GM's Oshawa #1 is Most Productive Assembly Plant in North America

Most improved manufacturer for last five years; improves 22 percent

DETROIT– The General Motors Corp. Oshawa #1 plant in Ontario, Canada is the most productive vehicle assembly plant in North America, according to “The Harbour Report North America 2005.” Oshawa #1 took the No. 1 spot with 15.85 hours per vehicle. In total, GM has three of the top five assembly plants.

GM also leads in seven of the study’s 13 vehicle segments, three of them in cars and four in trucks. GM is the most improved manufacturer for the last five years at a total rate of 22 percent.

In addition, GM’s stamping operations improved productivity by 2.7 percent. The company’s Marion, Indiana plant led in major progressive pieces per hour (PPH) equipment productivity and the Lansing, Mich. plant led in transfer press PPH equipment productivity. In powertrains, Flint Engine North was the most productive 6-cylinder OHV engine plant in the industry at 3.52 hours per unit.

“Our manufacturing productivity is a critical piece of our ability to compete in today’s fierce market place,” said Guy Briggs, GM group vice president for Manufacturing and Labor Relations. “We are pleased with the results of our Oshawa #1 assembly plant and continue to implement strategies that will improve manufacturing productivity in all our facilities.”

“Everyone at GM, including our Union partners, management and employees, are focused on working hard together to make GM a more successful company. We will continue to improve our productivity and efficiency in order to further improve our competitive position in the market,” Briggs added

"The fact that overall productivity at GM has improved 22 percent over the past five years affirms that our joint approach significantly enhances GM's manufacturing productivity," said UAW Vice President Richard Shoemaker. "Yet, even with GM's notable improvements in 2004 as seen in the Harbour report," Shoemaker added, "additional progress is definitely possible and necessary."

The world’s largest automaker’s efficiency gains have also been fueled by the company’s continued improvements in product quality.

“GM’s productivity improvements are closely tied to our quality commitment,” said Briggs. Two weeks ago, GM received the Gold, Silver and Bronze plant quality awards in North / South America in the J.D. Power and Associates 2005 Initial Quality Study (IQS) and also received numerous vehicle segment quality awards in both J. D. Power IQS and Strategic Vision’s 2005 Total Quality Index TM. “ Oshawa #1 is a prime example in that it is not only the most productive plant in North America, but also number two in initial quality, right behind Oshawa #2.”

“Despite recent challenges, it is obvious that GM’s manufacturing organization has maintained its focus,” said Ron Harbour, president of Harbour Consulting. “More than two-thirds of GM’s assembly plants show year-over-year improvements, and that is very impressive, particularly given the environment the company is operating in.”

Some of GM’s productivity highlights according to Harbour include:

At 34.33 total labor hours per vehicle (including assembly,

stamping, engine and transmission manufacturing), GM improved its overall manufacturing productivity by 2.5 percent.

GM has three of the top five most productive vehicle assembly plants in North America.

Oshawa #1, Ontario, was ranked #1 at 15.85 hours per vehicle.
Oshawa #2, Ontario, was ranked #4 at 17.47 hours per vehicle.
Lansing M, Mich., was ranked #5 at 17.53 hours per vehicle.

GM vehicle assembly plants led in seven of 13 North American assembly plant segments:

Lansing M, Mich., was the industry’s most productive compact car plant at 17.53 hours per vehicle.
Oshawa #1, Ontario, was the most productive midsize car plant at 15.85 hours per vehicle.
Lansing Grand River, Mich., was the most productive luxury car plant at 24.11 hours per vehicle.
Moraine, Ohio, was the most productive midsize SUV plant at 20.73 hours per vehicle.
Arlington, Texas, was the most productive fullsize SUV plant at 22.39 hours per vehicle.
Fort Wayne, Ind., was the most productive fullsize pickup plant at 19.86 hours per vehicle.
Wentzville, Mo., was the most productive large van plant at 24.41 hours per vehicle.

General Motors Corp. , the world’s largest automaker, has been the global industry sales leader since 1931. Founded in 1908, GM today employs about 321,000 people around the world. It has manufacturing operations in 32 countries and its vehicles are sold in 200 countries. In 2004, GM sold nearly 9 million cars and trucks globally, up 4 percent and the second-highest total in the company’s history. GM’s global headquarters are at the GM Renaissance Center in Detroit. More information on GM can be found HERE.