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Details

  • Industry: Automotive
  • Type: Business and industry issue
  • Date: 17/01/2011

Moving Parts

Moving Parts
Moving Parts is KPMG's quarterly automotive review on new and emerging supply chain risks, challenges, and opportunities for automotive companies.

Moving Parts - January 2011 

After a period of unprecedented declines in demand and production resulting in massive restructuring and bankruptcies, the automotive industry is now showing signs of recovery, but not entirely along historical lines.
Moving Parts - January 2011 cover
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This issue of Moving Parts, analyses key automotive trends, operational supply chain factors, monitoring and measuring the financial health and liquidity of suppliers, and discusses five rules for tax efficiency in supply chains.

 

Key insights

  • Automotive companies should develop more robust capability in their supply chains than simply being able to find the lowest cost of production.
  • Geopolitics, government incentives, taxes/customs/duties, shipping/logistics, labour rates/skill sets, infrastructure, and material requirements are all areas that require thoughtful analysis on a micro and macro basis.
  • Companies need to develop risk models that take into consideration those unforeseen risks and perceived low probability events that can’t be readily forecast but could result in consequential and adverse outcomes.
 

Automotive

The global automotive market is diverse. KPMG’s Automotive industry practice advises clients with a range of critical company and industry matters.