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1 – 10 of over 24000The present paper examines the barriers hindering the implementation of circular economy practices in Indian automotive industries and identifies the most critical barriers to be…
Abstract
Purpose
The present paper examines the barriers hindering the implementation of circular economy practices in Indian automotive industries and identifies the most critical barriers to be eradicated during the circular economy implementation.
Design/methodology/approach
Using a questionnaire survey-based analytic hierarchy process (AHP) approach, 21 barriers to circular economy implementation are identified through a literature review and ranked using the opinions of relevant industrial experts.
Findings
Barriers, minimal or no proper economic incentives, difficulty in ensuring product quality and costing of CE products are identified as top barriers to be eliminated first to boost the chances of successful implementation of circular economy practices in Indian automotive industries.
Practical implications
The study not only offers a roadmap on the order of elimination of barriers towards a circular economy but also provides insights from industrial experts on how these barriers can be eradicated and the ill effects of each barrier from an automotive industry perspective.
Originality/value
The authors develop a theoretical framework for barrier analysis for circular economy implementation in the Indian automotive sector using the classic AHP approach to identify the most critical barriers against successful implementation. Further, this study offers managerial implications on how these barriers can be eradicated in real.
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Menatallah Darrag, Raghda El Ebrashi, Amira Aldibiki and Salma Tosson
The United Nations Industrial Development Organization (UNIDO) (2017, pp. 14–15) identified that “industrialization is the seedbed for entrepreneurship, business investment…
Abstract
The United Nations Industrial Development Organization (UNIDO) (2017, pp. 14–15) identified that “industrialization is the seedbed for entrepreneurship, business investment, technological progress, the upgrading of skills, and the creation of decent jobs.” This placed studying different industrial sectors and their respective clusters, which are key drivers for economy, innovation, and knowledge creation (Slaper, Harmon, & Rubin, 2018), at the forefront of research. This chapter tackles the automobile industrial cluster in Egypt that possesses promising potential yet faces some challenges. It aims to provide an overview of the cluster, alongside underpinning its strengths and obstacles facing it. Moreover, the chapter displays the importance of the labor dimension in increasing the labor competitiveness of the cluster and showcases this through two cases of German automobile manufacturers that pioneered in venturing into the market through employing technical and vocational education and training. In conclusion, recommendations are provided to help in steering the cluster toward success.
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Jesus Cruz Alvarez, Mónica Blanco-Jiménez and Sergio Guerra-Moya
One of the most profitable industries worldwide is automotive manufacturing, with an estimated economic impact of 2.9 trillion dollars, which employs 8% of the economically active…
Abstract
One of the most profitable industries worldwide is automotive manufacturing, with an estimated economic impact of 2.9 trillion dollars, which employs 8% of the economically active world population, both directly and indirectly. The main 12 world powers in the automotive sector account for 80% of the total manufactured vehicles, and Mexico ranks seventh in the world and is part of the free trade agreement in the Pacific Alliance (PA). This fact may have a direct impact on boosting the domestic automotive industry in Mexico by leveraging the manufacturing supply chain in primary and secondary industries in the three commercial partners: Chile, Colombia, and Peru. This chapter found that there is a coincidence in the competitiveness pillars of the Mexican automotive industry and its business partners in the PA. This presents a strategic panorama of competition and economic development for the region.
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Liviu Warter and Iulian Warter
Merger and acquisition (M&A) is a way to survive and succeed in a competitive global environment as a consequence of new political, monetary and regulatory issues. The complex…
Abstract
Merger and acquisition (M&A) is a way to survive and succeed in a competitive global environment as a consequence of new political, monetary and regulatory issues. The complex phenomenon that M&As represent has received consistent attention from the research community over the last 30 years.
M&As are a strategic choice to grow quicker, enter new markets and maximize companies' capabilities, which otherwise would not have been possible. Within the automotive industry, this phenomenon has been seen repeatedly with examples like Mitsubishi-Daimler, Jaguar-Ford, Daimler-Chrysler, Seat-Volkswagen, Daewoo-General Motors and Land Rover-Ford. Although M&A activity has trended directionally consistent with automotive assembly volume, there are some failure cases within automotive industry M&As (e.g., Rover-BMW). In this chapter, the focus is on the intercultural issues of the M&A phenomenon. The underestimation of the cultural factors has significant impact on why M&A operations sometimes fail to achieve the predefined goals.
It is of vital importance for the automotive companies to understand and be aware of these intercultural issues in order to be successful in their merger or acquisition.
The phenomenon of M&A within the automotive industry needs further research and discussions due to the fact that some strategic alliances and M&A proved to be successful (e.g., Škoda-Volkswagen) and others not (e.g., Rover-BMW).
