When Quality Management can save both jobs and lives
UzEraeCable: Proving that excellence must be a standard in the car industry
Manufacturing automobile cabling under Quality Management to contribute towards national economic transition
© 2016 R. Ulmen / Jave Zamra
Uzbekistan is a unitary democratic republic located in Central Asia and bordered by Kazakhstan, Tajikistan, Kyrgyzstan, Afghanistan, and Turkmenistan. As such, it is one of only two doubly-landlocked countries in the world, meaning that not only is Uzbekistan landlocked, but every one of its neighboring countries is as well.
This means that importing goods, especially large ones, is a difficult proposition. Items traditionally brought by sea must traverse two sets of national borders over land before arriving in Uzbekistan, doubling the number of customs processes and regulations that must be adhered to, not to mention the distance that must be traveled. While Uzbekistan has a robust air-travel infrastructure, bringing in everything by air cargo can be very expensive.
Uzbekistan has, according to HSBC, one of the fastest growing economies in the world, and is projected to be among the top 26 in growth until 2050. Right now, Uzbekistan has an export-oriented economy, and in so it does relatively well. It has abundant natural resources, including precious metals such as gold and uranium, oil and natural gas deposits, and a huge agricultural sector geared towards growing cotton for export.
While the economy is enjoying the currently high-prices demanded by cotton and gold, and the increase in demand for natural gas, the government has decided to jump start industrialization by adopting a policy of import substitution. This means that the government encourages the creation of production capacity to produce domestically what once needed to imported at great cost.
By forging partnerships with global producers of key goods, Uzbekistan has been developing a healthy and growing manufacturing sector in the country. In 2009, Uzbekistan designated an area of the city of Navoiy as a “Free Industrial Economic Zone,” opening up the area to Korean investment and partnerships. One of the companies founded through this initiative is UzEraeCable, a manufacturer of Automobile wires and cabling.
© 2016 R. Ulmen / Jave Zamra
In modern car manufacturing, electronic cabling is very important, and the ability to produce them domestically fell in line with the idea of import subsititution. UzEraeCable’s first product was battery cables for Chevy Cobalts being assembled by GM Uzbekistan, who has remained an essential client ever since.
GM Uzbekistan produces over a quarter-million vehicles each year, and UzEraeCable products are essential components of many of them. Other important clients include SamAuto, an Uzbeki producer of passenger buses, and other domestic suppliers of automotive parts that include cabling, such as battery and panel manufacturers.
The importance UzEraeCable is apparent, but it is the company’s quality that sets it apart for international recognition. UzEraeCable contributes to the national transition to domestic manufacturing, and supplies partner companies with high quality, and reliable products. The company utilizes 22 separate testing machines to ensure compliance to standards, and its testing laboratory is ISO 17025 certified.
As the national economy grows, and demand picks up for automotives, UzEraeCable will play an important part in supplying the essential parts that the industry needs, and it should experience significant growth itself. With the adoption of international leadership and management standards, UzEraeCable will continue to grow, develop, and continuously improve its products.
ABOUT BID AND THE CENTURY INTERNATIONAL QUALITY ERA AWARD:
BID is a private and independent organization founded in 1984, whose primary activity is business communication orientated towards quality, excellence and innovation in management. A leader in the broadcasting of Quality Culture, BID recognizes those companies and organizations which lead the most important activities in the business world, and is considered the founding organization in the broadcasting of the Culture of Quality, Excellence and Innovation in 179 countries. The trophy symbolizes a pledge to the principles of Quality Culture. The QC100 Total Quality Management Model, together with the Quality Mix program, media coverage of the convention and its impact on the community and business sector, create an unmatched platform for continuous improvement within the organization and awareness of the achievements of the company at an international level. Awards are given only to those who are committed to improving their Quality Culture based on the principles of the QC100 Total Quality Management Model. Candidates are proposed by the leaders of previously awarded companies who they consider worthy of the award. Especially meritorious candidates may also be nominated. The International BID Quality Award Selection Committee then chooses the winning companies who will receive the award in New York, Paris, Geneva, Frankfurt, Madrid and London.