WEC’s Supply Chain Management WEC’s Supply Chain Management Partnership in RomaniaPartnership in Romania

Outcome of first project stepsMeeting with John Hammond at USEA, August, 2, 2006

Project methodology & steps (1/2)

► SUPPLIER SELECTION (Februray 2006)

- Criteria

- Invite

► KICK-OFF MEETING (July 6, 2006)

► HALF-DAY SITE VISITS (July 7-14, 2006)

- Explain Program

- Evaluate Technical Level

- Help to establish baseline

► 2 DAY TRAINING (October 4-5, 2006)

- Data

- Evaluation- - Financial Analysis- - Strategy

Project methodology & Steps (2/2)

► SELF DIAGNOSIS

► ACTION PLAN

► LOCAL CONSULTANT FOLLOWS UP

► IMPLEMENT

► REPORT TO WEC AND LOCAL CONSULTANTS

► IMPLEMENT MORE DIFFICULT ACTIONS

► WORKSHOP TO SHARE SUCCESSES (May 2007)

Partners

-- United States Agency for International Development (USAID)

-- United States Energy Association (USEA)

-- Alcoa Fujikora (AFL) Romania

-- Local Technical Assistance Provider

-- World Environment Center (WEC)

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AFL Romania

- Started activity in Romania (Arad county) in 2001

- 3 production sites totaling 2500 employees

- Produces wire harness for automotive industry

- Working with 900 suppliers in Romania

AFL Romania’s production sites

Nadab

944 Directs

Beius

151 Directs

Buchin

1155 Directs

Bandeal

217 Directs

Our project partner at AFL Romania Andreea Pop, Purchasing Manager

Local Technical Assistance Provider

- Vladimir Gheorghievici, Director of the Romanian Cleaner Production Center, accepted offer

- WEC has developed contract that has been approved by USEA

- V.Gheorghievici started to develop a full kit of training materials in Romanian and English

AFL’s supplier SMEs participating in the project

NR CRT SUPPLIER NAME SUPPLIER TYPE

1SC ARGIS

PRODIMPEX SRL Cardboards producer – 15 employees

2 CONTOR ZENNER Water meters producer – 500 employees

3 SC MINU PAN COM Food contractor – 30 employees

4 SC ALPIN SA Workclothes producer – 22 employees

5 SC POLYBAG Plastic bags-producer – 25 employees

6 SC GUTENBERG SRL Printer – 50 employees

7 SC DALAMI PRINT Printer – 10 employees

8 SC ALMARIONES SRL Printer – 10 employees

9 SC ROVITA SRL Furniture producer – 28 employees

10 SEGO SERVICE Metal-parts producer – 15 employees

11 PRACTIC SERV Metal-parts and controlling devices producer – 10 employees

Findings from site visits

Findings from site visits

Findings from site visits

Findings from site visits

Findings from site visits

Findings from site visits

What we have learned

-- Very low energy efficiency in general

-- SMEs want to free themselves from the district energy supply

-- Cogeneration systems might be an option in some cases

-- Wastewater systems not in line with EU requirements

-- SMEs are planning to build new facilities

-- SMEs want to change before the EU accession (either January 2007 or 2008)

- But need help for the financial evaluation of capital investment

- But access to local credit is very dificult

What we expect to do

-Adapt the training used in former Supply Chain Management partnerships to these special, local conditions