Ford Switches to CHEP Reusable Containers For Bordeaux Plant; Supply Chain Efficiencies Cited
BORDEAUX, France--May 20, 2002--| -- | Product Quality and Environmental Friendliness also Enhanced by CHEP Equipment Pooling Program |
| -- | New System Features Trans-Atlantic Shipment of Parts From 24 North American Suppliers |
Ford Motor Company , has transitioned to the CHEP reusable containers for the delivery of parts to its Bordeaux power train plant from suppliers in several countries on two continents.
The move was made to improve efficiency, reduce product transit damage, and promote an environmentally sound system of packaging. CHEP, the world leader in equipment pooling solutions, is deploying containers to over 60 suppliers in Europe and 24 suppliers in North America.
Ford previously used one-way packaging and dunnage for the shipment of parts to the Bordeaux plant, most of which was cardboard that had to be disposed of at a cost. Ford and its suppliers now use CHEP containers to move parts directly to the assembly line.
"The move by Ford shows the importance auto makers and suppliers are placing on supply chain efficiency, quality of delivered parts, and concern about the environmental impact of their processes," explained Gerry Giudici, Senior Vice President, CHEP Global Automotive Services. "It clearly helps both Ford and its suppliers that the CHEP program delivers value by reducing in-transit damage and subsequent warranty costs, as well as improving efficiency. For example the CHEP system eliminates the need for decanting inbound parts at the plant."
Giudici said the Ford Bordeaux plant, which makes transmissions for several models including the Ford Explorer, started trials of the CHEP program and a contract with Ford was signed late last year. A majority of the suppliers to the Ford plant were already deploying the CHEP program with other customers, so the program launch period was completed in less than three months. Giudici also said that the company's global service capabilities ensure that suppliers have the right number of containers so they can deliver the right number of parts to Ford at the right times.
The suppliers participating in the program include Chicago Powdered Metal Products Company, Borg Warner and 22 other companies located throughout North America, in addition to the 60 suppliers in Europe. These companies recognize the improved supply chain efficiencies and point to the fact that clean, high-quality containers are now always available to them.
"The CHEP containers are always available, they're always clean and they are always in perfect condition. The same could never be said about the containers and dunnage we previously used," said Mike Miller, Vice President, Chicago Powdered Metal Products Company, Schiller Park, Ill., adding that his company is working toward using the CHEP program for other outbound shipments in the near future.
About Chicago Powdered Metals
In 1948 Chicago Powdered Metal Products Company started production in a small plant in Schiller Park, Illinois and has developed into one of the largest independent powdered metal part manufacturers in the United States. Chicago Powdered Metal Products has had a steady growth to a modern 100,000 square foot plant housing over 60 molding presses, 15 sintering furnaces, 10 sizing presses, secondary operations, a fully equipped metallurgy laboratory, and the latest precision inspection equipment. Additional information on Chicago Powdered Metal Products is available at www.chipm.com.
About CHEP
CHEP, a Brambles company, is an international pallet and container pooling company servicing manufacturers and distributors in the consumer goods industries; grower/shippers and receivers in the produce industry; packers, processors and distributors in the meat industry; home improvement, hardware and housewares manufacturers and distributors and suppliers, assembly plants and aftermarket retailers in the automotive industry. CHEP supplies its customers with high quality pallets and reusable containers from a comprehensive depot network. The company is part of the worldwide CHEP organization, which operates in 38 countries and controls more than 180 million pallets and 35 million crates and containers. CHEP combines technology, experience and a customer dedication to "Handling the World's Most Important Products. Everyday." Additional information on CHEP is available at www.chep.com.