In the coming years, 1,8 million diesel engines, all of which comply with the high requirements of Euro 5 emission regulations, are to built and installed annually in a range of vehicles, including the Peugeot 407, Citroen C3 and C4, as well as the Ford Focus. In March 2007, a corresponding request landed in Dana's engineering department, where the experts immediately recognized the true dimensions of this project.

Challenge: Many different parts.

Very soon, two areas that would have a decisive influence on the successful and efficient manufacturing procedures were identified:

Firstly, there were the varying quantities of different parts. For example, a special design solution had to be found for those applications where the catalyzer and possibly the turbocharger require integral shielding to ensure fast engine warm-up. Following several design attempts, an optimum result was obtained by using a thin stainless steel sheet coated with a glass fiber mat. However, from the design data provided, this involved a total of 17 different shielding components, which results in 11 million additional parts for the 1,8 million engines. In other words: A triplication of the previous volume in the corresponding department for shielding components.

The second important factor that soon became evident was that due to the versatile application of the new engine type, different versions would have to be distributed to different suppliers. Specifically, this meant that for a successful supply chain management, the best possible integration and coordination of the individual supply chain members had to be planned and ensured right from the start. Parts with integral shielding for the 1,6 liter engine and those for the 1,4 liter engine were to be delivered directly to the OEM suppliers. On the other hand, the shielding components for the exhaust manifold stayed at PSA. Because the PSA engines purchased by Ford also require shielding components, a further external member had to be added to the supply chain from here.

Success factor: Clear definition.

During the kick-off meeting in mid' 2007, Dana's project leaders were able to present overviews that showed which individual parts could be manufactured in which versions and quantities for the respective engine types. Hereby, a positive side effect of the numerous standardized parts was the slim costing structure.

But it soon became clear that to a great extent, the existing production lines were unsuitable for this new approach, and even a reorganization would not be able to provide the required capacity. During the project's further progress, overview lists with customer-specific details of the individual parts, and their clear assignment to individual manufacturing steps provided the necessary transparency.

Already at this stage, Dana achieved a reduction of inefficiencies. By checking the availability of resources as well as the technical and time-related general conditions, and by setting clear priorities, everyone involved was able to maintain an overview at all times. A second project team was entrusted with the direct liaison with the OEM suppliers. Thanks to excellent communication between the project leaders, the few problems that came up were dealt with immediately. Even under the tight conditions of the ambitious schedule, and the high quality aims set by Dana and PSA, the first milestones were envisaged for autumn of the same year.

Planning: Logical sequences.

After examining the capacities and the procedures, detailed project lists were presented in November. The team's engineering experts quantified the necessary investments at six million Euros. Apart from building new devices, and converting existing production plant, it was necessary to purchase new robots and handling equipment as well as manufacturing facilities equipped with cameras.

This step was followed by an extensive planning phase with exact projecting and design of the production lines, preparation of layouts, a comprehensive validation plan, and drawing up of detailed specification sheets. Thanks to reliable schedule plans, the project progressed well.

In February 2008, Dana started with the first enquiries, accompanied by talks with suppliers, offers, and comparison of tenders. Subsequent quality monitoring and detailed documentation ensured the desired high quality.

In April 2009, the first approvals were obtained from PSA.

So far, facilities for producing about 7,7 million parts have been provided, and some 3,6 million Euros have been invested. The first lines for series production were commissioned on schedule. Additional complex manufacturing facilities are still under construction.

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