Table of Contents
1. OVERVIEW OF THE CARMAKER
- 1.1 After the bargain basement shopping spree, major challenges
- 1.2 Improved finances, but still not convincing
- 1.3 Slowdown in sales less than peers
- 1.4 First for light vehicles in Brazil, but falling behind in other BRIC
countries
- 1.5 Overreliance on two markets likely to continue
- 1.6 Many delays and some cancellations in the product pipeline
2. ANALYSIS OF SUPPLYING FIAT/CHRYSLER
- 2.1 Basis for the turnaround: before and through bankruptcy
- 2.2 New corporate organisation
- 2.3 Product line-up revamp and overhaul of production
- 2.4 Procurement is the major source of savings in the alliance, but...
- 2.5 Reshaping of Chrysler' s supply base in the turnaround
3. PRODUCTION STRATEGY
- 3.1 Italian production mission' s organisation
- 3.2 Termini Imerese: a test for Marchionne' s rationalisation plans
- 3.3 Tichy and the 500/Ka experience: An example to export?
- 3.4 Serbia: The new Poland?
- 3.5 Chinese production at last?
- 3.6 Plans for India and elsewhere
- 3.7 Platform rationalisation, standardisation and modular architecture:
will plans be respected?
- 3.8 World Class Manufacturing: Toyotism in Italian sauce
4. PURCHASING STRATEGY
- 4.1 Changes shaping Fiat' s purchasing strategy
- 4.2 The 2007- 2010 plan
- 4.3 Direct materials: spurring group synergies through an appropriate
corporate organisation
- 4.4 Direct materials: Turnover transfer to best-cost countries on track
- 4.5 From global sourcing to global partnership
- 4.6 Design to cost optimisation
- 4.7 Synergies, centralised management and optimisation for indirect
materials and services
- 4.8 Supplier Selection
- 4.8.1 Outsourcing policy, then insourcing
- 4.8.2 Experience teaches the importance of continuous financial monitoring
- 4.8.3 Rationalisation of the supply base: Fiat wants fewer, bigger suppliers
- 4.8.4 There is always room for new suppliers
- 4.8.5 Best cost countries sourcing
- 4.8.6 Serbia: supplier wanted
- 4.8.7 General requirements for potential suppliers
- 4.9 Pricing Policy
- 4.9.1 Savings programs and reduced pressure on suppliers
- 4.9.2 Competency in negotiations
- 4.9.3 Payment terms
- 4.9.4 Offsetting of raw material fluctuations
- 4.10 Approach to Quality
- 4.10.1 Less demanding than other OEMs, but slightly improving
- 4.10.2 A cross functional Supplier Quality department
- 4.10.3 Production ramp-up critical phase
- 4.10.4 Cost creep in engineering change orders
- 4.10.5 Frequent arguments in warranty review of product liability
guarantees
- 4.10.6 Management of quality of tier-2
- 4.11 Research and Development
- 4.11.1 Reduction of CO2
- 4.11.2 Hybrids not a priority and only for city cars
- 4.11.3 Internal R&D focus
- 4.11.4 Shorter development time
- 4.11.5 Suppliers' integration into development
- 4.12 Modules and Systems
- 4.12.1 Magneti Marelli absorbs the failed attempt to outsource
- 4.12.2 Modules and systems outsourcing
- 4.12.3 Supplier Parks: only Melfi and Betim
5 OEM-SUPPLIER RELATIONS SURVEY RESULTS FOR FIAT
- 5.1 Negotiations
- 5.1.1 Time-consuming negotiations
- 5.1.2 Demands for price reductions
- 5.1.3 Rating of payment terms
- 5.1.4 Keeping agreements on price
- 5.1.5 Willingness to reward cost saving ideas
- 5.1.6 Willingnesss to pay for development costs
- 5.2 Quality
- 5.2.1 Demands to achieve high quality
- 5.2.2 Demands for testing and validation
- 5.2.3 Product liability guarantees
- 5.3 Technology
- 5.3.1 Demands for best product technology
- 5.3.2 Technical competence
- 5.3.3 Opportunities for return on investment
- 5.3.4 Use of modules
- 5.3.5 Development of systems with suppliers
- 5.4 Organisation
- 5.4.1 Quality of communication
- 5.4.2 Support in avoiding problems
- 5.4.3 Quality and stability of volume planning
- 5.4.4 Preparation for model launch
- 5.4.5 Level of redesign required
- 5.5 Trust
- 5.5.1 Trust in commercial partnerships
- 5.5.2 Level of protection for suppliers' intellectual property
- 5.6 Attractiveness
- 5.6.1 Attractiveness
- 5.6.2 Long-term prospects
- 5.6.3 Openness to new suppliers
- 5.6.4 More or less business
- 5.6.5 Business in three years time
6. SWOT ANALYSIS OF SUPPLYING FIAT
7. MANUFACTURING FOOTPRINT
8. FORWARD MODEL PROGRAM
