Nap 2014 Roadmaps - Highlights

MALAYSIA AUTOMOTIVE ROADMAP
HIGHLIGHTS
Malaysia Automotive Institute www.mai.org.my
Disclaimer
All information contained in this publication has been researched and compiled from sources believed to be accurate and reliable at the time of publishing. However, in view of the natural scope for human and/or mechanical error, either at source or during production, Malaysia Automotive Institute (MAI) accepts no liability whatsoever for any loss or damage resulting from errors, inaccuracies or omissions affecting any part of the publication. All information is provided without warranty, and Malaysia Automotive Institute makes no representation of warranty of any kind as to the accuracy or completeness of any information hereto contained.
All right reserved.

All information contained in this publication was prepared by Malaysia Automotive Institute for the use of the local industry stakeholders, and as such no part of this publication may be reproduced, repackaged, redistributed, resold in whole or in any part, or used in any form or by any means graphic, electronic or mechanical, including photocopying, recording, taping, or by information storage or retrieval, or by any other means, without the express written consent of the publisher.
1 INTRODUCTION
Malaysia Automotive Roadmap Highlight
Introduction
Recently, on the 20th January 2014, the National Automotive Policy (NAP) 2014 was launched, with a vision of transforming the competitiveness of the Malaysian automotive industry to face the global challenges. Over the years, the Malaysia automotive industry has declined in terms of both total production volume and total industry volume. Malaysia used to lead the automotive production and sales in the ASEAN region but now ranked third, producing some 650,000 vehicles per year. The local automotive industry is facing stiff competition in this era of globalization and technologies are changing rapidly to address the global energy constraint and environmental pressure to reduce the effects of greenhouse gases. In view of this decline and challenges ahead, the government has taken the initiative to conduct an overall assessment and in depth review of the NAP 2009, revamp the policy and put forth measures to stop the decline and to address pertaining issues in transforming and making the Malaysian automotive industry competitive. NAP 2014 has studied the structural issues affecting the local automotive industry and adopted measures to overcome these challenges to meet the global quality, cost and delivery requirements, and at the same time aligning the industry in meeting the requirements of the international safety regulation of vehicles.
2 BACKGROUND
Background
The NAP 2006 and its 2009 review, to some extend, managed to steer and stabilise the local automotive industry in facing the residual effects inherited from the 1997 financial currency crisis. However, progressive needs to implement the agendas of the FTAs signed between governments saw the emergence of new challenges facing the local automotive industries. The ASEAN Economic Community (AEC) blueprint due for implementation in 2015 calls for a comprehensive reinstatement of the Malaysia NAP favourable for the nation automotive sector to partake in the new business environment of the AEC. The successful implementation of the AEC shall lead to the ASEAN region in becoming; firstly a single market and production base, secondly a highly competitive region economically, thirdly equitable economic development, and fourthly fully integrated into the global economy. The effect on the nation economy due to the currency crisis were significant on the overall advancement of automotive industry, in particular in the field of product development, R&D, automation and human capital essential to position the industry at par with other global players. The currency crisis has driven the Malaysian automotive industry into despair but remained agile to continue to seek survival solutions to remain in business. The insertion of the first NAP in March 2006 was a step towards regulating measures to help sustain the local automotive endeavours and essentially the document was formulated to transform and to integrate the local automotive industry into the regional and the global industry network, which were becoming liberal and competitive. The 2006 NAP was reviewed and was published on October 2009 introducing measures to uplift the capabilities and competitiveness of the local automotive industries in line with the on-going market liberalisation. The review outlaid measures to create a conducive investment environment towards enhancing high value added automotive manufacturing locally utilising latest advanced technology.
Malaysia Automotive Roadmap Highlight In its desire to be part of the regional and global community, Malaysia had pursued and cemented many Free Trade Agreements (FTAs) from 2005 onwards bearing both positive and negative outcomes to the business communities, in particular the automotive sectors. The downside of the liberalisation efforts was evident by the downward trend on market captivities between the two national car manufacturers. Today PROTON and PERODUA both control some 60% of the local vehicles market share losing their grip on the 80% share they previously held. Climatic change and energy security have now become two major global concerns setting the biggest challenges facing the automotive industry worldwide. Unpredictable weather patterns, natural catastrophes and changes in the natural environment are being attributed to the global warming phenomena and this indirectly being pointed out to CO2 emission as the major cause. The need for a global response on the environment concerns has further elevate pressure on the automotive industry with two major challenges, namely; fuel saving and emission reduction. Vehicles are required to be efficient ensuring fuel saving and green enough in CO2 emission, two interconnecting parameters of vehicles which require extensive developmental endeavours. The NAP 2014 was therefore crafted focusing on the objectives of enhancing the competitive advantage of the local automotive industry and to develop environmentally friendly automotive manufacturing ecosystem and their outputs. The main objectives of the document are to; Promote a competitive and sustainable local automotive industry including the national car companies; Develop Malaysia as the regional automotive hub in energy efficient vehicles (EEV); Promote increase of value added activities in a sustainable manner while continuously developing the local capabilities; Promote increase in exports for vehicles and automotive components; Promote participation of Bumiputera companies in the total value chain of the local automotive industry; Safeguard consumers interest by offering safer and better quality products at competitive price.
Malaysia Automotive Roadmap Highlight The Policy instruments laid out by the NAP 2013 are centred on six thrust areas; Investment Technology and Engineering Market expansion Supply Chain Development for components and replacement parts Automotive Human capital development Safety and environment
Government endeavours to develop the nation automotive sector has passed a period of 30 years, during which many lessons are learned by the industry players, the bureaucrat and the public at large. Opinions may varies on the weightage given as to the success of the Malaysian automotive industrial endeavours thus far, but undeniably those experiences and lessons learned during that period are vital recipe for the formulation of a new era for the industry moving forward. In short, NAP 2014 is about creating a new direction for the automotive industry. Trade liberalization and environment friendly adaptation in turn are the guiding principles of the document. Policy instruments put forward are geared towards enhancing the overall capability and competitiveness of the local industries able to position themselves on the regional and global stage, while the entire automotive ecosystem are to fulfil the global communities desire to green the planet earth.
3 THE MALAYSIAN AUTOMOTIVE ROADMAP
The Malaysia Automotive Roadmaps

To complement the execution of the NAP 2014, there are 6 roadmaps and implementation plans have been developed and the roadmaps will be under the supervision of Ministry of International Trade and Industry (MITI) and the Malaysia Automotive Institute (MAI) shall act as the agency to coordinate, implement and monitor the programmes. These roadmaps are to serve as guidelines to achieve the transformation objective of the local automotive industry and the outline of these roadmaps are as follows. 1 Malaysia Automotive Technology Roadmap (MATR) The MATR entails the latest green technology development that is in line with the development of the global automotive industry. The roadmap includes guidelines towards the rationalization of the industry towards achieving an environmental friendly supply value chain, enhancing competitiveness and ensuring the sustainability of the local automotive industry. 2 Malaysia Automotive Supply Chain Development Roadmap The Supply Chain Development Roadmap aims to continuously enhance the component and spare parts manufacturers competitiveness in the aspect of efficiency and operational effectiveness. The roadmap consists measures to improve quality, operational and business management systems as well as to increase capability in the areas of testing and validation.
Malaysia Automotive Human Capital Development Roadmap

The Human Capital Roadmap outlines a continuous plan towards developing competent workforce at every level within the automotive industry. This roadmap also includes plans to develop specific local
Malaysia Automotive Roadmap Highlight skilled labour such as in the automated production and component of hybrid as well as engine and transmissions. This will assist in reducing dependency of the less skilled foreign workers and consequently producing a more local skilled worker with high-income salary. The importance of human capital development cannot be undervalued. In this sense, MAI will play the role to strategize planning and implementation in collaboration with industry players, pubic and private institutions such as the International College of Automotive Malaysia (ICAM) in Pekan and others. 4 Malaysia Automotive Remanufacturing Roadmap The Remanufacturing roadmap outlines detail criteria of remanufacturing as well as the standards and best practices that will be used by the local industry players in transforming Malaysia as the hub for automotive remanufacturing activities. In addition the roadmap introduces measures to optimize recyclability and recoverability levels of used components in order to support Government aspiration to green the overall supply value chain of the local automotive industry. 5 Development of Automotive Authorized Treatment Facilities (ATF) Framework The ATF framework shall serves as guideline to transform the automotive after sales businesses in relation to the effort in developing a green and sustainable automotive industry within the sales, service, spare parts and repair sectors. 6 Malaysia Automotive Bumiputera Development Roadmap The Bumiputera Development Roadmap details out activities related to technology development, human capital and supply chain to increase the competitiveness of Bumiputeras companies within the automotive industry. These activities are in line with Government's efforts to strengthen economy of Bumiputera and produce Bumiputera entrepreneurs that are more competitive.
Figure 1 depicts the entire automotive ecosystem. The Original Equipment Manufacturers, OEMs, are the key players in the structure contributing towards producing the end product to the market place. The OEMs lead the design activities by conceptualising and visualising the new models of a vehicle as well as finalising its specifications. The vendors community in turn support the parts and components requirements of the OEMs and are generally involved in the design and development of the parts and components meeting the specifications stipulated by the OEMs. Once the vehicles entered the market place, the aftermarket community supports the vehicles operationalization providing safe and convenience mobility for the general public. The aftermarket contributes to the important role of scrapping, recycling and remanufacturing the used parts at the end of the vehicles useful life. The automotive ecosystem is supported by various functioning organisations such finance, insurances, testing centres, engineering establishments, R&D organisations etc., whom may operate independently or in some form of affiliations to the OEMs, vendors community and the aftermarket community. It is within the automotive ecosystem as portrait in figure 1 that the above prescribed roadmaps were identified and formulated to provide the relevant guidelines for further enhancement of the national automotive industry..
RAW MATERIAL SUPPLIERS
FINANCIAL INSURANCES MOULDS, DIES JIGS & FIXTURES VEHICLE TESTING CENTERS
VEHICLE INSPECTION CENTERS
AUTOMATION & ROBOTICS
PROTOTYPING CENTRES
UNIVERSITIES & TRAINING ORGANISATIONS
R&D ORGANISATIONS
FIGURE 1 AUTOMOTIVE INDUSTRIAL ECOSYSTEM
Brief Outline of Each Roadmap

A brief account intended to give the gist of the contents of each of the roadmaps is presented herein.
4.1
Malaysia Automotive Technology Roadmap (MATR)

MATR is a supplementary document to the NAP 2014 charting the technology development roadmap envisioned to further assist the development of the automotive industry towards achieving the macro objective of the NAP 2014 via; 1) Adoption, adaptation and innovation of green technology within the automotive supply chain focusing on product development, process development, manufacturing and customer aftersales services. Development of appropriate standardisation and testing regulations within the manufacturing industries and aftersales Infrastructure development to support the green automotive products and ecosystem.
The development of MATR includes several crucial measures such as: reducing carbon emission; improving fuel consumption; and enhancing safety & security.
MATR APPROACH Timeframe

In setting the timeframe for the MATR, the most suitable guideline adopted is the forecasted evolution of the Energy Efficient Vehicle (EEV) from Internal Combustion Engine (ICE) to full Electric Vehicles (EV) as portrait in figure 2 and figure 3. Although non EEV classified ICE vehicles are expected to be in use for sometimes in the near future, the aggressiveness on the part of the automakers to introduce their EEV and EV will soon capture a sizeable portion of the Malaysian automotive market. The current approach towards EEV are centred on two routes , namely; 1) Continuous improvement on the current ICE engine to meet the EEV classification and specification. Clean diesel propelled vehicles favoured by most of the European automakers are now penetrating the Malaysian market, and sooner than expected the fossil diesel may be replaced by biodiesel and other biofuels which will be more environmentally friendly. Combination of ICE and electric motor (hybrid) is now getting popular amongst Malaysian consumers and the technology, a route of choice amongst the Asian automakers especially the Japanese, has proven to be a successful transitional alternative prior to full electric vehicle usage.
2)
Fuel cell driven automotive, although technologically viable, may not be in the market place in the very near future. Hence it is considered too far fetch to be included in the current MATR, which is intended to be within the timeframe ending 2025,

Automotive Industry Transformation Route
Global Automotive Roadmap

- EEV DIESEL - BIODIESEL - SYNTHETIC FUEL
TIME FRAME
ROUTE 1
Energy Efficient ICE
Fuel Cell
2040
HYDROGEN FUEL
Electric Internal Combustion Engine (ICE)

FOSSIL FUEL
FULL ELECTRIC
ROUTE 2
ICE + Electric Hybrid Engine
FOSSIL FUEL + ELECTRIC
2030
2020 PRESENT
FIG 2
MALAYSIA AUTOMOTIVE TECHNOLOGY PROJECTION (2013 2025)

