{"id":26099,"date":"2020-10-06T10:03:48","date_gmt":"2020-10-06T14:03:48","guid":{"rendered":"http:\/\/henrypayne.com\/?p=26099"},"modified":"2020-10-06T10:03:48","modified_gmt":"2020-10-06T14:03:48","slug":"tesla-takes-a-more-traditional-route-to-its-new-berlin-plant","status":"publish","type":"post","link":"https:\/\/henrypayne.com\/index.php\/2020\/10\/tesla-takes-a-more-traditional-route-to-its-new-berlin-plant","title":{"rendered":"Tesla takes a more traditional route to its new Berlin plant"},"content":{"rendered":"<p class=\"gnt_ar_b_p\">Since the introduction of its groundbreaking Model S sedan in 2012, Tesla has been about industry disruption.<\/p>\n<p class=\"gnt_ar_b_p\">Led by mercurial CEO Elon Musk, the Silicon Valley electric-car maker has taken a clean-sheet approach to everything automotive \u2014 from its spare interior designs to its \u201cLudicrous mode\u201d acceleration to its over-the-air software updates.<\/p>\n<figure class=\"gnt_em gnt_em_img\"><img decoding=\"async\" class=\"gnt_em_img_i\" src=\"https:\/\/www.gannett-cdn.com\/presto\/2020\/09\/29\/PDTN\/10ce0799-0d33-4e06-9bc8-16fd68b2ab48-AP20246430155158.jpg?width=660&amp;height=441&amp;fit=crop&amp;format=pjpg&amp;auto=webp\" srcset=\"https:\/\/www.gannett-cdn.com\/presto\/2020\/09\/29\/PDTN\/10ce0799-0d33-4e06-9bc8-16fd68b2ab48-AP20246430155158.jpg?width=1320&amp;height=882&amp;fit=crop&amp;format=pjpg&amp;auto=webp 2x\" alt=\"A street sign reading Tesla Street stands in front of the construction site for Tesla's new Berlin factory.\" data-g-r=\"lazy\" \/><\/p>\n<div class=\"gnt_em_img_ccw gnt_em_img_ccw__cap gnt_em_img_ccw__crd\" data-c-caption=\"A street sign reading Tesla Street stands in front of the construction site for Tesla's new Berlin factory.\" data-c-credit=\"Michael Sohn, AP\"><\/div>\n<\/figure>\n<p class=\"gnt_ar_b_p\">But its attempt to remake auto manufacturing in 2018 nearly broke the company.<\/p>\n<p class=\"gnt_ar_b_p\">The\u00a0year of what Musk called \u201cproduction hell\u201d at its Fremont, California, plant was a lesson in hubris as Tesla sought to meet demand for its mass-market Model\u00a03 sedan.\u00a0Vehicles came off the line with sunken hoods, detached bumpers\u00a0and uneven panel gaps. Some were assembled in parking lot tents.\u00a0Flawed paint jobs delayed the delivery of thousands of vehicles.<\/p>\n<p class=\"gnt_ar_b_p\">As Tesla embarks on\u00a0its first major production facility in Europe \u2014 building the Model Y compact SUV in Berlin starting next year \u2014 experts say the company appears to be adopting traditional production methods and relying less on robots. And it is simplifying the vehicle&#8217;s structure.<\/p>\n<figure class=\"gnt_em gnt_em_img\"><img decoding=\"async\" class=\"gnt_em_img_i\" src=\"https:\/\/www.gannett-cdn.com\/presto\/2020\/09\/29\/PDTN\/29381639-43c5-4e43-9dec-17df7f420f75-AP20246462552695.jpg?width=660&amp;height=440&amp;fit=crop&amp;format=pjpg&amp;auto=webp\" srcset=\"https:\/\/www.gannett-cdn.com\/presto\/2020\/09\/29\/PDTN\/29381639-43c5-4e43-9dec-17df7f420f75-AP20246462552695.jpg?width=1320&amp;height=880&amp;fit=crop&amp;format=pjpg&amp;auto=webp 2x\" alt=\"Tesla's Elon Musk visited the site of his new Berlin plant in September. As it prepares to build the Model Y SUV there, the company appears to have learned from its missteps in producing the Model 3 in California.\" data-g-r=\"lazy\" \/><\/p>\n<div class=\"gnt_em_img_ccw gnt_em_img_ccw__cap gnt_em_img_ccw__crd\" data-c-caption=\"Tesla's Elon Musk visited the site of his new Berlin plant in September. As it prepares to build the Model Y SUV there, the company appears to have learned from its missteps in producing the Model 3 in California.\" data-c-credit=\"Tobias Schwarz, AP\"><\/div>\n<\/figure>\n<p class=\"gnt_ar_b_p\">\u201cTesla&#8217;s got an innovative culture,\u201d said manufacturing expert Sandy Munro, president of Munro &amp; Associates. He\u00a0has been a vocal critic\u00a0of Tesla production. \u201cSometimes, it gets it right. Sometimes, it gets it horribly wrong, as in the case of the (California) plant. So now we&#8217;ve got the German plant, and it seems to be learning from its mistakes.