9. MAJOR SUPPLIERS BY COMPONENT SECTOR
- 9.1 Chassis/Underbody
- 9.2 Electrical/Electronic
- 9.3 Exterior
- 9.4 Interior
- 9.5 Powertrain
Table of Figures
- Figure 1: Fiat share price (FIA.MI) (Source: Reuters)
- Figure 2: Procurement Plan - Supplier Concessions Chrysler Base Plan in
$million (Source: Chrysler)
- Figure 3: Chrysler 2008 Breakdown of purchasing activity (by number of
purchases)
- Figure 4: Fiat' s Italian Plants
- Figure 5: Fiat production breakdown by platform (2012 Forecast) (Source:
IHS Global Insight)
- Figure 6: Fiat' s World Class manufacturing principles across the value
chain (Source: Fiat)
- Figure 7: Breakdown of the Annual Purchase value Group Company in 2006
(Source: Fiat)
- Figure 8: Best Cost Countries purchasing spending breakdown (Source: Fiat)
- Figure 9: Fiat hybrid drive powertrain solution for city cars (Source:
Fiat)
- Figure 10: SupplierBusiness 2009 OEM-Supplier relations survey - Length of
negotiations with mass car makers
- Figure 11: SupplierBusiness 2009 OEM-Supplier relations survey - Contract
negotiations between 2008-2009
- Figure 12: SupplierBusiness 2009 OEM-Supplier relations survey - Contract
negotiations between 2006- 2009
- Figure 13: SupplierBusiness 2009 OEM-Supplier relations survey - Demand
for price reductions
- Figure 14: SupplierBusiness 2009 OEM-Supplier relations survey - Price
reductions percentage change 2008- 2009
- Figure 15: SupplierBusiness 2009 OEM-Supplier relations survey - Price
reductions percentage change 2008-2009
- Figure 16: SupplierBusiness 2009 OEM-Supplier relations survey - Rating of
payment terms
- Figure 17: SupplierBusiness 2009 OEM-Supplier relations survey - Payment
terms percentage change 2008- 2009
- Figure 18: SupplierBusiness 2009 OEM-Supplier relations survey - Payment
terms % change 2006- 2009
- Figure 19: SupplierBusiness 2009 OEM-Supplier relations survey - Keeping
price agreements
- Figure 20: SupplierBusiness 2009 OEM-Supplier relations survey - Keeping
price agreements percentage change 2006- 2009
- Figure 21: SupplierBusiness 2009 OEM-Supplier relations survey -
Willingness to reward cost saving ideas
- Figure 22: SupplierBusiness 2009 OEM-Supplier relations survey -
Willingness to reward cost saving ideas percentage change 2008- 2009
- Figure 23: SupplierBusiness 2009 OEM-Supplier relations survey -
Willingness to reward cost-saving ideas percentage change 2006- 2009
- Figure 24: SupplierBusiness 2009 OEM-Supplier relations survey -
Willingness to pay for development costs
- Figure 25: SupplierBusiness 2009 OEM-Supplier relations survey - Paying
development costs percentage change 2008- 2009
- Figure 26: SupplierBusiness 2009 OEM-Supplier relations survey - Paying
development costs percentage change 2006- 2009
- Figure 27: SupplierBusiness 2009 OEM-Supplier relations survey - Demands
to achieve high quality
- Figure 28: SupplierBusiness 2009 OEM-Supplier relations survey - Demands
to achieve high quality, percentage change 2006- 2009
- Figure 29: SupplierBusiness 2009 OEM-Supplier relations survey - Demands
for testing and validation
- Figure 30: Demands for testing and validation, percentage change 2006- 2009
- Figure 31: SupplierBusiness 2009 OEM-Supplier relations survey - Product
liability guarantees
- Figure 32: SupplierBusiness 2009 OEM-Supplier relations survey - Product
liability guarantees, percentage change 2008- 2009
- Figure 33: SupplierBusiness 2009 OEM-Supplier relations survey - Product
liability guarantees, percentage change 2006- 2009
- Figure 34: SupplierBusiness 2009 OEM-Supplier relations survey - Demands
for best product technology
- Figure 35: SupplierBusiness 2009 OEM-Supplier relations survey - Best
technology demands, percentage change 2008- 2009
- Figure 36: SupplierBusiness 2009 OEM-Supplier relations survey - Best
technology demands, percentage change 2006- 2009
- Figure 37: SupplierBusiness 2009 OEM-Supplier relations survey - Technical
competence
- Figure 38: SupplierBusiness 2009 OEM-Supplier relations survey - Technical
competence, percentage change 2008- 2009
- Figure 39: SupplierBusiness 2009 OEM-Supplier relations survey - Technical
competence, percentage change 2006- 2009
- Figure 40: SupplierBusiness 2009 OEM-Supplier relations survey -