2014
ICE
Development and Market Entrance for Vehicle with Greater Fuel Efficiency
2015
2017
2019
Full Utilization
2021
2023
2025
*Significant growth of diesel-based vehicle in passenger segment
*Growth of AlternativeFuel Mixture Vehicle (BioPetrol, Bio-Diesel etc.)
Hybrid
Market Entrance
Demand for Mild and Full Hybrid Electric Vehicle
Full Utilization
Full Utilization of Plug-in Hybrid Electric Vehicle (PHEV)
Electric
Development Phase
**Notable Growth of EV for City Consumption
Market Entrance
FuelCell
Development Phase
FIG 3
Basis of the Roadmap Was Based on the Projection of Vehicle Demand 2013 - 2025 *Based on Consultation with Malaysian and Global Automotive Stakeholders **MAI Analysis
Technology Prioritisation
Correlation exercise of the NAP 2014 thrust areas to the Automotive Manufacturing Ecosystem has established six Correlates for technology development as shown in figure 4 and figure 5. Table 1 charts the Priority Areas corresponding to each of the six Correlates followed by the enlisting of the Technology Generic important for the development of the automotive industry within the country. Technology Priority are then identified for Technology Generic of each vehicle type, namely; Internal combustion Engine (ICE), Hybrid, Electric and Fuel Cell. Technology Priority for each type of vehicle were enlisted thus forming their respective Technology Roadmap. It is noteworthy that the Technology Priority listed for each vehicle type is not exhaustive but under the current MATR timeframe the listed technologies are of higher priority. Fig. 5 schematically depict the Technology Prioritisation approach prescribed above and Fig 6, shows the consolidated technology priorities for implementation within the timeframe for the MATR. Developmental approach is proposed for each of the Technology Generic identified following the sequence of implementation in the order of Adoption, Adaption and Innovation depicted in Table 1. Five developmental approach are categorised as follows; Adoption Technology acquisition (or Technology Transfer) Adaption Design and Engineering and Testing Technology Innovation Materials Development and Technology and/or Process Development
The MATR identifies; 24 Priority Areas, 32 Technology Generics and 75 Technology Priorities as guidance for technology development and enhancement need to be diligently implemented towards achieving the Energy Efficient Vehicle (EEV) production in Malaysia
AUTOMOTIVE INDUSTRIAL FINANCIAL ECOSYSTEM RAW MATERIAL

SUPPLIERS INSURANCES MOULDS, DIES JIGS & FIXTURES VEHICLE TESTING CENTERS
VENDORS COMMUNITY
BODY & INTERIOR
FLOORING & INSULATION INTERIORS & FITTINGS DASHBOARD & ACCASSORIES DOORS AND WINDSCREENS SEATS & UPHOLSTERY STEERING & FITTINGS
MISCELLANEOUS PARTS
-
- MOULD AND DIE - ALUMINIUM AND IRON FOUNDRIES - DESIGN ENGINEERING AND PROTOTYPING - AUTOMOTIVE GRADE MATERIALS; - PLASTIC & COMPOSITE ENGINEERING - DIGITAL ENGINEERING
TECHNOLOGY ENHANCEMENT
AIRBAG MODULE ALARM & SECURITY CENTRAL LOCKING SYSTEM ENGINE COMPUTER MGMT SYSTEM ENGINE CONTROL UNIT CRUISE CONTROL UNIT ABS ETC..
OEMs
COMPETITIVENESS
PRE PRODUCTION VEHICLE DESIGN
- BODY AND INTERIOR - POWERTRAIN - E&E - ETC
MANUFACTURING BODY PRESS BODY ASSEMBLY POWERTRAIN ASSEMBLY PAINTING
- COST REDUCTION - QUALITY MGMT
SALES
VEHICLES ASSEMBLY
SPARE PARTS Parts Wholesalers/ Distributors/Retailers REMANUFACTURED PARTS Parts Remanufacturers Remanufactured Parts Dealers SERVICING & REPAIRS Independent & Franchised Workshops USED CARS Tyre Service Shops Used Car Dealers Accessories Shops Pre-Owned Cars Dealers
AFTERMARKET
PROTOTYPING TESTING
VEHICLE INSPECTION CENTRES Puspakom [PDI/Periodic/ Mandatory]
USED PARTS Used Parts Importers Used Parts Dealers
POWERTRAIN
-
ENGINE COMPONENTS & PARTS BRAKING SYSTEM EXHAUST SYSTEM COOLING SYSTEM FUEL SYSTEM SUSPENSION & STEERING SYSTEM TRANSMISSION SYSTEM
ELECTRICAL & ELECTRONICS

BATTERY GAUGES & METERS IGNITION SYSTEM LIGHTING & SIGNALING SENSORS CHARGING SYSTEM SWITCHES WIRE HARNESS -PROTOTYPING INFOTAINMENT & TELEMATICS
AUTO RECYCLING (AUTHORIZED TREATMENT FACILITIES) Car Dismantlers Salvage Operators Scrap Metal Dealers
VEHICLE INSPECTION CENTERS
AUTOMATION & ROBOTICS
CENTRES
UNIVERSITIES & TRAINING ORGANISATIONS
R&D ORGANISATIONS
GREEN VEHICLES TECHNOLOGY
GREEN MOBILITY INFRASTRUCTURAL SUPPORT

- CHARGING INFRASTRUCTURE - FUEL POLICY (EURO STD)
FIG 4 Correlation of NAP 2014 trust areas to automotive ecosystem
- VEHICLE DESIGN AND DEVELOPMENT - POWERTRAIN AND RELATED CONTROL SYSTEM DEVELOPMENT - LIGHT WEIGHT VEHICLE BODY - VEHICLE ENGINEERING & PROTOTYPING - PROCESS DEVELOPMENT FOR MANUFACTURING
Fig. 5 Technology Prioritisation Approach
CORRELATED
PRIORITY AREAS TECHNOLOGY GENERIC
TECHNOLOGY PRIORITY
TABLE 1 CORRELATION TABLE

NAP 2014 - MATR CORRELATION PRIORITY AREAS EMMISSION ENVIRONMENTAL 3R GREENING ENTIRE SUPPLY CHAIN GREENING AFTERSALES ENERGY SAVING VEHICLE SAFETY TESTING SAFETY AND SECURITY SAFER VEHICLE DESIGN TELEMATICS GREEN MOBILITY INFRASTRUCTURAL SUPPORT CHARGING INFRASTRUCTURE FUEL DEVELOPMENT VEHICLE DESIGN AND DEVELOPMENT POWERTRAIN AND RELATED CONTROL SYSTEM DEVELOPMENT GREEN VEHICLE TECHNOLOGY TECHNOLOGY GENERIC
ADOPT
TECH. ACQUISITION
ADAPT
DESIGN & ENGINEERING TESTING TECH.
INNOVATE
MATERIALS DEV and R&D TECH. AND/OR PROCESSES DEV. & R&D
- Emission/exhaust System & control - Environmental Impact - Recycling Technology & processes - ELV Recycling - Energy Recovery Technology - Active Safety and Passive Safety - Safety related components , Systems & Gadgets - Networking and vehicle interface technology - Energy Connectivity - Fuel economy/Air quality Improvement - Green/alternative Fuel - Green/ECO/EEV Car Design & Development Tech - Fuel-Efficient - EV Efficient - Weight reduction powertrain - Material Technology - Vehicle Prototyping & Testing - Automation and Robotic - Tooling tech. for light materials - Road-worthy Inspection - Vehicle afterlife technology - Complex moulds & dies - Large Moulds & Dies - Casting Technology Components design & making High strength Light steel Light Weight Metals Advance Plastic Polymer composite Software application Cost Management Techniques Quality System Technology
LIGHT WEIGHT VEHICLE BODY VEHICLE ENG. & PROTOTYPING PROCESS/MANUFACTURING

AFTERSALE TOOLING DESIGN & MAKING
TECHNOLOGY ENHANCEMENTS
ALUMINIUM AND IRON FOUNDRIES DESIGN ENGINEERING AND PROTOTYPING AUTOMOTIVE GRADE MATERIALS PLASTIC & COMPOSITE MATERIALS DIGITAL ENGINEERING COST REDUCTION QUALITY MGMT
COMPETITIVENESS
TECHNOLOGY ROADMAP FOR ENVIRONMENTAL, SAFETY AND SECURITY

PRIORITY AREAS TECHNOLOGY GENERIC - Emission/exhaust System & control TECHNOLOGY PRIORITY
FIG 6 (a)
2014 2015 2017 2019 2021 2023 2025
- Post combustion - Combustion & Fuelinjection - Exhaust after treatment - Hybrid Powertrain Emission Technology
Emission
- Environmental Impact
- Ozone layer impact study and viability of fuel cell automotive technology - Solid Waste - Liquid waste - Rubber& polymers waste
- Recycling Technologies 3R Green Supply Chain Green After-Sales
- ELV Recycling
- Batery recycling & treatment

- Dismantling & Treatment tech.
Energy Saving
- Energy Recovery technology
Vehicle Safety Testing Safer Vehicle Design
- Active Safety and Passive Safety

- Safety related components, system & Gadgets - Networking and vehicle interface technology
Telematics
- Development of full NGV green powertrain - Stop & Go Technology - Kinetic Energy Recovery system - Renewable Energy for EV - Virtual testing technology - Crash Avoidance - Driver Assistance - Post-Crash Survivability - Pedestrian Safety - Location system - Communication system - Navigation system - Mayday system - Infotainment
Adopt
Adapt
Innovate
TECHNOLOGY ROADMAP FOR GREEN MOBILITY INFRASTRUCTURE AND GREEN VEHICLE TECHNOLOGY
2014
PRIORITY AREAS TECHNOLOGY GENERIC TECHNOLOGY PRIORITY - V2H (Vehicle-to-Home) - V2G (Vehicle-to-Grid) Charging Infrastructure - Energy Connectivity - Fast Charging system - Hydrogen production, transportation and distribution - Devices or additive improve fuel economy/air quality - Biomass - Algae based fuel - Biodiesel - EV Battery Manufacturing - Hydrogen production - Green/ECO/EEV Car Design & Development Tech Vehicle Design & Development Body design Undercarriage Interior Accessories
FIG 6 (b)
2017 2019 2021 2023 2025
2015
- Fuel economy/Air quality Improvement - Green/alternative Fuel Fuel Development
- Electric Vehicle Design - Fuel Cell Vehicle Design
Adopt
Adapt
Innovate
TECHNOLOGY ROADMAP FOR GREEN MOBILITY INFRASTRUCTURE AND GREEN VEHICLE TECHNOLOGY (CONT.)
2014
PRIORITY AREAS TECHNOLOGY GENERIC - Fuel-Efficient - EV Efficient TECHNOLOGY PRIORITY - Diesel/Fossil fuel/ biomass powertrain - Electric motor - Series/parallel hybrid - Battery technology - Power Electronic - Traction Motor and generator - EMC/EMI - Weight reduction powertrain - Engine Downsizing - Light weight components - Light weight components for EV - Fuel Cell powertrain Light-weight Vehicle Body Vehicle Engineering & Prototyping Process & Manufacturing Development - Material Technology - Light metal body - Composite material - Prototyping technology - Soft Tooling - Control System - Industrial robot
FIG 6 (b) Cont.

2017 2019 2021 2023 2025
2015
Powertrain and Related Control System Development
- Vehicle Prototyping & Testing - Automation and Robotic
- Tooling Tech. for light materials - Road-worthy Inspection

- Vehicle afterlife technology
- Tool design - Tool making - On Vehicle Inspection

- Reused and recycling technology
After-sales
Adopt
Adapt
Innovate
TECHNOLOGY ROADMAP FOR TECHNOLOGY ENHANCEMENT AND COMPETITIVENESS

2014
PRIORITY AREAS Tooling Design & Making Aluminium & Iron Foundries Design Engineering & Prototyping TECHNOLOGY GENERIC - Complex moulds & dies - Large Moulds & Dies - Casting Technology - Components design & making - High strength Light steel - Light weight Metals TECHNOLOGY PRIORITY Tooling design software Large mould base & die set Heat treatment Materials technology Melting technology Pattern making
FIG 6 (c)
2015 2017 2019 2021 2023 2025
- CAD-CAM system & software - 3D modeling - Material Dev. And testing - Pilot production
Automotive Grade Materials
Plastic & Composite Engineering
- Advance Plastic
- Polymer composite
- Advanced Plastic Development

- Composite material. development - Component testing simulation
Digital Engineering
- Software application
Cost Reduction
- Cost Management Techniques
- Computerised cost control
Quality Management
- Quality System Technology
- Computerised Quality system
Adopt
Adapt
Innovate
Technology Strength (Gaps)

Table 2 attempts to rate the current level of capabilities of the Technology Generic within the local automotive industry. The exercise is intended to identify the areas of strengths or gaps so as to prioritise enhancement initiatives moving forwards to be undertake taken by the relevant stakeholders. The strengths or gaps for each of the technology generic classification are; 1 2 3 4 5 Virtually non existent the technology is practically non existence locally Weak has been in operation but relatively not contributing to the need of local automotive Moderate has been in operation but unable to supports the full requirement of the local automotive industry. Developing has been an acceptable producer for the market need but unable to support local volume requirement Existing and need enhancement able to support fully local volume requirement but need enhancement to export
The following are the number in each technology generics group for technology development prioritisation;
Virtually non existent 1 Weak 9 Moderate 10 Developing 13 Existing and need enhancement 2
TABLE 2 TECHNOLOGY STRENGTH/GAPS

