Piaggio and its production sites

The Piaggio Group has a strong international presence.

At its Italian site in Pontedera (in the area near Pisa), the Group has three facilities, one for the manufacture of commercial vehicles, one for the manufacture of scooters and engines for two-wheeler vehicles, and one for the supply of aluminium and steel components for vehicles and engines. In addition to the facilities manufacturing scooters and motorcycles, which comprise the most important industrial complex of the two-wheeler segment in Europe, two other sites operate in Italy for European production (Scorzè and Mandello del Lario) plus one site in Spain (Martorelles).  

The Group also has its own production sites in Vietnam (at Vinh Phuc), with a site for the manufacture of two-wheeler vehicles and a site for the production of 3V engines, and in India (at Baramati, in the state of Maharashtra) with a site for the manufacture of commercial vehicles and engines, in addition to a production site for Vespas for the Indian market.

The main operations taking place during 2012 concerning these sites, which aimed to develop and make production capacity even more efficient, are outlined below.  

Pontedera Sites

Activities for the development of a specific software programme and relative technical database to generate a methodology to identify and subsequently calculate the risk of biomechanical overload on the muscoloskeletal system at work stations were completed.
The first release of a specific software programme is being completed, for mapping and statements of worksites contracted out to external companies, for an overall organisation and vision of activities in the field.

Two-wheeler sites

In the mechanical processing area, activities were carried out to make equipment safe and reduce risks from the manual handling of loads. The 1400 Moto Guzzi and 1200 Caponord integral drive shafts were industrialised.
As regards engine assembly, the test bench for connection, circuit dielectric rigidity and functional testing on the Liberty Elettrico engine was implemented and upgraded, and neutral sensor control and electrical and pressure testing were implemented for the Derbi engine assembly line.
As regards welding, activities are underway to industrialise the welding of Vespa 946 and New LX bodies.
As regards two-wheeler painting processes, activities to develop the new painting system have been started, with works scheduled to end in 2015.
As regards vehicle assembly, industrialisation of the new Vespa 946 began, with the development of the vehicle assembly line, comprising AGV devices (an innovative system for the plant).
Activities were also carried out to reduce the risk of the manual handling of loads, by introducing pneumatic handlers, with special lifting accessories, trailer-mounted devices and raised platforms.
Major building, civil and systems works were completed, necessary to fully upgrade a part of buildings to fire prevention regulations in force.
6 heating burners in the two-wheeler assembly workshop were replaced, for greater heating efficiency and compliance with regulations on emissions.

Commercial Vehicles Plants

Investments were made to improve technical efficiency and complete work to ensure compliance with safety regulations.

Polo Meccanica Site

Investments were made for the manufacture of Racing Aprilia SBK and 1400cc Moto Guzzi California engines.
Work to make machinery safe was also completed.

Experimental Pattern department

The Pattern department was entirely renovated.

Spare Parts Warehouse

The new Worldwide Spare Parts Centre serving all Piaggio Group brands was completed in September 2012, at the site of the former airport on property at Pontedera.
The new industrial site, which will become operative in the first quarter of 2013, is a large and ultra-modern logistics base to receive, pack, store and dispatch after-sales spare parts: the warehouse covers a total surface area of 37,000 m2 and has an independent porter's lodge, 10 loading bays and new outside areas with transit perimeter, for a further 32,000 m2.
The building has an innovative technological transfer system for storing and picking materials, with a storage capacity of 100,000 different codes, served by 8 automated shelf handling systems, and a final transport system for preparing kits to dispatch.

Scorzè Plant

Works to make petrol distribution systems on all vehicle assembly lines conform to standards, as well as vehicle loading/unloading bays were completed, and the glycol distribution system was upgraded.
Equipment was fitted for assembly of the SRV 850 as from January 2013 at Scorzè and equipment for all Derbi models.

Noale Plant

Investments were made to make the plant compliant with safety regulations.    

Mandello Del Lario Plant

In conjunction with competent public authorities (the Local Authorities - Arpal (the Regional Agency for environmental protection in Liguria - the Provincial authorities), the company is continuing the project to classify industrial land inside the plant, in order to remove and clean up the subsurface after previous industrial production.
Work to analyse the ground and clean up underground tanks identified at the site was completed.
As regards vehicle assembly, industrialisation of the Moto Guzzi California was completed.

