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U.S. Automotive Producers With Ongoing Bad Habits

Supply Chain Matters

automotive producers continue to fall back on what we view as a bad habit- a reliance on big-ticket, larger margin trucks and SUV’s for profitability and hence manufacturing strategy.  Supply Chain Matters has been observing how U.S. Perhaps you have noticed this same trend. These past few days have featured troubling news that points to […].

Complex Automotive Supply Chain Makes Traceability A Challenge


Track and Traceability AutomotiveIt can be difficult to quickly pinpoint the origin of a faulty auto component. Even relatively minute problems with an important auto component can have serious consequences. Whether they be faulty brake lines or airbags that fail to deploy, these malfunctioning parts can threaten the safety of drivers, passengers and pedestrians everywhere.

What is an ASN and why is it so important to the automotive supply chain?

The Network Effect

If you’d like to know more on this and related subjects, I recommend you read the new Automotive Inbound Supply Best Practices whitepaper. It’s an incredibly comprehensive deep dive of what automotive suppliers are being asked to do, and it provides a clear road map for how they can achieve it. The post What is an ASN and why is it so important to the automotive supply chain?

Is the Automotive “Factory of the Future” Closer Than We Think?

Manufacturing Transformation

In the automotive business, we’ve been hearing about the Factory of the Future for years now. think we’re in a similar situation with the automotive Factory of the Future. Over time, little by little, this digital transformation has been taking place across the automotive industry. It’s easy to dismiss the whole idea as just one more round of hype and promises.

Understanding Yard Management Systems

This is especially true in the situation where automated truck loading systems are deployed and outbound trucks are loaded in as few as 6 - 10 minutes. 8) Manufacturing companies with just in time production operations, such as in the automotive industry, whereby delays incurred with incoming loads could potentially result in costly production line slowdowns. Yard Management Systems. 12. 2.

Disruption Old and New in the Automotive Industry

The Network Effect

There’s a fascinating article at IndustryWeek on disruption in the automotive industry. Steve Kiefer, Vice president global purchasing and supply chain at General Motors, makes it clear that GM has been disrupting the automotive industry for over a 100 years. The post Disruption Old and New in the Automotive Industry appeared first on The Network Effect.

Top 7 Ways Labeling Drives Automotive Supply Chain Efficiency


Today's automotive manufacturers continue to grapple with the complexities of global markets, global production facilities, and global suppliers. Automotive InfographicAdditionally, too many organizations today rely on cobbled together labeling solutions composed of disparate applications and manual processes.

The missing link in automotive contract manufacturing


The automotive industry commonly deals with global supply chains: Globally dispersed suppliers and worldwide manufacturing facilities increase complexity. Throughout the automotive supply chain setup, collaboration between dealers, OEMs, contract manufacturers and suppliers is crucial to delivery performance. The answer is simple: Collaboration. Once again, collaboration is key.

Automotive NPIs Keep Accelerating – Can You Keep Up?

Manufacturing Transformation

We’ve been talking about accelerating New Product Introduction (NPI) in the automotive industry for years. recent article in Automotive News says the speed of NPI is still accelerating, and will keep doing so for the foreseeable future. This is a well-known strategy in automotive manufacturing. But unlike NASCAR, there is no finish line in the automotive industry.

What’s new in the automotive supply chain? (Hint: Inventory Replenishment Policies)

The Network Effect

Major automotive Subsystem and Tier 1 Suppliers are actually including statements to this effect in their 10k filings. The post What’s new in the automotive supply chain? Auto Automobile Supply Chain Planning Visibility automotive Inventory replenishement visibility 1965 Ford Mustang Assembly Line in Dearborn.

Overcoming Supply Chain Challenges in the Automotive Industry

Ryder Exchange

James Bovenzi, Executive Director, North America GPSC at General Motors used this quote attributed to his CEO Mary Barra, during his presentation at the Automotive Logistics Global Conference in September. Automotive Cross Border Supply Chain“The auto industry will change more in the next five years than it has in the last 50.” Bovenzi added, supply chains will be the […].