TECHNOLOGY GAP (LOCAL CAPABILITY)
TECHNOLOGY GENERIC
-
VIRTUALLY NON EXISTANCE
WEAK
MODERATE
DEVELOPING
EXISTING NEED ENHANCEMENT
Emission/exhaust System & control Environmental Impact (Fuel cell) Recycling Technology & processes ELV Recycling Energy Recovery technology Active Safety and Passive Safety Safety related components Systems and Gadgets Networking and vehicle interface technology Energy Connectivity Fuel economy/Air quality Improvement Green/alternative Fuel Green/ECO/EEV Car Design & Development Tech Fuel-Efficient EV Efficient Weight reduction powertrain Material Technology Vehicle Prototyping & Testing
TABLE 2 TECHNOLOGY STRENGTH/GAPS (Cont)

TECHNOLOGY GAP (LOCAL CAPABILITY)
TECHNOLOGY GENERIC
- Automation - Robotic - Tooling tech. for light materials - Road-worthy testing - Vehicle afterlife technology - Complex moulds & dies - Large Moulds & Dies - Casting Technology - Components design & making - Prototyping Technology - High strength Light steel - Automotive grade polymer - Light Weight Materials - Advance Plastic - Polymer/light metal composite - Software application - Cost Management Techniques - Quality System Technology
VIRTUALLY NON EXIXTANCE
WEAK
MODERATE
DEVELOPING
EXISTING NEED ENHANCEMENT
Prioritised Enablers
Table 3 identifies appropriate enablers to enhance the current strength or gaps of each of the technology generic identifies in table 2. The table indicates the priority ranking of each enabler requiring the level of attention by the stakeholders. The enablers enlisted are; 1 2 3 4 5 Intensify R&D Enhance Technological collaboration Enhance manpower capabilities. Enhance facilities Enhance Investment
The following are the number in each of the technology generics group for prioritisation of enablers are ; Intensification of R&D Enhancement of Technological collaboration Enhancement of manpower capabilities. Enhancement of facilities Enhance Investment 11 15 10 25 14
TABLE 3 PRIORITISING ENABLERS

TECHNOLOGY ENABLERS
TECHNOLOGY GENERIC
-
INTENSIFY R&D
TECHNOLOGY COLLABORATION
ENHANCE MANPOWER
ENHANCE FACILITIES
ENHANCE INVESTMENT
Emission/exhaust System & control Environmental Impact (Fuel cell) Recycling Technology & processes ELV Recycling Energy Recovery Technology Active Safety and Passive Safety Safety related components Systems and Gadgets Networking and vehicle interface technology Energy Connectivity Fuel economy/Air quality Improvement Green/alternative Fuel Green/ECO/EEV Car Design & Development Tech Fuel-Efficient EV Efficient Weight reduction powertrain Material Technology Vehicle Prototyping & Testing
TABLE 3 PRIORITISING ENABLERS (cont.)

TECHNOLOGY ENABLERS
TECHNOLOGY GENERIC
- Automation - Robotic - Tooling tech. for light materials - Road-worthy testing - Vehicle afterlife technology - Complex moulds & dies - Large Moulds & Dies - Casting Technology - Components design & making - Prototyping Technology - High strength Light steel - Automotive grade polymer - Light Weight Materials - Advance Plastic - Polymer/light metal composite - Software application - Cost Management Techniques - Quality System Technology
INTENSIFY R&D
TECHNOLOGY COLLABORATION
ENHANCE MANPOWER
ENHANCE FACILITIES
ENHANCE INVESTMENT
MATR & INCENTIVES The NAP 2014 MATR Co-relationship has narrowed-down several priority areas with linked with adopt, adapt and innovate approaches. In matching the incentives and the co-relationships priority areas, any activities that have the element of both or either Adapt (design & engineering, testing technology) and Innovate (materials development and R&D, technology and / or process development and R&D) shall entitled for incentives under the definition of Highly Critical Value Added Component and R&D. Other elements under consideration shall include Fuel Efficiency and Carbon Emission. The endorsement of eligibility of the activities for incentives will fall under the jurisdiction of a Special Task Force headed by Ministry of Finance (MOF) and comprise members of central ministries and agencies such as MITI, MOSTI, MIDA, industrial representatives and Malaysia Automotive Council (MAC). MAI shall act as the secretariat of this Special Task Force.
RECOMMENDATIONS Technology Generic Grouping

Based on the strengths (gaps) and enablers presented earlier, the technology generics are grouped and are classified , as shown in Figure 8, as follows; 1. 2. 3. 4. 5. 6. Environment and Infrastructure Industry Structure And Development Vehicle Design Manufacturing Support Product Development R&D and Technology Development
Recommendation for Affirmative Actions Recommendation

Table 4 summarises the recommended affirmative actions to be to be considered by stakeholders in developing of the nation towards becoming the EEV hub for the region, and the proposed actions are categorised in short, medium and long terms perspectives.
FIGURE 8 - TECHNOLGY GENERIC FOR AFFIRMATIVE ACTIONS

ENVIRONMENT AND INFRASTRUCTURE

Emission/exhaust System & control Environmental Impact Energy Connectivity Road-worthy Inspection
R&D AND TECHNOLOGY DEVELOPMENT

Energy Saving/security tech. Green/alternative Fuel Fuel-Efficient EV Efficient Material Technology High strength Light steel Light Weight Metals Advance Plastic Polymer composite
TECHNOLOGY GENERIC
Emission/exhaust System & control Environmental Impact Recycling Technology & processes ELV Recycling Energy Saving/security tech. Active Safety and Passive Safety Safety related components , Systems & Gadgets Networking and vehicle interface technology Energy Connectivity Fuel economy/Air quality Improvement Green/alternative Fuel Green/ECO/EEV Car Design & Development Tech Fuel-Efficient EV Efficient Weight reduction powertrain Material Technology Vehicle Prototyping & Testing Automation and Robotic Tooling tech. for light materials Road-worthy Inspection Vehicle afterlife technology Complex moulds & dies Large Moulds & Dies Casting Technology Components design & making High strength Light steel Light Weight Metals Advance Plastic Polymer composite Software application Cost Management Techniques Quality System Technology
INDUSTRY STRUCTURE AND DEVELOPMENT

Recycling Technology & processes ELV Recycling Fuel economy/Air quality Improvement Automation and Robotic Vehicle afterlife technology Cost Management Techniques Quality System Technology
VEHICLE DESIGN
Green/ECO/EEV Car Design & Development Tech Weight reduction powertrain Vehicle Prototyping & Testing Components design & making Software application
MANUFACTURING SUPPORT
Tooling tech. for light materials Complex moulds & dies Large Moulds & Dies Casting Technology
PRODUCT DEVELOPMENT
Active Safety and Passive Safety Safety related components , Systems & Gadgets Networking and vehicle interface technology
TABLE 4 RECOMMENDED AFFIRMATIVE ACTIONS

TARGETS
ENVIRONMENT AND INFRASTRUCTURE

SHORT TERM (2014 2017)

Set long term target on CO2 reduction, Conduct study on energy connectivity Review Road-worthy testing programme. Enhance green EENGV development & usage
MEDIUM TERM (2018 2021)

Implement energy connectivity and emission free zone in cities and suburb Implement Road-worthy testing. Intensify usage of green EENGV
LONG TERM (2022 2025)

Nationwide implementation of energy connectivity. Initiate viability study for Fuel Cell vehicle
INDUSTRY STRUCTURE AND DEVELOPMENT
Enhance Automotive ELV Recycling activities Enhance Automation and Robotic in industry Introduce fuel economy (km/litre) target Enhance cost and quality management
Regulate Automotive ELV Recycling activities Regulate fuel economy (km/litre) target
Initiate EV battery recycling activity Regulate EV battery disposal
VEHICLE DESIGN
Enhance local design capabilities in ICE EEV/ ECO cars and components design Develop local capability in EEV powertrain Enhance Prototyping technology Enhance software application in design Enhance casting capabilities able to support large moulds and dies making Enhance complex moulds and dies design capabilities for all sizes Develop tooling technology for light metal and metal composites
Develop local EV and component design capabilities Develop and localise EV powertrain technology
Enhance local EV and component design capabilities Initiate fuel cell design and development activities
MANUFACTURING SUPPORT
Manufacture light weight High Strength steel Manufacture Advance Polymer raw materials Manufacture Polymer Composite raw material.
Localise Battery Manufacture for EV Manufacture kenaf composite parts and components
PRODUCT DEVELOPMENT (VEHICLE INTERIOR)
Develop local capability to produce Active, Passive and related Safety devises Enhance design and development in Telematics
Enhance R&D activities in Fuels Efficient and Energy Saving Technology Enhance Biofuel R&D Enhance light weight materials R&D in High Strength Light Steel , Advanced Polymer, Polymer Composite
Enhance parts development using kanaf fibre composite.
Develop product for business diversification of local vendors to maximise machine utilisation
Initiate R&D in fuel cell technology
R&D AND TECHNOLOGY DEVELOPMENT
Enhance R&D activities in Battery Technology for EV Intensify Biofuel R&D Intensify Light weight material development
MANPOWER
FINANCIAL
FACILITIES
POLICY
SUPPORTS
Conclusive Remarks
The MATR is a guiding document serving as the platform for further elaborations by the automotive stakeholders and industrial community in the national pursue to established Malaysia as the hub for Energy Efficient Vehicle (EEV). The MATR approach correlates relevant policy instruments prescribed in the NAP 2014 to the local automotive ecosystem, and thereby technology generics were established for industrial community to consider acting upon in elevating local capabilities to face the challenges ahead. The document also examine some of the technology priorities within each technology generic and background of each of these technology priorities were briefly described. The technology priorities are non exhaustive, but those listed in the document are technologies currently in need of serious attentions.
Over the last 30 years involvement in the automotive manufacturing arena, Malaysian industries have respectively established many technology strengths to support the vehicle manufacturing activities and the parts and components supply chain. However there are areas still in need of enhancement and more so as new materials and processes required in the EEV venture may render some of the current technological capability less useful. Demand for lighter yet high strength materials for parts manufacture in the EEV may insist on different process routes requiring new highly skilled and knowledge workforce to produce.
Vehicle design and powertrain evolutions is now rapidly advancing in their sophistications, in all aspects albeit technological and materials selections, as the global demand towards energy efficient and environmentally friendly mobility is on the rise. Translating the current Internal combustion technology progressively to more efficient and green powertrains and later to be replaced by completely new powertrain of electric and fuel cell concepts are massive challenges and industrial structural changes awaiting the local automakers. MATR herein suggests the technological areas in need of attention in the next ten years, both enhancements and development, for later necessity to adapt the local industry with forthcoming change demand. Conclusively the document hope to entice community awareness and courage to step up the nation ability to embark on the development of the nation future automotive endeavours towards a respected EEV manufacturing capability.
4.2 MALAYSIA AUTOMOTIVE SUPPLY CHAIN DEVELOPMENT (SCD) ROADMAP
4.2
Malaysia Automotive Supply Chain Development (SCD) Roadmap

In line with the NAP 2014 targets; to promote a competitive and sustainable domestic automotive industry, and to develop world-class vendors. Domestic vendors will be transformed to become global and regional level component manufacturers, the Malaysia Automotive Supply Chain Development Roadmap is tailored towards achieving the following objectives: 1 2 To improve local automotive vendors to achieve global vendor capabilities To enhance the development & operation effectiveness of the components and replacement parts supply chain Table 5 : Global automotive industry trends and challenges :
External
Legislation (environment, safety, others) Raw material and energy cost Exchange and interest rate
Table 5 shows the most significant global automotive industry trends and challenges influencing the development of the Supply Chain Roadmaps.
Customer
Stagnation demand and price pressure in established markets Segmentation and polarization (low cost vs. premium) Decreasing loyalty
Competition
Quickly entering every segment Moving targets everyone optimizing or restructuring Global game (eg: aggressive Asian companies, new entrants)
Industry
Global overcapacity Complex alliances, partnership, M&As Consolidating ecosystem (suppliers, dealer groups)
Development steps under the SCD