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Daniel Luiz de Mattos Nascimento, Renan Mury Nepomuceno, Rodrigo Goyannes Gusmão Caiado, Juan Manuel Maqueira, José Moyano-Fuentes and Jose Arturo Garza-Reyes
Industries and businesses are pursuing Industry 4.0 technologies as well as adopting a circular approach focused on improving manufacturing processes through the reduction of…
Abstract
Purpose
Industries and businesses are pursuing Industry 4.0 technologies as well as adopting a circular approach focused on improving manufacturing processes through the reduction of wastes, CO2 emissions and mineral exploration to mitigate the impact of climate change. In this sense, additive manufacturing (AM), often referred to as 3D printing, can play a key role in the closed-loop of operations. However, academics and practitioners have scarcely discussed the feasibility of implementing AM alongside circular economy (CE) practices, the techniques and methods that this would require, or how AM could benefit sustainability and circularity. To address these gaps, this paper proposes a novel circular sustainable 3D printing model for scrap recycling in the automotive industry.
Design/methodology/approach
The methodology uses a literature review-based approach followed by empirical research using metal scraps as the raw material for fabricating a powder to input a metal 3D printer for generating sustainable automotive components. A conceptual sustainable circular model for the automotive industry is proposed. Next, is conducted a focus group comprises AM and automotive industry experts for evaluations.
Findings
The results indicate that the proposed model can be used to reintroduce waste back into the manufacturing chain as raw material for the on-demand manufacture and supply of automotive components and that it may also have social and environmental implications.
Originality/value
This paper’s contributions are threefold: it explores the combined use of Industry 4.0 (I4.0), CE and sustainability in the automotive industry, develops a new model to support the circularity and sustainability of the scrap chain and proposes the use of AM as a catalyst of CE practices by reproducing recycled components with a 3D printer for prototypes or fully functioning components.
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Hasan Valiyan, Mohammadreza Abdoli, Alireza Koushki Jahromi, Leila Zamanianfar and Peyman Gholizadeh
Automotive industry is one of the most important industries in the economy of countries due to its extensive relationship with other industries; high production and employment…
Abstract
Purpose
Automotive industry is one of the most important industries in the economy of countries due to its extensive relationship with other industries; high production and employment rate play a significant role in the sustainable development of countries. Therefore, the improvement of value creation integration strategies in this industry is very important because it is related to the level of economic sustainability of countries. The purpose of this study is to analyze the integration matrix of the creating sustainable value process in the automotive industry.
Design/methodology/approach
This research is a development/mixed methodology that aims to symmetrically combine the relationship between the components of sustainable value creation integration through Mick Mac matrix analysis to identify the most effective drivers of the research subject in the Iranian automotive industry. Therefore, in this study, first, in the qualitative part, meta-synthesis analysis and Delphi analysis were used to identify the thematic components of the integration of the process of creating sustainable value and to determine the theoretical adequacy of the components. Then, in a small part, an attempt was made to explain the approved components, based on the symmetric matrix analysis in the Mic Mac diagram, in the automotive industry to determine a more stimulus for integrating the sustainable value creation process, with the participation of 16 automotive executives.
Findings
Based on the results in the qualitative section, 8 thematic components were identified to evaluate the integration of the sustainable value creation process, and after Delphi approval, these components were approved in terms of theoretical adequacy. The results in the quantitative part based on matrix analysis showed that the most motivating component in integrating the process of creating sustainable value in the automotive industry is the development of innovative ideas. To create integration in creating sustainable value, it is necessary to create a positive impact of creative ideas in the three components of balancing performance with the changing needs of K3 customers, the dynamics of communication with K8 suppliers, reducing the diversity of materials used in K5 production.
Originality/value
This paper is considered as a research that contributes to the broader research area of the automotive industry by unpacking the concept of value creation from a sustainability perspective. This is the first study to review extensively of integrating sustainable value creation process into the automotive industry. Although an area of research importance in terms of developing theoretical literature and applied basis in increasing the effectiveness of competitive strategies. But less research has examined this issue, and conducting this research and expanding it to the level of sustainability value literature can enhance its institutional and research capacities at the international level and contribute to the coordination of the development of theoretical.
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Luz María Valdez-de la Rosa, Luis Alberto Villarreal-Villarreal and Gustavo Alarcón-Martínez
The purpose of this paper is to identify the causal relationship between the independent variables such as process quality and product innovation in regard to the dependent…
Abstract
Purpose
The purpose of this paper is to identify the causal relationship between the independent variables such as process quality and product innovation in regard to the dependent variable of competitiveness, in the manufacturing sector of the automotive industry, specifically for Tier 1 auto parts manufacturing companies in the state of Nuevo León, México.
