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Australia Samvardhana Motherson Reflectec’s Internal Newsletter August, 2014 A WORD FROM THE GENERAL MANAGER Our world is changing and so are we. It was only 8 years ago that we were hitting record numbers in relation to our sales. Our domestic automotive was strong and we had just launched the P356 mirror. How things have changed quickly. 2015 and 2017 will be years of great change for us. By December 2015 the jewel in the SMR crown, our beloved truck mirror, the product that has served us so well will end an 18 year run for our business. This product will continue to be manufactured at our sister company in North America. This mirror has been a magnificent success story for our business and also to SMR. A tribute to our Australian know-how, innovation and strong approach to quality. The future state of the Australian automotive inductry has already been well documented in the media. By December 2017 all local manufacturing will cease and over the next 3 years we need to prepare for this. With this in mind and along with the ceasing of the truck mirror will require us to restruture our business significantly. The P473 product, and other previous truck products were not developed overnight but were part of an evolution of design and development that started with plastic car mirrors and motor mechanism development. We have a great history of innovation. It’s this innovation that we should all be proud of, this is the heart of our business and part of our DNA. Taking this approach to new products and finding the best way is what will stand us in good stead for the future. We have been working hard on new surface coatings as a result of our plastic glass process and are well down the track with new global customers and new products involving advanced surface coatings (AST). With automotive on the decline here in Australia those companies who are tied into this industry are actively seeking strategies and ways to diversify. Companies that are only just starting to do this may run out of time. THIS EDITION… A word from the GM In The Mirror Manufacturing Operations Development SMR Global News Employee Suggestion Scheme Factory Lighting Project Workplace News Winter Warmer Recipe

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Page 1: Australia - Motherson Sumi Systems · PDF fileAustralia Samvardhana Motherson Reflectec’s Internal ... We have to keep pushing our ability to develop new technologies and ... SMR

Australia Samvardhana Motherson Reflectec’s Internal Newsletter August, 2014

A WORD FROM THE GENERAL MANAGER Our world is changing and so are we. It was only 8 years ago that we were hitting record numbers in relation to our sales. Our domestic automotive was strong and we had just launched the P356 mirror. How things have changed quickly. 2015 and 2017 will be years of great change for us. By December 2015 the jewel in the SMR crown, our beloved truck mirror, the product that has served us so well will end an 18 year run for our business. This product will continue to be manufactured at our sister company in North America. This mirror has been a magnificent success story for our business and also to SMR. A tribute to our Australian

know-how, innovation and strong approach to quality. The future state of the Australian automotive inductry has already been well documented in the media. By December 2017 all local manufacturing will cease and over the next 3 years we need to prepare for this. With this in mind and along with the ceasing of the truck mirror will require us to restruture our business significantly. The P473 product, and other previous truck products were not developed overnight but were part of an evolution of design and development that started with plastic car mirrors and motor mechanism development. We have a great history of innovation.

It’s this innovation that we should all be proud of, this is the heart of our business and part of our DNA. Taking this approach to new products and finding the best way is what will stand us in good stead for the future. We have been working hard on new surface coatings as a result of our plastic glass process and are well down the track with new global customers and new products involving advanced surface coatings (AST). With automotive on the decline here in Australia those companies who are tied into this industry are actively seeking strategies and ways to diversify. Companies that are only just starting to do this may run out of time.

THIS EDITION…

A word from the GM

In The Mirror

Manufacturing

Operations Development

SMR Global News

Employee Suggestion

Scheme

Factory Lighting Project

Workplace News

Winter Warmer Recipe

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Australia Samvardhana Motherson Reflectec’s Internal Newsletter August, 2014

