Lenovo company opens plant in Ullo. The first official European domestic production facility will be in Hungary
Lenovo (for more information on the company click here) has officially opened the doors of its first plant of internal production in Europe. Based in Ullo, in Hungary, the factory focuses mainly on building server infrastructures. But in addition to these, it will also deal with systems of storage e workstation PC high-end. These will then be used by customers across Europe, the Middle East and Africa.
By extending Lenovo’s international manufacturing operations, the investment represents a significant economic potential for both the private and public sectors in Hungary. This will allow for greater production capacity. It will also offer greater potential for collaboration with local suppliers and the creation of new job opportunities. The site already takes over 1,000 employees full-time in a variety of engineering, management and operational roles. These are numbers that continue to increase as the facility moves towards full capacity.
Lenovo chooses Hungary for its first European plant
Solid infrastructure, skilled workforce and a location in the center of Europe have made theHungary the natural place for the Lenovo’s first in-house manufacturing facility in Europe. Additionally, part of Lenovo’s investment was supported with local government incentives through the Hungarian Investment Promotion Agency (HIPA). Francois Bornibus, Senior Vice President and EMEA President, at Lenovo, commented:
With the official opening of our manufacturing facility in Hungary, we have reached a profound milestone in optimizing and evolving our global manufacturing network. Hungary’s well-connected location brings us very close to our European customers so that we can meet and support their needs while remaining at the forefront of innovation. As our business continues to grow around the world, this incredible new facility will play a key role in our plans to ensure future success. The goal is to make technology smarter for all to Europe in a more sustainable, faster and more efficient way.
Róbert ŐikCEO of the Hungarian Investment Promotion Agency (HIPA), added:
We are delighted that Lenovo, an industry leader with a long history in global manufacturing, has chosen to partner with us and locate its new factory in Hungary. With the site now officially open, we expect to see new collaboration opportunities for local suppliers contributing to Hungary’s prosperous business environment.
Details on the Ullo plant
With an area of almost 50,000 square meters spanning two buildings and three floors, the new site is one of Lenovo’s largest manufacturing facilities. The production line is capable of producing more than 1,000 servers and 4,000 workstations per day, each built specifically according to customer needs. There are innovative automation features, including a first-class building management system. This works in the workshop and in the logistics area to monitor temperature, humidity, asset conditions and labeling robotics DIMM. This allows Lenovo to maintain optimal quality control of its products.
The new purpose built building was equipped with solar panels with a capacity of 0.5 megawatts, enough energy to power the equivalent of a small village. Building devices locally also dramatically reduces the transportation miles of these products, providing more efficient and sustainable options. This, combined with innovative manufacturing processes, such as the low temperature welding patented by Lenovo, it will help the company meet its science-based climate goals.
Lenovo’s strategy
The plant in Hungary is part of the global manufacturing strategy and Lenovo’s supply chain, which serves customers in 180 markets from over 35 production sites around the world. Among them, Argentina, Brazil, China, Germany, Hungary, India, Japan, Mexico and the United States. Lenovo is widely recognized for its model of hybrid production global that includes a mix of in-house and contract manufacturing. A key source of competitive advantage for the business, it provides greater efficiency and control over product development and supply chain operations. This allows us to respond to customer needs more effectively. In May 2022, Lenovo jumped of seven positions in one year and is now ranked 9th in the Gartner Global Supply Chain Top 25 per il 2022.
The recognition highlights Lenovo’s leadership as a purpose-oriented organization and operations center of excellence in the global supply chain. In addition to creating new employment opportunities in and around Ullo, Lenovo continues its commitment to supporting the local community through philanthropic activities such as technology donations to local schools and charities.
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