What More Can We Do?April 1, 2008
If you haven’t read it already, read the article, Value Added Drives Automotive Suppliers. It traces the evolution of the automotive supply chain, describing how successful suppliers couldn’t keep serving the big boys the same old . In some s, such as those described above, metalformers and fabricators are like the digital-music players, and I’m like the automotive OEMs and top-tier suppliers. What was good enough for me before isn’t good enough anymore.
With increased competition and increased demands, parts makers have to adjust, and provide more and more to their customers in order to gain or even just keep business.
“The more our customers can get out of one source the more streamlined the operation, making everything easier to deal with,” Jim Perry, purchasing manager for Milwaukee Wire Products, Milwaukee, WI, told me, explaining how automotive OEMs want suppliers to take over more assembly and project-management services. “Automotive has been driving in that direction for a long time and is doing it very successfully. The expectation is that we supply more and more and contribute more consistently, and we have to improve on that every year.”