Specialty vehicle manufacturer Spartan Motors recently launched Detroit Truck Manufacturing (DTM), a captive-channel supplier of fabricated aluminum cabs for Spartan’s fire trucks, as well as its cab and chassis products.
DTM will enable Spartan to achieve greater flexibility through further insulating the organization from risk in its broader supply base, optimizing its cost structure and quality control efforts, Spartan maintained.
“I am very pleased to announce the launch of Detroit Truck Manufacturing,” said Daryl Adams, Spartan’s president and chief executive officer. “In addition to producing cabs designed for final-stage manufacturing, this initiative further protects Spartan from potential supplier disruptions in our changing economic climate.
“While we plan to further expand our supply base across the organization as part of our long-term strategic growth and financial initiatives, creating a captive channel cab manufacturer provides Spartan greater flexibility and an optimized cost structure to fuel additional, profitable growth.”
Spartan said DTM is an “organ growth opportunity” due to its proximity to the Detroit area, strategic customers, a skilled automotive talent pool and improved product validation.
“This initiative will further Spartan’s vertical integration strategy for efficiencies and savings, along with reduced material costs and freight savings that will be leveraged across the enterprise,” the company claimed.
The new facility is located on 5 acres in Madison Heights MI. Spartan said DTM will help it “grow and expand by reinforcing its commitment to US manufacturing,” and provide a pipeline to a skilled workforce that excels in the areas of fabrication, welding, quality assurance and manufacturing optimization.