Friday, March 8, 2013

Today's Pick (19/02/13/29/954) Rationalisation of Proton vendors showing result


Rationalisation of Proton vendors showing result

ONGOING: Carmaker continues looking at ways to make it leaner and more efficient 




PROTON Holdings Bhd has seen some positive, initial impact from the rationalisation programme of its vendors.

Proton deputy chief executive officer Datuk Lukman Ibrahim did not elaborate on the "positives", saying the rationalising is still ongoing.

The move is part of the national carmaker's overall restructuring to make it leaner, and more streamlined and efficient.

It is looking at all aspects of operations, especially in the QCD category (quality, competency and delivery areas).
"Positive impact is starting to show but we are still looking at how to rationalise our vendors so that the entire ecosystem can support Proton in a better way," Lukman said after DRB-HICOM Bhd's Chinese New Year open house celebration here yesterday.

Proton is a wholly-owned subsidiary of DRB-HICOM.

Lukman said Proton is seriously looking at ways to bolster the competitiveness of its vendors because their strength and weaknesses correlate directly with Proton.

"Whatever grant that the government gives, we will use it to support the vendors," said Lukman.

On the possibility of Proton vendors collaborating with those of Perusahaan Otomobil Kedua Sdn Bhd, Lukman only said any partnership will be good as it will allow the vendors of both carmakers to reap economies of scale.


It was reported earlier this month that the Malaysian Automotive Institute, Proton, Perodua and the International Trade and Industry Ministry would cooperate in the rationalisation of the local automotive supply chain to make it more efficient and competitive.

They will find ways to explore possibilities in streamlining the vendor system to reap synergies and the economies of scale for the vendors.


Meanwhile, Lukman said Proton is set to launch a new model this year. 

Source: The Star
Date: 19 Feb 2013

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