The Denizli Model Factory, which will strengthen Denizli’s deep-rooted manufacturing culture through productivity and lean transformation, has been inaugurated in the Denizli Organized Industrial Zone on an area of 1,200 square meters with an investment of USD 1.3 million.

Implemented under the leadership of the Denizli Chamber of Industry and carried out in cooperation with the Ministry of Industry and Technology and UNDP, the Denizli Model Factory is a digital transformation and capability development center. Its official opening ceremony was held with the participation of the Minister of Industry and Technology, Mehmet Fatih Kacır.

The ceremony was also attended by Ivana Živković, UN Assistant Secretary-General, UNDP Assistant Administrator and Director of the Regional Bureau for Europe and the Commonwealth of Independent States (CIS); Denizli Governor Yavuz Selim Köşger; Permanent Representative of Türkiye to the United Nations in New York Ahmet Yıldız; Chairperson of the Board of the Denizli Chamber of Industry and the Model Factory Selim Kasapoğlu; members of the Denizli provincial protocol; and senior UNDP officials.

A Strategic Step Toward the Future of Denizli’s Industry

Speaking at the opening ceremony, Selim Kasapoğlu, Chairperson of the Board of the Denizli Chamber of Industry and the Model Factory, emphasized that the Denizli Model Factory is not an ordinary investment, but rather a long-term vision project. Noting that the establishment of Türkiye’s 11th Model Factory in Denizli represents a strategic milestone for the city’s industrial ecosystem, Kasapoğlu underlined that this center will help transform the production culture into a more productive and more competitive structure.

Stating that the Model Factory project was identified as a priority responsibility from their very first days in office, Kasapoğlu said, “For us, this project was more than an investment decision; it was a matter of vision for the future of Denizli’s industry.” He highlighted that Denizli is an industrial city with strong export capacity, a robust entrepreneurial spirit, and a high openness to change, and noted their belief that this dynamism must be reinforced through productivity and lean manufacturing approaches.

Kasapoğlu added: “Today, we have brought to Denizli a productivity center with an investment volume of USD 1.3 million, encompassing 1,200 square meters of indoor space and an installed capacity of 400 kilowatts. With its broad stakeholder structure and a highly qualified professional team, we have established a strong infrastructure that will deliver effective services.”

Applied Transformation at the Heart of Production

Emphasizing that the Model Factory is located at the very center of the Denizli Organized Industrial Zone, fully embedded in the production environment, Kasapoğlu stated that the center offers a hands-on transformation model.

“The Model Factory is not merely a building or a training facility. It is a transformation center where a culture of productivity is taught through practice,” Kasapoğlu said, noting that companies from the textile, machinery manufacturing, cable, and food sectors participated in the first phase of the Learn–Transform Programs.

Highlighting the remarkable outcomes achieved through pilot implementations, Kasapoğlu reported improvements of up to 35 percent in delivery times, increases of up to 48 percent in capacity, and gains of up to 56 percent in overall productivity. He also underlined that the return on investment for the expenditures made was realized within a period of one to five months.

An Integrated Structure Completed Through Green Transformation

Kasapoğlu stated that the Southern Aegean Green Transformation and Efficiency Testing Center, planned within the same complex, will serve as a complementary component of the process. Emphasizing that this center will provide industry with technical infrastructure in the areas of energy efficiency, carbon footprint measurement, and resource efficiency, Kasapoğlu noted that this will establish an integrated transformation ecosystem in Denizli - one that addresses productivity and sustainability together.

Concluding his remarks, Kasapoğlu extended his gratitude to all institutions and stakeholders who contributed to the project, underscoring that the Denizli Model Factory will serve as a strong pillar for industrialists on the path toward excellence in production. He expressed his best wishes that the center would be beneficial for Denizli, the region, and the country’s industrial sector as a whole.

UN Assistant Secretary-General, UNDP Assistant Administrator and Director of the Regional Bureau for Europe and the Commonwealth of Independent States (CIS) Ivana Živković: “Model Factories Are Where Local Ownership Meets Global Vision”

Ivana Živković, UN Assistant Secretary-General, UNDP Assistant Administrator and Director of the Regional Bureau for Europe and the Commonwealth of Independent States (CIS), stated at the opening of the Denizli Model Factory that the center is not merely a production facility, but a comprehensive transformation model aimed at learning by doing, continuous improvement, and strengthening industrial competitiveness.

Emphasizing that Model Factories stand out as one of Türkiye’s most innovative industrial policy tools - bridging strategy with practice, and national priorities with firm-level transformation, Živković noted that this success reflects strong institutional cooperation between the Ministry of Industry and Technology, UNDP, and local partners.

Highlighting the critical role Model Factories play in enhancing the adaptability and resilience of SMEs throughout the digital and green transformation process, Živković stated that the Denizli Model Factory stands as a powerful example of how local ownership, when combined with a national vision, can generate value at both regional and global levels.

Minister Kacır: “Model Factories Deliver Lasting Gains in Productivity”

Speaking at the opening ceremony, Mehmet Fatih Kacır, Minister of Industry and Technology of Türkiye, emphasized that the country is turning its transformation in manufacturing and technology into an opportunity. Minister Kacır noted that Model Factories, through a “learn–apply–transform” approach, enable companies to achieve up to 76% increases in productivity without additional machinery investment, average reductions of 34% in production times, and improvements of up to 140% in output volume. He also highlighted that the 12 Model Factories nationwide make a critical contribution to building a high value-added and sustainable production infrastructure.

Multi-Dimensional Incentives and Transformation Support for Industry

Minister Kacır stated that the Southern Aegean Green Transformation and Efficiency Testing Center, to be established within the Denizli Model Factory, will guide industrialists in energy efficiency measurements, carbon and water footprint assessments, and clean production practices. He added that the center is expected to be completed this year with support totaling TRY 15.5 million. In addition, under the Digital Transformation Program, companies are provided with cash grants, tax reductions, and financing opportunities, while investments in Organized Industrial Zones (OIZs) benefit from incentives such as employer Social Security contribution support, VAT exemptions, and customs duty waivers.

Highlighting that the Denizli Model Factory and the Green Transformation Center will give the city strong momentum in digitalization, productivity, and sustainability, Minister Kacır noted that Denizli will stand out as one of the model cities in Türkiye’s “Century of Türkiye” vision.