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Annual Report 2010 - Knorr-Bremse AG.

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RepoRt<br />

59<br />

A unique concept in the rail vehicle industry<br />

One innovative aspect of the new plant, in which the company has invested some EUR 45 million, is<br />

the underlying concept of the “5-day factory”, based on the globally standardized <strong>Knorr</strong>-<strong>Bremse</strong> Production<br />

System. The concept involves a wide range of pioneering measures aimed at significantly reducing<br />

throughput times along the entire value chain. In the past a major component like the block<br />

brake would take from 20 to 30 days to complete from provision of the raw materials to final shipment,<br />

but standardization of all production processes at the new factory now means the same process<br />

should take just five days – an improvement by a factor of four.<br />

Ingenious supply chain models<br />

Underlying these improvements is the use of intelligent supply chain models, integrated manufacturing<br />

cells, an in-house surface treatment center, and one-piece-flow assembly lines aligned with customer<br />

cycles. This in turn is facilitated by an ingenious system that ensures optimal integration of<br />

procurement, production, and delivery systems.<br />

<strong>Knorr</strong>-<strong>Bremse</strong> has developed a system that precisely assigns all products to a supply model. This is<br />

based on more than just the customary analyses: The “5-day factory” also weights the competence of<br />

each supplier, for example, as well as other aspects with a bearing on logistics, such as volumes.<br />

Focus on customer benefits<br />

By moving to the new plant, <strong>Knorr</strong>-<strong>Bremse</strong> is enhancing customer benefits in several respects – first<br />

and foremost through greater flexibility and optimized schedule effectiveness. The closed value-loop<br />

within the company has also been improved and more efficient transportation and handling processes<br />

have further improved product quality.<br />

On a site situated close to the old facility, more than 1,000 employees now work in a modern building<br />

offering over 30,000 m² of production and office space. A combination of selected building materials<br />

and innovative control technology ensures optimum energy use and has significantly reduced the<br />

new plant’s energy requirements and operating costs.<br />

Opening ceremony<br />

High-ranking visitors attended the inauguration of the new <strong>Knorr</strong>-<strong>Bremse</strong> Rail Vehicle Systems plant in<br />

Budapest in early July: Both the Hungarian Minister of National Development, Dr. Tamás Fellegi, and<br />

the Chairman of the Supervisory Board and owner of <strong>Knorr</strong>-<strong>Bremse</strong>, Heinz Hermann Thiele, were present<br />

at the ceremony.

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