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Renault - Direction de la communication / Corporate Communications
November 4, 2010
THE SUPPLY CHAIN, A VITAL COMPONENT IN RENAULT
PERFORMANCE
The purpose of the supply chain is to deliver vehicles to each customer, respecting Renault quality standards, on time and at the best price. It sequences the movement of parts from suppliers to plants and the movement of vehicles from plants to dealerships. It also serves to program production levels at plants while optimizing inventory levels in line with sales demand. The Global Supply Chain Department, DSCM (Direction de la Supply Chain Monde), was set up in 2008, replacing the Logistics Department, with a view to optimizing Group performance.
The DSCM has decreased late deliveries by 30% in the last two years.
Damage caused by transport operations has fallen considerably, with observed defects decreasing 40% between 2008 and 2010.
The DSCM has also generated major reductions in costs. The global cost of the supply chain fell 9% between 2006 and 2009. In 2010, Alliance synergies are expected to save €130 million for Renault and Nissan.
During the crisis, the DSCM drastically reduced stock levels, through continued reprogramming of production at sites. In addition, logistics – concerning physical shipments – was pooled with Nissan through the Alliance in order to identify, produce and share synergies.
The supply chain continues to prepare for the future by developing its working relationship with Nissan through the Alliance.
1. The remit of the supply chain at Renault: a cross-cutting, global function
2. Significant progress in the last two years
3. An essential role during the crisis
4. The Alliance as a source of economies of scale and synergies
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1. The remit of the supply chain at Renault: a cross-cutting, global