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OEM Update
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AMS India Conference [November 2012]

By November 22, 2012 11:47 am IST

Improving quality of build while retaining the flexibility to meet changing cycles of demand are just some of the manufacturing challenges the auto companies in India are facing. In addition, rising labour rates, in part illustrated by recent unrest, mean carmakers must constantly re-assess the cost and efficiency balance between the capital cost of automation and their current expenditure on labour.
As if that were not enough, India’s supplier base at tier 2 and below is in general not yet able to provide the unvarying quality needed for today’s vehicle production standards. The issue is particularly acute for foreign OEMs seeking to introduce global platforms with no allowance for local variations in build.

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