saaw update
South Africa must learn from
Australia’s auto industry
implosion …..
South Africa’s automotive manufacturing industry believes it must learn from the dramatic collapse of the
Australian auto sector. National Association of Automotive Components and Allied Manufacturers of South Africa
(NAACAM) executive director, Robert Houdet says the Australian industry’s collapse, which could trigger the loss
of over 30 000 jobs would provide valuable insight for South African auto companies.
H
oudet says learning from the
Australian and EU crisis will be
unpacked to industry at South
African Automotive Week, by global
manufacturing doyen and advisor to
Australia’s shattered automotive industry,
Goran Roos, whom Houdet says is “arguably
the most capable of sharing these lessons.”
Roos will be a keynote speaker at the 2-day
conference, which forms part of the South
African Automotive Week Tradeshow at
Gallagher Convention Centre on October
14 and 15. “There’s much learning that the
South African industry has to contemplate
and implement to ensure the sustainability of
our own industry,’’ Houdet says. The shock
announcements, within months of each other,
confirming the closures of Ford, GM Holden
and Toyota in Australia by 2017, is forcing
manufacturers to re-invent themselves in
order to stave off mass job losses, and is one
of the most talked about developments in
recent manufacturing history.
Roos, a Swedish-born, celebrated academic
across the globe and the founder or cofounder of several companies in different
countries has worked as a consultant in more
than 50 countries as well as having served in
management positions in several European
and US-based corporations. Most recently
he has been supporting the Australian Prime
Minister’s Taskforce on Manufacturing in
Australia.
“The Australian scenario and the EU crisis
which has virtually overnight decimated
component manufacturers’ traditional
markets, hold telling messages and
learnings for African manufacturers....
relating to competitiveness, input costs,
strategic positioning and the importance of
diversification,” says Houdet.
Roos, the author of over 100 books, was
named one of the 13 most influential thinkers
for the 21st Century by the Spanish business
journal “Direccion y Progreso” and was
appointed “Manufacturing for the Future”
Thinker in Residence by the South Australian
Premier and member of the Australian Prime
Minister’s Manufacturing Leaders Group
last year. His speech titled “The future of
manufacturing in Australia: Innovation and
productivity” was named among the Top 10
most influential and interesting speeches
by the Australian government. Economic
modelling by the Productivity Commission
of Australia has predicted that up to 39,000
jobs, mostly in Victoria and South Australia
would be lost after the end of production
by Ford, GM Holden and Toyota in the
period 2016-17. This estimate comprises
11,120 direct jobs being lost at the car
manufacturers, plus another 28,100 jobs in
the car component supply chain.
South African Automotive Week Director
Andrew Binning describes the securing of
Roos for South African Automotive Week,
hosted every two years by the South African
industry and government, as “a coup.”
“He has made numerous presentations on
profitable manufacturing with reference to
the EU crisis and Australia, is very eloquent
and probably a vital, unobstructed and
candid voice that South Africa must hear.”
Binning says the industry Conference
over two days, would feature other top
speakers including the CEO’s of Toyota SA,
Nissan SA, NAACAM and SAACI, among
others. The decision to host the 4th edition
of South African Automotive Week in
Gauteng was facilitated by the Automotive
Industry Development Centre (AIDC).
AIDC CEO, Barlow Manilal says: “The Week
will not only position the Gauteng province
as the automotive investment destination
of choice, but also showcase South
Africa’s manufacturing capability globally.
Gauteng’s automotive value proposition will
be a key theme of the event.”
Houdet says the South African Automotive
Week was remarkable in its “unparalleled
ability to bring together and make
accessible, a WF