Proton Optimising Parts Centre Supply Chain Efficiency
Proton Parts Centre Sdn Bhd (PPCSB), a wholly-owned subsidiary which serves as PROTON’s global hub for motor vehicle components, spare parts, and accessories is strengthening and optimising its supply chain efficiency to keep up with increasing demand.
PPSCB was established on June 19, 1992, and plays a crucial role in PROTON’s after-sales improvement efforts by strengthening the parts supply chain in tandem with growing market demands. Headquartered at Hicom-Glenmarie Industrial Park, PPCSB caters to a network of 354 Body & Paint shops, parts stockists, authorised service centres, as well as 26 overseas distributors. Over the past 2 years, it has expanded its warehousing facilities by over 35% to ensure timely market supply across all regions. 
The main facility covers 26,700 square meters and serves as the nerve center for operations, handling crucial functions such as order processing, import, export, and East Malaysia transfers. Additional space will be added this year with the launch of a new regional parts center in Sabah in the 2nd quarter of the year. Currently, PPCSB processes between 2,500 to 4,500 line orders daily.
To meet the increase in parts demand, PPCSB has raised its stock holding level by 1.5 times compared to 2022 levels, ensuring a resilient supply chain. Its inventory level is estimated at over RM130 million, comprising 30,000 different parts. Stock transfers to East Malaysia have also doubled in recent years thanks to streamlined supply chain processes which also facilitates direct deliveries from overseas vendors. This contributes significantly to operational efficiency and parts availability in East Malaysia. 
PPCSB has also increased its average daily delivery output capability by 35%. Further, proactive process improvements have led to a 63% reduction in Work-In-Progress volume, ensuring more orders are fulfilled within the committed timeframe.
The most significant operational improvement will come with a new Warehouse Management System (WMS) set to be operational by the end of March 2024. Developed in collaboration with Geely and supported by Geely Logistics, this system is a comprehensive solution designed for cross-country knowledge sharing to optimise supply chain management.
“PROTON is pleased to share our commitment in our parts warehousing ecosystem as our parts supply chain warehousing improvement plan for 2024 underscores our dedication to continuous enhancement. Our new warehousing system reflects our relentless pursuit in ensuring optimal solutions for our valued customers and we will continue making efforts to improve after sales service to deliver the highest levels of customer satisfaction,” said Roslan Abdullah, Deputy Chief Executive Officer of PROTON. 
