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Freudenberg-NOK Wins Another Shingo Prize

17 April 2000

Freudenberg-NOK Wins Another Shingo Prize; LaGrange Facility Turnaround Yields World-Class Recognition

    PLYMOUTH, Mich., April 17 Freudenberg-NOK's LaGrange, Ga.
O-ring production facility has earned the 2000 Shingo Prize for Excellence in
Manufacturing in recognition of its world-class achievements in manufacturing,
quality, productivity and customer satisfaction.
    The prestigious award will be presented to Freudenberg-NOK's O-ring
facility and eight other recipients at the Shingo Prize Conference and Award
Ceremony in Milwaukee, Wis. on May 11, 2000.
    "As the second of our facilities to win the coveted Shingo Prize, our
LaGrange facility has become one of our crown jewels," said Joseph C. Day,
Freudenberg-NOK chairman and CEO.  "LaGrange's dedicated, customer-focused
work teams embody the essence of lean systems."
    "Receiving this Shingo Prize is a great honor, especially since this plant
was struggling just five years ago," said N. Bruce Warren, Freudenberg-NOK's
vice president of manufacturing.  "This award recognizes the hard work and
dedication of the LaGrange facility associates, who have turned this facility
around with a focus on continuous improvement and now provide world-class
products for our customers."
    By conducting 455 kaizens since 1995, Warren said, the LaGrange facility
has reduced defects to 3 parts per million for world class quality; improved
on-time delivery to 99.3 percent, reduced manufacturing lead time over
75 percent and totally eliminated warranty costs.  Considered one of the best
implementers of lean 5S and visual factory approaches within the auto
industry, the LaGrange facility was widely cited by the Society of Automotive
Engineers (SAE) in the best practices document published in conjunction with
the SAE J4000 Lean Operating Standard.
    QS-9000 and ISO 9001 certified, Freudenberg-NOK's LaGrange facility
occupies 112,000 square feet and employs more than 450 associates.  The plant
produces O-rings for a variety of industries, including automotive, aerospace,
medical and semiconductor markets.  Its major customers include
DaimlerChrysler, Ford and General Motors.
    The LaGrange facility has received numerous other awards including, the
Rubber Manufacturing Association's Safety, Health and Improvement Program
(SHIP) Excellence Award; the Georgia Department of Labor's Outstanding
Achievement Safety Award; DaimlerChrysler's Gold Pentastar Award; the Nissan
Quality Achievement Award; and the ITT Gold Award.
    Freudenberg-NOK's Manchester, N.H. Gasket Lead Center was awarded the
Shingo Prize in 1998.  And last year, Freudenberg-NOK Chairman Day was
inducted into the Shingo Prize Academy for his personal efforts in helping the
auto industry convert to lean systems.
    Established in 1988, the Shingo Prize for Excellence in Manufacturing
recognizes companies throughout the United States, Canada and Mexico that have
demonstrated outstanding achievements in manufacturing processes leading to
quality enhancement, productivity improvement and customer satisfaction.  The
prize -- known as one of the "Triple Crown" awards for industrial excellence
along with the Malcolm Baldrige National Quality Award and the Deming Prize --
is administered by the Office of Business Relations in the College of Business
of Utah State University.
    Named in honor of the late Dr. Shigeo Shingo -- one of the world's leading
experts on improving the manufacturing process and one of the creators of the
renowned Toyota Production System -- the prize is awarded to businesses after
a rigorous application review and site inspection by a board of examiners.
The philosophy of the Shingo Prize is that world-class status may be achieved
through improving manufacturing processes, implementing lean, just-in-time
philosophies and systems, eliminating waste and achieving zero defects -- to
continuously improve products and costs.
    Plymouth, Mich.-based Freudenberg-NOK is part of the Freudenberg and NOK
Group Companies, which have total annual sales of more than $6.5 billion.
With global automotive sales of approximately $4 billion, the Freudenberg and
NOK Group ranks among the world's top 20 automotive suppliers and is one of
only eight in the top 100 that has global balance in each of the three major
automotive markets -- Asia, Europe and North America.
    Through a global network of facilities spanning 27 countries with some
23,000 automotive employees worldwide, the supplier group offers its
automotive customers globally integrated products, including sealing packages
for transmissions, engines, brakes, axles and steering, NVH (noise, vibration
and harshness) components and packages, and all rubber, plastic and PTFE
components for suspension, electrical and fuel systems.
    The Freudenberg and NOK Group also offers an extensive portfolio of
precision-molded products for the aerospace, appliance, business machine,
fluid power, marine, medical, off-highway equipment and recreational vehicle
markets.  For more information, visit the Freudenberg-NOK web site at
http://www.freudenberg-nok.com