Chrysler Extends Supplier Relations Program to Brazil
7 July 1998
Campo Largo Plant Brings Chrysler's Extended Enterprise Approach to Supplier Relations to Brazil
CURITIBA, Brazil, July 7 -- With the launch of the new Dodge
Dakota pickup truck plant in Campo Largo, Chrysler has introduced
its highly successful Extended Enterprise philosophy to supplier relations to
the Brazilian automotive market.
Chrysler is working directly with a total of 23 suppliers located in
Brazil. All of the companies are Brazilian subsidiaries or affiliates of
global suppliers. Most of them have been involved in the Dakota project since
its inception, working in partnership with Chrysler's International
Manufacturing and Procurement and Supply managers to develop ways to maximize
the quality of locally-sourced components and their efficient use in the
assembly process.
"In order to meet our targets for quality, efficiency and cost of local
components for the Dakota in Brazil, we knew we had to leverage the strengths
of our Extended Enterprise philosophy and our relationships with our long-term
strategic suppliers," said Lyle Raines, Director of Procurement and Supply for
Chrysler do Brazil. "In addition to knowing our products and quality
standards in North America, many of them have been in Brazil for decades and
understand the local automotive parts market."
Four of Chrysler's leading global suppliers have established manufacturing
facilities in the region of Campo Largo to supply materials and components for
the Dakota pickup truck.
Dana Corporation built a 76,000 square-foot facility just two-and-a-half
miles from Chrysler's Campo Largo plant to assemble and supply the "Rolling
Chassis" for the Brazilian-made Dodge Dakota. The Rolling Chassis concept was
developed by Chrysler engineers to streamline the assembly process and satisfy
local content requirements. It is the first application of its kind to be
used in volume pickup truck production anywhere in the world. In addition,
the Rolling Chassis is the most complex module supplied to Chrysler,
incorporating 205 parts -- from shock absorbers, springs, calipers and
steering links to wheels, brake rotors and the fuel tank -- on a frame that is
literally "rolled" onto the assembly line as one component, including tires.
As part of its responsibilities, Dana integrates approximately 70 other
second-tier suppliers in the production of the Rolling Chassis.
Detroit Diesel built a new engine assembly operation in Curitiba to supply
2.5L Turbodiesel engines for use in the Brazilian-made Dodge Dakota. This
engine is also being used in the Jeep Cherokee sport utility vehicle assembled
at Chrysler's plant in Cordoba, Argentina and by the Toledo Jeep assembly
plant in Toledo, Ohio (U.S.A.) for use in export production of the Jeep
Cherokee.
Lear Corporation established an 11,000 square-foot facility located less
than a mile from Chrysler's Campo Largo plant to manufacture seats, carpets,
sun visors and cab back panels for the Brazilian Dodge Dakota.
PPG Industries' responsibilities at the Campo Largo plant go well beyond
the traditional level of involvement of a paint supplier. In addition to
providing all paint related coatings and in-plant technical service personnel
for the daily operation of the paint shop, PPG operates and manages the pre-
treatment, electro-coat, paint mix room, paint detackification and water
treatment operations. It also supplies over 100 different paint-related
products to the plant. PPG schedules and delivers these products to the point
of use on the line on a just-in-time basis from its new warehouse just two-
and-a-half miles from the Dakota plant. This inventory management system has
reduced the amount of paint floor space typically required for storage of
these products.
In early 1999, the Dakota paint shop will be the first automotive plant in
the world to use PPG's new "Power Prime" two-step (two-coat) electro-
deposition process. This new process will replace the current spray prime
material and provide a more cost effective and environmentally sound paint
process with excellent vehicle corrosion and chip resistance.
Another Extended Enterprise supplier partner, Texaco, has full
responsibility for the management of all fuel, fluids and related facilities
for Dakota assembly at the Campo Largo plant.
Chrysler's Extended Enterprise partnership of suppliers at the Campo Largo
plant also include the following companies:
Company Component
Alpine Radio
Bianco Savino Warning triangle
Blindex Glass door
Cofap Shock absorbers
Eaton Springs
Exide/Moura Battery
Goodyear Tires, wheel assembly
Hayes Aluminum wheels
ITT Calipers
Meritor Automotive Steel wheels
Pollone Quarter windows
Resil Fire extinguisher
Sachs Clutch
Solvay Fuel tank
TI Tubing
Torrington Intermediate shaft
Walker Exhaust system
Yazaki Wiring