1 World-class vendors:
Figure 9 illustrates the action plans to achieve the world class status amongst the capable local vendors, starting with the internal focus followed by external focus as the vendors capabilities are gradually elevated.
Internal focus Diversification Realistic (Competency Audit) Relative (Competitive Analysis) Relevant (Market Analysis)
Marketing Placement Price Promotion Product volume
Operations Competitive Lean Kaizen Processes Business Plan Competencies Strategies Actions Tracking Managing Risk Alignment
People Leadership Culture Attitude Drive Change Management
Export Growth Need/Desire Willingness Understanding Preparedness Target/s Country Sector Customer Product Service
External focus
Fig 9
Improve local vendors capabilities in-line with the NAP 2014 requirements :
Based on the supplier competitiveness level (SCL) Process Product Production Design Spec Product Design
R&D
Level 5
Supplier is able to perform its own research on the product improvement, ideas, conceptual outcome and propose to the OEM. Component idea, concept and requirement given by the OEM Supplier will come out with component design, detail specification and component manufacturing Supplier are able to improve and giving alternative to OEM Detail Component specification given by the OEM Supplier responsible to perform component tooling design, testing ,production facilities and manufacture the component Supplier able to warrant part reliability
Level 4
Level 3
Level 2
Component design , drawing and specification given by OEM Supplier responsible to design and fabricate production facilities and manufacture the component
Component Specification , Design and production facilities prepared by OEM Supplier concentrated in production and maintaining the facilities
Level 1
Fig 10
Malaysia Automotive Roadmap Highlight Currently only a handful of the local vendors have attained level 3 of the SCL able to maintain their production capabilities, process design and providing product specifications. Henceforth product design and in-house R&D are the main focus of improvement
Global Automotive Supplier Level
Engineering services
Component supplier / Tier 2
Original Design Manufacturer (ODM)
Module supplier / Tier 1
Level1
Level 2
Component supplier / Tier 2
Level 3
Module supplier / Tier 1
Level 4
Level 5
Engineering services
Gap to be improved
Fig 11
Malaysian Supplier Level
The followings are the target sit for local vendors to achieve global vendor capability or SCL; i. ii. iii. To Improve 180 vendors to achieve level 5 according to the global definition To Improve 150 vendors to achieve level 4 according to the global definition To Improve 100 vendors to achieve level 3 according to the global definition
Currently there are a total 34,685 entities link to the automotive components and replacement parts supply chain, employing between 170,000 to 240,000 workforce. Focus will be given to enhance the development and operation effectiveness of the components and replacement parts supply chain through the enhancement of ; i. ii. iii. iv. Quality system management Operation system management Business system management capability, capacity and validation
Automotive Supply Chain Development Programme: Available programme under MAI to support the automotive supply chain development : i. ii. Lean Production System (LPS) Automotive Supplier Excellence Programme (ASEP)
i) Lean Production System (LPS) LPS is defined as a systematic approach to identify and eliminate waste (non-value added) activities through continuous improvement. Adapted from Toyota Production System (TPS), this system is proven able to bring benefits to implemented company including in reducing cost of operation, producing high quality of product and fast delivery. LPS started as one of the Malaysia Japan Automotive Industries Cooperation (MAJAICO) programmes under the Malaysia Japan Economic Partnership Agreement signed in July 2006. MAJAICO is a five years project that helps Malaysian Automotive Industries in various fields from the technical base to the business negotiations. The LPS programme is now under the purview of the Malaysia Automotive Institute (MAI) since 2011.
Fig 12
Malaysia Automotive Roadmap Highlight Figure 13 - LPS Programme Flow
Company Selection
Program Proposal
Working Committee Meeting
Steering Committee Meeting
Top Mgmt Training & Briefing
LPS Final Presentation
LPS Final Audit
LPS Coaching (6mths)
LPS Interim Audit
LPS Seminar
MAI LPS Community
LPS Interim Presentation
Fig 13
Malaysia Automotive Roadmap Highlight Figure 14 - LPS evaluation Flow
Factory Management
Level 5 Always Kaizen and revise the standard and comply to it Follow the standard to all company area
LPS Practice
Super model company level Teach LPS to other lines & other companies Can do Kaizen independently
Each participant is required to achieve Level 3.0 and above
Level 4
Level 3
Not exactly follow the standard
Level 2
Have standard but not follow
Have LPS Kaizen experience with guidance from others
Level 1
No standard
No LPS experience 7. Next process pull 8. Smooth process flow 9. Takt production 10. Stop at completion 11. Stop at abnormality
1. 2.
Evaluation Items
3. 4. 5. 6.
Model company condition Maintenance & improvement system 5S Visualization Manpower skill training Target accomplishment situation of work
Malaysia Automotive Roadmap Highlight Figure 15 - LPS Implementation Steps
Pull Production ( JIT)
Step
Takt Time Production

Flow production Small lot size Process stability problems Process Control (Capacity & Planning) Quality Control (Quality Gate & Feedback) PM (M/C Breakdown Reduction) Skill (Practical) training
Step
Step
Fundamental problems
Safety Rule & Standard (SOP) 2S -> 3S->5S Visual Management (MIERUKA) Education and training
Back to basic for a beautiful plant : 2 S , Standardization & Build up communication tool, MIFC
Original activity of each company
Activity of LPS
Figure 15 - LPS Implementation Roadmap
Registration as SLDN company
Appoint Kaizen Leader as SLDN Coacher based on available NOSS
Certified Kaizen Leader based on their competency thru Sijil Kemahiran Malaysia (SKM) using Pentauliahan Pencapaian Terdahulu (PPT)
Company upgrading through the implementation of Automotive Supplier Excellence Programme (ASEP)
Graduate in MAI LPS Programme
i)
Automotive Supplier Excellence Programme (ASEP) The main objective of ASEP programme is to elevate the local automotive suppliers to world class levels of competitiveness & sustainability by provision of technical assistance & consultancy to; Increase their throughput/productivity in order to improve the competitiveness. Gain a better understanding to optimize resources, improve activities and deliver the best return for their company. Discipline and structure their business processes to help the company management to improve their capabilities, and increase the sustainability of their company.
ASEP will assist the local vendors in benchmarking themselves against the global automotive supply chain. The exercise will compare the current situation of the local vendors against those vendors in developing or developed country such as; Australia, India, Japan and North America whom has implemented their respective ASEP programmes.
The outcome of the ASEP comparison exercises will provide Malaysia with its own ASEP programmes to suit the business culture of the local automotive in order to enhance the industry competitiveness.
Malaysia Automotive Roadmap Highlight Figure 16 ASEP assessment Books & Competencies
ASEP Assessment Books Competencies Covered Under 5 Books Description of Each Competency Processes to develop and executes strategic and operational visions Processes to manage financial information. Processes to understands products costs and tools to controls them. Processes to get engages in the global industry. Processes to integrates suppliers and customers in product development and manufacturing Processes to understands customers needs and disperses the knowledge internally Processes to adopts & facilitate new product development. The processes of managing quality through the manufacturing process. The extent to which the company manages the safety of its employees Processes to develops and manages technology, including production technology Processes to manages workforce engagement.
Management & Leadership Financial Systems & Practices
Book of :
1. Management & Leadership Manufacturing & Quality Financial Practices & Performance Procurement and Project Management
Cost Structures & Analysis Tools Global Sourcing & Marketing Strategies Supply Chain Integration Customer Focus New Model Introduction Capability
2.
3.
4.
Manufacturing & Quality 5. People and Performance Safety Technology Investment People & Performance
Malaysia Automotive Roadmap Highlight Figure 17 ASEP Programme Flow
1. Initial Visit
2. Assessment
3. Report & IPs
4. Initial Projects
5. Additional Projects
1. An initial meeting with MAI & suppliers to gain a common understanding and commitment. During the initial visit: Distribute Initial Questionnaire Signing ASEP non-disclosure agreement 2. A comprehensive 1 day company-wide assessment involving all areas of the business, to establish baseline. Assess by using 5 ASEP assessment books Involving all related person for each competencies covered under the 5 books 3. Meeting to discuss the outputs of the assessment, including Benchmark Report and Improvement Plans. Generate the Benchmark Report Identified specific improvement plans 4. Implement first 2 projects. Project based on the prioritized IP or company selection. 6 months coaching duration Continuous project monitoring, analysis & final review. 5. Implement additional projects. Additional projects based on the improvement plans Optional 6. Annual re-assessment to track progress and improvement.
6. Monitor & Re-asses
Malaysia Automotive Roadmap Highlight Figure 18 ASEP Roles and Responsibilities
Role
Coach Client Managers Assessors
Responsibilities
Able to coach companies based on company needs with their expertise. Window person between MAI and company (suppliers) Manage the assessors, coaches and report on the project to MAI Assess company using Malaysian ASEP assessment tools, identify all projects & generate report. Priorities the improvement projects
The relation between the coach, client managers & assessors are shown on the figure below;
Industry Players
Malaysia Automotive Roadmap Highlight Figure 19 ASEP Overall Assessment Process Flow
Participant and Assessor Participant
Confirm date for assessment and send questionnaire
Conduct oneday Assessment
Report back to Participant
Complete questionnaire
Provide Feedback
Assessor
Input data to the Assessment Tool Print Assessment Books, provide to assessor
Write Improvement Plans (from templates)
Client Manager
Receive completed questionnaire
Print Benchmark Report, Improvement Plans, provide to Assessor
Receive Feedback
MAI
Input data, Prepare Assessment Books
Prepare Benchmark Report
Compile IP Report book
Malaysia Automotive Roadmap Highlight Figure 20 ASEP Targets towards 2020
Programme ASEP Pilot Project
2013-2014
2014-2017
2017-2020
6 ASEP companies
Target To Achieve Until Year 2020
G1-G5 G6-G10
60 ASEP companies for 2014 80 ASEP companies for 2015 Total of 500 ASEP companies by 2020
LPS ATEA Phase I

G1 - G4
63 LPS companies
ATEA Phase II
G5 - G6
120 LPS companies until year 2015
Upgrading G1-G6
Total of 500 LPS Companies by 2020
Figure 21 Comparison between the level of SCL, LPS & ASEP
Main Target SCL Level 3~5

Supplier Competitiveness Level (SCL)
DEP, TCP, ICOE

Lean Production System (LPS)
Lvl 3 and above
Automotive Supplier Excellence Programme (ASEP)
Lvl 3 and above
Conclusive Remarks The overall goal of the Supply Chain Development roadmap is guide the local automotive industry to globally competitive with a structured framework using the established quality mechanisms developed and experienced by the international automotive players such; the Automotive Supplier Excellence Programme (ASEP) and the Lean Production System (LPS).
ASEP & LPS are designed to assist Malaysian automotive supply base in achieving competitiveness and sustainability. These programmes are viewed as a unique opportunity for vendors to position themselves on the road to growth and a sustainable future in-line with the NAP 2014 requirements.
Through the creation of an independent, best-in-class benchmarking process and targeted automotive supply chain development, ASEP and LPS will enable Malaysian automotive suppliers to achieve world-class capability and competency levels in the future.
4.3 MALAYSIAN AUTOMOTIVE HUMAN CAPITAL (MAHR) ROADMAP
4.3
Malaysia Automotive Human Capital (MAHR) Roadmap

MAHR will focus on; Detailing the on-going development of human capital in the automotive industry at all levels from 2014 to 2020 to realize the target set in the National Automotive Policy (NAP) 2014. Improving the quality of existing Human Capital Development programmes at all levels. Outlines the implementation plan to create specialized automotive industry talents in critical areas for example hybrid components and engines transmissions. Train competent workforces with various skills and ready for process automation to reduce dependency on unskilled foreign workers and help create skilled local workforces with high incomes.
The roadmap is centred on assessment and gap analysis of the HCD requirement by the automotive industry . Thrust areas were identified and implementation plans put forward.
Assessment and Gap Study
Thrusts
Implementation Plan
Assessment and Gap analysis

A study was conducted on the current scenario and future needs on Human Capital for Automotive Industry in Malaysia. Figure 22 demonstrates the human capital development areas as the automotive industry moves forward towards 2017. Manpower requirement is driven by the industry growth and the objectives are set in the NAP 2014 Three Focus growth areas requiring Human Capital Development Programmes: 2017 - Energy Efficient Vehicle (EEV) Hub
Future Automotive
Transmission Mfg Connected vehicles Green cars
Re Manufacturing
Production Technology
Technology Development
Engine Mfg Transmission design Telematics
Vehicle Electronics
Lean Technology
Manufacturing , Assembly and Services

Design & Development Testing Production Maintenanc e & quality PPC & Logistic Distribution & Aftersale
1985 (IMP1) Assembly Based Industry
Areas to be developed through enhancing R&D and Design capability

