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Study Shows: Transplant OEMs Pay Less for Tooling

Study Shows: Transplant OEMs Pay Less for Tooling

Wednesday, March 11, 2009
 
According to a new study from automotive-industry analyst Harbour-Felax Group, new-domestic automakers Honda, Nissan and Toyota pay on average eight percent less for vendor tooling than do Chrysler, GM and Ford. The study—Vendor Tooling: The Not-So-Missing Link—also finds that new-domestic tooling costs fall below those of the Detroit Three 62 percent of the time. “This study indicates that vendor tooling is the link between automaker product and process, providing a unique insight into larger industry issues,” says Laurie Harbour-Felax, president of Harbour-Felax Group. “Honda and Toyota have intelligently managed the vendor tooling life cycle,” she adds. Some best practices coming out of the study include early involvement of Tier One and tooling suppliers on programs; mutually agreed-upon standards and guidelines for the tooling request-for-proposal process; reduction in the magnitude and the number of engineering changes throughout the product-development process; and collaboration to reduce overall costs through process improvements. Learn more at www.harbourfelax.com.

 

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