\u201d<\/p>\n<p class=\"gnt_ar_b_p\">Riding current consumer and government trends toward electric vehicles, Tesla announced a record 139,300 deliveries in the third quarter,\u00a0up 24% from its previous record set last December. All of those vehicles were built in California.<\/p>\n<p class=\"gnt_ar_b_p\">Tesla began production of cars in its new Shanghai plant late last year and plans to boost capacity of the plant from 200,000 to 250,000 by the end of the year.<\/p>\n<p class=\"gnt_ar_b_p\">With Asian sales\u00a0suppressed by the coronavirus crisis, the China plant is at overcapacity,\u00a0and the automaker is facing increased competition in the electric market in Europe from established carmakers.<\/p>\n<p class=\"gnt_ar_b_p\">Still, Tesla anticipates increased demand for its vehicles globally, with countries like France and England\u00a0phasing out gas and engines over the next 20 years.<\/p>\n<p class=\"gnt_ar_b_p\">But Tesla\u2019s quality has been an issue even as it has been an innovator in the design of electronics and body construction.<\/p>\n<p class=\"gnt_ar_b_p\">Its\u00a0electronics and battery systems are &#8220;not a generation\u00a0but generations beyond what any other manufacturer is doing,\u201d said Munro, a 30-year veteran of auto manufacturing and one of the industry\u2019s most respected consultants.<\/p>\n<p class=\"gnt_ar_b_p\">And the manufacturing process?<\/p>\n<p class=\"gnt_ar_b_p\">\u201cIt\u2019s crap,\u201d he said of Fremont assembly\u2019s attempt to automate assembly three years ago. \u201cIt was a terrible, terrible philosophy.\u00a0Unless you&#8217;ve designed your product so that a blind, one-armed idiot \u2014\u00a0a robot \u2014 can put it together.\u201d<\/p>\n<figure class=\"gnt_em gnt_em_img\"><img decoding=\"async\" class=\"gnt_em_img_i\" src=\"https:\/\/www.gannett-cdn.com\/presto\/2020\/09\/29\/PDTN\/7eb1dc2a-95e5-4b73-bd80-8ae88290e029-AP20245648219668_1.jpg?width=660&amp;height=420&amp;fit=crop&amp;format=pjpg&amp;auto=webp\" srcset=\"https:\/\/www.gannett-cdn.com\/presto\/2020\/09\/29\/PDTN\/7eb1dc2a-95e5-4b73-bd80-8ae88290e029-AP20245648219668_1.jpg?width=1320&amp;height=840&amp;fit=crop&amp;format=pjpg&amp;auto=webp 2x\" alt=\"Tesla will build the Model Y compact SUV next year in this factory rising in Berlin.\" data-g-r=\"lazy\" \/><\/p>\n<div class=\"gnt_em_img_ccw gnt_em_img_ccw__cap gnt_em_img_ccw__crd\" data-c-caption=\"Tesla will build the Model Y compact SUV next year in this factory rising in Berlin.\" data-c-credit=\"Michael Sohn, AP\"><\/div>\n<\/figure>\n<p class=\"gnt_ar_b_p\">Convinced he could make what he termed\u00a0\u201calien dreadnought\u201d factories operated mostly by robots, Musk hired Audi executive and automation advocate Peter Hochholdinger in 2016. Tesla made a crucial mistake in automating the factory while the Model 3 was still in prototype development.<\/p>\n<p class=\"gnt_ar_b_p\">David Cole, a veteran analyst and chairman emeritus of Ann Arbor\u2019s Center for Automotive Research, said most manufacturers\u00a0don&#8217;t start production\u00a0until they&#8217;ve finished development. &#8220;Tesla, on the other hand, would take prototype tooling into the production line to see what worked. They didn&#8217;t figure out their processes before they started volume production.&#8221;<\/p>\n<aside id=\"gnt_atomsnc\" class=\"gnt_em gnt_em_anc\" data-g-r=\"lazy\" data-gl-method=\"loadAnc\" aria-label=\"Newsletter signup form\"><\/aside>\n<p class=\"gnt_ar_b_p\">For its Berlin plant, Tesla is once again promising transformative change.<\/p>\n<p class=\"gnt_ar_b_p\">But this time,\u00a0the company is playing to its strengths by designing a simpler product that will then be assembled to German manufacturing standards: Tesla has managed to reduce its front and rear chassis compartments to two castings for the Model Y.