Inbound logistics requirements for the new automotive supply chain

The Network Effect

Considering the lengthy set of detailed logistics requirements for an automotive supplier list in the balance of this section, one needs to wonder how an optimal level of analytics, visibility, and control could have been provided using legacy systems. If you’d like to know more on this and related subjects, I recommend you read the new  Automotive Inbound Supply Best Practices  whitepaper.

Not a Good Week and Time for Automotive Service Management Supply Chains

Supply Chain Matters

For service facing and aftermarket automotive related supply chains, news developments this week have undoubtedly bordered on the surreal or even bizarre. Automotive Supply Chain Product Lifecycle Management Service Lifecycle Management Service Parts Planning Service-centered Supply Chains Supplier Management Supply Chain Risk Management 2014-2015 Takata airbag inflator recalls independent blog analysis and insights on supply chain management Supply chain Matters blog Takata Corp. Volkswagen emissions scandal Volkswagen supply chain

Why the automotive aftermarket spare parts supply chain is such a complex problem

The Network Effect

See below for a real example of how one of the world’s largest automotive leveraged an innovative cloud platform and a trusted 3PL partner to transform their spares business. suggest you download the automotive aftermarket spares solution sheet. The post Why the automotive aftermarket spare parts supply chain is such a complex problem appeared first on The Network Effect.

Major Automotive Supplier Component Safety Snafu is Another Supplier’s Strategic Gain

Supply Chain Matters

As far back as 2014, Supply Chain Matters provided commentaries relative to the defective air bag inflator crisis that was impacting multiple global automotive brands. Automotive Supply Chain Procurement and Sourcing Product Lifecycle Management Product Quality Service Lifecycle Management Supplier Collaboration 2014-2015 Takata airbag inflator recalls Autoliv Supply chain Matters blog Takata defective airbag inflator recall- impact on supply chainEven then, the product recalls involving airbag inflators supplied by Takata Corp. of Japan were estimated to be in the millions.

In the Automotive Industry, was 2014 a Year Worth Recalling?

Manufacturing Transformation

2014 was a record-setting year in the automotive industry – but not in a good way. Why is quality so hard to control in the automotive industry? At the very least, it’s yet another strong reason for automotive companies to be investing in modern manufacturing systems. Recalls reached record levels, and show no sign of letting up. Increasing Complexity.

4 Steps to Maximizing Big Data for Automotive Logistics

Ryder Exchange

Automotive logistics is immersed in big data. Between OEMs, suppliers, dealers, carriers, logistics service providers , and other third-party providers, that’s countless millions of pieces of data across the automotive ecosystem. Tom Kroswek is Senior Director of Supply Chain Excellence, Value Stream Leader – Automotive, Ryder Supply Chain Solutions. Consider the sources.

What Comes Around: A Rating of Automotive OEM’s from Suppliers

Supply Chain Matters

A posting on Supply & Demand Chain Executive highlights the results of the 14th annual North American Automotive Tier 1 Supplier Working Relations Index, which is an industry study on the major U.S. and Japanese automotive OEM’s relationships with suppliers. This annual study focuses primarily on OEM’s Chrysler, Ford, General Motors, Nissan, Honda and Toyota which currently comprise upwards of 80 percent of U.S. vehicle sales. The article highlights that both Toyota and Honda’s efforts to improve supplier innovation and relationships have, once again, gained the upper hand.

Dude, Where’s My Tesla? A look at the Amazing Automotive Supply Chain

Inventory and Supply Chain Optimization

Though I am happy they are getting their desired car, I am a bit concerned after reading a Bloomberg article titled “What happens when you … Continue reading → Amazing Supply Chain Logistics amazing supply chain automotive supply chainThere are many people waiting for the Tesla Model 3; over 400,000 to be exact.