The future of Australian manufacturing will be in the hands of those companies that have the ability to diversify and provide a technological advantage that can fill a space in a global supply chain. This is where we come in. We are not only diversifying out of automotive, for example our Re-timer product, but we also have plans to diversify within automotive by supplying completely new products to new customers in Europe and North America. Our focus on product development in coatings and lighting will provide us with opportunities that enable us to be a sustainable business post 2017 and the closure of automotive manufacturing in Australia. We are continuing to invest in new plant and equipment, as can be seen with the recently installed Kolzer metaliser and 2 new lamp assembly cells and we have just placed an order for a new 2 component moulding machine due for delivery early next year. All this is great, but we still need to be competitive. Australian manufacturing as a whole is under pressure because of high costs, constrained productivity and the high Australian Dollar which is very slowly moving down against the US Dollar. So we need to be vigilant in keeping our costs contained over the coming years, remain a part of global markets and return margins that keep us profitable. Our future is in our hands. We have to keep pushing our ability to develop new technologies and leverage our position in a global company that wants our technology to sell to its customers. To do this we must continue to innovative, excel in new product and process design and have a strong focus on quality and continuous improvement. Only staying strong and being together can we make it happen! Best Regards, John Scott

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Australia Samvardhana Motherson Reflectec’s Internal Newsletter August, 2014

Cell 9 – Commissioned and in production

IN61 - Moulding Auto Pack Stations using Robotics

IN THE MIRROR

Name: Krunal Shah Department: Electronics (875) A bit from Krunal about himself and his work at SMRA: I enjoy holidays and spending time with my wife and family. I’m very excited as our first child is due in October this year. How long you have been at SMR? 4 and a half years What work/departments you have been involved in? All my time has been in electronics. What does a typical day at SMR look like? Getting my team motivated, checking first offs and making sure everyone is doing what what’s expected of them. What you most enjoy about the work? Soldering, training and helping people, assisting Chris Morisson, learning new tasks every day, and some aussie slang from my colleagues.

Anything else you might like to share to give people a greater insight into who you are, what you do and what you are about? I’m an easy to approach, caring, honest worker and I believe in quality second to none. OPERATIONS – INVESTING IN THE FUTURE The demise of the local automotive industry is well documented and understood and by late 2017 there will be no domestic vehicles produced by Ford, Holden or Toyota. But looking at the positive for the future SMR Australia’s intercompany business within Lamps continues to grow and by 2017 our biggest customer will no longer be Ford or Toyota it will be “SMR”. But what is very clear is we need to continue to improve our quality and our cost base to remain the supplier of choice. We currently have a number of quality issues around the globe that we must resolve and ensure we supply “best practice, world

class” products to our customers. Cost competiveness is also

becoming more and more scrutinised. We are under constant pressure to improve our sell prices closer to those offered by low cost countries. There has been a number of Lamp programs recently won that will commence manufacture over the next year or so. They include Nissan H61L, GM E2SC Malibu, Aston Martin VH500, Cadillac C1UL and Camaro A1AC. Our strategy to grow our Lamp business requires commitment from group to invest in the plant and introduce and improve our equipment to meet capacity and improve our cost base. A new

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Australia Samvardhana Motherson Reflectec’s Internal Newsletter August, 2014

2K Moulding Machine – On Order and due for delivery early 2015

Lamp cell has recently been commissioned (Cell 9) which incorporates a new Vibration Welder and Tester. The new “Kolzer” Metaliser has been installed in the Clean Room and will replace the old “Alumet”. This equipment is larger so holds more parts and a much faster cycle time to increase output. Within Moulding there are a number of projects to implement “auto-pack” stations by utilising the robot to automatically pack into trays. One machine is now complete with two more in progress and approval pending to complete a further five machines this year.

Last but not least SMRA has been awarded a Federal New Markets Grant to further develop our coating and lighting technologies. This funding has allowed us to place an order on a new “2K” moulding machine that will be used to produce the Aston Martin VH500 Lamp and also used for the development of potential “Advanced

Surface Coating” products. This machine will arrive early in 2015 and be installed in the Clean Room next to the Plastic Glass moulding machine. Many people have worked very hard to present, justify and implement these projects and I thank you all. We now as a team need to ensure we maximise the benefits of the investment and keep striving for more! Regards Andrew Naffin

Metaliser Planet

Metaliser – Installed in the Clean Room

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Australia Samvardhana Motherson Reflectec’s Internal Newsletter August, 2014

