Chrysler 2005 Annual Report Download - page 16

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Report on Operations Research and Innovation
Research and Innovation
In 2005, a central “Research and Innovation” function was set up
with the aim of:
Overseeing multi-sectorial research and innovation, ensuring
a uniform approach and cost containment;
Optimising and facilitating the transfer of results achieved within
the Group and guaranteeing synergies between the Sectors in
projects of common interest;
Promoting opportunities for public funding in the Group;
Protecting and enhancing intellectual property;
Promoting the Group’shigh-tech image.
The new function groups together human and engineering resources
already available at the Centro Ricerche Fiat, Elasis and the
corresponding development centres within the single Sectors
(Fiat Auto, CNH, Iveco, Magneti Marelli and Comau).
Consistentlywith this approach, amulti-sectorial innovation team
has been set up, which is composed of upper echelon engineering
and marketing personnel from each Sector.
In 2005, the Group’s two R&D companies, the Centro Ricerche Fiat
(C.R.F.) and Elasis, intensified their interactions with the operating
Sectors. Improved coordination of policies, objectives and initiatives
made it possible to rationalise skills and makethe most of each
centre’s areas of excellence.
In 2005, R&D expenses(1) totalled approximately 1.6 billion euros,
equal to about 3.5% of net revenues of industrial operations.The plan
covering the 2006-2008 period calls for R&D expenses for a total of
approximately 5.9 billion euros.
Overall, R&D activities involved approximately 13,200 people at 120
centres in Italy and abroad.
Centro Ricerche Fiat (C.R.F.)
Environmentally-friendly engines, innovative vehicle structures,
electronic chassis control systems, onboard electronic systems,
integrated transportation safety, environmental protection and
advanced manufacturing methods.These are the fields where the
Centro Ricerche Fiat concentrated its work in 2005. In addition to
its headquarters in Orbassano on the outskirts of Torino, the Fiat
Research Centre has branches in Trento, Bari, Foggia and Catania,
as well as an interest in the C.R.P. - Centro Ricerche Plast-optica -
Plastics and Optics Research Center in Amaro (Udine), a joint
venture between the C.R.F., Automotive Lighting and Agemont,
whose work in the fields of optics and plastics is instrumental in
developing better lighting systems.
With a staff of approximately 890 employees, the C.R.F. made
significant progress during the year, with R&D output totalling 460
projects. Eighty new patent applications were filed, bringing the total
number of patents held bythe Centre to over 1,400. Afurther 1,000
patents are currentlypending. In addition, the C.R.F. was awarded 115
projects in the EU’s Sixth Framework Programme, confirming its
leadership in European research.
Of the many awards testifying to the high quality of the Centre’s
work, some of the most important included:
The Special Prize for “Innovative Concepts for the Vehicle of
the Future” which the jury awarded to the Centre’s trail-blazing
“Sportiva Latina” prototype at the 33rd Barcelona International
Motor Show;
The “Oscar Masi” 2005 award for new production technologies
based on research bythe C.R.F., which was assigned to Comau
for the new AgiLaser laser welding system;
The “International Engine of the Year” award for 2005 assigned
to the 1.3-litre Multijet engine, currently in production at Fiat
Powertrain Technologies plants and developed from C.R.F.
innovations and patents;
The “EuroCarBody Award” for 2005 – Recognition went to
the outstanding work performed by the Fiat Auto and Centro
Ricerche Fiat project team in developing, planning and producing
the chassis for the Grande Punto.
The major accomplishments of the Centro Ricerche Fiat in 2005
are reviewed below.
Panda Natural Power. Fuelled with compressed natural gas,
this version of the Fiat Panda promises to be the new benchmark
in sustainable urban mobility.
(I) Including capitalised R&D costs and costs charged directly to operations during the fiscal year.