Auto Parts Suppliers Research Articles

Nouvelle organisation du pôle automobile du Nord de la France

The automobile industry of the Nord-Pas-de-Calais region is recent since it appeared at the end of the 60’ s in an era of regional industrial reconversion which has now become the third largest automobile complex in France. This pole is made up of 7 production units and of an important number of auto parts manufacturers, subcontractors or suppliers of the automobile industry. This industrial hub is dynamic and creates jobs. I will show that it is innovative in different ways : first these units form a network, then they set up connections with regional research centres, finally they form an association. In spite of it being positioned rather in the sector of assembly and of production, the regional automobile industry is part and parcel of the region.

Inter‐Firm Linkages and Profitability in the Automobile Industry: The Implications for Supply Chain Management

SUMMARYThe current studies on supply chain management are limited in their analysis of the linkages between firms in related industries. This study estimates the degree of linkages between automotive parts suppliers and automobile manufacturers. Significant linkages are demonstrated by the high correlation coefficients of the P/E ratio of auto parts suppliers and auto manufacturers and by the results of regression analysis. Demand uncertainty in the automobile manufacturing industry, resulting from business cycles and unexpected labor disputes, is one of the major risks facing auto parts suppliers. Risk assessment, utilizing information on linkages, is important for demand management and developing profit‐maximizing strategies.

The perspective of suppliers on lean supply in a developing country context

This paper deals with the perspective of autoparts suppliers in the Brazilian automotive industry on advances and barriers to renewed buyer‐supplier relations under lean production practices, as uncovered by a comprehensive case study research. Suppliers perceived advances in the relationships as far as operational issues were concerned, but less so in terms of strategic issues. They also identified both organizational, firm‐specific barriers and environmental barriers originating in the peculiarities of the local economic and business environment. These results are discussed in view of the dyadic relationship with buyers, leading to the identification of elements that help to formulate an explanation for the recent path of buyer‐supplier relations in the Brazilian automotive industry.

Avanços e barreiras ao fornecimento enxuto da indústria automobilística brasileira: a perspectiva dos fornecedores

Este trabalho, a partir de abrangente pesquisa de estudo de casos, conduzida na indústria automobilística brasileira, trata da perspectiva das empresas fornecedoras de autopeças no contexto dos novos relacionamentos entre compradores e fornecedores industriais decorrentes das práticas da produção enxuta. Por um lado, os fornecedores identificaram a existência de avanços nas relações de fornecimento, no que diz respeito a questões operacionais. Por outro, perceberam menor avanço quanto a questões estratégicas. Os fornecedores observaram ainda a existência de barreiras aos avanços, tanto de natureza organizacional quanto de natureza ambiental, estas originando-se nas peculiaridades do ambiente econômico e de negócios local. Tais resultados são discutidos à luz da perspectiva dos compradores (as montadoras), também levantada na pesquisa, levando à identificação de elementos para a formulação de uma explicação para a trajetória das relações entre compradores e fornecedores na indústria automobilística brasileira.

Benefícios e problemas nas relações de fornecimento enxuto: indicações na indústria automobilística brasileira

Este trabalho baseia-se nos resultados de pesquisa de estudo de casos em montadoras e fornecedores na indústria automobilística brasileira, para verificar as percepções de benefícios e problemas decorrentes dos novos padrões de relações de fornecimento a partir da adoção de práticas da produção enxuta. Os benefícios e problemas percebidos pelas 12 empresas entrevistadas, 3 montadoras e 9 fornecedores, são apresentados e discutidos à luz daqueles registrados na literatura. Os resultados apontam para uma convergência com as percepções levantadas em pesquisas na mesma indústria em outros países, com diferenças que indicam uma atitude estratégica e positiva dos fornecedores brasileiros em face das maiores exigências impostas pelas práticas de fornecimento enxuto.

