible production to
become reality. At the same time, it would make paint-film technology
available all over the world. For example, several system suppliers could
operate centralized film-coating facilities and then deliver the finished
modules directly to assembly lines at automakers for fast installation. This
approach could then be taken a step further: Technical equipment such
as antennas, sensors and electrical lines could be integrated right into
the paint-film elements themselves. In addition to improving product quality, it would yield significant savings compared to traditional assembly
processes.
“In the Beginning – Is the Paint”
DaimlerChrysler High Tech Report 01|2005, Page 10
22
Driving the Change
Global
Driving the Change
A culture of high performance and intensive feedback is an essential component of performancebased cooperation between DaimlerChrysler AG and its supply partners. At Procurement Mercedes
Car Group and Vans (PMC), this kind of proactive culture is lived out every day.
The Challenges of the Automotive Market
The current situation in the automotive industry is characterized by a
mature market, global overcapacities as well as a raw-materials market
with price trends that are hard to predict. At DaimlerChrysler and its
suppliers, these conditions require fundamental rethinking and focused
responses in order for them to remain competitive in the future. For Frank
W. Deiss, Vice President Procurement Mercedes Car Group and Vans
(PMC), the most important thing is to “view major change as a major
opportunity – and in doing so to make an essential and long-lasting contribution to the success of DaimlerChrysler and our supply partners.”
Rethink and Respond
At PMC the radical change taking place in the automotive industry is being
used as a basis for turning cost planning into concrete action. “That’s
so we know exactly where we stand at the component level compared
to our competitors,” Deiss explains. “Based on these results, we can adapt
our procurement activities as needed on the global market.” Deiss feels
that it is critical to achieve optimum alignment of the four value drivers of
quality, technology, cost and supply with respect to corporate and brand
values. “To be competitive in all these aspects,” Deiss continues, “means
that we have to expect our suppliers to commit themselves to these value
drivers just as much as we do in setting our own internal standards.”
Measure, Interpret, Implement
What really counts is supplier performance in all value drivers. In determining this, the External Balanced Scorecard (EBSC) has become an
increasingly important tool, one that allows a supplier’s performance
to be measured and updated each and every day and rated objectively
overall. As Deiss puts it: “The EBSC is an important component of our
culture of high performance and intensive feedback. It’s an effective
instrument for our staff and managers; above all, it shows our suppliers
exactly where they stand and enables them to continuously identify
potentials for improvement and then take the measures necessary to
make those changes.”
Driving the Change
23
TOP PERFORMANCE SET
MOVING SUPPLIER SET
POTENTIAL SUPPLIER SET
WORLD WIDE EXISTING SUPPLIERS
Alignment of strategic supplier sets at PMC as well as the current and potential suppliers within the global context.
Intensive Contact with Suppliers
Frank W. Deiss considers another important piece in the mosaic of a wellapplied culture of high performance and intensive feedback to be the
on-site visits made by PMC managers as part of the CORE waves. In fact,
only recently Deiss visited suppliers such as Harman Becker and Rehau.
“Having direct contact with these companies, which have shown aboveaverage and very successful dedication during CORE waves, is just as
important to me as the exchange occurring in the technical workshops
now being started in connection with the CORE program,” Deiss states.
“In these workshops we make it clear that in our view optimizing costs
and optimizing quality is not a contradiction but will have to be a supplier
core competency of the future. It’s precisely here that we expect our
suppliers to be even more proactive in contributing their ideas in both
the technical and business areas.” Furthermore, it is also a matter of not
only motivating suppliers to take concrete steps but also raising their
awareness that the key to mutual success can only lie in proactive and
intensive cooperation.
Raising Awareness
Internally, too, DaimlerChrysler has been doing a lot of rethinking, especially about how its business units can reduce the amount of variants,
increase vehicle harmonization through shared-parts and apply a modular
strategy. Deiss also mentions current considerations in conjunction with
future supplier sets. These call for the strategic supplier sets at PMC
as well as the current and potential suppliers to be analyzed in detail
within a global market context. “All in all, in our analyses of the technical
and business considerations, we’ve been able to come up with some very
helpful results,” Deiss reports, adding that “we’ll certainly be continuing
these kinds of activities even after CORE is finished. One thing is clear:
The awareness that we want to create at suppliers is one that both sides
of our performance-based cooperation will have to continuously re-examine and implement.”
24
Opening the Door
in North East Asia
Chrysler Group minivans launched in Taiwan and China are based on the current Chrysler/Dodge
minivan body style, which was first introduced in the U.S. in 2001. The vehicles will be locally produced outside Taipei (Taiwan), and Fuzhou (China) through the 2013 model year.
