Purpose The purpose of this paper is to define the local integration rate and how it is calculated to assess its relevance as a national performance indicator for the Moroccan automotive industry. Design/methodology/approach The research methodology first followed a systematic review approach through the analysis of published research articles and academic works. This study then followed a qualitative approach based on semi-structured interviews with various actors in the Moroccan automotive industry. Finally, the findings of this work were reinforced by a case study to analyze the supply chain of a locally produced vehicle. Findings The results indicate that the local integration rate as calculated today overestimates the performance of the automotive industry and does not systematically guarantee a significant creation of value added. Research limitations/implications Due to the confidentiality of the data in terms of turnover, payroll and purchase prices as well as the large number of suppliers in the different supply chains of the car manufacturer, the case study focused on only one of the six existing ecosystems. Originality/value On the basis of research work on the Moroccan automotive industry as well as interviews with various actors, the local integration rate is unanimously considered as a viable performance indicator. This study has not only led us to the method of calculating this rate by the Ministry of Industry but also demonstrated its limitations while proposing a new method of calculation to increase the value added.
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