Japanese Technology Management: Introduction to the Special Issue

Japanese methods of production technology management have attracted much global attention since the early 1980s. The driving force of Japanese manufacturing competitiveness has been the successful implementation of various forms of the Just-in-Time (JIT) manufacturing system, by which minimum inventories are kept throughout the system. JIT, originally developed by Toyota in the late 1960s, was disseminated to other Japanese manufacturers in auto and other industries by the late 1970s. JIT emphasizes bottom-up decision procedures such as teams, quality circles, multi-skilled workers and kaizen (continuous improvement). Successful implementation of JIT also requires successful management of quality and suppliers. Transfer of JIT to outside Japan, however, has taken place with varying degrees of success. The first two papers discuss issues associated with transplanting JIT and other Japanese manufacturing practices to the US. The paper by Lieberman and Asaba compares auto assemblers and parts suppliers in Japan and the US which have adopted JIT. It finds that while the US auto assemblers have made significant progress in reducing inventories and productivity, US parts suppliers have lagged behind in both dimensions. In contrast, the performance of Japanese auto assemblers and suppliers seems more even, suggesting the importance of supplier management in JIT manufacturing in Japan. The paper by Tsurumi and Tsurumi discusses the issues associated with transferring the steel production technology and Total Quality Control (TQC) practices developed by NKK in Japan to its subsidiary, National Steel Corporation (NSC). NSC, a supplier to the Ford Motor Company, suffered a significant deterioration in product quality and delivery time during the early 1990s. This paper empirically identifies the effect of new management, brought in to revitalize the firm, in successfully implementing TQC at NSC. The drastic appreciation of the Japanese yen since the mid-1980s as well as increased international competition have caused Japanese competitiveness to deteriorate over the last decade. In response to this challenge, Japanese manufacturers are exploring new methods of management of technology and production, which incorporate company or factory-wide topdown cost cutting and productivity enhancement approaches, within the JIT framework. The next three papers discuss some of these methods. The methods presented here generally extend the current capabilities of JIT practices. The paper by Tamura, Fujita and Kuga discusses the production seat system and its applications at three manufacturing plants. An important feature of this system, which mimics airline reservation mechanisms, is the establishment of a production seat table based on the forecasted demand for incoming orders. The table is then used as a place where cyclical matching takes place between actual customer orders and factory production capabilities, thus integrating information from sales and production departments. The paper by Monden, Akter and Kubo discusses the target costing practice, which aims to match the company requirements for a new product, to alternative designs of the new product being developed. This practice is used by many large assembly-based manufacturers during new product development. The paper presents some exploratory experimental evidence on how to achieve effective participation by new product development team members, and how to

GETTING RED ROOSTER BACK IN THE BLACK

A tight focus on gross profits pulled this Midwest auto parts supplier out of a free fall funk.

Growth of Auto-parts Suppliers under Mazda, in Japan

The Japanese automobile industry forms a characteristic hierarchical structure composed of eleven car producers, and many parts-and-components suppliers under them. These suppliers generally cluster round final-assembly plants in order to satisfy the JIT (just-in-time) manufacturing system adopted by the car producers.This paper examines mutual involvement among Mazda, direct parts and components suppliers to Mazda, and their sub-tier parts suppliers in and around Hiroshima. 86 suppliers located around Hiroshima organize a group of associate companies under Mazda called the‘Toyu-kai’in order to maintain their harmonic business relation. Most of the main plants of these suppliers were built in the Hiroshima metropolitan area adjacent to the final-assembly plant. Many of their branch plants were been eventually constructed in the neighboring rural area since '70, seeking extensive and low-cost plant sites and adequate labour force. Several suppliers built their branch plants in Hofu, Yamaguchi Prefecture, in accordance with the construction of a new Mazda assembly plant there in 1982.Vertical as well as horizontal business transactions are common among the direct suppliers, and all of the 18 suppliers studied often subcontract production of small parts to the same-tier suppliers.The shortage of labour at present is acute and a serious problem for these suppliers. As a result, some suppliers employ foreign factory workers, mainly among the second and third generations of Japanese emigrants to Middle and South America.

Should North American Parts Suppliers Learn Japanese?

Describes an empirical study examining the strategies of auto parts suppliers to transplanted Japanese OEMs. Finds that suppliers have become more customer‐focused, following the marketing concept, and also more aggressive in buying from second tier suppliers, in accordance with reverse marketing. Examines the background to the growth of Japanese OEMs in North America, together with an analysis of the traditional marketing concept, reverse marketing and the Japanese hierarchical structure of suppliers. Concludes that reverse marketing leads to strong partnerships, and that relationships with both existing and new suppliers must be developed. Relates the research to the oretical concepts and offers managerial recommendations.

Use of computer network to achieve testing flexibility

Powerplex Technologies, a joint venture between Magna International, a large North American auto parts supplier, and Brown; Boveri & Cie, of Mannheim, West Germany, has recently established sodium-sulphur battery and module test capability. The test system is based on a network of computerized battery test stations. These test stations, described in more detail below, are capable of cycling and characterizing batteries consisting of 187 V strings or battery submodules made up of 2 50 V strings. The system has been designed to minimize the need for operator training. Operator commands are entered by means of touch screen terminals. The networked stations allow the flexibility required by both development and manufacturing. Additional test stations can easily be added as required while maintaining central storage of all test results. The test information handled by this system includes amp hour capacities, cell impedance, voltage, and temperature characteristics.