Creating World Class Performance in a Jaguar Assembly Plant

Muhammad Amir Yousuf

Mazhar Ali Kazmi
Saad Aftab
Khalid Shafi
Murtaza Kazi
Ahmed Hassan Saadi
Founded as the Swallow Sidecar Company by Sir William Lyons in 1922

Sold to The British Motor Corporation in 1966

Acquired by Ford Motor Company in early 1990s

Purchased by TATA at a cost of 1.7 billion on 2nd June 2008

Discontinued X-type production in July 2009

Jaguar Land Rover confirmed production of new LRX Land Rover at
Halewood in 2010


In January 1960, Ford bought the 1390 hectare Greenfield site in Halewood
In 1990, Halewood also began to produce body panels for Jaguar cars
In 1993, Halewood becomes first plant in Europe to achieve ISO9000
In 1998, Halewood became the production site for Jaguar X Sports Saloon
The Jaguar X would replace Ford Escort, which was to be phased out
Last Ford Escort produced on July 21, 2000
In 2001, First Jaguar X-Type rolls off production line
In 2002, 2003, 2004, Ford auditors rate Halewood Best body and assembly
operation in the world
In 2004, Halewood wins Environmental Business of the Year award in
recognition of reductions in consumption of energy, raw materials and water
In 2005, 250,000 Jaguar X-Type produced
In 2009, the last Jaguar X-Type rolled off the production line


Halewood was chosen to produce the X Type because:

Existing Jaguar plant in the Midlands lacked sufficient capacity

The Britishness associated with Jaguar made overseas production
inappropriate

Good transport infrastructure

Opportunity to develop Business Park.

Plant needed to be renovated/modernize
Significant Capital Injection
Relationship with Local Community
Traditional working practices
Existing Culture

These were hurdles preventing Halewood from becoming a World
Class production facility. But what does World Class mean?

Charismatic
Best among Peers
Consistent
Durable
Admired across Borders irrespective of barriers such as
Culture
Race
Ethnicity
A product so far ahead of its peers and so complete that it
meets expectations and standards across all visible
differences and borders.

A product which doesnt divide instead unifies opinions

Universal Appeal and Utility across all conditions over time
The Best Products demand the Best Standards
Maintenance of Brand Equity
Delivering on Jaguar Xs Promise
Cut-Throat Competition
Companies adopting Modern Trends
Heavy Spending on R & D
Production Optimization via Loss Reduction
Healthier Balance Sheet
Retention and Expansion of Customer Base


Plant Upgradation
Replacement of Existing Production Facilities
Lean Production
Minimization of Duplication and Losses
Sequential Production Flow
Brought all major facilities on a single location
Minimization of Delays
New Supplier Park Development
Corporate Social Responsibility
Improvement and reduction in Halewood Energy consumption
Over 800 employees spent a week involved in local community
projects
Introducing waterborne processes
Establishment of Waste Water Treatment Plant


Transformation of Working Processes and Culture
New Operating Principles Defined
Every employee was provided a 'GREEN BOOK' having Company's
Vision, code of conduct and operating principles written in it

Extensive Training

Set Performance Indicators

Empowering the employees by
Giving additional responsibilities to operatives in key positions
Teaching them new approaches that involve creativity and
flexibility

Transformation of Working Processes and Culture
The Three Pillars i.e.
Quality
Consistency across the Production Process
Identifying avenues for continuous improvement
Centre(s) of Excellence
Small Units to test Manufacturing improvements
Better Cleanliness and tidiness at workplace
Increased productivity and commitment within the workforce
Culture Change
Create an environment where employees take ownership
workshops for managers, union representatives and line workers
Increasing participation and empowerment
Improve decision making processes
Quantitative Indicators
Volume
Profits
Revenues
Qualitative Indicators
Employee Morale and Motivation Levels
(via Surveys, Employee Evaluation Reports etc.)
Customer Feedback
(via Surveys etc.)



Significant Improvement in Profitability
Year Profit Before Tax ( millions)
2010 51
2011 1115
2012 1507
2013 1675
17
Employee Morale
Surveys/Employees Feedback
Employee Evaluation Reports
Employee Trainings

Customer Feedback
Surveys (Largely Internet Based)
Feedback from Dealers as they are a direct link with
customers



Amir