Annual Report 2012 - Knorr-Bremse AG.

Report
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GPE – optimization of purchasing
Supplier management is a key success factor in the Knorr-Bremse value chain. All measures for the
further improvement of supplier management are grouped together in the Global Purchase Excellence
program. Once again, in 2012 work continued to systematically improve various processes and
methods as well as resource conservation, with a view to driving up the efficiency and quality of all
products worldwide. In the year under review, sustainability aspects were also given more intensive
consideration in the purchasing structures of the Group and supplier selection was enhanced in accordance
with the principles of the UN Global Compact.
SCE – improved logistics performance
In 2012, the Supply Chain Excellence (SCE) project again focused on the global development and
harmonization of logistics performance levels throughout the Group. In both divisions, further progress
was made with the optimization of processes over the entire supply chain and flexibility was
again improved. The measures taken respond to the steadily mounting challenges faced as a result of
the growing importance of the BRIC countries, with their longer supply chains and more volatile demand
behavior. Experience at the 5-day factory operated by Knorr-Bremse Rail Vehicle Systems in
Budapest and the value stream factory of Knorr-Bremse Commercial Vehicle Systems in Liberec
proved especially valuable in this context. This experience was utilized systematically in the planning
and implementation of further plant optimization and construction projects, and played a key role in
the enhancement of the global Knorr-Bremse production and logistics network. The 5-day factory
not only sets new standards within the Group; in 2012 it also received an award in the Outstanding
Value Stream category of the renowned industrial competition Factory of the Year.