Frank Fischer. Volkswagen Group of America Chattanooga Operations LLC Press Conference Tuesday, June 23 rd 2009

Transcription

1 Volkswagen Group of America Chattanooga Operations LLC Press Conference Tuesday, June 23 rd 2009

2 Welcome to the Volkswagen Visitor Center Compact on-site meeting facility with 900 sq. ft. Perfect view over construction site Little brother" of future Welcome Center

3 Global passenger car market development million Anzahl units Fzg. [in Mio.] 6,5-20,6% ,8% ,7% ,0 Gesamtjahr: Total: million 59,17 Mio. cars Fzg. Gesamtjahr: Total: ,73 millionmio. carsfzg. Gesamtjahr*: Forecast: ,99 million Mio. cars Fzg. 5,5 5,0 4,5 Overall sales down, but recovering in spring ,0 3,5 Month Monat 3-monthsaverage 3-Monats-Ø Erwartung 3,0 Jan Feb Mrz Apr Mai Jun Jul Aug Sep Okt Nov Dez Jan Feb Mrz Apr Mai Jun Jul Aug Sep Okt Nov Dez Jan Feb Mrz Apr Mai Jun Jul Aug Sep Okt Nov Dez K-VM-V, Berichtsstand: (Mai Erw.) * Vorgriff Juni-Planung

4 Volkswagen remains solid vs. world market JAN-MAY No. of units in 2009 Change in percent Volkswagen Group: Europe 1,338, including Germany 496, North America 179, South America 316, Asia-Pacific 580, Africa & Middle East 76, Global sales 2,491, Compare to: World market 20.3 Mio

5 Total Industry Development USA 2009 Year-to to-may 2009 May Volkswagen Subaru BMW Honda Kia Nissan Mazda Hyundai Toyota Suzuki Ford GM Mitsubishi Chrysler Daimler Total industry -15.5% -1.8% -30.5% -34.4% -6.8% -34.7% -33.0% -7.9% -39.2% -56.4% -36.5% -41.7% -52.3% -46.3% -28.7% -36,5% -12.4% -5.0% -27.8% -42.0% -16.1% -32.5% -40.1% -20.4% -41.2% -75.1% -24.2% -28.7% -58.3% -46.9% -33.4% -33.7%

6 Current Status June 2009 April 20 th May 9 th May 14 th June 8 th June 8 th June 19 th June 24 th Start of Prototype Assembly Construction of the Training Center started "Wall Raising Ceremony Roofing of the paint shop started Reached halfway point with erecting columns and steel for the paint shop Order placed for Equipment of Paint Shop First column of VW Academy

7 The four columns of the project Chattanooga Operations OEM Tier 1 Tier 2 Tier 3 Product Plant Sourcing People Administrative Functions

8 The New Midsize Sedan Virtual checks for parts fitting 3P product workshops Start of building prototypes Pilot Hall tracking

9 Prototype assembly in Wolfsburg

10 Chattanooga Plant All Buildings under construction Color concept Ordering process in progress

11 Site, June 2009

12 June 2009

13 Paint shop equipment order placed EISENMANN

14 GREEN CITY - GREEN PLANT - GREEN CARS Green Paint Process: - Volkswagen was first to use water-based coating in passenger car series production and made it an industry standard - Wasteless paint color change - Process 2010 will reduce CO 2 emissions within paint drying process by 20 percent - "Dry scrub reduces use of water

15 Logistics plan for the Chattanooga plant RED = Confirmed Streets YELLOW = Planned Streets BLACK = Spots for produced vehicles Rail Ramp gut 85 % of the vehicles produced to be transported by rail Wagon storage ORANGE = Railroad Tracks Parts will be delivered by rail and trucks

16 OEM Tier 1 Tier 2 Tier 3 Supplier Park N Presentation with 30 possible interested parties Formulation of the specifications; Identifying of possible components Supplier Park Assembly 3. Selection of 12 possible Partners for further negotiations Question & Answer session Body Shop Paint Technical Center 5. Offer negotiations and clarification of questions relating to the specifications with 5 interested parties 6. Now: bidding process and further negotiations

17 Program Readiness Logistics Sourcing Tooling Quality Assurance R & D Supplier Integration Day takes place in Chattanooga in 3 rd quarter

18 Supplier Integration Day in 3 rd quarter 2009 Suppliers will be informed on Volkswagen quality standards and strategies Detailed information to help suppliers reaching the high quality standards Cars prepared with hidden quality problems displayed to create required awareness

19 Human Resources status More than 18,000 applications received Hiring for salaried positions continues to accelerate through 2009 Construction of Volkswagen Academy started The 100 th Employee is on board now

20 Volkswagen Group of America Chattanooga Operations LLC - HIRING PROCESS - Herbert Jagla, Executive Vice President Human Resources

21 The Hiring Process at Volkswagen Professional/Salaried (on going) Frank Hans-Herbert Fischer Jagla To Date Manufacturing Engineering Finance Logistics Quality Assurance Purchasing Pilot Hall Technicians (process began in June) Development of prototype and trial vehicles Skilled Maintenance Next - Steps Information Technology Applications Summer 2009 Hiring to being Fall 2009 Production Human Resources Applications Late Fall 2009 Hiring to being Early 2010

22 Selection Process for Production Application Apply online from home or at designated locations (e.g., Career Centers) Pre-screening Qualifications, Experience Matching of Preferences Realistic Job Preview Onsite Testing/ Assessment Computer-based Testing Physical Manufacturing Simulation Improvement Exercise Interview Face-to-face with VW management Structured process Frank Hans-Herbert Fischer Jagla

23 Volkswagen selection process 1. Application over 100,000 expected to apply 2. Pre-screening 3. On-site Assessment/ Testing 4. Volkswagen Interview 5. Conditional Offer 6. Physical examination and drug screen 7. Pre-hire Training 8. Job Offer Frank Hans-Herbert Fischer Jagla 2,000 Hires

24 Hiring Timeline June 2009 Summer 2009 Fall Sourcing Hire Sourcing Hire Sourcing Hire Frank Hans-Herbert Fischer Jagla

25 What happened so far? Decision Advisory Board Meeting Founding of the Volkswagen GoA Chattanooga Operations LLC Start of construction Philanthropic commitment First column st Wall Raising Visitor center

26 Timeschedule Plant Chattanooga Today Ground preparations Construction of buildings Installations of all Equipment SOP Full System Trial

27 Thank you for your attention!