World Class Manufacturing (WCM) is a structured and integrated system of manufacturing that encompasses all plant processes, from safety to the environment and from maintenance to logistics and quality. The objective of this system is to continuously improve production performance and progressively eliminate waste, ensuring product quality and maximum flexibility in responding to the needs of customers by involving and motivating people working at the plants.
The WCM system consists of ten technical and ten managerial pillars, each with incremental levels of improvement, and results that are clearly identified and measurable. An increased focus on energy saving and efficiency has also been incorporated into WCM, with development of an Energy sub-pillar forming part of the Environment pillar, to improve the ability to identify and implement measures to reduce waste and achieve more efficient energy use.
In 2010, more than 1,300 environmental projects were established that reduced consumption and generated cost savings of over €21 million for Fiat Group pre demerger. These included the Kinetic Energy Recovery System (KERS) project developed at the Fiat Group Automobiles plant in Cassino (Italy), in collaboration with Comau and Centro Ricerche Fiat, specifically targeted at eliminating energy waste associated with the movement of body welding robots. At the end of 2010, 130 sites were involved in the program, accounting for over 95% of the manufacturing cost base for Fiat Group pre demerger. Of those sites, 18 achieved bronze level and 9 silver level. Achievement of each performance level (bronze, silver, gold or world class) is certified through external audits conducted by teams overseen by representatives of the WCM Association. This audit system enables continuous internal benchmarking between Group entities and facilitates a constructive exchange of experience and applied solutions between members of the WCM Association.
People involvement is one of the cornerstones of WCM and in 2010 50% of blue and white-collar workers at Group plants in Italy participated in the program (+6% over 2009) and over 1 million employee suggestions were received worldwide. Application of WCM methodologies and guidelines has also been extended beyond the manufacturing area. Similar initiatives have, in fact, also been developed for logistics and administrative processes with the aim of achieving an integrated approach across the various areas of activity. Fiat also continued to promote the adoption of WCM by suppliers.