USA: Delphi consolidates to cut costs and improve service - paper
Delphi Corporation will consolidate product lines in its safety and interior products group into two other operating units as part of another move to improve customer service and cut costs, the Detroit News reported.
The paper said that, from January 1, 2004, occupant protection devices managed by the company's safety and interior products unit will become part of Delphi's Delco Electronics Systems business and the division will be renamed Delphi Electronics & Safety and led by Jeffrey Owens, the current president of Delphi Delco Electronics.
Another new division, Delphi Thermal & Interior, will be created with the consolidation of two units that build heating, ventilation and cooling devices, cockpits, latches, locks and other interior parts, the Detroit News said. This will be headquartered in Troy and the Lockport, New York, headquarters of Delphi Harrison Thermal Systems will close, although a manufacturing plant there will remain spokeswoman Paula Angelo told the 'motor city' newspaper, which noted that Ronald Pirtle, the current president of Delphi Harrison Thermal Systems, will head the new division.
James Bertand, president of Delphi Safety & Interior Systems and the supplier's Automotive Holdings Group, now will focus solely on the AHG, which consists of under-performing business units that may be sold, restructured or closed, the Detroit News said.
The paper noted that Delphi, the world's largest supplier of automotive parts and systems, said the moves will strengthen its customer and market focus by consolidating similar product lines.
Delphi also said on Wednesday it will consolidate support staffs as part of a previously announced move to cut 8,500 jobs, the Detroit News added.