Opportunities or return on investment
- Figure 41: SupplierBusiness 2009 OEM-Supplier relations survey -
Opportunities for return on investment, percentage change 2008- 2009
- Figure 42: SupplierBusiness 2009 OEM-Supplier relations survey -
Opportunities for return on investment, percentage change 2006- 2009
- Figure 43: SupplierBusiness 2009 OEM-Supplier relations survey - Use of
modules
- Figure 44: SupplierBusiness 2009 OEM-Supplier relations survey -
Development of systems with suppliers
- Figure 45: SupplierBusiness 2009 OEM-Supplier relations survey - Quality
of communication
- Figure 46: SupplierBusiness 2009 OEM-Supplier relations survey - Quality
of communication
- Figure 47: SupplierBusiness 2009 OEM-Supplier relations survey - Support
in avoiding problems
- Figure 48: SupplierBusiness 2009 OEM-Supplier relations survey - Support
in avoiding problems, percentage change 2008- 2009
- Figure 49: SupplierBusiness 2009 OEM-Supplier relations survey - Support
in avoiding problems, percentage change 2006- 2009
- Figure 50: SupplierBusiness 2009 OEM-Supplier relations survey - Quality
and stability of volume planning
- Figure 51: SupplierBusiness 2009 OEM-Supplier relations survey - Volume
planning quality, percentage change 2008- 2009
- Figure 52: SupplierBusiness 2009 OEM-Supplier relations survey - Volume
planning quality percentage change 2006- 2009
- Figure 53: SupplierBusiness 2009 OEM-Supplier relations survey -
Preparation for model launch
- Figure 54: SupplierBusiness 2009 OEM-Supplier relations survey - Model
launch preparation, percentage change 2006- 2009
- Figure 55: SupplierBusiness 2009 OEM-Supplier relations survey - Level of
redesign required
- Figure 56: SupplierBusiness 2009 OEM-Supplier relations survey - Level of
redesign required, percentage change 2008- 2009
- Figure 57: SupplierBusiness 2009 OEM-Supplier relations survey - Level of
redesign required, percentage change 2006- 2009
- Figure 58: SupplierBusiness 2009 OEM-Supplier relations survey - Trust in
commercial partnerships
- Figure 59: SupplierBusiness 2009 OEM-Supplier relations survey - Trust in
commercial partnerships, percentage change 2006- 2009
- Figure 60: SupplierBusiness 2009 OEM-Supplier relations survey - Level of
protection of suppliers intellectual property
- Figure 61: SupplierBusiness 2009 OEM-Supplier relations survey -
Intellectual property protection, percentage change 2008- 2009
- Figure 62: SupplierBusiness 2009 OEM-Supplier relations survey -
Intellectual property protection, percentage change 2006- 2009
- Figure 63: SupplierBusiness 2009 OEM-Supplier relations survey -
Attractiveness for suppliers
- Figure 64: SupplierBusiness 2009 OEM-Supplier relations survey -
Attractiveness for suppliers, percentage change 2006- 2009
- Figure 65: SupplierBusiness 2009 OEM-Supplier relations survey - Long term
prospects
- Figure 66: SupplierBusiness 2009 OEM-Supplier relations survey - Long-term
prospects, percentage change 2008- 2009
- Figure 67: SupplierBusiness 2009 OEM-Supplier relations survey - Long-term
prospects, percentage change 2006- 2009
- Figure 68: SupplierBusiness 2009 OEM-Supplier relations survey - Openness
to new suppliers
- Figure 69: SupplierBusiness 2009 OEM-Supplier relations survey - Openness
to new suppliers, percentage change 2008- 2009
- Figure 70: SupplierBusiness 2009 OEM-Supplier relations survey - Openness
to new suppliers, percentage change 2006- 2009
- Figure 71: SupplierBusiness 2009 OEM-Supplier relations survey - More or
less business expected
- Figure 72: SupplierBusiness 2009 OEM-Supplier relations survey - More or
less business expected, percentage change 2008- 2009
- Figure 73: SupplierBusiness 2009 OEM-Supplier relations survey - More or
less business expected, percentage changed 2006- 2009
Table of Tables
- Table 1: Fiat S.p.A. Financial Data (Source: Reuters, Moody' s, Fitch, S&P)
- Table 2: Chrysler' s top creditors (suppliers)
- Table 3: Fiat purchasing savings forecasts (Source: Fiat)
- Table 4: 2008 CO2 Emissions (based on sold vehicles, by brand) (Source:
JATO)
- Table 5: R&D expenditure vs. revenues for Fiat and Fiat Powertrain
Technologies (Source: Fiat)
|
Related Report
|