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annual report - FIAT SpA

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transmission. In September, the model was awarded “International Van of the Year 2011” at the Hanover International<br />

Motor Show by a panel of automotive sector journalists from 24 countries. Fiat Professional also expanded the Fiat<br />

Scudo line-up to include the new Euro 5 165 hp 2.0 MultiJet and launched the 2011 model year Fiorino.<br />

There were major developments in the environmental arena during the year including introduction of the eco:Drive<br />

software for Natural Power (CNG/gasoline) vehicles, which utilizes the Blue&Me system to quantify the environmental<br />

and cost benefits of using CNG fuel. Also of note was development of the Fiat 500 EV project (forming part of the<br />

alliance with Chrysler Group). Following its debut at the Detroit Motor Show at the beginning of 2010, the prototype<br />

vehicle was also exhibited in the pavilion for electric vehicles at the Bologna Motor Show. This zero-emissions vehicle<br />

will be launched in the United States at the end of 2012.<br />

During the year, research and innovation activities focused on further improving leadership in time-to-market through<br />

the application of numerical simulation tools and methodologies to models currently in development. There were<br />

several important initiatives to increase proprietary know-how in specific aspects of ergonomics and Noise Vibration<br />

Harshness (NVH) with the objective of also acquiring leadership positions in these areas to complement the Group's<br />

recognized position in passive safety and CO2 emissions. Additionally, there was continued focus on standardization of<br />

vehicle systems and components aimed at reducing costs, improving quality and reducing the technical complexity of<br />

products, on the introduction of latest generation active safety systems (i.e., on the Alfa Romeo Giulietta) and on new<br />

configurations for sensors and climate management systems to improve detection of conditions in the vehicle interior.<br />

Also of note was the sharing of certain vehicle architectures with Chrysler Group. Initial activity relating to the principal<br />

mechanical elements of vehicles, such as the chassis and suspension systems, and certain components, including<br />

seating and on-board telematics, was extended during the course of the year to also include minor components and<br />

systems.<br />

SERVICES<br />

In 2010, actions were taken to improve customer response capabilities and a customer satisfaction monitoring system<br />

was completed which will further contribute to the success of the sales and service networks.<br />

For maintenance and repair, Technical Services carried out a comprehensive review of service standards and<br />

processes and updated procedures, roles, responsibilities and tools with a view to continuous improvement of the<br />

customer experience through competent, effective and up-to-date technical service. Product support services for<br />

dealers and service centers were upgraded and expanded, as well as being extended geographically to new markets<br />

outside of Europe. Technical documentation was also enhanced with new content and delivery platforms. New Owner<br />

and Maintenance manuals were produced in electronic format, enabling improved content access, and IT support<br />

systems for the service network were upgraded and expanded.<br />

For warranty service, introduction of the new management model continued in Europe in partnership with leading third<br />

party service providers with the expected benefits in terms of cost reduction being achieved.<br />

The Customer Service Center at Arese represents one of the sector’s most important customer relationship tools,<br />

serving customers, prospective customers and employees in 20 markets throughout Europe. In 2010, the number of<br />

contacts handled by the Center was up 29% over the prior year.<br />

Customer Mobility Support provides assistance to customers at the most critical moments, when their cars are in for<br />

service or they need roadside service, with rapid and effective support to ensure that their mobility requirements are<br />

met. During the year, a new program was launched involving the network of official dealers that is designed to support<br />

the mobility needs of customers. This program contributed a 7% increase in customer satisfaction. A similar program<br />

was developed for owned dealerships aimed at ensuring service excellence and improving profitability. The program<br />

achieved very positive results in Italy.<br />

Through the Customer Service Center, there was improvement in the performance index for Customer Relations<br />

activities (including complaints and information requests from end customers). This result was achieved through<br />

increased involvement of dealers, use of centrally-integrated IT systems and operating processes, and introduction of<br />

new communications and service platforms (e.g., mobile-based tools introduced through the Fiat Ciao Mobile Project).<br />

During 2010, the Customer Relations area was also involved with the Chrysler integration process and established the<br />

framework for alignment of operating procedures for the Chrysler, Jeep® and Dodge brands.<br />

Fiat Group Automobiles offers financial services in Europe, Latin America and China.<br />

In Europe, this activity is managed by FGA Capital, a 50/50 joint venture with the Crédit Agricole group (accounted for<br />

under the equity method).<br />

FGA Capital supports the European sales activities of Fiat Group Automobiles through dealer financing, end-customer<br />

financing and medium and long-term rental. The collaboration with Crédit Agricole continued to prove its effectiveness<br />

throughout 2010, meeting the sector's expectations and commercial needs. In 2010, these activities were extended to<br />

include support for Chrysler's European distribution network and end customers.<br />

New loans to the dealer network totaled €16,676 million (€16,963 million in 2009). Retail financing was provided on<br />

Report on Operations Fiat Group Automobiles 73

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