ABSTRACT
Headquartered in the United States, American Automobile Components (AAC) is one of the world’s leading automotive suppliers with approximately US$10 billion revenue in 2001. The company supplies components for more than forty vehicle manufacturers. AAC has more than 150 facilities operating in more than twenty countries on almost every continent. The firm’s products are divided into three main categories: chassis systems (such as braking systems, steering systems, etc.), occupant safety systems (such as air bags, safety belts, safety electronics, etc.), and other automotive systems (engine components, body control systems, etc.). The chassis systems group brings AAC the largest revenue, with 60% of total revenue, while the remaining revenue is distributed to safety systems (30%) and other automotive groups (10%). The company employs more than 60,000 workers worldwide. For some time AAC has had five plants in various parts of Mexico. It recently set up a new maquiladora in Azteca, Mexico, near the U.S. border. Our research team was invited to visit this plant in order to consult with its managers in solving some engineering-related problems. The team’s experience at the Azteca plant is the focus of this chapter and Chapter 11.