Current areas to be enhanced
Fig - 22
Figure 23 demonstrates the current employment scenario verse industry needs. The current training programmes focus extensively on generic skill development but lacks the curriculum contents required by the industry to achieve the desires output on quality, cost and delivery. Under the HCD roadmap programmes are proposed a diverse skill required in the automotive industry to elevate the manpower suited for automotive industrial needs.
Employment scenario
Current Program
Propose Program 1) Customizing INSEP to auto needs INSEP CQE,TDM, INSEP PDD,PDE 2) Digital Eng. Program (DEP) 3)Industry lead Professional Cert(IPC) Giat MARA Polyteknik Kolej Komuniti 4) Lean Mfg
Industry Needs
Outcome
Unemployed Grad Unsuitable Grad Highly dependant on foreign worker Low paid
Industrial Skills Enhancement (INSEP) Graduate Employability Program (GED) (Not customized to Automotive Ind. needs)
Current Future
Competent workforce High Income earner
Improve Quality Improve Cost Improve Delivery
Less dependency on foreign worker
Immediately Employable Manpower
Non existent
1)Industry Driven Graduate Program Apprenticeship IPC (Giat Mara, KK, Poly ..) 2) University Specialization Program
Fig - 23
Table 6 shows the target set by the NAP 2014 in term of human capital development, where more focus towards the EEV industry. To fulfil the industry needs human capital development will focus on the following areas; 1. Product and Process design capability. 2. Competent and immediate employable engineer. 3. Competent semi-skilled and skilled worker to improve process efficiency and effectiveness. 4. Knowledgeable management team to lead to company to enhance competitiveness. 5. Awareness on latest industry trends and country policy.
Table 6 Job category Designer Engineer Executive Technician Skilled worker Total Number 6,900 8,400 16,720 15,000 40,500 87,520
By the year 2020, is targeted at 80 percent of the foreign workforce in the manufacturing sector can be replaced by skilled and semi-skilled local.
Thrust areas
In consultation with the industry, the results of the assessment and gap study, identifies the following thrust areas are in need of immediate attention; 1. 2. 3. 4. 5. Promote Digital Engineering Adopt and adapt technical engineering based education Leverage on vocational based training Introduce new and review existing curriculum and skills standard Continual Learning
Thrust 1 - Promote Digital Engineering Digital engineering is a process to realize highly complex product design and production process design capability through computer, information, modelling technology and simulation applications that includes Computer Aided Design (CAD), Computer Aided Manufacturing (CAM) Product Lifecycle Management (PLM) etc. Inability of some automotive vendors to invest or to exploit the digital engineering system for their parts design and development contributes to many acute problems faced by the OEMs in their vehicle design endeavours
Malaysian automotive manufacturing community have no alternative but to aggressive pursuit the Digital Engineering Practice soonest possible in order to remain competitive.
Malaysia Automotive Roadmap Highlight Thrust 2 - Adopt and adapt technical engineering based education While academic education is important for the development of research and technology in the country, technical education is crucial to support the governments vision to become industrialized country by year 2020. The technical education is particularly important for automotive industry that based on advanced technology. Competent personnel with technical background are required in design, prototype, manufacturing, service maintenance, remanufacturing and recycling.
Thrust 3 - Leverage on vocational based training

The Government vision to transform the technical education and vocational training (TEVT) sector in a move to make TEVT more appealing to students. Automotive industry (manufacturing) alone required 55,500 technical workers (technician, skilled and semi-skilled workers) by 2020 for manufacturing sector to develop Malaysia as a regional hub for Energy Efficient Vehicles (EEV). Automotive industry needs skilled automotive workforce specializing such as in automated production, autonomous maintenance and quality control that will allow the industry to increase automation and multi skilling.
Malaysia Automotive Roadmap Highlight Thrust 4 - Introduce new and review existing curriculum and skills standard The technology in vehicle design and manufacturing has improve tremendously to meet the requirements of various stakeholders. Conventional skilled workers that mainly focus on manual operation are not competitive. They are expected not only to handle the processes but also to perform basic maintenance and conduct trouble shooting. In order to train competent worker with above skills, the skills development programme must be based on curriculum and skills standard that are up to date and industry driven.
Thrust 5 - Continual Learning High competition in the automotive industry has forced all car manufacturers to shorten the model development cycle time from 6 to 7 years to 3 to 4 years. Not only that, the technology is changing rapidly to meet the global trends like low fuel consumptions, low carbon emission, light weight, safety, affordability etc. All of the above requirements can onlybe achieved through application of advanced technology. In order to remain competitive, the automotive community have no choice but to adopt the continual learning approach and it should involve at all levels of the workforce, from working level up to top management level.
Implementation Plan
MHCD roadmap has detailed out the HCD programmes in the automotive industry at all levels from 2014 to 2020 in the following areas; 1. 2. 3. 4. 5. 6. Digital Engineering Prototyping (DEP) Automotive Industry Certification Engineering(AICE) Automotive Industry Graduate Apprenticeship Industry Led Professional Certificate (IPC) Review Occupational Skills Standard Customized Human Capital Development (CHCD)
Implementation Plan 1 -Digital Engineering Prototyping (DEP) The objective of the programme is to accelerate the enhancement of design and engineering capability within the automotive industry, especially the component vendors, through digital engineering application.
Approach;
To provide a common platform through shared facilities, software and prototyping hardware in Design, Simulation and Analysis for automotive parts. To provide experts to assist the designers during the entire design work. To provide skill enhancement training in engineering design through customized and specific problem based learning; and experts during actual development.
The Digital Engineering Prototyping (DEP) module is developed based on the model reflected in figure 24. Figure 25 shows the annual set target to achieve of 6,000 designers, draughtsman having CAD/CAE capabilities by 2020
Target no. of Designer (Accumulative by Year)

8000
7000 6000 5000 4000 3000 2000 1000 0 2012 2013 2014 2015 2016 2017 2018 2019 2020 435 1685 985 2435 3235 4075 4975 5900 6900
Figure 24
Figure 25
Malaysia Automotive Roadmap Highlight Implementation Plan 2 - Automotive Industry Certification Engineering (AICE) The objective of the plan is to enhance the working competency of newly graduated engineers in areas of product quality and process improvement and to expose the engineering graduates in critical thinking, problem solving approaches and negotiation skills. Approach AICE is a one year programme and the selected participants will initially undergo a two months intensive training at MAI, while the balance ten months they will be assigned to serve as trainee engineers at their respective sponsor company. Upon completion of the programme the engineers will be awarded Automotive Industry Certified Engineer Certificate and will subsequently commence their permanent employment with the sponsor company.
No. of AICE Engineer (Accumulative by Year)
10000
8000 6000 4000 1780 2530 3370 5600 4400 1080 7100 8400
2000
0
530
2012 2013 2014 2015 2016 2017 2018 2019 2020
Malaysia Automotive Roadmap Highlight Implementation Plan 3 - Automotive Graduate Apprenticeship Programme The objective of the plan is to create well trained and competent manpower that are immediately relevant(employable) to the automotive industry upon graduation. Approach Apprentices will have workshop training during their semester where they will be released in particular days for the workshop led by industry.
The programme is aimed at exposing the apprentices to the real life working environment so as to gain the essential skills, understand the working culture and to accumulate invaluable industrial experiences.
MAI will collaborate with public and private higher learning institute like UTeM, UiTM, UMP and others.
Year 1 Year 2 Year 3 Year 4
Target no. of Apprentice (Accumulative by Year)

3500 3000 2560 2160 1760 1360 960 660 360
Industry attachment Industry attachment Classroom training Classroom training Classroom training Industry attachment and identify project Classroom training
3000
2500
2000
1500 1000 500 0
Industrial Project
60
2012 2013 2014 2015 2016 2017 2018 2019 2020
Knowledge Competent Engineer
Skills, Experience & Culture
Malaysia Automotive Roadmap Highlight Implementation Plan 4 - Industry Led Professional Certificate Programme (IPC) The objective of the plan is to transform graduating students from existing training institutions or schools as skilled automotive workforce replacing the low skilled foreign workers that ultimately will create high income workforce in the automotive sector . . Approach Train newly graduates students from skilled training institutions to become skilled workforce specializing such as in automated production, autonomous maintenance and quality control in the automotive industry. MAI is collaborating with the existing training institutions in Malaysia to prevent replication of affords. Among the institutions are Polytechnic, JTM, IKBN and ICAM.
Vendors
- Foreign workers (operators) with low skills at entry level -Difficulty to recruit local operators
Target no. of IPC Trainees (Accumulative by Year)

60,000 50,000 40,000 30,000 20,000 10,000 2012 2013 2014 2015 2016 2017 2018 2019 2020 1,200 3,200 6,200 10,200 15,200 23,200 32,200 43,200 55,500
Training Institute SPM school leavers & graduate students
Upgrade
Transform
- Automation - Multi Skilling - Autonomous maintenance
Multi skills worker that meet the industry need and expectation in the areas that predefined by Industries
Malaysia Automotive Roadmap Highlight Implementation Plan 5 - Review Occupational Skills Standard The objective of the plan is to ensure the National Occupational Skills Standard (NOSS) related to automotive industry are up to date, sufficient and follow the industry trends. . Approach Malaysia Automotive Institute (MAI) as Industry Lead Body (ILB) appointed by Jabatan Pembangunan Kemahiran (JPK) for the automotive industry is responsible to coordinate between the industry and training institutions to ensure both parties come together to develop relevant curriculum and skills standard for Malaysia automotive industry. Implementation Plan 6 - Review Occupational Skills Standard The objective of the plan is to conduct customized companywide Human Capital Development Programme for Automotive company. . Approach Perform Training Need Analysis (TNA) and Training Need Identification (TNI) with manager of each departments and develop customized human capital development plan. ( refer below figure for details flow)
Conclusion
1. 2. Human Capital Development for the automotive industry must be driven by industry. Human Capital Development for the automotive industry should consider the technology trends and government policy. MAI as a focal point for the automotive industry should create a platform for educators and industry players to come together to discuss the way forward in Human Capital Development. Continual learning should be encouraged for the existing workers in the automotive industry to maintain their productivity and competitiveness. This roadmap should be reviewed periodically with all stakeholders to ensure it is relevant to the current automotive industry scenario.
3.
4.
5.
4.4 DEVELOPMENT OF AUTOMOTIVE AUTHORIZED TREATMENT FACILITIES (ATF) FRAMEWORK
4.4
Malaysia Automotive Aftermarket

Aftermarket operations contain all activities related to maintaining a car after its initial sale and until the end of its lifecycle; which encompasses all parts and services purchased for vehicles after the original sale, including replacement parts, accessories, lubricants, appearance products and service repairs, as well as additional innovative services that help to optimize the use of the vehicle.
Source: Census of Distributive Trade 2009 DOS Malaysia
Malaysia Automotive Roadmap Highlight Malaysian Aftermarket Basing on the analysis of the motor vehicle population in Malaysia, at as 31 December 2012 there are 10,349,686 motor cars out of a total of 22,713,018 motor vehicles.
These 10.3 million motor cars consist of: 2.8 million cars LESS THAN 5 years old 2.4 million cars BETWEEN 5 to 10 years old 5.1 million cars MORE THAN 10 years old (with 3.3 million EXCEED 15 years old)
OEM Car Manufacturers Ownership
DEALERS
Aftermarket Ecosystem
[New Cars]
CAR IMPORTERS Vehicles Owners
Ownership
Servicing & Repairs Accident Repairs / Vehicle Inspections
SPARE PARTS Parts Manufacturers /Wholesalers / Distributors / Parts Retailers

SERVICING & REPAIRS Independent Workshops Franchised Workshops Tyre Service Shops Accessories Shops USED PARTS Used Parts Importers Used Parts Dealers REMANUFACTURED PARTS Parts Remanufacturers Remanufactured Parts Dealers
USED CARS Used Car Dealers Pre-Owned Cars Dealers
Used Cars
Safe & Comfortable Driving Experience
Parts Purchases
REPLACE
Ownership
VEHICLE INSPECTION CENTRES Puspakom [PDI / Periodic / Mandatory]
NAP 2014 and Transformation of the Aftermarket

NAP 2014 focus on green automotive initiatives does not stop at just aiming to create Malaysia the hub for Energy Efficient Vehicles; but also focus on the aftermarket factor of automotive, which is one of the main economic contributors to the country GDP; albeit it also contribute to environmental matters in terms of resources and environmental depletions. To capitalize on the opportunity to compete in the soon-to-be liberalised automobile industry arena envisaged by the Malaysian NAP 2014, the year 2014 would be the start for the transformation of the highly fragmented Malaysian automotive aftermarket. The fragmented Malaysian aftermarket need to break through their traditional course of action and focus more on developing true unique and innovative business propositions through looking for new collaboration that opens up the value chain either horizontally or vertically and especially focusing on continually developing service innovations, without losing their focus on consumers requirements. Malaysian aftermarket operators need to transform the way they currently operate and support key roles along the supply chain to become more competitive.
74
NAP 2014 FRAMEWORK on Safety, Security & Environment

1) Promote vehicle safety through 2) Use of Standards across safety related Used and New Parts & Components; End of Life Vehicle Policy; Vehicle Inspection Policy
Promote environment through Implementation of Euro 4M Adopt 3R (Reduce, Reuse and Recycle) Transform Recycling industry to Remanufacturing industry Transform After Market into a regulated industry towards environment and consumer focus
3) VTA Technical Service Provider
AN AGENDA FOR ACTION

To effectively meeting the objectives of the NAP 2014 strategic thrust of Safety, Security and Environment, the Government and the automotive industry stakeholders must work together on ensuring the necessary steps are taken. The steps include many activities, such as: To transform After Market into a regulated industry towards environment and consumer focus To prepare new and enhance existing infrastructure to support ELV policy To transform and enhance of the existing automotive part recycling industry; To develop & promote the infrastructures for remanufacturing; To promote the creation & adoption of industry codes and standards; To formulate safety & environment related automotive policies and enactments; To conduct public education and promote consumer acceptance
Transforming the Aftermarket

