Mike Mansuetti

We are talking about this in class right now (along w/ Negotiation): “OEMs had an avg profit margin of 8.1% in the 1st quarter, more than 2% higher than auto suppliers…while suppliers stabilized between 5-6%...The challenge for suppliers is that they’re suffering from higher material & energy costs, which they can only partially pass on to OEMs.” https://lnkd.in/gY__BVRs Almost 1/2 of U.S. employees do not feel confident in their negotiation skills: https://lnkd.in/eRM-mJ6J Also: Toyota, Honda and GM Best Automakers to Work With, Suppliers Say: https://lnkd.in/gkU5R3qW Notice: “Cost recovery mechanisms should not be judged in isolation. Inflation-driven cost increases & adjustments need to be addressed in a timely manner that is consistent, tested, & institutionalized & supported by OEM & supplier cost reduction efforts.” 70% of new supplier agreements contain inflation driven economic adjustment clauses with the use of indices being the most common. https://lnkd.in/g_ByzrNU. It might be time for price risk sharing in buyer-supplier relationships. https://lnkd.in/gwPfkdkK   I have asked a lot of SCM managers how they “prepare” to negotiate price increase requests from their suppliers. In particular, I was curious about how and where they get their data from (i.e., CME, COMEX, etc.). Many said their suppliers provide that information. I am not convinced that using data from your suppliers is a form of “Preparation” for negotiation.   What are buyers to do? Procurement orgs need processes & “tools” to mitigate & negotiate on these requests in a strategic, data-driven manner (& we/I need to do a better job of teaching it). Some of our alumni are already testing and / or implementing automated business processes based on such tools, serving as the basis for addressing price indexing implementations (formulas, economic adjustments, etc.) & we're following these implementations from an academic perspective (so that we can teach it). https://lnkd.in/gNrUtNU5 Some Practices that Can Make Your Commodity Related Supply Chain Job More Fun and Rewarding ($$$): https://lnkd.in/gwPfkdkK. #inflation #procurement #rawmaterials #supplychain

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Notice: “Cost recovery mechanisms should not be judged in isolation. Inflation-driven cost increases & adjustments need to be addressed in a timely manner that is consistent, tested, & institutionalized & supported by OEM & supplier cost reduction efforts.” Automotive Profitability: How OEM and Supplier Margins Are Faring: “OEMs had an avg profit margin of 8.1% in the first quarter, more than 2 percentage points higher than automotive suppliers…while suppliers stabilized between 5-6%...The challenge for suppliers is that they’re suffering from higher material & energy costs, which they can only partially pass on to OEMs.” https://lnkd.in/gY__BVRs. 70% of new supplier agreements contain inflation driven economic adjustment clauses with the use of indices being the most common. https://lnkd.in/g_ByzrNU. It might be time for price risk sharing in buyer-supplier relationships.   Has Strategic Cost Mgmt (i.e., Price Analysis) become a lost art? Tools we use to teach this: https://lnkd.in/gwPfkdkK. Managing inflationary price risks in supplier-buyer contracts through indexing: Operational challenges and solutions... https://lnkd.in/eUfxt_P9 #inflation #procurement #rawmaterials #supplychain #pricing

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🔍 Is the Ishikawa (Fishbone) Diagram Always the Right Tool for Problem Solving? 🤔 ...The management is frustrated, because ongoing claim issue has not yet been resolved despite significant resources and time invested and the pressure from customer is getting tougher day by day. The customer is unhappy, because same issue reoccurs with a constant rate during production which causes efficiency as well financial losses. The problem-solving team seems quite comfortable, having generated and tested around 50 different hypotheses to identify the root cause. They would be happier if one of the hypotheses had explained the underlying cause. Nevertheless, they're convinced that they've covered all bases in the Fishbone diagram, leaving them with no choice but to continue tinkering with those possible causes... Does this story sound familiar 🙂 While the Ishikawa diagram, or Fishbone diagram, has a place in the toolbox of many quality and process improvement professionals, it’s essential to recognize that it may not always be the optimal choice for every problem-solving scenario. Here are a few reasons why: 1. Complexity of Root Causes: Ishikawa diagram is excellent for visualizing potential causes of a problem, but it can oversimplify complex issues. When multiple, interrelated root causes are involved, more sophisticated tools like Fault Tree Analysis (FTA) might be more effective. 2. Quantitative Data Limitations: The Fishbone diagram primarily relies on qualitative data. For problems requiring in-depth statistical analysis, tools such as Pareto charts or Histograms, which integrate quantitative data, would definitely provide more precise insights. 3. Dynamic and Complex Systems: In environments where problems are the result of dynamic and complex systems, the Fishbone diagram may fall short. Systematic approaches like Systems Thinking or Model Based Thinking offer more comprehensive frameworks for addressing such challenges. In conclusion, while the Ishikawa diagram remains a handy tool for simple problems, it’s crucial to assess the nature of the problem, ask right questions and gain insight about what's happening. Problems are not roadblocks, they're opportunities for growth if you approach them systematically. ✨ Let's keep striving for excellence! 🚀 #ProblemSolving #QualityImprovement #BusinessExcellence #Innovation #ContinuousImprovement #RootCauseAnalysis

