Fiat Motor Company Just-In-Time Seat Delivery System

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Fiat receives car seats just-in-time with the Litum RFID system

Provided solution

With the purpose of identifying and tracing each car seat during production, Litum installed durable on-metal tags on the reusable frames that carry the seats through the production processes until they are mounted on the vehicles. In order to identify and register each manufactured seat, RFID readers and antennas were installed at different stages of the production lines and at the automated shipping docks where finished products are sent.

Similarly, RFID systems were installed at various points in the receiving area and in the assembly line at Fiat factory. RFID readers at the shipping area continuously reports the number of seats awaiting shipment. RFID readers installed in the receiving area and at Fiat's assembly conveyors report the number of seats available in the buffer, assembly line speed with an update count of current seats assembled. The data is processed and transferred in real time via Litum's developed application software. LCD monitors were installed on the manufacturing floor to display the inventory status to operators, and provide alerts when critical levels are achieved.

Project scope

  • Monitor buffer inventory at Fiat assembly lines
  • Monitor the finished car seat inventory ready for shipment at the seat manufacturer, Martur
  • Track the number of seats that are in-transit to Fiat assembly lines
  • Create an overview dashboard with inventory metrics to inform operators when rush orders are needed and when they need to be held in order to maintain just-in-time deliveries

Outcome

An information system has been created to provide clear visibility of the supply and demand during production. The system reduced car assembly line downtime due to lack of seats available at the Fiat manufacturing site. Logistics operations are managed more efficiently, with trucks' waiting times reduced significantly when compared to previous occurrences of over shipment.

The demand is monitored in real time, last minute panic situations and costly penalties are prevented. Significant savings are observed as a result of improving the material flow efficiency.