6 / January / 2009

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Materials Handling

Materials Handling

NACCO Material Handling Group

 

NACCO Material Handling Group (NMHG) is a world leader in the manufacture of fork lift trucks under the Hyster and Yale brand names. In Europe the Company has production facilities in Northern Ireland, Holland, Italy and at its European HQ in Irvine, Scotland. The Company has a philosophy of continuously improving quality, customer service and internal performance.

 

Recognising that its key competences are in product development, final product assembly, marketing, sales and distribution, the Company actively sources components from suppliers in all parts of the world. In 2000, NMHG decided to research the possibility of soucing high quality, lower priced forgings, castings and welded steel components from Central Europe. The Company turned to Alpha for this initial research. A number of potentially suitable suppliers were identified in the Czech Republic.

 

Alpha was commissioned tofollow up on this sourcing research in a number of ways including:

  • Evaluating the technical, commercial and managerial competences of suppliers

  • Developing a 'target price' negotiating concept

  • Supporting NMHG negotiations

  • Preparing on-going monitoring and reporting procedures

  • Carrying out regular checks on supplier performance

  • Liasing between NMHG Purchasing, Engineering, Production and Suppliers

  • Providing the translation, interpretation, administration needs of the project


In the spring of 2003 and again in 2004, NMHG decided to increase substantially the volume of components sourced in the Czech Republic from existing and new suppliers.


Key factors in NMHG's success in this project are the lower labour costs in Czech Republic, the ease of transportation of components to NMHG sites and available support from Alpha .


For details of NMHG and its parent company NACCO, see www.nacco.com



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