<\/p>\n<p class=\"gnt_ar_b_p\">\u201cThe current version of Model Y has basically two big high-pressure diecast aluminum castings that are joined, and there\u2019s still a bunch of other bits that are attached,&#8221; Musk said in an April podcast. &#8220;Later this year\u00a0we\u2019ll transition to the rear underbody being a single-piece casting that also integrates the rear crash rails.\u201d<\/p>\n<p class=\"gnt_ar_b_p\">The castings essentially make up the front and rear compartments of the car \u2014\u00a0the rear cargo area and the front trunk\u00a0where the engine would be located in a gas car.<\/p>\n<p class=\"gnt_ar_b_p\">The advantages of using a single-piece casting are many: It reduces production costs by using fewer parts, which means fewer supplier stampings as well as less labor.<\/p>\n<p class=\"gnt_ar_b_p\">Sam Abuelsamid, principal analyst for Guidehouse Insights,\u00a0agrees the single castings are an interesting idea but that execution will be key.<\/p>\n<p class=\"gnt_ar_b_p\">&#8220;Precision on a part that large could be challenging,&#8221; he said, pointing out the difficulties of deformities, for example.<\/p>\n<p class=\"gnt_ar_b_p\">Such manufacturing advances in Tesla&#8217;s new Berlin and Chinese plants have industry analysts bullish on Tesla\u2019s future.<\/p>\n<p class=\"gnt_ar_b_p\">\u201cThe\u00a0key takeaway from Tesla&#8217;s September investors meeting\u00a0is its focus from being not just a cutting-edge EV maker\u00a0\u2014\u00a0but to also being on the cutting edge of manufacturing,&#8221; said iSeeCars executive analyst Karl Brauer. \u201cThat focus could translate into a corporate mindset that gives him a long-term competitive advantage over competitors.\u201d<\/p>\n<p class=\"gnt_ar_b_p\">Musk isn\u2019t the first auto executive to learn the lessons of technical overreach. General Motors made similar mistakes under the leadership of Roger Smith in the 1980s. Under pressure from Toyota, Smith envisioned a &#8220;lights out&#8221; car factory where efficient robots shouldered most work.<\/p>\n<p class=\"gnt_ar_b_p\">In their 1994 book, \u201cComeback,\u201d authors Paul Ingrassia and Joe White cataloged Tesla-like scenes from GM\u2019s Hamtramck plant: &#8220;Instead of easing robots onto the line a few at a time, providing for inevitable debugging problems with redundant equipment, GM bet the entire Hamtramck production system on the proposition that leading-edge automation would work instantaneously.&#8221;<\/p>\n<p class=\"gnt_ar_b_p\">Mused Munro: \u201cI guess Elon had to learn his lesson just like Roger Smith.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Since the introduction of its groundbreaking Model S sedan in 2012, Tesla has been about industry disruption. Led by mercurial CEO Elon Musk, the Silicon Valley electric-car maker has taken a clean-sheet approach to everything automotive \u2014 from its spare interior designs to its \u201cLudicrous mode\u201d acceleration to its over-the-air software updates. But its attempt [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[],"_links":{"self":[{"href":"https:\/\/henrypayne.com\/index.php\/wp-json\/wp\/v2\/posts\/26099"}],"collection":[{"href":"https:\/\/henrypayne.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/henrypayne.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/henrypayne.com\/index.php\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/henrypayne.com\/index.php\/wp-json\/wp\/v2\/comments?post=26099"}],"version-history":[{"count":1,"href":"https:\/\/henrypayne.com\/index.php\/wp-json\/wp\/v2\/posts\/26099\/revisions"}],"predecessor-version":[{"id":26100,"href":"https:\/\/henrypayne.com\/index.php\/wp-json\/wp\/v2\/posts\/26099\/revisions\/26100"}],"wp:attachment":[{"href":"https:\/\/henrypayne.com\/index.php\/wp-json\/wp\/v2\/media?parent=26099"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/henrypayne.com\/index.php\/wp-json\/wp\/v2\/categories?post=26099"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/henrypayne.com\/index.php\/wp-json\/wp\/v2\/tags?post=26099"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}