7 Improving quality and improving profitability

上海马勒热系统有限公司2021-01-01 16:51:08

All the employee of Shanghai MAHLE Thermal Group:


Fact of life tells us that the non quality could bring an enterprise huge losses.  A company of MAHLE Thermal Group in Europe made a product engineering change and this lead to huge after-sales claims!

MAHLE Thermal Group requests globally all the locations that must do the following: 


  • Any product cost optimization requires an Engineering Change Request(ECR) and a fair risk assessment,

  • Strengthen preventive quality within the development process,

  • Changes require 4 eyes principle and manager sign off (cross functional involvement with all changes to insure customer protection and protect ourbusiness),

  • Inform customers about each and every change,

  • Make sure that products and processes are always fully validated,

  • Discussions and agreements with customers should be well documented,

  • Be faster in processing any quality concerns or issues.



  • Any process change requires a fair risk assessment and customer information about the changes,

  • Take care for maintenance,

  • Stick to control plans,

  • Improve mindset and awareness.

Besides the quality mind-set program which is runningglobally, in order to improve the financial situation of 2017 and to bring thesituation to the normal state in 2018, Mahle Thermal Group launched a urgentprogram Profitability Improvement Thermal - ProfiT. Firstshort-term actions implemented with immediate effect.

Major counter measures:

  • Hiring freeze for indirect headcount (exceptions to be approved by Management Board),

  • Reduction of travel costs by > 30 %,

  • Reduction of training costs by > 30 %,

  • Reduction of cost center costs by > 10 %,

  • No more catering during internal meetings,

Plant improvements:

  • Global support and steering committees for specific plants,

  • Focus on launch management,

  • Scrap reduction program, also across plants and regions (e.g.condenser),

  • Optimizing the inventorySUT -2 day vs.Budget.


  • No non-contractual price reductions,

  • Consequent claiming towards customers in terms of material prices or when e.g. volumes are below or above the contracted range,

  • Past Dues  ≤ 4.0%.

2017 SMTS Group is doing the business quite well in China Market, in the fourth quarter we expect quite high market demand. In name of top management, I thank you all for your effort. As a member of MAHLE Thermal Group, SMTS Group will actively implement the spirit of the measures to make more contribution to the group!


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