THE ROLE OF SUPPLIERS IN IMPLEMENTING A STRATEGIC VISION

Competitive pressures are forcing new alignments throughout the Western Automotive industry. In this developing environment, the relationship between manufacturers and their key suppliers has become a new and important element of competitive advantage able to influence effectiveness, cost and cycle time. A close study of the Japanese 'keiretsu' has allowed the development of appropriate rules for a Western alternative. Progress in developing such a network, its advantages and limitations are described. Implications for the future are discussed. Further developments and threats to existing suppliers are enumerated. © 1991.