Proton Parts Centre, a wholly owned subsidiary of Proton, that is the global hub for motor vehicle components, spare parts, and accessories for the national carmaker, has recently unveiled the newest developments in its supply chain warehousing improvement plan for 2024. Headquartered at Hicom-Glenmarie Industrial Park, Proton Parts Centre’s main facility spans 26,700 square metres and serves as the nerve centre for operations, handling all functions crucial to the supply chain, including order processing, import, export, and East Malaysia transfers. The company announced that more space will be added in 2024 with the opening of a new regional parts centre in Sabah during the second quarter of the year.
In order to enhance and streamline its supply chain operations, Proton Parts Centre will be utilising a new Warehouse Management System (WMS), scheduled to be operational by the end of March. Developed in collaboration with Geely and supported by Geely Logistics, this system can offer a comprehensive solution designed for cross-country knowledge sharing. This collaborative effort emphasises the significance of digitalization and process optimisation in modern supply chain management.
To meet the ever-increasing demand for parts, Proton Parts Centre has also increased its stock holding level by 1.5 times over 2022 levels. This is done to ensure a more resilient supply chain, equating to a current inventory worth over RM130 million comprising 30,000 different parts.
Simultaneously, stock transfers to East Malaysia have doubled in recent years as a new streamlined supply chain process boosts parts availability and enables direct deliveries from overseas vendors to East Malaysia. This will contribute significantly to the efficiency of operations in East Malaysia allowing for better parts availability. Earlier last year, Proton opened its regional parts centre in Kuching, which aimed to reduce the lead time for parts delivery by at least 30% and increase delivery by 50%.
Proton Parts Centre also increased its average daily output capability by 35%. Its proactive approach to process improvements has resulted in a 63% reduction in Work-In-Progress volume as more orders are fulfilled within the service promise committed timeframe.
Proton Deputy Chief Executive Officer, Roslan Abdullah said, “Proton is pleased to share our commitment in our parts warehousing ecosystem as our parts supply chain warehousing improvement plan for 2024 underscores our dedication to continuous enhancement. Our new warehousing system reflects our relentless pursuit in ensuring optimal solutions for our valued customers and we will continue making efforts to improve after-sales service to deliver the highest levels of customer satisfaction”.
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