The Delphi facility in Wyoming (May 3, 2009)
The Delphi facility in Wyoming (May 3, 2009)
Updated: Tuesday, 03 Nov 2009, 12:14 PM EST
Published : Tuesday, 03 Nov 2009, 12:13 PM EST
A West Michigan auto parts plant, at one time in the shadow of an uncertain future, is now poised for a resurgence, General Motors leaders say.
The former Wyoming Delphi Plant, now called the GM Subsystem and Component Operations (SCO)-Wyoming Plant, is consolidating its operations within the plant to expand available space after its operations were turned back over to GM.
During a conference call early Tuesday, plant manager Edward Di Enno said that getting a higher volume of production out of a smaller footprint will enhance the facility's ability to compete with other North American competitors.
"We're focusing on efficiency and competitiveness," Di Enno said.
GM SCO General Manager Bill Shaw said that driving up revenue content per square foot is a key ingredient to the fiscal health of the facility.
Shaw also addressed production volume at the Wyoming plant, saying the "Cash for Clunkers" program boosted parts production in the first- and second quarters. He said production dropped in the third quarter, and is expected to stabilize in the fourth quarter.
Troy, Mich.-based Delphi, once GM's parts division, was spun off in 1999 as a separate company but was forced to file for Chapter 11 in October 2005. It still produces about 10 percent of the parts used in GM's global manufacturing, and its components go into nearly all of GM's North American production lines.
Delphi emerged from bankruptcy protection on Oct. 6 as a new company after completing a deal with its lenders and receiving a promise for billions in loans from GM.
As part of the deal, GM agreed to buy an equity stake in the new Delphi. It also agreed to take back some of Delphi's businesses, including the Wyoming plant.
It currently employs 508 salaried and hourly workers. Despite the move to create excess space for future expansion, there are currently no plans to hire additional employees.
"From a local standpoint, it was a positive move for the plant and for the people of the plant--the move back to GM," Plant Manager Di Enno said.