1. Datum : 30-04-2016
Page no: 1
Study on Building Deep Supplier
relationship
Japanese automakers vs US automakers
Präsentiert von : Palnivelrajan Manokaran
German Indian Management Studies

2. Page no: 2
Problem focused
Why not US automaker are superior than the Japanese auto makers ?
Warum nicht US-Automobilhersteller sind überlegen, als der japanische
Autohersteller?

3. Page no: 3
1. Sales comparison
2. Market share comparison
3. Supplier relationship comparison
4. Opinion on effectiveness and efficiency
5. Beratung für us Autohersteller
Task covered
Who is superior than whom ?
VS

4. Page no: 4
Sales comparison between
US Automakers VS Japanese Automakers in USA market
0
200000
400000
600000
800000
1000000
1200000
1400000
1600000
2003 2005 2006 2009 2013 2014
Sales comparision
General Motors Corp. Ford Motor Company
Toyota Motor Sales USA Inc. American Honda Motor Co Inc.
Nummi – Joint venture of Toyota and GM till 2005
0
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
9,000,000
2005 2006 2009 2013 2014
Sales in USA
Source :
http://www.oica.net/wp-content/uploads//pc-sales-20151.pdf

5. Page no: 5
Market share in 2015
US Automakers VS Japanese Automakers in USA market
39%
26%
21%
14%
31%
26%
26%
17%
MARKET SHARE IN 2008 AND 2014
General Motors Corp. Ford Motor Company
Toyota Motor Sales USA Inc. American Honda Motor Co Inc.
30
15 15
US
AUTOMAKERS
TOYOTA HONDA
No.ofmonths
Time to design new cars
2014
2008
Source :
http://www.oica.net/wp-content/uploads//pc-sales-20151.pdf

6.  Understand how supplier work.
 Turn supplier rivalry into opportunity.
 Supervise your supplies.
 Develop compatible technical capability.
 Share information intensively but selectively.
 Conduct joint improvement activities.
Page no: 6
Honda Long term relationship-oriented.
GM short term relationship-oriented.
Trim masters – is a holistic approach with the percentage of 40%, 40% and 20%.
Set suppliers against each other and do business with the least bit supplier.
Japanese trust the suppliers enough to let them to do the own things
US trust on the suppliers is very low.
Suppliers innovation capability are more important than their wage cost
US car makers works with suppliers who offer them low wage saving.
They share information in structured fashion
There is no proper flow of information due to the fear of replication.
They improve their system and tell how to improve supplier system too
There was no positive sign of continues improvement support from US automakers..
Supplier relationship comparison between US automakers and Japanese
automakers
Atlantic tools and Die

7. Page no: 7
OPINION ON EFFECTIVENESS AND EFFICIENCY
 Partnerships are the supply chains life blood.
 Many American business have been unsuccessful to build bonds with suppliers.
(Key suppliers / Customer patterning /Communication mechanism)
 Manufactures emphasize
Quality and efficiency.
Profit above all else.
 Management changes
Stable and steady improvement.
Frequently
 Management often demands
Incremental approach as a team work.
Revolutionary new products.

8.  Develop a good business relationship with the suppliers, further perform
extended cooperation beyond supplier relationship.
 Make suppliers feel positive with regular discussions among strategic or key
suppliers.
 Prefer the quality product from supplier.
 Collaborative partnership with the suppliers lead to improved market
advantage.
Beratung für US Autohersteller
Verstehen Schalten überwachen Entwickeln Teilen durchführen
Understand Turn Supervise Develop Share Conduct
Page no: 8

9. Vielen Dank
Page no: 9