In order to further develop the competitiveness and capabilities of the global manufacturing operations and to ensure successful new program ramp-ups, PKC is establishing NPI-centers (New Program Introduction-centers) in Keila, Estonia and Curitiba, Brazil. In North America, PKC Group already has a NPI-center in Acuna, Mexico. The objective of the NPI-centers is to ensure seamless customer program ramp-ups from the early design phases to the final, full mass production phase.
In addition, the NPI-centers can be utilized to introduce new, improved manufacturing processes to PKC and its customers. By having separate centers for NPI operations, PKC Group can also improve its efficiency in manufacturing, customer service and overall competitiveness. The establishment of NPI-centers is expected to be completed by the end of 2013.
Furthermore, PKC Group has decided to close the operations in Ireland and transfer its production to Group’s existing facilities in Torreon, Mexico and Barchfeld, Germany. In addition, PKC Group is studying the options for its metal stamping manufacturing site in Traverse City, Michigan, USA, including the potential sale of the business and its operations.
These measures are expected to be completed by the end of 2013. Currently, Ireland and Traverse City operations employ approximately 70 persons. The related non-recurring items are estimated to be approximately EUR 6 million, out of which approximately EUR 4 million is non-cash related to asset write-down and impairment. The estimated annual savings are approximately EUR 2 million from 2014 onwards .
In order to further develop the competitiveness and capabilities of the global manufacturing operations and to ensure successful new program ramp-ups, PKC is establishing NPI-centers (New Program Introduction-centers) in Keila, Estonia and Curitiba, Brazil. In North America, PKC Group already has a NPI-center in Acuna, Mexico. The objective of the NPI-centers is to ensure seamless customer program ramp-ups from the early design phases to the final, full mass production phase.  In addition, the NPI-centers can be utilized to introduce new, improved manufacturing processes to PKC and its customers. By having separate centers for NPI operations, PKC Group can also improve its efficiency in manufacturing, customer service and overall competitiveness. The establishment of NPI-centers is expected to be completed by the end of 2013. Furthermore, PKC Group has decided to close the operations in Ireland and transfer its production to Group’s existing facilities in Torreon, Mexico and Barchfeld, Germany. In addition, PKC Group is studying the options for its metal stamping manufacturing site in Traverse City, Michigan, USA, including the potential sale of the business and its operations. These measures are expected to be completed by the end of 2013. Currently, Ireland and Traverse City operations employ approximately 70 persons. The related non-recurring items are estimated to be approximately EUR 6 million, out of which approximately EUR 4 million is non-cash related to asset write-down and impairment. The estimated annual savings are approximately EUR 2 million from 2014 onwards .