Baramati Plant

At the Engine Plant, production of the Ape Pax 200cc engine for the petrol, LPG and CNG versions of the Ape Passenger manufactured at the adjacent Commercial Vehicles Site got underway, including a coupled crankcase processing line and assembly and testing line. Activities to develop a new quick test bench for the Ape Pax 200cc engine and to test it at the supplier, were completed and the bench was sent from Italy to Baramati in December.
Activities are underway to install machinery at the Engine Plant for the production of cylinder heads for HE and Ape Pax 200cc engines, with installation and the dispatch of samples to Pontedera for manufacturing approval scheduled for the first quarter of 2013. Activities to install machinery for cylinder grinding for HE and Ape Pax 200cc engines were completed, and samples for manufacturing approval were dispatched to Pontedera.
Production of the Vespa got underway in March at the new Two-Wheeler plant, which has a production capacity of 150,000 vehicles/year. The Vespa is equipped with the new 125cc HE engine industrialised at the engine factory in Baramati. The production facility includes body welding, plastic and sheet metal painting, vehicle assembly and final testing, and warehouse and dispatch departments.

Vinh Phuc Plant

At the Engines Plant, activities to install the coupled crankcase processing line for the LEm engine were completed, with manufacturing approval granted and sent by Piaggio & C. to Piaggio Vietnam in December.
As regards the manufacture of the New Vespa LX, work began at the two-wheeler Vehicles Plant to expand the spare parts warehouse in order to install the new welding line, and upgrade the painting and assembly lines. Production start-up of the New Vespa LX is scheduled for the second half of 2013.

Piaggio Production System (PPS) inside PMS

In 2012, the continual improvement programme PPS, adopted at EMEA sites, focussed on three factors: the competitiveness of the production system, the work environment and company culture.

Competitiveness
Against a flexible budget, processing costs were cut.

Work environment
The programme to improve work places at pilot sites of each Plant, based on Lean Manufacturing Tools, 5S, is being completed. The first step to extend this programme to 50% of the areas of each Plant is being completed. Optimised work places improve staff motivation, handling and material manufacturing processes. Improvements in product quality and productivity are expected.

Company culture
Personnel receive basic training on using the best methodologies and tools recognised at a World Class Manufacturing level.
A strategy is also being shaped to achieve a structured approach to continual improvement in Staff and Purchasing areas, putting in place the entire Piaggio Manufacturing System process.

Environmental, Quality and Occupational Safety certification

The Piaggio Group possesses excellent environmental, quality and occupational management systems at all its production sites.

 Production sites
 PontederaNoale and
Scorzè
Mandello
del Lario
MartorellesBaramati
Engines Plant
Vinh Phuc
Certification      
UNI EN ISO 9001:2008 - Quality management systems since 1995   since 2006 since 2010 since 2010 since 2010   since 2009
UNI EN ISO 14001:2004 - Environmental management system since 2008   since 2008 since 2010       since 2011
BS OHSAS 18001:2007- Ocupaional Health and Safety Management System   since 2007  since 2007 since 2010      
ISOTS 16946:2009 Quality and suppliers system       since 2012  
          

On 17 September 2012, the supply quality system at the Piaggio Vehicles Private Limited engine production site was awarded ISO/TS 16949:2009 for its supplier quality system.
In 2012, from 23 October to 29 November, audits were conducted by the certification body Det Norske Veritas (DNV)5 confirming the validity of the three certificates held by the Company for Quality, the Environment and Health and Safety.
These certificates rank Piaggio as one of just a few Italian manufacturers with all three certifications. The audits, which included eight DNV auditors, demonstrated the Company's commitment to its Quality, Health and Safety and Environmental policies desired by Top Management and are proof of reliability of Management Systems which are applied with the contribution of all functions and the individuals who work in them.

5_DNV = Det Norske Veritas is one of the world’s leading certification bodies, with the parent company based in Norway; since 1864 it has been operating to “safeguard life, property and the environment”. It is active in 100 nations, and has 300 offices and 7,000 employees.