All Set for Producing

1000 Prides a Day

The Saipa Auto Manufacturing Group is planning to raise its production of the Pride sedans to 1000 units per day. The company is hoping to achieve this production target through setting up technical and research teams and by adopting a medium-term strategy. According to a report by the company’s public relations office, the project will be directed by Majeed Fahimeh-Amiri who is pushing forward the project using independent task teams who meet on a weekly basis. Among the factors receiving Amiri’s attention are: production increase by parts manufacturers, eliminating production bottlenecks, expanding automation in the production line and assessing costs at various stages of the production.

With Saipa’s management being handed to young and energetic managers – whose primary concern is the production of cars with greater quality – a new blood has begun circulating the veins of the company. In addition to being Deputy Managing Director of Saipa, Amiri is the head of the company’s Research and Auto Renovation Industry. He is also supervising the production of the newly-planned Saipa-141.

Test Production of

Saipa-141

Saipa Auto Manufacturing Group has begun the test production of Saipa-141 which is a joint endeavor of its production department and a number of internal units and affiliate companies. The Saipa-141 project was launched in the early 1998 with the intention of marketing an inexpensive product. And after securing the approval of the company’s board of directors, its new parts and engines design began in the early 1999. Saipa-141 comes with around 100 parts that are different from those used in Pride GTX of which 42 metal pieces are produced by Iran Heavy Dies Manufacturing Co. (IDHM), 45 non-metal pieces by Sazeh Gostar Co. and the remaining 13 special pieces that cannot be produced domestically will be imported from abroad.

Saipa-141’s test production began with the production of five units in late-2001. The company’s production department is currently striving to produce 200 additional experimental units – 110 of which are ready. In addition to its chic and attractive design, the new car has other advantageous features such as a spacious trunk. The new car’s chassis is the same as the one used in four-door Saba, and its foldable seats are the same as those used in the five-door Nasim.

Now on the Production Line

Xantia-SX

Saipa has begun the production of Xantia-SX which comes with a 2000 cc injection engine and a catalytic gas outlet. The new model comes equipped with two safety airbags and an anti-lock brake system (ABS). A distinctive feature of the new car is its ability to have its height from the road surface adjusted depending on whether the road is smooth or bumpy. Also, unlike previous models produced in Iran, Xantia-SX comes equipped with an attractive CD display screen. The new generation of Xantia produced by the Saipa is manufactured in accordance with Europe’s latest standards. It is equipped with four-wheel disc brakes as well as automatic fuel stoppage system in the event of an emergency.

Saipa

Doing Good and
Trying to Do Better

The Saipa Auto Manufacturing Group with a production of 97,500 units of light and heavy vehicles in the course of the first eight months of the current Iranian fiscal year ­­­(21 March 2002) possesses around 36% of the Iranian auto market. The company’s share in sedan, pickup truck and front-wheel drive vehicles stood at 33.24%, 65.81% and 71.25% respectively in the period in question. For recreational van, heavy-duty truck and minibuses the shares were 94.15%, 40.23% and 21.43% respectively.

Saipa has recently added around 80 companies to its manufacturing make-up. The company is hoping to grab around 50% of the domestic auto market by 2004 with the full fruition of its made investments. The desired 50% market share will have to be realized in the coming years with the help of its investments, and also its plans and programs all of which call for qualitative and quantitative improvements as well as product diversity.

Saipa is not just trying to raise its market share; it also wants to make a footprint in society at large by making whatever contribution possible. A vital area in which Saipa can make a tangible contribution is the environment. By implementing environmentally friendly policies the company can contribute to the quality of the air Iranians breathe, especially those in the capital Tehran. This goal can be realized with the manufacture of engines that have a better combustion system to burn the fuel more efficiently with less noxious gas emission. Saipa is trying to take advantage of the country’s abundant and inexpensive natural gas in its research and developments. 

Saipa is the first Iranian auto manufacturing company to hold an international tender to acquire the knowledge of globally-scoped auto manufacturers experienced in the production of gas consumption kits and will market the first series of its products by mid 2003.

One of the most important goals underlying the planned co-production of parts is to lower costs. That is because through co-production of parts, the final price of auto units will drop while their quality will rise, says Saipa’s Managing Director Ahmad Qalebanni. Co-production will improve both companies’ international quality and price competitiveness, Qalebanni believes.

While working on the domestic market and efforts to carve out a greater piece of it, Saipa has not been oblivious of the international market where the company’ real manufacturing and marketing capability and determination will be seen. That is why Iran Heavy Dies Manufacturing Co. (IHDM), affiliated with Saipa, will design and manufacture four CNC industrial grinders to be exported to Spain by March 2003. The exports of the machines in question will come as part of a contract sealed between a Spanish company and IHDM. The Spanish company has also placed order for the design and manufacture of three units of high-speed CNC grinders to be exported to Spain by 2004. Around 70% of CNC grinders in Iran are produced by IHDM in cooperation with a number of other Iranian companies. The resulting product has had a dual result: international recognition of Iranian auto industry’s industrial capability as well as creation of job opportunities for the country’s youth. The contract with the Spanish company came in the wake of the successful exports of four CNC grinders last year.