DEVELOPMENT MARKETING
Managing R&D marketing – Designing critical components for OEMs – Creating a supply net
Goals
- Develop innovation, R&D skills
- R&D marketing as business driver
- Understand supply net management
Approach
Develop capabilities, skills and resources to design and supply the critical components that OEMs need, and establish processes for managing suppliers in the tiers below.
Results
Become the most important member of a supply net, developing and supplying components directly to the original equipment manufacturer.
Developing Cimos to become a development supplier
As an R&D manager for Cimos, Primož Mihelič led a successful transformation of a company that became a development supplier for BMW and other OEM’s. He was responsible for development marketing that was generating sustainable business growth.
Primož Mihelič about main points of success: “Long-term and systematic development of relationship between supplier and OEM is crucial. There are no shortcuts as a company striving to step higher in a supply net must master and internalize various tools and knowledge. For instance – it is paramount to work in Simultaneous Engineering Teams (SET) that represent important extended enterprise concept ingrained in company business culture.”
Rainer Boehner, BMW: »We have a trusted partner in a development team led by Primoz Mihelic. Our common Simultaneous Engineering Team is extremely efficient and we have a lot of fun working together, too. The PL2 project is a success story.«
Capabilities
Among the most important capabilities are the capability to innovate and design a product; long experience in the industry; large numbers of employees with accreditation in the industry; an existing certified supply net; and experience in managing the supply net to reduce costs and improve performance.
Partnership
Tier one companies develop close working and business relationships with OEMs. Both organizations recognize the value of collaboration to improve quality, eliminate waste, cut costs and reduce lead times. To improve collaboration, tier one companies use data networks to exchange supply and demand information with OEMs and other members of the supply net so that all parties can synchronize production and logistics. Tier one companies and OEMs also develop joint strategies for improving supply net performance.
Responsibilities
In industries such as automotive, tier one companies take responsibility for functions originally carried out by OEMs. Tier one automotive suppliers take responsibility for design concept and manufacturing of modules such as interior lighting systems, fuel delivery and braking systems. OEMs focus on overall design and production of engine and drive train, leaving other components and accessory development to tier one companies.