Typical Assignments
Strategic Planning
A medium sized component manufacturer realized it was in need of a strategic business plan. To remedy the situation, ACG was retained to assist in developing a long-range plan. ACG conducted a series of workshops with the client's planning committee executives to implement the planning process and to establish divisional responsibilities. In addition, ACG developed a proprietary planning methodology to speed and assist in the planning process. The resulting business plan defined focused corporate objectives and strategies, and assigned responsibilities to appropriate divisions and departments.
A major automotive manufacturer was concerned about their continued ability to develop and implement new technology in cooperation with leading suppliers. As a result, it asked ACG to benchmark the company against nine major competitors in four areas: developing technology; implementing technology; communicating needs, monitoring progress, and providing feedback; and establishing strong supplier relations. Over a three month period, ACG met with 152 executives from 53 supplier firms to identify which OEM had the best strategies and programs for effectively working with their suppliers. From this analysis, ACG developed a list of recommendations aimed at enhancing the client's relationship with their suppliers.
Technology and Product Development Planning
A global vehicle manufacturer had a concern about the time and resources required to design and develop new vehicles. It enlisted ACG to benchmark the acknowledged industry leaders and to identify the 'best practices' in product development. ACG evaluated the leading U.S., European and Japanese automakers in terms of timing, cost, organization size and structure, establishing and meeting targets, program management and control, global communications, and supplier participation. Those best practices identified were subsequently implemented within the client's organization.
A major industry association was concerned about the potential impact that electric vehicles might have on its member companies. As a result, it retained ACG to analyze the viability for developing a consumer acceptable EV and to determine the probable cost for various classes of vehicles. ACG assessed the current state-of-the-art in powertrain technology, light weight materials, battery technology, and manufacturing systems. ACG concluded that purpose built vehicles would be required due to the significant change in vehicle structure and systems. Furthermore, it was estimated these vehicles would carry a significant price premium over conventional vehicles.
Market Research
Oak Ridge National Laboratories asked ACG to conduct a market study to access the potential market for advanced structural ceramics for use in automobile and truck engines. In depth industry interviews were conducted with ceramic experts to identify major benefits and barriers to using ceramics in engine applications, and to determine those engine components most suited for ceramic usage. In addition, ACG evaluated competing engine materials, and examined the effects of cost reductions on the timing and market penetration of ceramic components. The study was used to establish future budgets and research efforts for ceramic development.
A major sensor manufacturer was seeking to identify future technical and market trends in order to increase existing market share and capture opportunities for new applications. ACG conducted a comprehensive market analysis to examine the current sensor sourcing strategy for each engine and vehicle manufacturer in North America and Europe. Future changes in these sourcing strategies, driven by such factors as cost, performance, safety, and environmental regulations were also identified.
Industry Trends and Analysis
Member companies of the American Automobile Manufacturers Association and the Association of International Automobile Manufacturers were concerned about the moratorium on CFC-12 production and the availability of material to service in-use vehicles with functioning air-conditioning systems. ACG developed a comprehensive computer model to estimate the annual number of A/C failures by vehicle age, the number of retrofits, the number of repairs with CFC-12, and the strategic reserve required to service vehicles through the year 2010. The study findings have been used by vehicle manufacturers, material suppliers, component manufacturers, and aftermarket service organizations to prepare for the challenges resulting from the phase-out of CFC-12.
ACG conducted a supplier survey to provide an objective, third-party analysis of the changes in the OEM-supplier relationships. The results of the survey were published in Ward's Auto World magazine and presented at a number of automotive industry forums. ACG also analyzed the economic factors influencing the changing OEM-supplier relationships, and identified the strategic implications of the study findings for both the automakers and suppliers. This strategic analysis, "Supplier Opportunities Into The 21st Century," has been identified and widely accepted by the industry as an important tool for understanding the changing OEM-supplier relationships.
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