Case study
US automotive supplier
Factory closure and product relocation for a US automotive supplier
PA's client had over-capacity in their North American operations that made mature product families with limited product life, resulting in a high manufacturing cost base. To counter this, the company had identified opportunities to move production to lower cost regions. Using PA's proven project management techniques we successfully managed the transfer of products and manufacturing to other factories in Mexico and North America. This included the management of the transfer of logistics and suppliers to the new locations and the review and management of all associated risks to ensure continuation of supply to OEMs.
PA also assisted with issues in relation to HR retention and customer communications.
This structured and disciplined approach delivered a risk-averse closure and transfer plan that ensured continuation of supply. This was achieved with a high level of workforce motivation, despite the closures, and allowed key resources to focus on the continued management of the business.
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