Mercedes 2003 Annual Report Download - page 55
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Please find page 55 of the 2003 Mercedes annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.Significant gains in quality and efficiency. The quality of
Chrysler, Jeep®and Dodge vehicles continued to improve in 2003.
This is shown, for example, by the further reduction in warranty
costs. Basic limited warranty costs per vehicle have fallen nearly
50% from 1996 to 2003 model years. Other indicators of the
Chrysler Group’s improved quality include J. D. Power and Associates’
Initial Quality Survey (IQS), which showed another year-over-year
improvement, despite a flat industry average. For example, the new
Dodge Ram heavy duty pickup truck was selected as best in its
class with a 10% quality improvement over the previous model.
The Harbour Report North America, which measures the
productivity of US auto manufacturers, reported that the Chrysler
Group achieved an 8.3% improvement in overall manufacturing
efficiency compared with the prior year. This is the second-highest
increase for an automotive manufacturer since the Harbour
Report’s inception in 1981.
More flexibility through new UAW agreement. In September
2003, the Chrysler Group ratified a new labor contract with the
United Auto Workers in the United States, governing the wages
and working conditions of more than 58,000 employees. The new
agreement includes wage increases, while allowing the company
greater flexibility in workforce deployment and to adjust to changing
economic conditions.
Product offensive to improve competitive position. The Chrysler
Group has significantly reduced costs in the last few years, including
additional savings of US $1 billion in 2003 alone, beyond what was
originally targeted for this year. Its strategic focus is now on further
increasing efficiency and strengthening its competitive position
with innovative new vehicles and a stronger sales organization.
With new vehicles, the Chrysler Group intends to match the best in
the world in terms of customers’ perceptions, product quality and
productivity, and will differentiate from the competition with exciting
design and attractive pricing. To achieve this, the Chrysler Group
will use the potential of collaboration within the DaimlerChrysler
Group and with our alliance partner, Mitsubishi Motors Corporation.
As part of a far-reaching product offensive, the Chrysler Group
will launch nine new products this year. These will include the
Chrysler 300C sedan, new minivans from Dodge and Chrysler, the
Dodge Magnum and the Jeep®Grand Cherokee.
New Chrysler brand models. The Chrysler brand presented
two unique new vehicles in the spring and summer of 2003 – the
Chrysler Pacifica and the Chrysler Crossfire.
The Pacifica combines the spaciousness of a minivan with the
versatility of a sport-utility vehicle and the comfort of a sedan. It
has created a new market segment and sets standards for the
Chrysler brand in terms of product design and engineering. Unit
sales of the Pacifica in the US market increased every month
throughout the year after its launch in March 2003, reaching total
sales of 56,700 vehicles by the end of the year.
Assembled in Germany by our partner, Karmann, the new Chrysler
Crossfire sport coupe combines German technology with the
power and design of a typical American sports car. Launched in
June 2003, more than 4,000 units had been sold in the US by
the end of the year.
In total, the Chrysler brand sold 609,200 vehicles in 2003 (2002:
665,300).
In 2004, we will launch additional new products under the
Chrysler brand; these were presented to the public at the Detroit
Motor Show at the beginning of 2004 and were very positively
received. In addition to the Chrysler Crossfire coupe, a roadster
version will be offered, featuring an innovative folding roof
designed to provide ample usable trunk space when down. The
success of the Chrysler PT Cruiser will continue with the availability
of a convertible version. And a new Chrysler 300C full-size sedan
will combine the advantages of rear-wheel drive with a powerful
5.7 liter HEMI V-8 engine and stunning design.
Twentieth anniversary of the minivan. The Chrysler Group,
inventor of the minivan, celebrated the 20th anniversary of this
successful vehicle category in 2003. The company has produced
more than 10 million Chrysler and Dodge minivans since the
vehicle’s launch in 1983. During this period, the Chrysler Group
has introduced 50 minivan-first features and earned more than
150 industry awards.
The Chrysler Group intends to follow up this success with a new
range of minivans, to be launched early in 2004. The Chrysler and
Dodge minivans will be the first in the market to offer “Stow ’n’ Go”
seating. This allows owners to fold the second- and third-row seats
into the floor with virtually effortless one-hand operation. Stow ’n’
Go is one of more than 15 new features on the new minivans, which
ensure higher safety standards and driving experience, among other
things. The new models were created on an all-new platform and
were brought to market in just 18 months.
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The Chrysler Pacifica arriving at a resort in Miami, Florida