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⏰ It's almost time! Meet the #Husco Automotive team, May 15-16 at the CTI SYMPOSIUM - Automotive • Powertrain • Systems in Novi, Michigan. Preview new technologies, ask questions, and learn more about how we can partner with your business to develop an innovative, custom solution to fit your needs. #CTI_Sym #Automotive

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One Piece Flow is not for the lazy ones...it's really hard work! But sometimes switching to one-piece flow too early can be fatal. On the one hand, as a TPS maniac, I always push for a one-piece flow and that has always brought great results and pushed us to unexpected levels. It is a must! On the other hand, I'm not in the book writing or giving speeches business and I don't want to confuse people with "perfect theory". In the real world, you may (MAY!) be faced with situations where the problems are very obvious but you need to get results immediately! Example: During a production ramp-up in the automotive industry, you can't tell your customer, "Sorry, we need another 6 months to resolve all our issues so we can reach target production in a proper one-piece flow process." In such a situation, I prefer TOC thinking, which involves finding the constraint process step and protecting it from any unplanned downtime with a protective buffer. After some initial stability, you can continuously reduce the buffers and make the next group of problems visible. In summary: In the right production environment, One Piece Flow should always be the ideal target condition and you have to achieve it(!), but it may well be that you don't start with One Piece Flow, at least not when the problems are so obvious. picture source: KAIZEN Made Easy

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#HenkelAutomotive Want to know the Inside Story on Henkel’s advancements in BEV design and manufacturing? In the May issue of #SAEInternational Automotive Engineering Magazine, we’re sharing the latest in how material solutions are meeting the changing needs of BEVs in a Q&A with Pankaj Arora 🇮🇳🇺🇸🇨🇳, Vice President Electronics & E-Mobility, Henkel Corporation, North America. We’re also discussing critical trends for the EV market moving forward – including modeling and simulation to speed development time and de-bondable adhesives to enable a circular economy. 👉 Click the link to read the full story: http://ms.spr.ly/6047YXsXH #automotive

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Quality vs. Operation A delicate balance between short-term gains and long-term consequences. How can organizations navigate this tension effectively? 1. Foster clear communication pathways. 2. Set common goals. 3. Invest in skill development. 4. Embrace ongoing improvement. 5. Harness data insights. 6. Empower interdisciplinary teams. 7. Evaluate total quality costs. 8. Promote proactive risk mitigation.#qualityperformance

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🔎FOCUS ON🔎: Augustin Friedel 🚲 🛴 🛵 🚘 🌟 In today's #FocusOn, we highlight Augustin Friedel 🚲 🛴 🛵 🚘, a dynamic and passionate leader in transforming mobility and automotive ecosystems. 🎓 Augustin, with a background in Mechanical Engineering, has been shaping the future of mobility and transportation since 2012. 💥 His career in the automotive industry took off with the launch of Uber in Germany in 2013, marking the start of his significant influence in the mobility sector. 👀 Following this, he worked for companies like Blacklane, ioki, and Volkswagen Group where he gained extensive experience in shared mobility #startups, transportation services, and the automotive industry. 💼 Currently, Augustin works in MHP – A Porsche Company, as a Senior Manager for Mobility Transformation. He consults on projects with leading companies, cities of all sizes, startups, and freelancers to accelerate the transformation of the urban mobility landscape and beyond. He aims to make cities and urban areas more liveable, provide more choices to users and citizens, and tackle the technological challenges of our time. 📣 In his daily life, Augustin shares his thoughts on trends and developments in various areas of transportation and mobility. From autonomous driving to the impact of shared #micromobility services in cities, his insights are a constant source of knowledge and inspiration on LinkedIn. His passion for tracking trends and potentials within the ever-evolving mobility ecosystems is evident in every one of his posts. 🦾 Augustin is well-known for supporting micromobility operators, cities, technology providers, and other industry stakeholders in successfully navigating the shift toward a more sustainable framework. He has experienced all the ups and downs of shared mobility startups globally and has worked on projects with public transportation companies, gaining a deep understanding of the environments and decision-making processes in large corporates. 💡 If you want to connect with him, you can find him speaking or participating in mobility events and conferences across Europe, listening to the podcasts he has been invited to, or simply reaching out to him on #LinkedIn. 🤩 Augustin Friedel is a key figure in the evolution of mobility, and we are excited to see how he continues to contribute to the future of this sector. 🚀 Keep pushing forward, Augustin, and continue leading the transformation of mobility towards a more sustainable and accessible future for all! #Mobility #Innovation #Sustainability #AugustinFriedel #AutomotiveIndustry #Vehicles #MobilityNews #SharedMobility #automotive #cars #SmartCities

