Mobis looks to rule markets with modules

By Kim Tae-gyu

Staff reporter

Hyundai Mobis, the car parts affiliate of the Hyundai-Kia Automotive Group, is striving to lead the automotive industry’s third revolution in modules, the semi-assembled kits of vehicle components.

By introducing the modular production in the late 1990s, earlier than its competitors, the Seoul-headquartered outfit has successfully climbed the global ladder. Now it looks to chalk up further growth by concentrating more on modules.

Modules refer to the building blocks of a car. For example, front-end modules include such components as the headlights, radiator, engine-cooling-fan systems, the bumper fascia and beam.

``The global automotive industry has gone through a pair of revolutionary advances ― mass-production using conveyor belts in the early 20th century and the just-in-time (JIT) process of Toyota,’’ Mobis spokesman Park Se-hwan said.

``Now, the just-in-sequence (JIS) method based on modules is coming to the fore to lead the industry’s third revolution. Mobis is set to spearhead the paradigm shift.’’

Otherwise dubbed as the “Toyota production system,” JIT has changed the face of the global car business over the past few decades by substantially cutting down on in-process inventory and related carrying costs.

JIS is particularly significant for suppliers to car manufacturers as the former provides complicated modules to the assembly lines of the latter.

Under alliance with its sister firms of Hyundai Motor and Kia Motors, Mobis has built up JIS. The entity is also minting similar partnership with other global carmakers across the world.

Mobis Chief Executive Officer Chung Suk-soo, who took the reins of the nation’s top auto-parts suppliers midway through 2005, also stresses modular productions.

``We are determined to develop into a company representing Korea in the global arena, and our efforts are unsparing and ceaseless. Through active technological partnerships with advanced parts companies, we are solidifying our expertise in cutting-edge modules and core components, while being mindful of developing overseas markets and supplying after-service parts’’ Chung said on the outfit’s Web site (www.mobis.co.kr).

``Through the building of a global competitive edge in module parts manufacturing, after-service parts supply and parts export, Hyundai Mobis will keep its promise to lead the global automotive parts industry in the 21st century.’’