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Samsung, Hyundai, Kia, Daewoo, LG... - Cherry Corporation

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FOTO: ROBERT BREMBECK FÜR WIRTSCHAFTSWOCHE, SÉBASTIEN SINDEU / IPTC<br />

TECHNOLOGY CONTEST – “THE BEST PRODUCTION PLANT”<br />

The professors at Insead and WHU see<br />

things the same way. “That you can no<br />

longer produce in Germany is a myth,” says<br />

Huchzermeier. The crucial factor is the<br />

management. “It must understand how to<br />

make something out of particular skills<br />

like state-of-the-art engineering and a<br />

good level of education”. The simple jobs<br />

will certainly wander away, “but whenever<br />

they succeed in coupling high-quality,<br />

differentiated products with first-class,<br />

customer-specific service and short<br />

delivery times, these plants are practically<br />

unbeatable”, adds Insead production expert<br />

Christoph Loch.<br />

A study by the TCW Transfer Center for<br />

Production Logistics and Technology<br />

Management run by Munich University<br />

professor Horst Wildemann confirms that<br />

assessment. While companies relocating<br />

reduce their costs more strongly than companies<br />

optimising their production in<br />

Germany can achieve, they also have to<br />

accept significant drawbacks. For example,<br />

their products spend more time on their<br />

way to the customer and they lose flexi-<br />

SRI RADIO SYSTEMS<br />

Operational strategy<br />

Product development (not present)<br />

Supply chain management<br />

Organisation and personnel<br />

Service and partner management<br />

Continuous improvement<br />

*Schweinfurt plant<br />

Deficient<br />

Adequate<br />

Satisfactory<br />

Good<br />

Excellent<br />

bility and quality (see chart, page 88).<br />

“Anyone approaching it intelligently can<br />

also create competitive value chains here”,<br />

says Wildemann, summing up. Like the<br />

winning plants:<br />

■ They pursue a clear strategy, constantly<br />

set themselves new goals and check their<br />

attainment.<br />

■ They don’t chase after market developments,<br />

but develop top-class products<br />

faster than the competition.<br />

■ They collaborate very closely with their<br />

suppliers and customers. The objective is<br />

a perfectly synchronised production chain,<br />

in which customer orders set the<br />

machinery in motion and control it.<br />

■ They adjust their production to the<br />

demand smoothly and without added cost<br />

using flexible working time models.<br />

■ They manufacture individual products<br />

instead of mass commodities. Despite the<br />

number of variants, they don’t lose control<br />

of costs. The trick is highly flexible systems<br />

and a versatile workforce.<br />

THE KEY SUCCESS FACTOR, however, is<br />

the employees. “If you let their creativity<br />

go to waste, you’ve already lost”, says Loch.<br />

“In the top plants the managers set the targets,<br />

but leave realisation to the workforce”,<br />

adds Huchzermeier. They control the processes,<br />

check quality and maintain contact<br />

with suppliers and customers.<br />

If you take those principles to heart, you<br />

don’t need to worry about the competition.<br />

That was confirmed by<br />

an empirical evaluation of<br />

the contest by Insead<br />

and WHU, which<br />

shows that the winning<br />

plants grow much<br />

faster than the average<br />

in their industry - by up<br />

to 30 percent.<br />

2.PLATZ<br />

From September there’s<br />

another opportunity to test<br />

one’s own punch. That’s<br />

when the next round of the<br />

contest for “The Best<br />

Production Plant” starts.<br />

From then on, potential candidates<br />

can print out the<br />

questionnaire at www.bestefabrik.de.<br />

Insead professor<br />

Loch hopes for lively participation.<br />

“Most production<br />

plants are now lean. What is<br />

still missing is sufficient<br />

innovation. That needs to be<br />

the next wave of attack”, he<br />

demands.<br />

DIETER DÜRAND<br />

RESCUERS WIST (left), KAMPMANN<br />

Tuned plant for maximum performance<br />

WINNING TEAM<br />

SURROUNDING<br />

ADJIMAN<br />

(CENTRE)<br />

Set clear goals<br />

FRANCE<br />

DEFINING DIMENSION<br />

WWhere his plant’s strengths lie?<br />

Marc Adjiman, director of the<br />

Valeo plant in Nogent-le-Rotrou<br />

in south-eastern Normandy doesn’t need<br />

to think for long: “We’re a young, dynamic<br />

team which is open to change.” The<br />

boss of 850 employees, who on average<br />

are younger than 40, wants to apply the<br />

“latest production methods” and be the<br />

defining dimension in the group around<br />

the French automotive equipper Valeo<br />

( 9.4 billion revenues). The plant produces<br />

heating and air-conditioning systems<br />

for cars. Customers include Renault, PSA,<br />

Rover and Toyota, among others.<br />

AT 37 YEARS OF AGE, ADJIMAN sets his team<br />

clear goals: productivity should increase<br />

every year by up to ten percent. One third<br />

of the improvements are achieved<br />

through engineering projects. Teams<br />

brainstorm about how a system can be<br />

redesigned in such a way that it can be<br />

assembled in five instead of eight minutes.<br />

Every employee is involved in the<br />

thought process. “That employees’ ideas<br />

are accounted for in changes is praiseworthy,”<br />

says Stephen Chick, professor at<br />

the business school Insead in<br />

Fontainebleau. The Insead jury selected<br />

the Valeo plant as France’s best production<br />

plant in 2005. Especially worth<br />

mentioning, according to the experts, was<br />

the collaboration with customers. Beside<br />

fast and reliable delivery, part of the<br />

strategy is to follow the carmakers to the<br />

low-wage countries. When major customer<br />

Renault called on the Normandy<br />

managers to supply the Renault subsidiary<br />

Dacia in Romania, Valeo built an<br />

offshoot in Mioveni. “We work there at<br />

the same performance level as here,” says<br />

Adjiman, who also runs the plant in<br />

Mioveni. The engineer wants to keep as<br />

many jobs as possible in France: “We have<br />

to compensate for our high labour costs<br />

by better performance.”<br />

ANNETTE RUESS<br />

NR.15I 7.4.2005 I WIRTSCHAFTSWOCHE<br />

91

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