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Automated driving functions for all vehicle classes – this is the goal Bosch and CARIAD are pursuing with the Automated Driving Alliance. 🚘🙌 From the first line of code, tests, and validation to the delivery of functions: We have managed to significantly shorten the go-to-market timeline. The first functions will offer drivers comprehensive assistance with the driving task, featuring handsfree-driving on freeways and active lane-changing support. #BoschTechDay #automateddriving #adas

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#Automotive #SMART #Manufacturing 4.0 USA 2024 - the ultimate event for Automotive Manufacturing 4.0 professionals! Special Session Highlight: OEM Case Study: ➡️ Transitioning #GM to a Smart Manufacturing Environment Speaker: Aaron Dunlap, ME Tech Fellow, Manufacturing Execution Systems-Architect ME Vehicle Systems, General Motors ⚡️ Learn about #GM’s journey to smart manufacturing and the technical challenges they faced: #DataManagement: Addressing diverse data sources and aligning data definitions. #Cybersecurity: Balancing enhanced measures with uninterrupted manufacturing and overcoming communication disruptions. #AI Implementations: Leveraging AI in robotics and vision systems for improved efficiency and ensuring focused AI applications. #DigitalTwins: Debating the scope of digital twins (entire plant vs. critical areas) and assessing investments. #VendorCollaboration: Identifying solutions to #GM’s challenges and developing tailored strategies. #StrategicAlignment: Examining current uses of AI, MES, and other technologies, learning from industry best practices, and aligning GM’s plans with emerging trends. Don't Miss Out! 📅 28-August 2024 📍 Detroit, The Godfrey Hotel & Conference Center 🌐 https://lnkd.in/e_VG7gtd 🔗 https://lnkd.in/duyEPyqs This is the last week to get ⚡️SUPER EARLY BIRD TICKETS! Secure your spot now and save! 🎟 https://lnkd.in/eukqrV3X Join us to gain a competitive edge and ensure your manufacturing4.0 operations thrive in an evolving digitally intelligent landscape. Let’s drive the future of automotive manufacturing together! 🚀 #AutomotiveSMXUSA2024 #SmartManufacturing #Industry40 #DigitalTransformation #AutomotiveEngineering #ManufacturingInnovation #Networking #TechnologyShowcase #GeneralMotors #GMSmartManufacturing #WeAutomotiveGroup,

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New usecase realized with the #ccc based #pnd3 components from #marquardt, support from our backend partner #Doubleslash In future a manually charging is not longer needed. #marquardt

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Automotive News recognized Bosch in its annual Top Suppliers issue, and again Bosch is the number one automotive supplier in the world. Bosch has also moved up to fourth in North America. https://lnkd.in/gfv8z3T2 (subscription required). #mobility #autosupplier #automotive #automotivesupplier #award Automotive News

