Chrysler Group Productivity Tops U.S. Automotive Industry, According to Harbour Report
June 01 2006 - 1:29PM
PR Newswire (US)
-- Six percent year-over-year improvement tops U.S. industry --
Company posts 24 percent improvement over four years -- Five
Chrysler Group plants top their segment -- Transmission
manufacturing is industry benchmark AUBURN HILLS, Mich., June 1
/PRNewswire-FirstCall/ -- The Chrysler Group has improved its
overall manufacturing productivity by an industry-leading 24
percent over the last four years, according to The Harbour Report
North America 2006. The company improved its overall hours per
vehicle (HPV) time by 6 percent to 33.71, from 35.85 a year ago.
The most improved in the industry. The annual Harbour Report is a
broadly accepted measure of productivity in the automotive
industry. Nearly all major manufacturers participate in the survey.
"Chrysler Group's 28% improvement since 1998 in total manufacturing
labor hours per vehicle is a reflection of the discipline and
commitment throughout its manufacturing organization," said Ron
Harbour, President - Harbour Consulting. "Most notable is
Chrysler's 6 percent gain in assembly productivity in 2005. This is
strong evidence that the company has sustained the progress of
recent years." Among the highlights for the Chrysler Group, the
company's St. Louis (MO) South Assembly Plant, producers of the
Chrysler Town & Country and Dodge Grand Caravan, was recognized
as North America's top minivan plant. Transmission manufacturing
productivity was the best in the industry and the company's engine
productivity was most improved. Company plants were the leaders in
five segments. Frank Ewasyshyn has led Chrysler Group's
Manufacturing efforts as Executive Vice President for the last two
years. Tom LaSorda, now Chrysler Group's President and Chief
Executive Officer, was the head of manufacturing operations for the
two prior years. "We have come a long way over the last four years
in achieving productivity improvements," said Ewasyshyn. "The fact
that we are leading the pack with the greatest productivity
improvements reinforces our commitment to achieving world-class
levels by 2007. We must continue to stay focused on our operational
excellence initiatives during the company's most significant
vehicle launch year ever, ten all-new products." "We have to
continue our efforts to achieve benchmark levels to ensure
long-term success," said UAW Vice President Nate Gooden, who
directs the union's DaimlerChrysler Department and is a member of
the DaimlerChrysler Supervisory Board. Five Chrysler Group plants
scored at the top of their segment. They are: -- Minivan St. Louis
(MO) South Assembly Plant -- Front-wheel drive transmission Kokomo
(Ind.) Transmission Plant -- Rear-wheel drive transmission Kokomo
(Ind.) Transmission Plant -- 8-Cylinder OHC engine (4.7L) Mack
(Detroit, Mich.) Engine Plant -- 8-Cylinder OHV engine (HEMI(R))
Saltillo (Mexico) Engine Plant Powertrain The Chrysler Group
transmission productivity improved 8.3 percent - to 3.55 hours per
transmission, the industry benchmark. Assembly Assembly operations
made a 5.7 percent improvement, topping all other manufacturers in
year-over-year improvements. Chrysler Group's minivan plant in St.
Louis topped its segment at 20.84 hours per vehicle. Stamping
Chrysler Group also demonstrated expertise in stamping operations.
Belvidere (Ill.), home of the Dodge Caliber, Jeep(R) Compass and
the upcoming Jeep Patriot, was among the top 10 stamping plants -
the highest for a domestic manufacturer. The company is employing a
number of initiatives intended to continue improving manufacturing
excellence in the future. Among them are increased support of
assembly employees, continued employee training and new workplace
practices that are designed to foster greater creativity and
innovation among employees on the plant floor. The company will
also redesign material handling operations, employee work stations
and will continue to invest in plants. The Chrysler Group is now
ranked third in capacity utilization, which counts as a plant
running two, eight-hour shifts, five days per week, according to
Harbour. The Harbour Report is one of several measures the Chrysler
Group uses to measure its manufacturing operations. Other areas
that are tracked by the company include safety, quality, delivery,
cost and morale, all of which contribute to manufacturing
performance. DATASOURCE: Chrysler Group CONTACT: Michele Tinson,
+1-248-512-0366, or , or David Elshoff, +1-248-512-2690, or , both
of Chrysler Group Web site: http://www.media.daimlerchrysler.com/
http://www.daimlerchrysler.com/
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