The Intricacies of the Automotive Supply Chain

Supply Chain Link

There are over 254.7 million vehicles on the road in the Unites States 1 and every one of those vehicles are made up of thousands parts. There are many. Read more. 10/27/2015. Distribution. Global. Supply Chain. Transportation. Distribution, Transportation, Supply Chain, Global. Distribution Distribution Global Global Supply Chain Supply Chain Transportation Transportation

Evidence of Business as Usual in North America Automotive Supplier Relationships

Supply Chain Matters

automotive industry. Automotive Supply Chain Procurement and Sourcing Supplier Collaboration Supplier Management automotive industry global supply chain challenges Supply chain Matters blogIn the week that the purchasing and supply management community is meeting at the Institute for Supply Management (ISM) annual conference being held here in Indianapolis, is a disappointing report of business as usual supplier relationship management challenges across the U.S. The Wall Street Journal reports Lukewarm Supplier Ties Hamper Auto Makers (Paid […].

Knobs, Switches and the Evolution of the Automotive Supply Chain

The 21st Century Supply Chain

What I thought was going to be a non-exciting “dealing with a car salesman” kind of day turned out to be a thought-provoking automotive supply chain awareness trip. The post Knobs, Switches and the Evolution of the Automotive Supply Chain appeared first on The 21st Century Supply Chain. Supply chain management automotive industry supply chain management Automotive supply chain

More Negative Visibility to Product Recalls and One Supplier in Automotive Supply Chains

Supply Chain Matters

In a June 2014 Supply Chain Matters commentary, Automotive Component Supply Strategy Meets Sensitized Regulatory Environment, we called attention to a published Reuters report indicating that product recalls involving airbags supplied by Japan based Takata Corp. would  expand and involve millions of affected motor vehicles and ensnarl many global brands. That situation has become ever more visible in a multitude of cascading product recalls and urgent consumer advisories involving many auto brands from entry-level to upscale luxury. states and regions featuring warm, […].

Industry Disruptor: Tesla and the Automotive Driving Experience

Supply Chain Matters

Fast becoming one of the icons of disruptive thinking approaches is Elon Musk with his current ventures in the automotive and space exploration and aerospace sectors.  Supply Chain Matters has featured a number of prior commentaries specifically focused on Tesla and how this automotive producer has challenged existing norms in is driving re- thinking in supply chain vertical integration, advanced manufacturing practices, service and distribution strategy. We are often reminded that one of the most common traits of industry disruptors is that they think differently. 

Why a network model makes sense for today’s automotive suppliers

The Network Effect

Today I want to talk about the challenges faced by today’s automotive suppliers, and why a network model for their supply chain can help. Supply chain organizations within the automotive supplier industry contribute to manufacturing excellence in many ways, including quality, cost, and delivery to their OEM and subsystem customer base. Supplier shipment information accuracy.

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In Automotive Industry, Mexico is Indeed Becoming A North America and Export Production Center

Supply Chain Matters

In a previous Supply Chain Matters commentary in early July, we noted a rising tide of production sourcing investments in Mexico among global based automotive OEM’s.  Automotive OEM’s BMW, Honda, Mazda,Volkswagen’s Audi Group, and a partnership among Nissan and Daimler had each announced Mexican production sourcing decisions that amounted to billions of dollars of investment. This week featured news of yet another global based automotive producer electing to source production in Mexico. Obviously, such a trend implies that a global […].

Infographic: The History of the Automotive Headlight

The Network Effect

The post Infographic: The History of the Automotive Headlight appeared first on The Network Effect. Automobile Technology The Network Effect Transportation automotive headlightsThe headlights on our cars play a crucial role in our safety, but we hardly give them a second thought.

Automotive Service Supply Chains Undergo Even More Stress

Supply Chain Matters

In a published Supply Chain Matters commentary in June, Service Supply Chains Put to the Ultimate Stress Test in the Automotive Industry, we focused on General Motors, which after intense scrutiny from U.S. Other Automotive OEM’s have also found themselves under intense regulatory scrutiny, and many elected to err on the side of caution and declare product recalls if there were any concerns regarding vehicle or occupant safety. regulators and legislators regarding faulty ignition switches among multiple models, had recalled thousands of vehicles. Beyond the […].

How order aggregation can eliminate costs in the automotive supply chain

The Network Effect

Given these exacting requirements, every automotive supplier needs to consider the advantages of the newer network-based architectures. If you’d like to know more on this and related subjects, I recommend you read the new Automotive Inbound Supply Best Practices whitepaper. SMMt Ltd/Flickr. Today I want to talk about order aggregation, as this is the next logical step.

