MANUFACTURING AND RETAIL

    GLOBAL MANUFACTURING AND RETAIL FOOTPRINT

    Pirelli carries out operations at 19 factories in 12 countries located near its sales markets, in keeping with its local-for-local strategy.

    IN 2018, THE COMPANY HAD A PRODUCTION CAPACITY OF 75 MILLION CAR TYRES

    In 2018, the Company registered a car tyre capacity of 75 million. Of its industrial footprint, around 60% consists of High-Value tyres (specialties + fitting >=18”) while some 80% of production takes place in areas with contained costs, giving Pirelli a significant competitive advantage. Factories are able to produce diverse types of tyres with minimal cost and set-up times particularly in those utilizing the MIRS (Modular Integrated Robotized System) and NEXT MIRS lines. As such, the factories adapt seamlessly to the specific requests of the market, allowing for full utilization of their production capacities. Along with the logic of Lean Manufacturing, Pirelli has begun development of the “Smart Manufacturing” program which through the use of advanced techniques in “Big Data and Analytics” and “Factory 4.0” projects allows for an efficient organization and scheduling of the production process, an optimization of the factories’ manufacturing activities and, as a result, greater competitiveness and quality.

    HOW PIRELLI OPERATES

    Pirelli’s factories are designed to have the flexibility needed to meet changing demands for different types of tyres. The company is committed to maintaining the highest-quality standards throughout its value chain. It specifies the quality standards that need to be reached and monitors each phase from the supply of raw materials to selection of suppliers, manufacturing, product inspection and certification.

    WORLDWIDE DISTRIBUTION

    The tyres are sent through the supply chain to the distribution networks or directly to the more than 15,900 points of sale through which Pirelli serves its car user base in an increasingly geo-localised way. Pirelli has also started to open Prestige outlets – starting with P Zero World in Los Angeles – as a way of giving consumers the opportunity to live the full Pirelli experience and reinforce the brand’s image and values. Pirelli has a commercial presence in more than 160 countries, which enables it to offer a broad level of coverage around the world, providing professional service to vehicle manufacturers and spare-part providers.