Transform Aftermarket into regulated industry towards environment & customer focus through the adoption and use of industry driven Standard Operating Procedures (SOPs) in line with the 4Ms (Man, Method, Machine and Material) will drive efficiencies and safety through proper repairs. Up-skill Existing Capabilities & Capacities Empowering with emerging technologies in the field of energy efficient vehicle, telematics, navigation and infotainment.
MAN
METHOD
Accessing to & adopting researched vehicle repair methods Adoption of the ISO (MAI-4R1S) System
Use of proper tools and equipment
MACHINE
Promoting the use of mandatory standardized parts certified to meet defined quality and safety specifications
MATERIAL
MAN : MAI HCD Initiatives

Recognition of Prior Achievement (SKM PPT Program) Recognizing & Certifying Working Technicians with minimum years of confirmed working experiences with the SKMs Extension Programs (MAI IPC Program) A Program that offers up-to-date training, for already qualified automotive technicians, in areas of automotive repair that have changed significantly in the past few years Apprenticeship Programs (SLDN Program) An entry level program for young school leavers to acquire a comprehensive base of skills and experience to begin their career in the automotive aftersales industry MAI IPC Aftersales (Continuous Professional Development) ATA Automotive Technician Accreditation AMA Automotive Management Accreditation An industry driven voluntary scheme which tests the current competence of individuals working in the retail automotive industry, who are committed to an ethical code of conduct
METHODS : MAI System Standards Initiatives

Transforming the aftermarket through the adoption and use of industry driven Standard Operating Procedures (SOPs) supported by innovative Workshop Management System (WMS) Workshop to be 4R1S certified for services focusing to improve: Management Responsibility Process Control Tech Standards SOP Outcome based processes Efficiency Effectiveness Customer Relationship Management Continuous Improvement
Business management development Providing a platform for Workshop Management System. Customized workshop accounting system Profit/Losses Balance Sheet Workshop Service manual Invoicing and Pricing Instant Service History Customer Details and Information Vehicle Information Stock Control & Parts Annual Management Planning
MACHINES (TECHNOLOGY) Workshops Upgrading MAI will continue to facilitate KPDNKK to provide the proper and correct tools and equipment to automotive workshops participating in the Automotive Workshops Transformation Program (ATOMS) where SME workshops are provide soft loans to upgrade their capabilities. Workshop Management System
MAI is currently studying a proposal to introduce customized and standardized Workshop Management Systems with view to assist Workshop Operators to used it to better manage and market their businesses
Lean Production System
Following the successes MAI achieved with the local components manufacturers, MAI is current embarking on a plan to introduce lean production system and management to the aftersales industry
MATERIAL
Promoting the use of mandatory standardized parts certified to meet defined quality and safety specifications will ensure not only safe and proper repairs, but also enhanced work productivity. To further supplement the aim of the VTA program, the NAP 2014 will also promote the gradual introduction and enforcement of mandatory standards for aftermarket parts and components. To sustain and enhance the local aftermarket parts manufacturers, coupled with the emphasis on harmonization, MAI will facilitate KPDNKK and Standards Malaysia to research for the Malaysian Standards equivalent-conformance to UNECE safety standards; where special stipulation will be adopted and added to the MS Standard safety regulations.
Regularizing the Used Parts Industry

To transform used part industry and to promote remanufacturing through creation and adoption of an industry driven systems supported codes and standards with focus towards safety and environmental factors
SNAPSHOTS OF USED PARTS INDUSTRY*

5,266 business entities in the used parts trading 90%++ of the used parts are imported
5-10% of the used parts are from local sources

85% of the local used parts are unusable 18% of the imported used parts are unusable 65 % (on average) of the imported used parts are for local consumption
35% are to be re-exported to Middle East and African countries

Imported used parts are 50% cheaper than the original new parts
NAP 2014 will promote and facilitate the Used Parts Stakeholders to work and support an industry-driven comprehensive trading platform supported by an industry endorsed SOPs, that provides on-line and realtime marketplace for the trading of quality used parts
*Source: MAARA Report 2010 by UUM - 2010
This platform will be linkable with the WMS of RSRs which will facilitate the systemization of the aftermarket supply chain, and promote trading efficiencies and transparencies.
A JPK sanctioned National Occupational Skill Standards (NOSS) will be developed where Stakeholders will be trained on parts recycling and remanufacturing procedures and adoption of environmental guidelines
NAP 2014 will promulgate policies to introduce End-of-Life vehicle regime which will be supported by Authorized Treatment Facilities to enable ELV processing NAP 2014 will promote regulations that drive Extended Producer Responsibility and 4Rs practices that substantially decrease the final waste of a product by improving product design and thorough the 4Rs of Reduce, Reuse, Recycle and Remanufacture
Core Summary of ELV & Extended Producer Responsibility requirements:

Restrictions on the use of certain heavy metals in vehicle and component manufacture Design for Dismantle-ability / Recyclability Marking of certain rubber and plastic vehicle components Publication of design and dismantling information Introduction of a Certificate of Destruction Free take-back of vehicles put on the market by OEMs Licensing of Authorised Treatment Facilities, and the site and operating standards with which they must comply
Quality Used Parts [QUP] trading platform
QUP
MAI
What is End Of Life Vehicle

End Life Vehicle is a vehicle that has come to the end of its useful life. End Life Vehicles consist of either written off vehicles due to wear and tear OR total loss due to accidents
What happens to End Of Life Vehicles?

The End Of Life Vehicles that are picked up and taken to Authorized Treatment Facilities (ATFs) where the depollution takes place before dismantling or recycling occurs.
Why End of Life Vehicle Policy?

To prevent the build-up of waste accumulated by ELV vehicles by promoting and initiating the collection, reuse and recycling of their components, working toward the final goal of a sustainable environment.
86
Authorised Treatment Facility (ATF)

ATFs are sites that have been licensed to accept ELV motor vehicles, and are able to comply with the requirements of the ELV regulations. ATFs are more commonly referred to as dismantlers, scrap yards, salvage yards or breakers yards. They also possess the ability and willingness to invest in environmental protection and improvement. ATFs must have a waste management licence from appropriate Environmental Agency and must meet standards to ensure that they:
store and treat ELVs in a way that does not harm the environment;
remove all hazardous components and liquids (known as depollution); recycle, store and dispose of the parts appropriately
END OF LIFE VEHICLES RECYCLING PROCESS

Automotive Dismantlers [Used Part Dealers / Workshops/ Salvage Yards] Workshops Car Dealers Insurance Cos Last Owner Recover to Reuse Recover to Recycle Parts Recovery Reusable Parts Bumpers Doors Lightings etc Engines Transmissions Alternators Compressors etc Other Parts Recycling Company Sales (New Products) Authorized Treatment Facility
Hulks
Automotive Shredder
Workshops Part Dealers Car Owners
Sales
Remanufactured Parts Magnetic Separations Ferrous Scraps Non Ferrous Scraps
Air Separations
Auto Shredder Residues (ASR) Plastics Glass Others

Non-Ferrous Metal Cu Au Za Pb Ni
88
Battery Fluids Tyres etc

Sales Landfill or Energy Recovery
Introducing End of Life Vehicle Policy

Proposed Technology Framework for ELV / Recycling / Remanufacturing
91
Promoting Mandatory Vehicle Inspections

The Road Transport Ordinance 1959 requires all commercial vehicles to be subjected to mandatory inspections; and this makes up only 9% of the total number of registered vehicles in the country.
Thus the roadworthiness condition for the remaining 90% of the vehicle population in Malaysia is entirely unknown, and therefore largely dubious. There are more than 10 million registered private cars on the road in Malaysia.
The PUSPAKOM private initiative on voluntary inspection conducted over a 5-year period (2008 2012) indicated the followings: Private vehicle owners awareness of car roadworthiness and importance declined over the 5-year period; In 2012 alone, 59% of those vehicles inspected were found to have technical failures Most private vehicles inspected failed due to brake ineffectiveness and side slip problems, which contributed to more than 40% of the total failures;
PUSPAKOM Private Vehicles Voluntary Inspection Result
Moving Forward
Promote Motoring Community awareness and education on vehicle maintenance and inspections Formulate plans for supporting infrastructures and socio-economical enablers to support the vehicle inspection and the end of life vehicle regimes
Facilitate training and up-skilling of the automotive industry workforce in the fields vehicle repairs and maintenance; as well as vehicle inspections
Identify and recommend institutional and technical infrastructure requirements regarding the implementations of standards and regulations relating to vehicle maintenance and inspections
Establishing regional / international collaborations for Technical Services and resource sharing
TIMELINE: DEVELOPING AUTHORIZED TREATMENT FACILITIES FRAMEWORK
PROMOTE SAFETY & ENVIRONMENT
Establish & Promote VTA STDs
Implement EURO 4M Standard
Review need for Mandatory VI post 2020
AUTHORIZED TREATMENT FACILITIES
Promoting Voluntary Vehicle Inspection Facilitate the formulations of Parts Standards Deploy e-platform for QUP trading Promote Consumer Perceptions & QUP & Businesses
REGULARIZE AFTERMARKET
Establish Policies & Technical Standards for ELV & 3Rs

Develop 4R1S Standards Promote & Facilitate Business Investment in ELV & QUP Businesses Review & Upgrade WMS
Develop & Deploy Workshop Management System

NOSS Creation EEV & REMAN 2104 2015
Deploy MAI-IPC AICE & Programs using JPK sanctioned PPT / SLDN Platforms Continual Review of NOSS & Training Program Contents
2016 2017 2018 2019 2020
Way Forward : Collaboration Effort is Required by All Stakeholders

Government
Legislative & Policy framework Policies on infrastructure network for green automotive Incentive and subsidies to encourage adoption of green automotive products MAI facilitate & managing government agencies in formulating the regulatory framework for the implementation of Green Initiatives of NAP 2014 eg: KeTTHA; MOT; MOF MOSTI, KPDNKK
Consumers
Recipient of the benefits both economic and environmental Awareness of Green Automotive Technologies & environment Consumer Educations on green automotive initiatives & ELV programs Mindset or perceptions on green ( recycled or remanufactured) parts
OEMs
Technology developments & Promotion of EEVs Collaborated with technology providers for EEV Capture new business opportunities Malaysia as a regional hub Practice Extended Producer Responsibility Promote Design for Recyclability Support End of Life Vehicle Programs Promote Remanufacturing Aftermarket HCD: Green Jobs Capability enhancement CSD: Promotion of Authorized Treatment Facilities ; Transforming Recyclers & Rebuilders to Remanufacturers TD: Standardize Business Process; Promote Environmental friendly Standard Operation Practices; Data Management ; Standards & Compliances
MAI-NAP INITIATIVES
Supporting Industries
Work with Power/Utilities Companies to deploy & supply charging infrastructure Work with Energy/Oil Companies to deploy & supply clean diesel or gasoline fuel Work with raw materials manufacturers of steel, plastics & composite
4.5 MALAYSIAN AUTOMOTIVE REMANUFACTURING DEVELOPMENT ROADMAP
4.5
Malaysia Automotive Remanufacturing development Roadmap

Global concerns for climate change and the green house gas effects has prompted governments and industries to seriously consider green manufacturing or productions. These concerns also implicates the global automotive industry, which is one of the major contributors to GHG effects. Remanufacturing activity in the automotive industry is known to be a sustainable business proposition, which also helps to minimize the negative impacts of end of life vehicle to the environment.
This has raise the Malaysian Government concern for years.

