If you haven’t yet listened to or read about them, take a look at our wrap-up blogs covering past episodes of the Auto Supply Chain Prophets podcast.
Season 2 of the Auto Supply Chain Prophets is underway and I can’t even begin to tell you how good that feels. Change is constant in the automotive world and Cathy Fisher of Quistem, Jan Griffiths of Gravitas Detroit and I strongly believe that building a resilient supply chain requires the work of so much more than one company or a few thought leaders. It takes a village; an industry. And that’s why we created the Auto Supply Chain Prophets.
When we put our heads together to start the podcast, we had no idea it would capture the attention of so many listeners or that we’d have the opportunity to speak with some of the greatest minds in the industry. We’re creating a platform where our industry can come together, learn from one another and walk away with actionable insights that help make all of our organizations, and entire value chain, stronger. Together, with your support, we’re building the auto supply chain of tomorrow, today.
I hope you enjoy reading this wrap-up of our six latest episodes, and encourage you to follow us on Apple, Spotify or online to stay up to date as new episodes, and opportunities to demystify your supply chain processes, hit the waves. To learn more about our philosophy and the foundation for our interviews, check out our Delivering on the Promise of Delivery white paper discussing our vision, “The 24 Essential Supply Chain Processes.”
Episode #26: Supply Chain Perspectives from Emerging EV Suppliers
It’s no secret that the automotive industry is undergoing a transformational shift as vehicle electrification takes hold worldwide. It’s an exciting time to be part of the electric vehicle (EV) supply chain, but the space isn’t without challenges. Some constraints are entirely new and unique to EVs, while others like labor shortages and supply bottlenecks can be felt across the wider automotive industry.
So, what’s it like to be a player in the EV parts supply chain, and how are these companies striking a balance between supply complexities and surging demand for their products? These were just a couple of the questions we had the opportunity to delve into on the sidelines of the 2022 Original Equipment Suppliers Association (OESA) Annual Automotive Supplier Conference in Novi, Michigan, and the answers may surprise you.
In this episode, we meet up with Jovani Gonzalez, Chief Financial Officer of Acument Global Technologies to discover how Acument and its fasteners are making the leap from combustion vehicles and aerospace applications to EVs with a “fail fast” mentality.
“One of the things that prevent the industry from moving forward is the inability to be proactive against changes. The only way that we have to improve that situation is by making a strong plan. We test. We call this fail fast — adopt a change, then start moving forward,” shares Jovani.
We also touched base with Carolyn Sauer, Director of Business Development at Schaltbau, to discuss her experience gaining traction in a field where the electronics manufacturer is a relative newcomer. Direct current (DC) power control systems like the ones Schaltbau has to offer are in high demand, so building strong relationships is key, explains Carolyn. “It’s a challenge to figure out who’s best to talk to. So, I try to talk to everyone.”
Click here to listen to the full episode.
Episode #27: Preparing for the Future
You wouldn’t bid on a project RFP or swap out part of your supply base without having a strategy in place first, and Jan, Terry and I feel the same way when it comes to planning for future episodes of the Auto Supply Chain Prophets podcast.
We work hard to ensure every episode delivers meaningful perspectives from industry leaders and data-driven insights that will help inform your supply chain strategy, but it’s not quite as simple as pulling out the good ol’ crystal ball. The automotive supply chain has changed a lot and many of the predictions in our white paper have come true, which is somewhat gratifying as your trusty “prophet,” but quite disheartening at the same time.
As Jan shares in this episode, we understand that you’re struggling with unprecedented supply chain disruption, cost inflation and major changes on the plant floor – and we want to help. That means sharing insights that help future-proof your organization and getting back to the basics to make sure your business is ready for the supply chain of tomorrow.
Click here to listen to the full episode.
Episode #28: How MMOG/LE is Transforming the Automotive Supply Chain
If you tuned into the last episode, you know a ton of planning went into our second season and we couldn’t be more excited to continue delivering on the promise of delivery, as we like to say.
We started the season off with a deep dive into one of our favorite topics, MMOG/LE, with Tanya Bolden, Vice President of Corporate Responsibility and Supply Chain Products and Services for AIAG Automotive Industry Action Group.
As you likely know, AIAG partnered with Odette International to develop the Materials Management Operations Guideline/Logistics Evaluation (MMOG/LE) and very few have a better pulse on the tool, and its performance, than Tanya. Change is the only thing that’s certain in the automotive industry (or manufacturing, in general, for that matter) and standardization with tools like MMOG/LE are the key to stability in times of disruption.
