Automotive Industry

The automotive industry is one of the most important industries in Europe, especially in Germany, and has the role as a pacemaker for the whole economy. Many new concepts like “lean production” and “just in time” have been and are still first tested and implemented in the automotive industry.

So far, the established European car manufacturers have dominated the global markets. However, now they come under increasing pressure by the entrance of new players from Asia. The demand for cars moves to the upcoming economies outside Europe and to other market segments. There will be a further shift of demand towards compact and small cars. This is due to decreasing spending power of consumers in the domestic markets, amplified by a high price for oil and the politically intended rise in costs for individual mobility, and the still low spending power of consumers in the upcoming economies.

As a result, the current margins are no longer achievable. There are two possible reactions:

1. Innovative and high quality cars to justify higher prices.
2. Decrease of production costs by optimised processes and procurement to reduce the cost disadvantages in comparison with competitors.

This means for car manufacturers and their suppliers lean and fast processes without paralysing interfaces and lack of cooperation, starting from market surveillance, over product development and production, up to sales.

We look forward to supporting you. Please contact us.