The 10th Malaysian Plan (2011-2015) called for building an environment that enhances quality of life. According to the plan, the Malaysian Government has introduce new legislation and incentives to ensure that all industries and consumers comply with the measures necessary to take on the countrys environmental problems through practice of Reduce, Reuse and Recycle 3R. Achieving the aims of the 10th Malaysia Plan will be further enhanced with the implementation of the green automotive recommendations of the NAP 2014
NAP 2014 & Automotive Parts Remanufacturing

With Malaysia's existing manufacturing base, and the availability of an established and sound used/recycle parts industry, it has the potential to build a strong remanufacturing industry. The green initiatives of NAP 2014 will promote and facilitate the develop the remanufacturing through the incentivizing & transforming the existing Used Parts dealers to valued add their businesses to be remanufacturers. The NAP 2014 initiatives will support skills development for remanufacturing; establish a quality control framework around an official remanufacturing definition and quality seal for remanufactured products; clarify trade conditions for remanufactured goods; and, promote the supply and demand for remanufactured products through environmental policies. During the next five years, the NAP 2014 through its green and safety initiatives will strengthen support for pilot companies in automotive components remanufacturing. It will also take measures to promote qualified remanufactured products and boost recycling. As remanufacturing requires support from other sectors such as professional recycling, disassembling and cleaning, the NAP 2014 would promote the construction of policies and programs that will enable these developments.
NAP 2014 would also enhance the role of research institutions and companies in pushing forward technological innovation in the remanufacturing sector; with aim to consider establishing an automotive remanufacturing research centre.
What is Remanufacturing?
Remanufacturing is a process where used parts are disassemble, clean, repair, and reassemble to be use again.
Remanufacture ensures the same product quality, durability and performance as new components while maintaining sustainability of resources
Remanufacturing is an emerging industry of strategic importance which encompasses energy savings, and environmental protection. Compared with making new products, remanufacturing is estimated to save energy by 60%, and raw materials by 70%, while it also substantially reduces air pollutants.
Nature
Materials Manufacturing Products
Remanufacturing
Usage Waste
Reuse Recycle
Disposal
Remanufacturing is
The Increase of :
-Extended Producer Responsibility
-Recycling Jobs -Sustainable Industry Profitability -Affordable Development -Controlled Industrial Processes
The reduction of :
Green House Gases Raw Material Use Landfill Waste Energy Use Water Use -
Remanufacturing and the 3Rs

Remanufactured product should consist a value-added process which making it a new or different product from its original. PRODUCT RECOVERY
REUSE
RECYCLE
REMANUFACTURE
Certain parts / products will be collected and reuse back as used parts.
102
Certain parts / products will be recycled back into raw material.
Certain parts / products will undergoes special treatment and restore as a value-added, new parts
REUSE, REDUCE, RECYCLE & REMANUFACTURE

RECYCLE
RAW MATERIAL
REMANUFACTURE
VENDOR
PARTS
MANUFACTURER
VEHICLE
USER
REDUCE
RECYCLE
REPAIR
REUSE
REDUCE
REUSE Reusing parts that has been repaired and reconditioned.
REMANUFACTURE Remanufacturing of automotive parts inoperative, failed or worn out. Part Components are cleaned, replaced, reconditioned, reassembled and tested .
Definition
1.Reducing parts and components of the vehicle to make it lighter and more efficient. 2.Reducing energy sources. 3.Reducing cost of parts.
Recycling the recyclable parts back into raw materials. The recycled raw materials are then used to production automotive parts.
Components
Replacing metal parts with aluminium or durable plastic.
Any non-moving parts that hardly been worn and torn, e.g. airbag.
Recyclable materials: Metal Plastic Glass Rubber Fibre.
Starters, alternators, clutches, brake calipers, wiper motors, engines and transmissions and equipment s.
REMANUFACTURING COMMONLY ASSOCIATED WITH:

Rebuilt Rebuilt is synonymous with remanufacturing when used in connection with motor vehicle parts and systems but not the entire vehicle. Refurbished Refurbished is synonymous with remanufacturing of furniture systems for offices, hotel lobbies, and hospitals. Recharged Recharged is synonymous with remanufacturing when used in connection with imaging products, such as laser toner cartridges.
Factory Reconditioned or Recertified Factory reconditioned or recertified is synonymous with remanufacturing when referring to consumer products, such as electrical hand tools.
104
Source: Golisano Sustainability Institute of the Rochester Institute of Technology (Dr. Nabil Nasr)
Automotive Parts Remanufacturing

AUTOMOTIVE REMANUFACTURING PROCESS
TYPES OF REMANUFACTURING PRODUCTS

Remanufactured products include: A/C Compressors Alternators
Engines
Fuel System Components Rack and Pinion Steering Starters
Steering Gear Boxes

Transmissions Turbochargers Water Pumps
106
REMANUFACTURING: GAINS & CHALLENGES

Approximately 85% of the energy expended in the manufacture of an original product is preserved in the remanufactured product.
Remanufacturing reclaims:

Material Energy from Casting, Machining, etc. Labor from original processes Capital Function/Design Intent
Reduces energy costs and environmental impact of: Raw materials and natural resources Manufacturing products Shipping components and final product
What are the environment savings? Saves enough natural resources to fill a train 1,100 miles long! Saves enough energy to power 6 million automobiles!
CONSUMER ASPECT

Gain access to like-new products at lower prices than new goods
A remanufactured part normally costs 50% to 75% of the cost of a comparable new one and customarily carries the same warranty.
Caters customers with ended-warranty vehicles
BENEFITS & CONTRIBUTION FROM REMANUFACTURING INDUSTRY

SAFETY ADHERENCE & COMPLIANCE
PROTECTION TOWARDS CUSTOMERS RIGHT
GENERATION OF SKILLED MANPOWER
VALUE-ADDED TO THE AUTOMOTIVE INDUSTRY
CONTRIBUTION TOWARDS NATIONAL INCOME
Automotive Parts Remanufacturing In Malaysia Implementation Plan

In the field of automotive remanufacturing, there is still no legislation that distinguishes the use of a fully tested, OE quality part from a part salvaged from a scrap yard. This needs resolving, and fast for the safety of road users and to protect the reputation of the automotive remanufacturing industry. We need to clearly define the term remanufactured. There is a big difference between a reused, a refurbished or repaired part and remanufactured part European Association of Automotive Suppliers (CLEPA) defines a remanufactured part as: fulfilling a similar function to the original part. Manufactured using a standardised industrialized process in line with specific technical specifications. The industrialized process incorporates defined core management standards. A remanufactured spare part is warranted as a new spare part.
Remanufacturing Issues
There are numerous legal, regulatory, and other issues which affect remanufacturers on a daily basis. Some of the main issues affecting remanufacturing are: Core valuation Intellectual property and anti-trust matters Federal, state and local government recycled-content procurement procedures Design for Remanufacturing Government Economic Incentives
Implementation Challenges .
There are some challenges in implementing the plan to boost the remanufacturing industry: Lack of cores or part supplies to be remanufactured May jeopardize the new product business Remanufacturing concept acceptance by consumers Lack of government legislation, policies and initiatives Remanufacturing modern automotive electronics and hydraulics; o Complexity & Availability of replacement parts o Information and Data o Parts proliferations Identification of Remanufacturing Industry Business Approach Secured Core Flow Expected Future Transformation of Malaysia Regulation, policy and initiatives Others
Overview of Proposed Plan

Remanufacturing Import of component parts / local parts
Inspection
(ensure safety and quality specification standards)
(using a combination of imported parts and locally sourced parts. Localisation of autoparts is targeted at 30% - 50% of total production.)
Circuit Testing
Complete Remanufactured Vehicle
(be tested on a purpose-built circuit within the plant premises)
Quality Check (accordance to PUSPAKOM* standards)
How to Achieve this?
Introduction of proper Governance through standards and regulations

Collaboration among Government Agencies and Local Authorities Willingness and support from MAARA, FAWOAM, FEMPTAM and other related associations
Promotion and awareness programmes

National Driven Advertisement Forum/Conference/Symposium/Dialogue Creation of new business models and new jobs
Proposed Government Initiatives

1. Apply import-related measures specifically concerning used goods only to used goods and refrain from applying them to remanufactured goods. Refrain from applying import prohibitions against all remanufactured goods or against remanufactured goods in specific sectors. Treat remanufactured goods like corresponding new goods when applying tariffs or other border charges. Generally apply technical regulations, conformity assessment procedures, and documentation and import licensing requirements concerning new goods to remanufactured goods.
2.
3.
4.
TIMELINE: AUTOMOTIVE REMANUFACTURING DEVELOPMENT
TECHNOLOGY DEV.
Enhance e-platform for REMAN Parts trading Promote Consumer Perceptions of REMAN Product & Businesses Develop technology & information platform for green automotive design Promote R&D on technique & equipment for REMAN processing Research & Establish REMAN Policy & regulations Deploy 4R1S System & Pilot REMAN & Biz Models Develop 4R1S Standards Deploy MAI-IPC AICE & Programs on 4S1R
NOSS Creation REMAN 2104 2015
REMANUFACTURING
SUPPLY CHAIN DEV.
Promote & Facilitate REMAN Business Investments
Review & Upgrade 4R1S Standards
CAPACITY BUILDING
Deploy MAI-IPC JPK PPT on REMAN for Working Technicians Deploy MAI-IPC JPK SLDN Programs for Entry Level Technicians Continual Review of NOSS & Training Program Contents
2016 2017 2018 2019 2020
4.6 MALAYSIAN AUTOMOTIVE BUMIPUTRA DEVELOPMENT ROADMAP
4.6
Malaysia Automotive Bumiputra development Roadmap (ABDR)

Malaysian automotive industry is entering a new era of liberalisation and globalisation, where competitiveness is key to any business endeavour within the sector to be successful. Henceforth initiatives towards Bumiputra participations in the industry must be tailored to ensure their participations will be sustainable and remained competitive in the longer terms. The objective of the Automotive Bumiputra Development roadmap (ABDR) is to detail out programmes and activities related to technology development, human capital and supply chain to increase the competitiveness of Bumiputeras companies and communities within the automotive industry. These activities are in line with Government's efforts to strengthen economy of Bumiputera and produce Bumiputera entrepreneurs that are more competitive. Hence, ABDR will focus on TWO initiatives; 1 To enhance the EXISTING BUMIPUTERA VENDORS able to compete and continue to participate in the nation automotive businesses, in particular the new EEV venture. To facilitate development of NEW BUMIPUTERA ENTREPRENEURS, comprise of younger generation and matured and well exposed Bumuputera automotive employees, in automotive technology and skills and to expose them in the automotive supply chain so as to initiate new interest amongst Bumiputera to enter the supply network, vendors and the aftermarket communities.
Programme for Existing Bumiputera Vendors

All the earlier prescribed roadmaps incorporated human capital development programmes which are applicable for most of the initiative to develop Bumiputera to enter the automotive business. More importantly the Supply Chain Development roadmap which is more relevant for the existing vendors to participate in order to enhance their competitiveness.
ASEP Programme Flow
1. Initial Visit 1. An initial meeting with MAI & suppliers to gain a common understanding and commitment. During the initial visit: Distribute Initial Questionnaire Signing ASEP non-disclosure agreement 2. A comprehensive 1 day company-wide assessment involving all areas of the business, to establish baseline. Assess by using 5 ASEP assessment books Involving all related person for each competencies covered under the 5 books 3. Meeting to discuss the outputs of the assessment, including Benchmark Report and Improvement Plans. Generate the Benchmark Report Identified specific improvement plans 4. Implement first 2 projects. Project based on the prioritized IP or company selection. 6 months coaching duration Continuous project monitoring, analysis & final review. 5. Implement additional projects. Additional projects based on the improvement plans Optional 6. Annual re-assessment to track progress and improvement.
Level 5 Level 4 Level 3 Level 2 Level 1
Process Production Design

Supplier are able to perform its own research on the product improvement, ideas, conceptual outcome and propose to the OEM.
Product Spec
Product Design
R&D
2. Assessment
Component idea, concept and requirement given by the OEM Supplier will come out with component design, detail specification and component manufacturing Supplier are able to improve and giving alternative to OEM Detail Component specification given by the OEM Supplier responsible to perform component tooling design, testing ,production facilities and manufacture the component Supplier able to warrant part reliability Component design , drawing and specification given by OEM Supplier responsible to design and fabricate production facilities and manufacture the component Component Specification , Design and production facilities prepared by OEM Supplier concentrated in production and maintaining the facilities
3. Report & IPs
Competitive Level
4. Initial Projects
5. Additional Projects
6. Monitor & Re-asses
LPS Implementation Roadmap

Appoint Kaizen Leader as SLDN Coacher based on available NOSS
Registration as SLDN company
Certified Kaizen Leader based on their competency thru Sijil Kemahiran Malaysia (SKM) using Pentauliahan Pencapaian Terdahulu (PPT)
Company upgrading through the implementation of Automotive Supplier Excellence Programme (ASEP)
Internal focus
Operations Competiti ve Lean Kaizen Processes Business Plan Competencies Strategies Actions Tracking Managing Risk Alignment
People Leadership Culture Attitude Drive Change Manageme nt
Diversification Realistic (Competency Audit) Relative (Competitive Analysis) Relevant (Market Analysis)
Marketing Placement Price Promotion Product volume
Export Growth Need/Desi re Willingnes s Understan ding Preparedn ess Target/s Country Sector Customer Product Service
Graduate in MAI LPS Programme
External focus
Programme for New Bumiputera Automotive Businesses

