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The automotive industry has reinvented itself over the past years. Imbalances in forecasted customer demand and legacy investments have led to over-capacity. Increased competition and technological advancements have intensified cost pressures. Consolidation among automotive suppliers and economic pressure from OEM’s has led to an aggressive drive towards technological innovation and cost dominance across the industry.
Automotive OEM’s and the Supply Base have been early adopters of the offshore global delivery model in engineering and information technology solutions. Initially, the focus was cost reduction and a “commodity” approach to partner selection. However, forward-thinking companies have evolved a strategic approach to partnering with offshore service providers. AGI believes in long-term relationships. These solutions span product development, supply chain operations, customer connections, support operations and infrastructure management. The automotive industry has grown by leaps and bounds. At the same time the industry, both locally and globally, has experienced significant change. The automotive industry is undergoing radical change. From ever shortening product design cycles, to offshore production driving cost savings, to demand driven production models, the auto industry faces new challenges. AGI can help companies cope with the burden, but new business models are needed as well.
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