Tanya gives us a quick refresher on all things MMOG/LE, including why it’s mission critical for Tier 1 executives and what to expect from Version 6. We also hear some sage wisdom on implementation, and that’s to establish a collaborative work group to identify pain points.
“Don’t work in a vacuum,” explains Tanya. “We can learn a great deal from collaborating with our peers, our customers and our suppliers. There’s always something new to learn or something that might benefit you.”
This episode skyrocketed to our top downloaded podcast episode to date!
Click here to listen to the full episode and here to access QAD’s free MMOG/LE assessment.
Episode #29: Speeding Past Spreadsheets and Silos: The Intersection of IATF and MMOG/LE
Cathy and I are big fans of establishing best practices and sticking to them, but they have to be effective and measure up to industry standards. That’s where AIAG and Odette’s MMOG/LE tool comes in and it’s been on my mind a lot since we recorded Episode #28 with AIAG’s Tanya Bolden.
Cathy, Jan and I have more to say on the topic of MMOG/LE and knew a follow-up episode would do the trick. For starters, did you know that integrating your supply chain processes in line with MMOG/LE v6 could reduce your company’s inventory by as much as 60%? I know it might sound too good to be true, but MMOG/LE is the real deal and I can personally attest to the benefits. Cost savings alone is a great reason to embrace the tool, but that’s just the beginning.
In this episode, we discuss how MMOG/LE v6 can also drive improvements in quality, the problem with high-level work instructions and how the tool fits within existing IATF standards, with a focus, of course, on helping you build the supply chain of tomorrow, today.
Click here to listen to the full episode.
Episode #30: Part 1 | Reshoring, the Value Chain and the Power of Automation
Unlocking investment in US manufacturing sounds great, and don’t get me wrong, it is, but let’s make sure we’re not wearing our rose-tinted glasses. We all want a strong economy, job creation and access to local products that will cut down on transportation costs and supply chain complexity, but it’s not as easy as simply moving a factory back from abroad.
You probably guessed it, but I’m talking about reshoring – the theme of the first part of this two-part episode featuring Rosemary Coates, Executive Director of The Reshoring Institute and author of The Reshoring Guidebook.
Reshoring is a hot topic in our industry right now and new manufacturing investments are making headlines almost every day, especially since laws such as the Inflation Reduction Act were signed into law. Trends such as this are especially exciting for the EV supply chain.
Companies forget, however, that “supply chain” isn’t singular,” explains Rosemary. “We need to think about supply chain as being an umbrella term. And under that umbrella includes all of the operations of a firm.”
“A mistake companies make is thinking about reshoring [as] bringing all your production back [from being abroad] — that’s not really the way global companies think these days,” continues Rosemary. This is especially true if reshoring means leaving a high-growth market, like Asia is for the automotive industry.
Click here to listen to the full episode.
Episode #31: Part 2 | What Automotive Supply Chain Leaders Need To Understand Before Reshoring
In the first part of this two-part episode, we chatted with The Reshoring Institute’s Rosemary Coates about the business case for reshoring. In part two, we dial the conversation into the automotive industry, China and the future of the auto supply chain.
Reshoring is definitely having a moment and one powerful driver automotive players need to pay attention to is the Uyghur Forced Labor Prevention Act (UFLPA), which took effect on June 21, 2022. The law is the response to child and forced labor concerns involving China’s Uyghur ethnic minority and requires importers to verify their products aren’t associated the Xinjiang region, which can be tough considering the area is a significant production hub for polysilicon and other materials and traceability is extremely complex.
US Customs and Border Protection has stopped more than 3,500 shipments since the UFLPA took effect and denied 490 of them. The law has powerful environmental, social, and corporate governance (ESG) underpinnings that many companies can identify with, but compliance can be costly and it’s creating a fresh wave of challenges for supply chains.
Import constraints help strengthen the case for reshoring, but companies should think twice before packing up their factories, explains Rosemary. Layoffs could be expensive and there’s no guarantee China will welcome companies back later. Plus, reshoring takes time.
“We tell our clients, you can’t just snap your finger and redevelop your supply base. [If] you’re bringing manufacturing back. you’ve got to expect it’s going to be 18 months before you redevelop your suppliers,” shares Rosemary.
There’s good news in this episode, too. Companies have options when it comes to reshoring and we have a few markets in mind you may want to consider.
Click here to listen to the full episode.
Want to learn more? Visit the Auto Supply Chain Prophets website to download and catch up on all the latest podcast episodes.
This article was co-written by Cathy Fisher, founder and president of Quistem, LLC.
