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2008 Harbour Report: Jeep Ties Toyota in Plant Efficiency

Efficiency is a hot topic these days. Usually it refers to how many miles a car can driver per gallon in the tank, but in this

The Toledo plant, where the Wrangler is built, takes the least amount of time to produce a vehicle. (Photo: Jeep)

particular instance it refers to the efficiency of the plants that are putting said cars together. This year's edition of the Harbour Report suggests that the gap between domestic and foreign automakers in terms of assembly plant efficiency has narrowed significantly as measured by the number of hours it takes to build a vehicle.

The big surprise was at the top of the charts, where Chrysler tied Toyota for the number one spot in manufacturing productivity, consisting of assembly, stamping and engine and transmission; all in all both manufacturers take 30.37 hours to build a vehicle from start to finish. The most efficient plant in North America is the Toledo Supplier Park plant, which takes 13.57 hours to crank out a Wrangler. Second place was Oshawa (Canada) Plant No.1, which takes 15.18 hours to assemble an Impala.

Other award winners include the Toyota Georgetown plant for Stamping, GEMA (Chrysler, Hyundai, Mitsubishi) for Engine, and GM Toledo for Transmission.

Oshawa No.1 finished a close second; it builds the Impala. Profit per vehicle, on the other hand, is a different story. (Photo: Chevrolet)

Both Ford and GM posted improvements, the latter marking its 15th consecutive year of improved performance for overall efficiency. Toyota was noted for its environmentally friendly actions (most recycling, energy efficiency).

Interestingly, all of the plants that GM announced it would be closing (including those slated for shutdown prior) were ranked on Harbour's list, leading 11 of the 20 segments it competes in for efficiency.

Efficiency doesn't always equate to profits, though. The big three all posted losses per vehicle constructed, ranging from $412 to $1,467 from Chrysler to Ford. By contrast, Honda and Nissan earned the biggest profits of $1,641, with Toyota earning $922 per vehicle sold.

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