Situation
Tier 1 automotive supplier B has problems worldwide due to fluctuations in demand and management deficits in the logistics area. The logistics costs are too high. B’s customers are dissatisfied. Delivery often only works through troubleshooting. All too often, parts have to be flown to the plant by helicopter so that the production lines do not come to a standstill. The stocks are too high. The logistics manager has resigned in frustration because he can’t get the problems under control.
The challenge
The automotive industry is currently undergoing fundamental change. While the development of electric vehicles is being driven forward, OEMs are continuing to build vehicles with combustion engines. This is still the most important area that the supplier industry will have to serve in the coming years. Production, delivery and warehouse logistics must work efficiently so that suppliers can save money that they can invest in the development of electromobility. In future, all plants want to work in a network, which will make logistics even more important. Efficient logistics are the key to success now and in the future.
Action
B is aware that only an interim logistics manager can be considered as an expert for implementing the reorganization of the processes. B is already working with a consulting company that has analyzed the production logistics, delivery and warehouse logistics and has defined new process flows. After all, an expert has to implement this new logistics layout. This implementation must take place while the interim logistics manager leads the global logistics division.
Result
B turns to the interim management provider she trusts. He knows interim managers who specialize in increasing efficiency while they take over the management. The interim logistics manager selected by B also took care of the quality and delivery capability of the suppliers. After eight months, the interim logistics manager had significantly reduced logistics costs, improved B’s ability to deliver, replaced subcontractors and trained a new logistics manager. This resulted in cost savings for B that exceeded the costs of the interim manager several times over.
Conclusion: The interim logistics manager helps the automotive supplier to increase efficiency in logistics worldwide and save considerable costs.
