Chrysler’s Belvidere Plant Embraces Toyota-Driven Smart Manufacturing

Chrysler’s Belvidere plant is leading the charge in transforming U.S. automotive manufacturing. By adopting lean‑manufacturing tools—flexible tooling, visual controls, Andon systems, and a focus on eliminating the “seven deadly wastes”—the plant is becoming a living laboratory of Toyota‑style continuous improvement.

On Feb. 1, the company unveiled a $419 million overhaul at its Belvidere, Ill. facility—75 mi north of Chicago—and announced the launch of the 2007 Dodge Caliber, a bold successor to the compact Neon. The new model is built on a production system Chrysler calls “Smart Manufacturing,” a framework heavily influenced by Toyota’s proven principles.

“This plant shows that we are implementing innovative solutions to compete in this fiercely competitive global market,” said Chrysler Group president and CEO Tom LaSorda. The announcement highlighted the plant’s first‑ever all‑robotic body shop, a departure from the traditional, vehicle‑specific tooling that has long defined the industry.

At Belvidere, 780 state‑of‑the‑art robots perform automatic tool changes within a 45‑second cycle time. This automation eliminates the need for dedicated tooling for each vehicle model, enabling the plant to produce the Caliber alongside three other models without sacrificing efficiency. The flexibility allows Chrysler to respond quickly to shifting consumer preferences and to transition smoothly to next‑generation platforms.

Beyond machinery, the most significant transformation lies in workforce and culture. After negotiating with the United Auto Workers, Chrysler restructured job classifications to create six‑person teams that rotate tasks and troubleshoot issues on the fly. The plant now employs 2,650 workers, with an additional 1,000 second‑shift employees added on March 20.

Team leader Alan Schwandt explains, “It makes it easier on the body and it utilizes everyone’s potential. You’re not limited to one particular job all day, and that’s where the quality comes in.” While not every union member has embraced the new model, UAW leadership backs the initiative.

“Changes are coming,” said UAW vice president Nate Gooden. “We have to embrace change. We can’t live in the past anymore. DaimlerChrysler is doing things differently to stay competitive.”

Plant manager Kurt Kavajecz notes a shift in leadership dynamics. “My focus is more on what I can do from a leadership standpoint to support team members building a car,” he says. “I now spend an hour a day on the floor reviewing team boards with leaders and members.” These meetings address emerging maintenance, quality, product, safety and material concerns.

Executive VP of manufacturing Frank Ewasyshyn emphasizes the value of employee insight: “We have to listen to our people. We have very talented people here. We need to tap into that creativity and knowledge.”

Is Chrysler on a path to reach Toyota’s caliber of excellence? “I’m tired of chasing damn Toyota,” Gooden says. “Let Toyota start chasing us.”