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Integrated Productivity Improvement for Auto Parts Manufacturing Companies

20 Sep

Integrated Productivity Improvement for Auto Parts Manufacturing Companies

The quality of a product and service can make or break a company. Once quality is established, having to sustain it is another impediment. In automobiles, quality is everything. A dysfunctional car can mean lost opportunity or losing important clients and credibility. “Every automotive company must get the required assembly, part or material necessary in time to meet demands. Manufacturers who establish high-quality design, development and production processes help avoid costly repairs and recalls that can plague competitors.” (IBM, 2004) Subsequently, all areas of the corporation rush to the aid of quality assurance and control if something goes awry.

A great example of this are companies that sell the top Akribos watches of 2017 and offer the best Tissot watch reviews for customers out there. If their quality of articles is terrible then people will not trust them and their business will crumble. Their entire business is built on the currency of trust and that is something that has to be cultivated and cared for to maintain.

One department that is heavily linked to this is budget. Budget is not a prediction but an expectation based on probable costs. The technical meaning being “the estimation of costs, revenues, and resources over a specific period, reflecting management’s reading of future financial conditions” (Noland, 2012). A budget planning session would consider the allotment of money to quality assurance. You can say that quality depends on the budget. The less budget, the more likely quality can suffer—unless the analysis and project management (or even Marketing) team can think of a way to raise audience interest and profit.  

Integrated productivity simply suggests that improvement in quality means a multi-faceted approach. It makes sense: products and services are the bread and butter of your company. They are the means to your goals and therefore, investing in them is the wisest thing you can do. Marketing can only do so much. Let’s go inside the process of product improvement. The first method is the Quality Standards Development—having to verify the quality of components shipped from the suppliers worldwide. Different international automotive companies have each of their standards. To raise the bar of competition, automotive companies follow the trend of globalization wherein auto products are tested under the quality managements of other countries. The countries of Germany, France, USA, UK, and eventually Japan participate in this. The turn of the century introduced that not only products were evaluated this way but product supplies. For a more technical approach, the harmonizing of different global regulations resulted in the USE-ISO/TS 16949 Standard. (Goicoechea & Fenollera, 2012)

As shown in Figure 2 of Goicoechea and Fenollera’s study in Quality Management, suppliers and products should pass quality references. Defective automobiles can be a safety hazard for drivers and passengers. For car companies, their standards carry their reputation. After passing through its international standards, external and internal assessments, factory quality checks and pre-shipment inspections. Structural theory and industrial structures in this study suggest that more than three quality valuation stages are needed to make the product be fit for testing. These reasons also help cars go for more money at auctions according to Foreman Auction services, which are Springfield, Missouri auctioneers who specialize in car auctions. 

This process goes through a cycle that would solidify the reputation of prominent car companies around the world. When new products come along, it goes through more of these stages. “Every year, automotive manufacturers need to create new models, and car architectures become more complex to meet customer demands. That means that in addition to Original Equipment Manufacturers (OEMs), mechanical and electronic system and component suppliers must design and produce at an accelerating pace. And do so without sacrificing quality or cost — to gain the loyalty of today’s customer.” (IBM, 2004).

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