25
Representatives of Chrysler Group and CMC Yulong Group ...
... celebrate the first locally assembled Chrysler Town & Country.
A New Product Offensive
“Chrysler vehicles are known around the world for their combination of
eye-catching design and outstanding value,” said Thomas LaSorda, President and CEO of the Chrysler Group. “From fashion to architecture to
cars, take a look at urban China today and it’s obvious that successfully
combining bold design and superior value is a winning formula. Following
the success we’ve had growing our business in the hyper-competitive
North American and European markets, Chrysler is embarking on a new
product offensive for North East Asia, led by our new flagship, the Chrysler
300C, along with the world’s most popular minivan, and, of course, the
venerable Jeep®.”
“Thanks to the hard work of the men and women of CMC and the Chrysler
Group to help prepare this launch, the Chrysler Town & Country produced
here meets our high worldwide standard and is ready for our customers
in Taiwan,” said LaSorda. “With the roll-off of the first customer-ready
vehicle, CMC joins the family of Chrysler minivan production facilities in
the U.S., Canada and Austria. I‘ve been in hundreds of plants, and helped
launch dozens of vehicles, and I can tell you that this is a world-class
operation, and we are proud of our ongoing partnership with CMC.”
The locally assembled Chrysler Town & Country was specifically adapted
by CMC to meet the needs of Taiwanese customers, including detailed
touches on the exterior which better cater for Taiwan customers’ preference, and adjustments to provide safety and comfort on the driving environment of Taiwan.
A Growing Market
“Without a doubt, the automotive industry’s greatest potential for growth
in the next ten years is in North East Asia,” said Dr. Rüdiger Grube, Member of the Board of DaimlerChrysler AG, responsible for Corporate Development and China Operations. DaimlerChrysler intends to be there with
a major presence. The Chrysler Group’s plan to add Chrysler minivan and
Chrysler 300C production to the region further complements DaimlerChrysler’s overall strategy to expand production and sales of passenger
cars, commercial vehicles as well as vehicle financing.
Last September, LaSorda reviewed previously announced plans to license
minivan production with China Motor Corporation (CMC), and create a
joint venture between DaimlerChrysler Taiwan and CMC to manage sales
and distribution of Chrysler Group vehicles, both for the local market.
Another Milestone
“Today is another milestone for DaimlerChrysler in North East Asia, and
we believe there are tremendous opportunities to continue to grow the
business of all our vehicle brands here,” said Dr. Till Becker, Chairman
and CEO of DaimlerChrysler North East Asia. “Licensed manufacturing
is a very efficient way to bring vehicles to the market quickly. Working
together, we were able to combine the best attributes of a world class
minivan with features tailor-made for the Taiwanese market. We appreciate the partnership and support of CMC for this and other projects.”
Celebrating a Successful Launch
One year after announcing that the Chrysler Group would license China
Motor Corp. (CMC) to produce the Chrysler Town & Country, the first
customer-ready vehicle rolled off the production line at CMC’s Yangmei
facility in Spring 2006. Thomas LaSorda, Chrysler Group President
and CEO, made his second trip to Taiwan in eight months to review the
Chrysler Town & Country production launch and celebrate the first customer-ready vehicle.
Yangmei | Taiwan
Your contact:
Michael Boar, China Program Manager
Phone +1 248 576-9440
Auburn Hills | USA
Fuzhou | China
26
Procurement Truck Group and Buses
Team members from Supplier Management (WG/LSL-G) examine a part
produced by Fonderie Lorraine.
Working with an in-house team at Fonderie Lorraine, personnel from Procurement Truck Group and
Buses/Supplier Evaluation and Development, from Supplier Management and Materials and Process
Technology at the Rastatt/Gaggenau plant recently concluded a successful “quality offensive”.
The Initial Situation at Fonderie Lorraine
At its location in Grosbliederstroff (France) Fonderie Lorraine, a subsidiary
of HONSEL GMBH & CO. KG, produces assembly-ready diecast aluminum
transmission housings. Due to some changes in model series and newproduct launches, this production supplier to DaimlerChrysler was faced
with some major challenges in quality and delivery performance.
Project Team Provides Supplier Support
“In our regular visits to Fonderie Lorraine we first conducted a systematic
on-site analysis of comebacks/complaints and production processes in
order to come up with appropriate measures to be implemented in the
course of our supplier support activities,” explains Martin Frank at Procurement Truck Group and Buses/Supplier Evaluation and Development
(PTG/MD). Analyzing the root causes of the problems and determining
the steps required to remedy them were done in close cooperation with
the interdisciplinary team from DaimlerChrysler and a project team at
Fonderie Lorraine. The goal of the effort was to improve quality and
delivery performance within the process chain. Once the project planning
was completed, internal and external analyses were then conducted at
the supplier. Following this, the measures intended to improve performance were implemented and supported. Specifically, this means that
testing procedures were optimized, employees received further qualification training and customer contact was improved by adding a resident
engineer. The measures taken were continuously implemented by a CIP
team at the supplier and jointly verified by them and DaimlerChrysler.
