Polaris Moves Production To Mexico
Wisconsin Plant To Close
In what Polaris Industries bills as "an effort to improve its long-term competitive positioning, increase operational efficiencies and position the company for future growth," the company will shift production from the company's Osceola, Wis., plant to existing facilities in Roseau, Minn., and Spirit Lake, Iowa. In addition, Polaris will establish a new facility in Mexico.
The company is currently evaluating several possible locations in the Monterrey/Saltillo area of Mexico for the new facility. This move is said to allow the company to dedicate capital for strategic investments in painting, welding and assembly operations by outsourcing certain non-strategic component manufacturing processes. The Mexico facility is expected to maintain Polaris' industry-leading quality while improving the company's on-time delivery to customers and provide significant savings in logistical and production costs.
"While this was a difficult decision for us, given the impact on our employees at the Osceola facility, we believe the creation of these manufacturing centers of excellence will strengthen our company over the long-term and enable us to maintain our lead in a competitive market," says Scott Wine, CEO, Polaris Industries. "Pursuing opportunities in new markets outside the United States while concurrently evaluating our cost structure to improve our long-term competitive positioning are key components to our growth strategy. This decision was based on a thorough review of our worldwide operations and will allow us to improve our ability to meet the quality, delivery and cost standards desired by our dealers and customers."
Snowmobile assembly will remain in the Roseau facility, and Victory motorcycle assembly will remain in the Company's Spirit Lake facility. As part of the manufacturing realignment, certain Osceola manufacturing processes will be moved into the Roseau, Spirit Lake and Mexico facilities.
The realignment will begin immediately and is scheduled to be complete in 2012. The company will look to have the new production facility in Mexico operational beginning in the first half of 2011. Spokeswoman Marlys Knutson says the Wisconsin plant currently employs 515 people, who will be allowed to apply for jobs at the other Polaris facilities or with companies that continue producing parts in Osceola.
Wisconsin Plant To Close
In what Polaris Industries bills as "an effort to improve its long-term competitive positioning, increase operational efficiencies and position the company for future growth," the company will shift production from the company's Osceola, Wis., plant to existing facilities in Roseau, Minn., and Spirit Lake, Iowa. In addition, Polaris will establish a new facility in Mexico.
The company is currently evaluating several possible locations in the Monterrey/Saltillo area of Mexico for the new facility. This move is said to allow the company to dedicate capital for strategic investments in painting, welding and assembly operations by outsourcing certain non-strategic component manufacturing processes. The Mexico facility is expected to maintain Polaris' industry-leading quality while improving the company's on-time delivery to customers and provide significant savings in logistical and production costs.
"While this was a difficult decision for us, given the impact on our employees at the Osceola facility, we believe the creation of these manufacturing centers of excellence will strengthen our company over the long-term and enable us to maintain our lead in a competitive market," says Scott Wine, CEO, Polaris Industries. "Pursuing opportunities in new markets outside the United States while concurrently evaluating our cost structure to improve our long-term competitive positioning are key components to our growth strategy. This decision was based on a thorough review of our worldwide operations and will allow us to improve our ability to meet the quality, delivery and cost standards desired by our dealers and customers."
Snowmobile assembly will remain in the Roseau facility, and Victory motorcycle assembly will remain in the Company's Spirit Lake facility. As part of the manufacturing realignment, certain Osceola manufacturing processes will be moved into the Roseau, Spirit Lake and Mexico facilities.
The realignment will begin immediately and is scheduled to be complete in 2012. The company will look to have the new production facility in Mexico operational beginning in the first half of 2011. Spokeswoman Marlys Knutson says the Wisconsin plant currently employs 515 people, who will be allowed to apply for jobs at the other Polaris facilities or with companies that continue producing parts in Osceola.
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