SMR QUALITY FOCUS In recent months we have had a significant shift in our quality performance, for the worse. There is no one product group which is responsible for this shift, there are problems with many of our products. There are many reasons for poor quality, some due to design related issues, some to equipment related issues but the most frustrating ones are those which could have been avoided and are repeats. To highlight some of these problems, here are some examples:

1. We supplied Toyota with a mirror without a scalp 2. We supplied lamps to the UK with bubbles in the clear mouldings 3. We supplied door handles with insufficient paint coverage 4. We supplied a local mirror with the wrong coloured scalp

And there are more. Clearly, all of these problems are avoidable, they are all visual problems not functional, which could have been prevented with more attention to detail paid. We have our Engineers working to resolve many complex problems with various products but these avoidable problems detract from their focus and create unnecessary workload to manage with the customer. Quality is all of our responsibilities, without exception, and every employee must make a contribution to improving our quality. High levels of quality performance are absolutely crucial to our longevity as a business and to ensure we secure new business moving into the future. Here’s how we do it:

Every operator must make sure that they are appropriately trained on the job that you are doing and that you are following the SWI. Every supervisor must ensure that they are apportioning a considerable amount of time to auditing both product and process and supporting the operators in the team. This includes ensuring team members are correctly trained. All support staff and engineers must ensure that we get to the root causes of problems and permanently fix them so that they never reoccur.

If any of these are not happening then please escalate the issues and do not allow poor performance to become the norm. We appreciate the dedication and support of all our employees to uphold a committment of improved quality to our present and future customers. Tony Bond Quality & Improvement Director

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Australia Samvardhana Motherson Reflectec’s Internal Newsletter August, 2014

SMG RANKS 40 IN TOP 100 GLOBAL AUTOMOTIVE SUPPLIERS In the latest edition of Auto NEWS, PwC has collated the world’s largest Automotive Suppliers and ranked them based on sales of original equipment parts for 2013. Samvardhana Motherson Group has ranked 40th on a long list of prestigious suppliers confirming our position as a significant competitor in the global automotive supply network. Despite the local closures of Holden, Ford and Toyota it’s important to keep in perspective that global automotive manufacturing industry is stronger than ever. In 2013 over 87 Million vehicles where manufactured globally, in ten years this number has grown by 27 million vehicles. SMR Automotive Australia is an important member of the global supply chain for O.E.M.’s and sister companies alike. Considering the thousands of automotive suppliers globally, to be ranked 40th is an incredible achievement that we should all be proud to have contributed to. Oliver Gibson

GERARD STARBURST CRYSTAL LIGHTING In yet another first for SMR Australia, in 2013 our engineering team was contracted by Australian company Gerard Lighting to develop their latest range of LED low power, downlights. The challenge was to create a high efficiency LED product, but replicate the Halogen “look”. Gerard Lighting chose SMR Australia as their design partner due to our leading engineering capability in lighting design, simulation and prototyping. Whilst SMR will not manufacture this product, it is fantastic to see the capability of our engineers on display in a class leading commercial light. Gerard Lighting have confirmed that the Pierlite branded product has been a roaring success since being launched in April 2014, and they are talking with us about new product innovations. So, if you are looking to replace your old halogen downlights, consider the Pierlite Starburst Crystal ECO range… with optics designed and engineered by SMR Australia. Sam Vial

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Australia Samvardhana Motherson Reflectec’s Internal Newsletter August, 2014

DID YOU KNOW THAT SHIFT WORKERS GET 2 TO 4 HOURS LESS SLEEP ON AVERAGE? Re-Time have recently made a greater push to appeal to people currently in shift worker positions both here in Australia and globally. According to the Australian Bureau of Statistics there are over 1.4 million usual shift workers employed in Australia. All of whom operate on less sleep than those working regular hours. It’s with this message that Re-Time has developed their latest marketing communication outlining the key benefits of the Re-Timer. Re-Time have outlined how improvements to peoples sleep patterns can lead to an overall improvement to social lives, safety getting to and from work, and improved focus whilst at work. It’s hoped that Re-Time will be able to substantially grow within the shift worker segment given the significant benefits it could provide its user. If you have personally utilised the Re-Timer to aid in symptoms derived from shift work, please contact Oliver in Marketing as he would appreciate any and all feedback ([email protected]).