Germany
Proficient Analysis and Input
“In implementing the measures for improvement we had very willing and
open cooperation starting at the management level on down,” emphasizes
Martina Sturm, Supplier Management (WG/LSL-G). “Thanks to the comprehensive methodology of our supplier support services, we were able to
actively support this supplier with respect to delivery quality, technology,
costs and supply logistics.” Because of this, within one year the delivery
quality at Fonderie Lorraine improved considerably, and since October
2005 the PPM values for delivered parts have been at a consistently low
level. Both the project managers at DaimlerChrysler and their counterparts at Fonderie Lorraine are very pleased that these improvements
are having long-term effects and have led to improved customer satisfaction. In fact, in a recent issue of its company newsletter, HONSEL praised
the success of this effort: “Special thanks go out from Fonderie Lorraine
to the team at DaimlerChrysler. It was only due to this exceptional joint
effort with its proficient analysis and input and a concerted effort by all
concerned that it was possible to achieve such success.” And Stefan ten
Hoevel, head of Procurement Truck Group and Buses/Supplier Evaluation
and Development (PTG/MD), adds that “this example of exceptional cooperation between the supplier, the plant and Supplier Development well
demonstrates that the vision of a performance-based partnership can
truly become reality.”
Your contacts:
Martin Frank, PTG/MD
martin.m.frank@daimlerchrysler.com
Martina Sturm, WG/LSL-G
martina.sturm@daimlerchrysler.com
France
TOKYO
STUTTGART
AUBURN HILLS
Performance at its best.
All over the world. At any time.
Performance at its best. That’s what our customers expect from us and that’s what we
from Global Procurement & Supply expect from our suppliers. With a consistent orientation on our four value drivers: quality, technology, cost and supply we are committed
to excellence. We build our working relations on strong partnerships with top-performing
suppliers. All of our purchasing activities are based on commitment, integrity and close
communication as the foundation for a transparent and global performance based cooperation. Extended Enterprise®– the core philosophy and foundation for our unique supplier
relationship model – is an important part of our overall Global Procurement & Supply strategy.
www.daimlerchrysler.com
PORTLAND
BEIJING
Published by
DaimlerChrysler AG
Responsible for content
DaimlerChrysler AG
Claudia Dautermann, GOP Communications
HPC Z302, 70546 Stuttgart
Phone +49 711 17-77517, Fax +49 711 17-93852
claudia.dautermann@daimlerchrysler.com
USA
DaimlerChrysler Corporation
CIMS 484-06-15, Auburn Hills MI USA, 48326-2527
Phone +1 248 576-3735, Fax +1 248 576-2193
Your contacts around the world
South Africa
DaimlerChrysler South Africa (Pty) Ltd.
Anna Ahlschlager
PO Box 671, East London 5201, South Africa
Phone +27 43 706-2484, Fax +27 43 706-2611
anna.ahlschlager@daimlerchrysler.com
Brazil
DaimlerChrysler do Brasil Ltda.
Magdalena Thaler Cuevas
Av. Alfred Jurzykowski, 562, Cep. 09680-900
São Bernardo do Campo – SP
Phone +55 11 4173-6294
Pool-ID interacaopremio@wk-amerika2
Global Supplier Magazine is published quarterly in German and English. You can subscribe to it through
the DaimlerChrysler Supplier Portal: http://daimlerchrysler.covisint.com
Editor
Ralf Christofori (aexea)
Tina Lösch (DaimlerChrysler)
Editorial office
aexea – Integrierte Kommunikation
Büchsenstraße 25, 70174 Stuttgart
Phone +49 711 870 354 90, Fax +49 711 870 354 91
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Editorial staff
Thomas Bürsner, Michaela Eberle, Andrea Geyer,
Alexander Horn, Simone Kloppenburg, Anke Kricks,
Ulrich Kugler, Sabine Mielenz, Branka Podgorelec,
Julie Rogier, Silke Rommel, Monica Schmickler,
Joachim Setzer, Frank Suszynski
Design
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© 2006 DaimlerChrysler. No parts of this publication may be reproduced without prior written permission
from the publisher.
Photography: DaimlerChrysler MediaServices, DaimlerChrysler, Gaukler Studios, Kohlbecker / Friedrich Busam

2006_3_Daimler Supplier Magazine_eng

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