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To Shrink a U.S. Car, Chrysler Goes to Poland
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The plant in Tychy, Poland where Fiat turns out 500,000 small cars a year, one every 55 seconds. Chrysler engineers are now visiting this plant to see what can be done with small car production. The Fiat 500 is turned out here. Its Fiat's best effort in terms of quality. Zdzislaw Arlet, is director of the Tychy (pronounced TICK-ee) plant. He says the right combination of robots to individual workers was critical to achieve efficiencies and to have the flexibility to switch to different Fiat small car models depending on which is selling more. This enables the Tichy plant to operate round the clock six days a week. About three years ago workers were assigned an individual ID that is stamped on the sections of the car that they assemble so any problems at the end of the line can be traced to the source. As a result of these efforts defects have fallen from 20% in 1996 to just 4% now, and the time to have a car roll out of the assembly line has been halved.
Eastern European automobile plants turning out popular cars- Dacias (Romania) and Skodas (Czech Republic)
11/29/2006
Skoda of Czech Republic and Dacia Automobile S.A. have been turned into successful automobile operations by VW and Renault.
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The new Chrysler that is emerging from bankruptcy with government help under Fiat's Marchionne.
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Marchionne has kept many of the managers from the previous Chrysler. Jim Press is deputy CEO and adviser. He came from Toyota. Everything else will change. He is flattening the organization structure to improve communication and speed. Smaller car lineup will replace the prior lineup, and Fiat's engine technology will provide help for fuel efficient cars.
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Was America asleep at the spigot? Did Detroit carmakers completely miss on competitive strategy?
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Issues raised by the graph on fuel efficiency over the post war period for the European, Japanese and the American carmakers show a huge striking gap. Not closing this gap was going to hurt Detroit carmakers. It also points to a complete lack of energy policy through higher standards, gasoline tax, and other policy actions by the government. Schwartz of NYT shows the gap and consequences.
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To Shrink a U.S. Car, Chrysler Goes to Poland
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