Sourcing Your Supply Chain Successfully in Mexico

Ryder Exchange

Automotive Cross Border Supply ChainImagine a birds-eye view of a freeway at rush hour in any major American city, as the lanes fill up with every conceivable make and model of automobile. There, in the resulting gridlock and traffic snarls, you see people making their way home in all the popular auto brands: Nissan, Honda, Toyota, Ford, Chrysler, Volkswagen, […].

Automotive Service Networks Response to Crisis: Update Three- Expanded Recall Involving Suspected Defective Air Bag Inflators

Supply Chain Matters

Supply Chain Matters provides another update to the ongoing crisis involving the automotive industry as unprecedented levels of product recalls continue to stress auto aftermarket service supply chains to their limits. In our last commentary, we noted the colliding forces of regulatory, political, and capacity-restrained automotive replacement spare parts networks may well continue for many more months, and that appears to be exactly what continues to unfold. Once more, when the dust settles, we believe that the industry needs to take a hard look at lessons learned.

The Automotive Aftermarket: Time for a Tuneup?

Inbound Logistics

Three recent developments—a shift to omni-channel retailing, an increase in manufacturing investment in Mexico, and the approval of the Trans-Pacific Partnership—are having a pronounced impact on automotive aftermarket supply chains. Here’s how automakers, auto parts suppliers, and logistics service providers can respond effectively

Tesla Founder Elon Musk Addresses Plan to Revolutionize Factories

Supply Chain Matters

Our last Supply Chain Matters commentary concerning electric automotive manufacturer Tesla highlighted a candid admission of the importance of design for supply chain practices, as well as a new dilemma relative to the need to more dramatically scale its supply chain and manufacturing cadence. Automotive Supply Chain High Tech and Consumer Electronics Supply Chain Manufacturing Strategies Operations management Product Lifecycle Management Supply Chain Strategy Supply chain Matters blog Tesla gigafactory Tesla Motors Tesla Motors supply chain

Supplier information challenges in the automotive industry


Recently, I had the pleasure of hanging out with 16 different Tier 1 automotive manufacturers in the same evening. Quite a few of our customers are located in the Detroit area where we recently hosted a networking event featuring Nexteer Automotive. The post Supplier information challenges in the automotive industry appeared first on Direct Materials Insider.

Watch: Fixing Supply Chain Inefficiencies in the Automotive Aftermarket

Apex Supply Chain Solutions

The automotive aftermarket, as well as other supply industries, is evolving to a point where the expected response time for orders is much faster than ever before. This responsibility is placed higher up the supply chain, so distributors and OEMs must be able to respond to the needs of the actual service provider.

General Motors Embroiled in Supplier Crisis

Supply Chain Matters

That lesson was reaffirmed in the 2011 devastating earthquakes and tsunami that struck Japan when automotive and high tech manufacturers discovered later in the […]. Automotive Supply Chain Procurement and Sourcing Supplier Management General Motors supplier crisis General Motors Supply Chain Supply Chain MattersIn supply chain and procurement communities, there is somewhat of a known axiom that any lower-tiered component supplier, even smaller in scope, can cause a significant supply chain and production disruption.

How international shipping can be improved in today’s global automotive supply chain

The Network Effect

Given the global nature of automotive manufacturing in today’s networked supply environments, international shipping will be a consideration as part of the trading relationship between Subsystem and Tier 1 Suppliers and their Tier 2 Suppliers. If you’d like to know more on this and related subjects, I recommend you read the new Automotive Inbound Supply Best Practices whitepaper.

It's Time for an Automotive Aftermarket Logistics Tuneup

Inbound Logistics

Aftermarket parts providers must take advantage of innovations in the supply chain to remain competitive in today’s global market

Simulating Success in the Automotive Manufacturing Industries

Manufacturing Transformation

Continuing from my prior post , another example of the role that digital manufacturing and simulation plays comes from the Automobili Lamborghini Advanced Composite Structures Laboratory (ACSL) at the University of Washington in Seattle (USA), which blends aerospace and automotive composite development. See figure above. Complete Paradigm Shift. Reducing Uncertainty.