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Australia Samvardhana Motherson Reflectec’s Internal Newsletter August, 2014

EMPLOYEE SUGGESTION SCHEME

The Employee Suggestion Scheme is once again open for all SMR staff to contribute towards. This initiative has been very successful in the past and brought about changes that drive efficiency and cost saving within the business. Entries are judged quarterly, with the the first round being judged in July. There were some very thoughtful entries and close competition for the top 5 places. The results for the last quarter saw Craig Thiele from Moulding take out the top prize, congratualtions Craig! The top 5 place getters are listed below, along with the theme of their suggestion.

Employee Suggestion theme Place

Craig Thiele Labour utilisation 1

Tim Orchard Work area layout 2

Andrew Henderson Labelling inefficiency 3

Craig Osborne Tool Identification 4

Melissa Hughes Production records 5 Winners will receive a coles gift voucher ($100 for first and second place, $50 for third, fourth and fifth) and there is no limit to the number of entries you can contribute, providing they are realistic and well thought out. For more information, please talk to your supervisor and request a submission form.

REMINDER!

Don’t forget that you can save money using the employee benefits card and support local southern businesses at the same time. If you don’t have a card, head up to the HR office and ask for one. Discounts are available for produce, baked goods, flowers, jewellery, car tyres, event planning and home wares.

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Australia Samvardhana Motherson Reflectec’s Internal Newsletter August, 2014

Out with the old and in with the new!

SMR LIGHTING PROJECT Hi All, Well the new factory lights are up and running. We now have 230 High Output 4 x 54w Fluro fittings up in the roof which have replaced the 320 x 400W Metal Halide and Mercury Vapour lights that we used to have. The project scope was to have a light system that saved money and gave a good general light to all the plant. Task specific and inspection areas would then get their own personal light just above where the work was to be performed. This is a significant savings if all the new lights are running they would use about 53kW of power all of the old lights used to consume 144kW so that’s like turning off 40 fan heaters and we all know how well they make the meter spin! Overall on an annual basis we are looking to save around about $120,000 per year in electricity. Already we have noticed about a 10% drop in our last 3 monthly power bills (compared with the same month last year) that is not just from lights but a collection of different “Green” measures that have been implemented. We also now have switches in only 4 locations and automatic control that shuts down certain lights a short time after the normal shift ends. Overtime and things like that

can be accommodated by simply pressing the button for that area and you will get 4 or 8 hours of lights on before they again switch off automatically. These lights also tick the safety box. Unlike the old lights which took time to warm up (and if you did turn them off they had to cool first for about 10mins before they would restart) these lights come on instantly and they are programed to ramp down for a few seconds so that you know they are going to go off before they go out fully. In the event of small “brown out” when the power just flickers for a few seconds the main lights will be back on as soon as the power is restored. The system has a main control box that “talks” to all of the lights and light switches. Our contractor has programed the areas and the on and off times for now but I’m due to do some training to make sure that future moves on the floor can easily be duplicate in the roof. Lights can be grouped and assigned to switches as well as programmed to go on and off or dim at different times of the day. For the future we need to revamp a few lights over the top of work areas we are trying LED batten fittings and then think about the clean room precinct and offices. If you have any questions or ideas please let me know. Darren Smith

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Australia Samvardhana Motherson Reflectec’s Internal Newsletter August, 2014

WORKPLACE NEWS

Social Club Coming Up….. With Father’s Day coming up in September, the Social Club is putting together some fantastic gifts you can win for your dad or keep for yourself! Look out for the flyers on the noticeboards and for members selling tickets. You have to be in it to win it! With the silly season fast approaching, the Social Club has secured the following exciting event to look forward to:

Santa’s Workshop Saturday Night 13th December 2014 Adelaide Convention Centre Members - $75 per couple (normally $260 per couple). $30 deposit should have been paid to secure your place by now however, if you have not done that, please make sure you see a member (listed below) asap to ensure you do not miss out. If we have tickets left over they will be offered to non-members (at the cost of purchase) so please don’t leave it too long to secure your seats. Final deposits should have been received by Friday 29th August. See Steve Wheeler (Toolroom), Faye Couchman (ECU), Val Willing (Quality) or Lisa and/or Trudi (HR) The Children’s Christmas Party will be held on Sunday 30th November at Greenhills – notices have gone out and need to be returned by 26th September.

