Study: Automotive Suppliers 2017 - Page 2

2 Suppliers face technology shifts, increasing complexity of operations, and a diversified competitive landscape IMPLICATIONS FROM… TO… 1) TECHNOLOGY SHIFTS • Electrical powertrains and multi-material use require new competencies • Hardware integration, connectivity, and autonomous driving solutions make software a key component KG 2) COMPLEXITY OF OPERATIONS • Greater model variety, shorter time-to-market and integration of hardware into software solutions • Need for agile R&D/production and hiring policies that reflect new skill set requirements 3) COMPETITIVE LANDSCAPE • Technology shifts attract new non-automotive players • OEMs face increasing competition from new entrants • Supplier landscape is expected to be driven more by specialization OEMs OEMs OEMs Source: goetzpartners analysis