AUTOFORUM

Toyota, Smiths Manufacturing and Supreme Spring lead the way in transforming the automotive value chain

Oct 30, 2019 Toyota SA, TSAM, Smiths Manufacturing, Supreme Spring, Naickers Toolmakers, Enormous Foam tapes and pressure sensitive adhesives

Toyota, Smiths Manufacturing and Supreme Spring lead the way in transforming the automotive value chain

Toyota South African Motors (TSAM), Smiths Manufacturing and Supreme Spring have successfully concluded their inaugural Black Supplier Development Project at Enermous Foam Tapes and Pressure Sensitive Adhesives and Naickers Toolmakers respectively. This Black Supplier Development Programme was launched as a pilot in 2018 in support of the South African Automotive Masterplan to 2035. It aims to support the transformation of the automotive value chain in line with the Masterplan target of 25% of tier 2/3 suppliers being Black owned by 2035, off a very low base currently.

“We are deeply committed to transforming and strengthening the supply base”, says Kim Nisbet, Senior Manager Enterprise and Supplier Development, TSAM, “We were very pleased when Smiths Manufacturing and Supreme Springs answered our call for our Tier 1 suppliers to develop a Tier 2 and the validity of this approach is vindicated through what we’ve seen over just 18 months.” TSAM has significantly increased participation of Black-owned suppliers in the supply chain in the last three years but this has mainly been in services and is increasingly focused on manufacturing opportunities for Black-owned suppliers.

Enermous, based in Pietermaritzburg, KwaZulu-Natal, was supported through an 18-month competitiveness improvement programme focusing on three key development aspects: best practice manufacturing, general business support and mentoring and business development. As a result of the programme, Enermous have met the stringent requirements to supply the automotive industry and now operate as a tier 2 supplier to Smiths Manufacturing. Recently Enermous has unlocked additional localisation opportunities within the automotive industry, ensuring sustainability as an automotive supplier.

Sugesnhee Naidoo, Owner of Enermous “If I think back just 18 months before this programme started I can barely recognize the business. This development programme has strengthened our performance by enabling us to acquire the skills and capabilities to be competitive in the automotive sector. Prior to the programme we thought that we were doing well enough but our exposure to world class principles has opened our eyes and set us on a journey of continuous improvement. We’ve made good progress and are now on a completely different path, this journey has not stopped.”

Smiths Manufacturing Supply Chain Director, Paul Kenny, noted that, “Over the past 2 years, Enermous has shown significant improvements which has led to them graduating to an approved supplier. Key to their success has been their positive attitude and willingness to improve, together with the support of Toyota and the ASCCI program. This is a great example of what can be achieved with the supplier development and transformation program. The program has also enabled Enermous to attract other customers and grow their business. Smiths intends to continue our development with Enermous to support their business sustainability going forward.”

Naicker Toolmakers under the direction of Founder and Managing Director, Kas Naicker, has seen equally impressive results in respect of the overall quality and delivery performance. Christo Hechter, Commercial Director of Supreme Spring, noted that, “through their engagement in the Black Suppliers Development Program, Naicker Toolmakers are in a stronger qualifying position as a globally competitive manufacturer of auxiliary components for the manufacture of automotive suspension spring parts. Naicker’s has furthermore, shown that their hard work, dedication and positive outlook to new challenges has resulted in new business opportunities. Supreme Spring is very proud of the successes attained by Naicker’s and will continue to support them in their drive towards greater excellence.”

Reflecting on this process, Kim Nisbet remarked that, “When we embarked on this journey 18 months ago, I made the comment that our Industry is too small to effect Transformation in isolation, we needed strong collaboration. Since these programs started, Government, the Dti, the various industry organisations, Toyota, ASCCI, the Tier 1 suppliers and the Tier 2 beneficiaries have pulled together with strategic intent and passion and shown that we can collaborate and achieve great success.

We congratulate Naicker Toolmakers and Enermous Foam Tapes and Pressure Sensitive Adhesives, for completing this program and for the incredible results that they have achieved through hard work and dedication. These are two great success stories in support of Transforming the South African Automotive Value chain and achieving the objectives of SAAM35”

ASCCI representative Lauren Pieterse noted thanks to TSAM, Smiths Manufacturing and Supreme Spring for their commitment to developing local black suppliers and their support of this pilot programme. “We look forward to further engagement with TSAM, other OEMs and Tier 1s to support this programme and meaningfully support high potential Black-owned suppliers such as Enermous and Naickers.”