LEGO
Large production complex planned in Hungary / Commissioning scheduled for 2015 / Management reshuffle
 Lego bricks are a hot-selling item right now (Photo: Lego) |
Danish toy manufacturer Lego (Billund; www.lego.com) plans to invest about EUR 100m in a new production hub in Nyíregyháza / Hungary, nearby the production facility rented by its erstwhile contract supplier Flextronics (Singapore; www.flextronics.com). The exact location of the new complex is still unclear, although the centre is to provide 250 new jobs. The Hungarian government will reportedly subsidise the planned investment with an as yet undisclosed sum.
Aside from an injection moulding centre the new 80,000 m2 facility is to house tool manufacture, packaging as well as a storage area. The latter is due to be completed in 2012, whereas phase two of the project foresees the move of the group’s entire production by September 2015. The plan calls for raising the present number of 250 injection moulding units to 450 in total.
After outsourcing the Hungarian production to Flextronics, quality problems led the Danish group to bring the plant and its 1,200 employees as well as its hub in Kladno / Czech Republic back into its fold in 2008. Lego then completely revamped the site, investing several million euros – see Plasteurope.com of 17.02.2009. Even though a completely new hub had been part of the considerations at the time, the plans were only undusted now.
Lego operates a total of five plants over the world. Aside from the one in Nyíregyháza, the group runs two facilities in Denmark, one in Monterrey / Mexico and another in Kladno, for which the group announced a EUR 50m investment scheme earlier this year – see Plasteurope.com of 13.04.2011.
When announcing the decision to build a new plant in Hungary, Lego also said it would expand its management board from its current 6 members to a total of 22. In addition, the group will in future be divided into only three units: Operations, tasked with the operative business; Marketing, tasked with sales and development; as well as Business Enabling, which will comprise group administration and staff units. Lego saw its operating profits increase by 38% year-on-year to DKK 2.03 bn (EUR 273m) in H1 2011 – see also Plasteurope.com of 12.09.2011.
Aside from an injection moulding centre the new 80,000 m2 facility is to house tool manufacture, packaging as well as a storage area. The latter is due to be completed in 2012, whereas phase two of the project foresees the move of the group’s entire production by September 2015. The plan calls for raising the present number of 250 injection moulding units to 450 in total.
After outsourcing the Hungarian production to Flextronics, quality problems led the Danish group to bring the plant and its 1,200 employees as well as its hub in Kladno / Czech Republic back into its fold in 2008. Lego then completely revamped the site, investing several million euros – see Plasteurope.com of 17.02.2009. Even though a completely new hub had been part of the considerations at the time, the plans were only undusted now.
Lego operates a total of five plants over the world. Aside from the one in Nyíregyháza, the group runs two facilities in Denmark, one in Monterrey / Mexico and another in Kladno, for which the group announced a EUR 50m investment scheme earlier this year – see Plasteurope.com of 13.04.2011.
When announcing the decision to build a new plant in Hungary, Lego also said it would expand its management board from its current 6 members to a total of 22. In addition, the group will in future be divided into only three units: Operations, tasked with the operative business; Marketing, tasked with sales and development; as well as Business Enabling, which will comprise group administration and staff units. Lego saw its operating profits increase by 38% year-on-year to DKK 2.03 bn (EUR 273m) in H1 2011 – see also Plasteurope.com of 12.09.2011.
19.09.2011 Plasteurope.com [220382-0]
Published on 19.09.2011
German version of this article...