Entrepreneur Profiling Characteristics of entrepreneurs are key to their successful business ventures. To ensure the successful implementation of the ABDR and its programmes, clear understanding of entrepreneurial characteristics is essential and will become the fundamental selection parameters for participants in all the programmes. Key characteristics of entrepreneurs are; Risk Taker Businesses is risky. Entrepreneurs minimise risk through research, planning, and skill development. Entrepreneurs view problems and challenges as opportunities
Perceptive -
Curious -
Entrepreneurs like to know how things work. They take the time and initiative to pursue the unknown.
Imaginative - Entrepreneurs are creative. They imagine solutions to problems will encourage them to create new products and generate ideas.
Persistent -
True entrepreneurs face bureaucracy, make mistakes, receive criticism, and deal with money, family, or stress problems. But they still stick to their dreams of seeing the venture succeed.
Goal-setting - Entrepreneurs are motivated by the excitement of staring a new business. Once achieved, they seek out new goals or ventures to try.
Malaysia Automotive Roadmap Highlight Hardworking Entrepreneurs need a great deal of energy to see a venture start and succeed. Yet they are not deterred by the long hours to achieve their goal.
Self-confident - Entrepreneurs believe in themselves. Their self-confidence takes care of any doubts they may have. Flexible Entrepreneurs must be flexible in order to adapt to changing trends, markets, technologies, rules, and economic environments. An entrepreneurs desire for control and the ability to make decisions often makes it difficult for them to work in a controlled environment.
HIGH
Independent -
Creative & Innovative
Apart from having the above characteristics, the diagram demonstrates two routes towards entrepreneurship; 1 2 Self developed through talent Developed through career
INVENTER
ENTREPRENEUR
SELF-EMPLOYED EMPLOYEE
MANAGER, ADMINISTRATOR
LOW Managerial Skill, Business Knowhow & Networked
HIGH
Entrepreneur developmental route
Entrepreneurial Development Framework

Entrepreneurial Development Stages Entrepreneurial profiling described earlier reflect the importance of instilling business cultures within each of the new entrepreneur to be developed. The culture cannot be attained solely from classroom lectures instead broad exposure to both the business world and its players is more effective. Hence the roadmap envision to develop the Bumiputra entrepreneurs through the following three stages;
INSTIL WORKING AND BUSINESS CULTURE
EXPOSE TO REAL BUSINESS SETUP AND RELEVANT TECHNOLOGIES
ESTABLISH COMPREHENSIVE BUSINESS SET UP AND PLANS
Framework
Figure 25 illustrates the required framework to encourage and to assist Bumiputra in their business participation in the entire automotive ecosystem.
Foundation to the framework is the establishment of a community network amongst potential Bumiputera entrepreneurs and the automotive community so as to instil the initial business culture amongst the entrepreneurs. The network shall be known as MAI Entrepreneurs Club (MEC)
MONITORING & SUPPORT
STAGE 1
STAGE 2
STAGE 3
Entrepreneurial Development Framework

STAGE 1 - ENTREPRENEURS IDENTIFICATION AND CULTURING STAGE
MEMBERS ON INVITATION
CEO OF LOCAL OEMS ALL EXISTING VENDORS ACADEMIA & R&D COMMUNITIES RELEVANT OEM MANAGERIAL STAFF FINANCIAL INSTITUTIONS
GRADUATING STUDENTS GRADUATED STUDENTS AUTO EMPLOYEES EARLY RETIRED CIVIL SERVANTS SELF EMPLOYED PRIVATE INDIVIDUALS OTHER BUMIPUTRA DEV. PROG PARTICIPANTS.
IDENTIFY POTENTIALLY HIGH QUALITY SELF DRIVEN ENTREPRENEURS
JOIN
MAI ENTREPRENEURS CORPORATIVE CLUB

- INTERACTION - GUEST LECTURE ON INDUSTRY STATUS AND BUSINESS OPPORTUNITIES - ORGANISE ENTREPRENEURIAL EVENTS
PROGRAMME 1 MENTORING
STAGE 2 - ENTREPRENEURS DEVELOPMENT STAGE

PROGRAMME 2 INDUSTRIAL EXPOSURE & ATTACHMENT
PROGRAMME 3 VALUE CHAIN EXPOSURE DEVELOP TECHNICAL KNOWHOW, MANAGEMENT SKILL AND SUPPLY CHAIN EXPOSURE BUSINESS VENTURE INDIVIDUALLY PARTNERSHIP JOINT VENTURE CONTRACT MFG
PROGRAMME 4 INTER AGENCIES EXPOSURE
PROJECT PAPER
FACTORY LAYOUT & TECHNOLOGY SELECTION FIGURE 25
STAGE 3 BUSINESS VENTURE
Malaysia Automotive Roadmap Highlight The MEC will organise regular gathering inviting prominent vendors and automotive players with the participations by the potential selected entrepreneurs. Networking programmes will be organised at each gathering so that the entrepreneurs will have the opportunities to network with the experience vendors, businessmen and corporate managers. This will expedite learning process and fast culturing the young entrepreneurs into business world. Other events such as industrial visits will be organised to expose the new entrepreneurs to real manufacturing and business environment. MEC is open to graduating and graduate students, auto employees, early aged retired civil servant. Self employed, private individuals and those Bumiputera businessmen under any Bumiputera Development Schemes. Subscribing to MEC, the young entrepreneurs will undergo the; STAGE 1 Programme 1 Mentoring Industry experts will be made available to help guide and nurture the young entrepreneurs throughout the entire entrepreneur development programme and serve as guidance while attending to MEC activities. STAGE 2 Programme 2 Industrial Exposure and attachment The entrepreneurs will have the opportunity to request for industrial exposure and attachment wherever possible to industries for their benefits in preparing their future business endeavours. In this respect they will be expose to the entire supply network, support industries, engineering supports and other essential support to operationalize the future business.
Malaysia Automotive Roadmap Highlight Programme 3 Value Chain Exposure The new entrepreneurs will undergo the next programme 3 where they will be expose to the entire automotive manufacturing value change. This will assist them to identify business potential within the value chain and understand the network involved in achieving their business vision. Similarly they will be exposed to the entire Aftermarket value chain should their interest are prone to this sector.
Energy Efficient Vehicle (EEV)
Future Automotive
Transmission Mfg Connected vehicles Green cars
Re Manufacturing
Production Technology
Technology Development
Engine Mfg
Transmission design Telematics
Vehicle Electronics
Lean Technology
Manufacturing , Assembly and Services

Design & Development Testing Production Maintenanc e & quality PPC & Logistic Distribution & Aftersale
Assembly Based Industry
Areas to be developed through enhancing R&D and Design capability Current areas to be enhanced
Fig - 26
Malaysia Automotive Roadmap Highlight Aftermarket Value Chain

OEM Car Manufacturers Ownership
DEALERS [New Cars]

CAR IMPORTERS
Vehicles Owners Ownership
Servicing & Repairs Accident Repairs / Vehicle Inspections
SPARE PARTS Parts Manufacturers /Wholesalers / Distributors / Parts Retailers SERVICING & REPAIRS Independent Workshops Franchised Workshops Tyre Service Shops Accessories Shops USED PARTS Used Parts Importers Used Parts Dealers REMANUFACTURED PARTS Parts Remanufacturers Remanufactured Parts Dealers
USED CARS Used Car Dealers Pre-Owned Cars Dealers
Used Cars
Safe & Comfortable Driving Experience
Parts Purchases
REPLACE
Ownership
VEHICLE INSPECTION CENTRES Puspakom [PDI / Periodic / Mandatory]
Programme 4 Inter Agencies Exposure There are other Bumiputera entrepreneurial development agencies such as Perbadanan Usahawan Nasinal Berhad, SME Bank, MARA etc., that not only provide various package for entrepreneurs business endeavours, they too provide financial packages and assistance which will be relevant for the Bumiputera Automotive Development initiative. The programme entails visiting the said organisations and attending their promotional lectures beneficial for stage three of the pro
Malaysia Automotive Roadmap Highlight STAGE 4 Stage 4 is where the entrepreneurs will embark on developing their businesses. The mode of business establishment can be in the form of; individual enterprise, partnership, joint venture or even contract manufacturing. At this stage the mentoring programme will play more heavier role of assisting in the planning of the business. Questions may be asked Does the entrepreneur have good ideas and the courage to give the business a chance? Is the entrepreneur prepared to meet and master the test of strategy and competitive advantage? Have the entrepreneur identify a market niche that is being missed by other established firms? Have the entrepreneur identify a new market that has not yet been discovered by existing firms? Can the entrepreneur generate first-mover advantage by exploiting a niche or entering a market before competitors?
Satisfied with the outcomes, planning for the business will be assisted, to include; Industry analysis Company description Product and services description Market description Marketing strategy Operations description Staffing description Financial projection Capital needs Milestones
CONCLUSION
Conclusion To ensure that the measures outlined in the NAP 2014 could be effectively implemented, these roadmaps that refer to the future development of domestic automotive industry have been established. These roadmaps shall serves as an implementing guidelines to the industry stakeholders in order to enhance the capability and competitiveness of the local automotive industry. These roadmaps will be under the supervision of the Ministry of International Trade and Industry (MITI) and the Malaysia Automotive Institute (MAI) is the agency to coordinate and implement programmes as outlined. The automotive is an important industry to Malaysia with a GDP contribution of 3.2 %, total export of RM5.3 billion, total investment of RM5 billion (January-October 2013: RM3 billion) and total workforce of 550,000 in the year 2012. It is forecasted the industry will contribute 10 per cent to the countrys GDP in 2020 where the vehicle production is expected to increase to 1.35 million units. In term of employment, the automotive industry is expected to create an additional 150,000 employment opportunities by 2020. To ensure a sustainable Malaysian automotive industry, the Government will take various steps to ensure that the automotive industry is competitive domestically and globally. Other than introducing new measures that are align with the global and regional technology changes and latest automotive development, the NAP 2014 also aims for Malaysia to be the regional EEV hub by the year 2020.

Nap 2014 Roadmaps - Highlights

Caricato da

Informazioni sul documento

Copyright

Formati disponibili

Condividi questo documento

Condividi o incorpora il documento

Opzioni di condivisione

Hai trovato utile questo documento?

Questo contenuto è inappropriato?

Copyright:

Formati disponibili

Nap 2014 Roadmaps - Highlights

Caricato da

Copyright:

Formati disponibili

MALAYSIA AUTOMOTIVE ROADMAP

Malaysia Automotive Institute www.mai.org.my

All right reserved.

Malaysia Automotive Roadmap Highlight

Malaysia Automotive Roadmap Highlight

3 THE MALAYSIAN AUTOMOTIVE ROADMAP

Malaysia Automotive Roadmap Highlight

The Malaysia Automotive Roadmaps

Malaysia Automotive Human Capital Development Roadmap

Malaysia Automotive Roadmap Highlight

Malaysia Automotive Roadmap Highlight

RAW MATERIAL SUPPLIERS

VEHICLE INSPECTION CENTERS

AUTOMATION & ROBOTICS

UNIVERSITIES & TRAINING ORGANISATIONS

FIGURE 1 AUTOMOTIVE INDUSTRIAL ECOSYSTEM

Malaysia Automotive Roadmap Highlight

Brief Outline of Each Roadmap

Malaysia Automotive Technology Roadmap (MATR)

Malaysia Automotive Roadmap Highlight

MATR APPROACH Timeframe

Malaysia Automotive Roadmap Highlight

Global Automotive Roadmap

Energy Efficient ICE

Electric Internal Combustion Engine (ICE)

ICE + Electric Hybrid Engine

FOSSIL FUEL + ELECTRIC

Malaysia Automotive Roadmap Highlight

MALAYSIA AUTOMOTIVE TECHNOLOGY PROJECTION (2013 2025)

*Significant growth of diesel-based vehicle in passenger segment

*Growth of AlternativeFuel Mixture Vehicle (BioPetrol, Bio-Diesel etc.)

Malaysia Automotive Roadmap Highlight

Malaysia Automotive Roadmap Highlight

AUTOMOTIVE INDUSTRIAL FINANCIAL ECOSYSTEM RAW MATERIAL

MANUFACTURING BODY PRESS BODY ASSEMBLY POWERTRAIN ASSEMBLY PAINTING

- COST REDUCTION - QUALITY MGMT

VEHICLE INSPECTION CENTRES Puspakom [PDI/Periodic/ Mandatory]

USED PARTS Used Parts Importers Used Parts Dealers

ELECTRICAL & ELECTRONICS

VEHICLE INSPECTION CENTERS

AUTOMATION & ROBOTICS

UNIVERSITIES & TRAINING ORGANISATIONS

GREEN VEHICLES TECHNOLOGY

GREEN MOBILITY INFRASTRUCTURAL SUPPORT

FIG 4 Correlation of NAP 2014 trust areas to automotive ecosystem

Malaysia Automotive Roadmap Highlight

Fig. 5 Technology Prioritisation Approach

PRIORITY AREAS TECHNOLOGY GENERIC

Malaysia Automotive Roadmap Highlight

TABLE 1 CORRELATION TABLE

LIGHT WEIGHT VEHICLE BODY VEHICLE ENG. & PROTOTYPING PROCESS/MANUFACTURING

Malaysia Automotive Roadmap Highlight

TECHNOLOGY ROADMAP FOR ENVIRONMENTAL, SAFETY AND SECURITY

- Recycling Technologies 3R Green Supply Chain Green After-Sales

- Batery recycling & treatment

- Energy Recovery technology

Vehicle Safety Testing Safer Vehicle Design

- Active Safety and Passive Safety

Malaysia Automotive Roadmap Highlight

- Fuel economy/Air quality Improvement - Green/alternative Fuel Fuel Development

- Electric Vehicle Design - Fuel Cell Vehicle Design

Malaysia Automotive Roadmap Highlight

FIG 6 (b) Cont.

Powertrain and Related Control System Development