TRAVERSE CITY, Mich. -- With a strategy it calls "Focused Factories," Visteon Corp. is saving up to 25 percent in capital expenditures at 12 plants.
The strategy involves implementing lean manufacturing at new plants that typically are 100,000 square feet and produce only one product with about 100 workers. It was rolled out two years ago in Europe and now is used at 12 plants, half of which are in the United States.
Visteon would like to expand the program to existing sites. In the United States, that requires working with the UAW, said Tom Burke, Visteon's vice president of North American and Asian manufacturing operations. He declined to comment on those discussions with the union during an interview at the Management Briefing Seminars last week. "We'd like to get to double-digit, year-over-year productivity gains," Burke said. "It's a big stretch, but that's through the whole value stream with the supply chain."
The strategy fits with Visteon's mission to standardize manufacturing processes at all its plants. "That's a several-year journey," Burke said.