Births Domonic Jang, A/S P356 Operator, & his wife Heather welcomed their

1st child, a daughter Hana on 9th June.

Ben Parkinson, N/S P356 Operator, & partner Paula welcomed their 1st child, a son Jace on 4th May

Laurinda Muir, A/S P356 & David Lindsay A/S Plant Services welcomed their 1st child, a son - Mason Colin on 24th April

Margaret Mason, A/S Passenger Mirrors, & Husband Steve welcomed their 2nd child, a daughter - Isla Dawn on 20th June a sister for Jet

Our congratulations to all the happy parents!

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Australia Samvardhana Motherson Reflectec’s Internal Newsletter August, 2014

Olivia Wheeler at Junior Australian National Track Championships

Terri with Lisa McGlennon (left) and Trudi Breton (centre)

Marriages Zach Rees from electronics married Laura Vought in April. They also

welcomed their son Logan into the world in July, weighing a healthy 10lb 10oz! Our best wishes go to the happy couple! We wish them a lifetime of Health, Wealth and Happiness.

Milestones & Success Michael Wheeler would like to thank the SMR Donation

Committee for the financial assistance to help send his daughter to Sydney for the Junior Australian National Track Championships for 2014. She did her state proud with some top five and top ten finishes. Being a first year rider and one of the youngest in her age group, her performances were exceptional.

Krunal Shah in electronics was sworn in as an Australian at the Prospect town hall during July. Krunal was presented with an aussie flag, but still refuses to eat vegemite.

Mani Pikramenos A/S stores, is training hard for his 1st Iron Man competition, the Noosa Ironman to be held in November as well as the Adelaide Marathon on August 24, way too fit!

Terri Davis from HR retired from SMR in August after 34 years of much appreciated work. Terri did a fantastic job making sure everyone got paid on time, which is always well appreciated! Terri plans to keep herself busy by planning and building a new home with her husband. We wish Terri all the best and look forward to a visit soon.

Daffodil Day, 22nd August saw SMR Australia raise over $400 for the Cancer Council! Thanks to everyone who participated!

The bake sale fundraiser for Anne-Marie Pepe held on 25th August raised over $900! We wish Anne-Marie all the best for her journey and a speedy recovery – she will be sorely missed whilst undertaking treatment.

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Australia Samvardhana Motherson Reflectec’s Internal Newsletter August, 2014

WINTER WARMER RECIPE

Roasted Vegie Soup Serves 4 | Preparation 30 mins | Cooking 1 hr 20 mins Ingredients: 1kg Butternut pumpkin, peeled, seeded and cut into 2.5cm pieces 2 large red capsicums, seeded and coarsely chopped 2 red onions, coarsely chopped 4 rashers short-cut bacon, coarsely chopped 400g can diced tomatoes 2 ½ cups vegetable stock 1 tbsp olive oil Spray olive oil Large bakery fresh baguette (sliced diagonally) 120g Goats cheese Fresh basil leaves to serve (Janet Baillie suggests adding garlic salt and Italian herbs to taste) 1. Preheat oven to 180oC or 160 oC fan forced. Line 2 large oven trays with baking paper. Arrange pumpkin,

capsicum and onion on trays. Spray with oil. Roast, swapping trays halfway through cooking, for about 1hr, or until soft and lightly caramelized.

2. Heat oil in a large saucepan over medium heat. Add the bacon and cook, stirring often, for 3 mins or until lightly browned. Add the roasted vegetables, tomatoes and stock. Cover and bring to a simmer, then cook partially covered, for 10 mins. Season to taste.

3. Preheat grill on high. Toast both sides of bread. Spread with goats cheese. Top the soup with basil and serve with the toasts.