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Patrick Fruth, CEO Division Mobility at TÜV SÜD, participated this week in the panel discussion “The Global Transformation of the Automotive Industry“ at the #GSS2024 of the Global Solutions Initiative in Berlin. He discussed with Dr. Karoline Kampermann (Verband der Automobilindustrie (VDA) e.V.), Shuva Raha (Council on Energy, Environment and Water (CEEW)) and Leonis K. Petschmann (Vindelici Advisors) the role of policy related certification and testing of vehicles by independent third parties against the background of the increasing electrification of vehicles and their important contribution to decarbonization. Here are some insights: • It is important to increase consumer confidence in the technology in order to achieve a rapid increase in the share of e-vehicles (EVs). A key to this is the safe operation of battery electric vehicles throughout the entire lifecycle of the battery. • Therefore, the battery as central element of EVs, should be included in the regular inspection as part of the periodic technical inspection in order to enable safe use over many years and to maximize the contribution to CO2 reduction. Standardized or legally required regular inspections by independent third parties shall create the necessary trust. • Another important building block in the transition to sustainable mobility is digitalization. It enables the monitoring of the real consumption of EVs and thus their real contribution to CO2 reduction. • Furthermore, the new EU Battery regulation requires a digital battery passport containing the essential material and performance data. Such a battery passport becomes a CV through a periodic examination, as the condition of the battery is regularly checked and stored. It can be accessed via a QR code. • Legal principles and requirements are also important, such as quality controls during production, the establishment of safety standards for production and use, regular inspections, effective recycling and disposal systems to minimize environmental and health risks, as well as continuous research and development for improved technologies and more environmentally friendly alternatives. #TÜVSÜD #Mobility #EVs #electricvehicles #PTI #CO2Reduction #EUBatteryRegulation

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How could a strike at a major stamping plant affect the production of your favorite vehicles? Over 1,000 employees at Stellantis' Warren Stamping Plant are prepared to strike, emphasizing unresolved health and safety issues that could halt production of models like the Ram and Jeep Wrangler. Learn more about what's at stake and the broader implications for the auto industry. #AutoIndustry #Manufacturing #Stellantis

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Volkswagen Group and Rivian Announce Plans for Joint Venture to Create Industry-Leading Vehicle Software Technology. Volkswagen Group and Rivian intend to enter a joint venture to create next generation software-defined vehicle (SDV) architectures to be used in both companies’ future electric vehicles. Volkswagen Group to invest an initial $1 billion in Rivian, with up to $4 billion in planned additional investment for a total expected deal size of $5 billion Joint venture is expected to build on Rivian’s industry-leading software and electrical architecture to create best-in-class software-defined vehicle technology platform. The partnership is anticipated to accelerate the development of software for Rivian and Volkswagen Group. It is expected to allow both companies to combine their complementary strengths and lower cost per vehicle by increasing scale and speeding up innovation globally. Rivian’s proven in-market zonal hardware design and integrated technology platform are expected to serve as the foundation for future SDV development in the JV that will be applied to both companies’ vehicles. Rivian plans to contribute its electrical architecture expertise and is expected to license existing intellectual property rights to the joint venture. Both companies aim to launch vehicles benefitting from the technology created within the joint venture in the second half of the decade. In the short term, the joint venture is expected to enable Volkswagen Group to utilize Rivian’s existing electrical architecture and software platform. The partnership’s ambition is to accelerate Volkswagen Group’s SDV plans and transition to a pure zonal architecture. Each company will continue to separately operate their respective vehicle businesses. Oliver Blume, CEO of Volkswagen Group said: “Our customers benefit from the targeted partnership with Rivian to create a leading technology architecture. Through our cooperation, we will bring the best solutions to our vehicles faster and at lower cost. We are also acting in the best interest of our strong brands, which will inspire with their iconic products. The partnership fits seamlessly with our existing software strategy, our products, and partnerships. We are strengthening our technology profile and our competitiveness." RJ Scaringe, Founder and CEO of Rivian said: “We’re very excited to be partnering with Volkswagen Group. Since the earliest days of Rivian, we have been focused on developing highly differentiated technology, and it’s exciting that one of the world’s largest and most respected automotive companies has recognized this. Not only is this partnership expected to bring our software and associated zonal architecture to an even broader market through Volkswagen Group’s global reach, but this partnership also is expected to help secure our capital needs for substantial growth..” #partnership #softwareinvestment #jointventure #softwarestrategy #technology #industryleadingvehiclesoftware

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Industry News Update The Joint Venture for Passenger Car Chassis Systems between ZF and Foxconn closes, accelerating strategic innovation Read the full news https://lnkd.in/g7Pv3faC #gear #geartechnology #mechanicalengineering #maintenance #grinding #modernengineering #precision #environment #environmentfriendly #sustainable #engineering #mechanical #magazine #lubrication #industry #engines #tool #tools #mechanicaldesign #mechanics #machinelearning #machine #machinedesign #machinedparts #gearbox #automotive #app #productivity #lubrication #operations #machine #study #notes #engineering #study #articles #energy #economic #efficiency #technology #gearbox #gearboxdesign #automotive #automotiveindustry #power #microstructure

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