Auto Parts Asia — February 2018

20 | AutoPartsAsia | FEBRUARY 2018

are trying to clean up the system

and use the resources judiciously.

A: Yes, but it is all about not coming

back on warranties which is a problem

for the manufacturer, distributor and the

garage. That is the objective.

Q: Delphi is into replacement,

remanufacture and authorised

repair. How do you balance?

A: We balance the portfolio by offering

new remanufacturing and repaired

part solutions which go into our

authorised repair centres; that is exactly

how we balance the market. We can

offer whatever alternative is required

by the market for any part: new,

remanufactured, or locally repaired at

lower cost.

Q: While it is for the customer to

pick and choose what he wants;

how does Delphi differentiate

among the different offerings?

A: Obviously the parts are clearly

marked as to whether they are

new or remanufactured; there’s a lot of

legislation and requirements

about marking of parts as

remanufactured. For authorised repair

we have a network of service centres

all over the world with trained

personnel.

Q: Delphi has launched a range

of remanufactured injectors in

Europe. How is the response and

what’s the next step?

A: We have remanufactured injectors

also in the North American market,

running for many years, even before

Europe. This year we have also

launched global programmes; we now

offer remanufacturing in Brazil and

China for injectors.

Q: What is your market

enhancement plan?

A: In terms of enhancement all our

ranges are under continuous evaluation

• we have range extensions, range
  expansions – as we are passionate
  about being first to market in some of
  our programmes; so they are under
  constant review.

Q: You mentioned you would be

launching more than 50 percent

of SKUs before 2018. How do you

manage such huge numbers of

SKUs and remain profitable, as the

technology is fast changing?

A: That is the challenge of the

aftermarket. That is why people

need to work with a Tier-1 global OE

technology supplier like us because

we have the technical expertise, with

hardworking people in our product

and category management teams.

You have to be data-driven with your

range-making, so you need good

systems to indicate the range gaps

and the new vehicles to be covered. It

means people, process, systems and

expertise.

Q: How do you foresee if a

particular model will sustain

for long or vanish from the

market place? You will have to

manufacture the range accordingly

and keep SKUs on hand. How do

you manage?

A: It all comes down to the scale and

specific knowledge of our product

and category managers who have to

become experts in their respective

ranges.

Q: Crystal-ball gazing?

A: Crystal-ball combined with good

experience and being connected with

colleagues in OE engineering to design

and specify products; get good advice

from them and have discussions on

expected failure modes and warranty

to prepare an inventory plan. Once the

part is setup and running, you need

close manual management to start

forecasting. Eventually you get enough

statistical forecast history to develop

and update the relevant item.

Q: I understand you have parts

covering 241 million vehicles

manufactured between 1968 and

2016.

A: Yes, it is mostly for the North

American market; globally it would

be more. It comes from having

systems and data bases looking at

the vehicles on the road. How many

there are for each country and getting

the appropriate stocking ranges in

the warehouses to supply to those

countries.

Q: Delphi has launched a range of

remanufactured injectors in select

European countries. Any further

development?

A: China is launching Delphi

Remanufacturing Injector Project in

Yantai City, Shandong Province. The

establishment of the Remanufacturing

Injector Project marks the further

development of Delphi in the Chinese

market, providing remanufacturing

processing and services to the Delphi

powertrain system products, covering

three systems of parts on control, audio

and safety. Capacity for Phase-1 is

about 5000Pcs/year, and now 2 PNs

of Reman injectors have been invested

into production, which are HRD367

for 28231014 GWM, and HRD366

JMC for R03301D. Delphi always

strives to supply competitive products

that meet OE quality to the Chinese

auto aftermarket and is committed to

providing more and better services to

support technicians and car owners.

INTERVIEW

Parts from Delphi Steering Group