Audi México opens Just-In-Sequence supplier park in San José Chiapa
Audi's recently opened plant in Mexico is setting global standards, also with its supplier park.
The new JIS (Just-in-Sequence) Park next to the Audi plant in San José Chiapa, Mexico, has the advantage of short distances between production and suppliers. Seven suppliers and providers of logistics services have already set up operations there. The new JIS Park will create some 1,000 jobs.
During the inauguration of the new supplier park, Dr. Bernd Martens, Member of the Board of Management of AUDI AG for Procurement, stated: “The supplier park is an important element of our localization strategy. The short distances will foster rapid communications, efficient processes and smooth logistics.”
The JIS Park was developed together with O’Donnell México. “The supplier park right at the doorstep to the new Audi plant was a unique opportunity for us. Here we could improve our clients’ competitiveness by establishing perfect infrastructure and advanced supply-chain logistics,” said David O’Donnell, the president of O’Donnell México.
Construction of the new JIS Park started in late 2014. With the start of production of the Audi Q5 SUV just two years later, Audi and its partners have laid the foundations for the success of the new model. Short distances from the suppliers’ halls into Audi’s production plant not only ensure the punctual delivery of parts for the mid-range SUV but they also help to conserve resources and reduce the burden on the infrastructure in the region. As the park was planned at the same time as the new plant, the supply processes run extremely smoothly. A total of 1,000 jobs are to be created in the new JIS Park.
So far, seven Audi partners have moved into the new JIS park. They are:
- Faurecia ET
- Thyssen Krupp Automotive
- Truck and Wheel
- TI Automotive
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They will supply components just in sequence to the Audi assembly line, following the sequence of clients’ orders. In the first stage, the JIS Park covers an area of 26 hectares (60 hectares of total area).
The suppliers’ halls in the park are some of the 60 greenfield and brownfield projects that the Audi plant has brought to the country with the new plant. In all, more than 100 suppliers supply components for the new Audi Q5 from locations in Mexico. At the start of production, the company receives more than seventy percent of the purchased parts and components from suppliers in the NAFTA region.