Design/methodology/approach
Based on a thorough review of the literature, an instrument was designed to measure the competitiveness of automotive industry manufacturing; it was applied to Tier 1 suppliers of automotive parts in the state of Nuevo León, México. Various statistical analysis tests were applied to the results; first, Cronbach's alpha to determine the reliability of the instrument, and next, a factor analysis to measure construct validity. In addition, a multiple linear regression analysis was carried out to identify the causal relationships between the variables analysed.
Findings
This study found that process quality as well as product innovation have independent and positive causal relationships with respect to competitiveness in automotive manufacturing.
Research limitations/implications
The limitations of this paper are its focus on a single manufacturing sector, application in a single country and small sample size.
Practical implications
Companies that supply automotive parts will be able to invest in the key elements of quality and innovation while focusing their efforts on reinforcing their competitiveness.
Originality/value
Auto parts suppliers will be able to perform specific actions to improve their quality processes through lean manufacturing and quality assurance practices and by designing new and innovative products that will enhance their competitiveness.
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The purpose of this paper is to examine the identity-related work experiences of women in leadership in the US automotive industry. Drawing upon the communication theory of…
Abstract
Purpose
The purpose of this paper is to examine the identity-related work experiences of women in leadership in the US automotive industry. Drawing upon the communication theory of identity’s four identity frames, this study analyzes women’s narratives to better understand their self-concepts, work relationships and activities within larger corporate automotive contexts.
Design/methodology/approach
A qualitative methodology consisting of 16 in-depth interviews with women in leadership in automotive organizations was adopted. Interviews examined women’s perceptions and identities at work, including their daily behaviors, relationships with others and their perceptions of the larger automotive community.
Findings
Findings demonstrate that women in leadership in the automotive industry experience contradictory feelings, messages and interactions that impact their identity perceptions and expectations for performance and achievement in their work settings.
Practical implications
The experiences of women in leadership in US automotive organizations could provide examples of identity-related topics valuable to practitioner fields where women seek relevant, gender-specific, guidance, resources and strategies to advance in their careers.
Social implications
The findings in this study raise awareness about some of the social issues women in leadership face in automotive corporations, including complex identity-related challenges present in their workplaces.
Originality/value
This paper is the first of its type to examine the narratives of women’s career life in leadership in automotive organizations through a communication theory of identity lens. It extends knowledge about female leaders as they navigate the dissonant worlds of achieving higher positions whilst holding membership in a marginalized group.
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Balakrishnan A.S. and Usha Ramanathan
The purpose of this paper is to examine the role of digital supply chain (DSC) technologies in automotive supply chain resilience (SCR) practices to improve the supply chain…
Abstract
Purpose
The purpose of this paper is to examine the role of digital supply chain (DSC) technologies in automotive supply chain resilience (SCR) practices to improve the supply chain performance (SC-Perf.) objectives of companies operating in the automotive industry. This study also compares the results of the associated SC-Perf objectives before and after the COVID-19 pandemic outbreak lockdown situation.
Design/methodology/approach
The authors undertook in-depth empirical research using a questionnaire survey to explore the performance of automotive supply chains. The sample for this study consisted of practitioners from supply chain entities such as automotive original equipment manufacturers, Tier-1 component manufacturers and lead logistics providers in Asia-Pacific (AP) emerging markets. Research questions, framework and hypotheses were developed using the literature review.
Findings
The research outcome from analysis of the data the authors collected from an emerging market context, specifically the automotive sector, emphasizes the role of DSC technologies and encourages the firm’s SCR practices which, in turn, supports the SC-Perf objectives. The DSC technologies competency moderates the SCR and SC-Perf objectives relation, and the moderation effect is higher for post-COVID-19 pandemic outbreak lockdown situation than at prior state.
Research limitations/implications
The scope of the study is restricted to the automotive firms in the AP region. The data were collected from a representative sample of the population through a questionnaire survey. The small size of the sample incurs a certain level of subjectivity.
Practical implications
This research provides practical insights for practitioners and academicians on DSC technologies’ influence in SCR practices to improve the firm’s SC-Perf. This research shares the literature insights on use of DSC technologies across the sector to allow the automotive firm to reassess the existing operational practices.
Originality/value
The paper adds insights on introducing or implementing DSC technologies across AP automotive firms to increase the operations’ performance by improving SCR practices and sustainability.
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Chia‐Min Wei and Chia‐Yon Chen
The purpose of this paper is to discuss how the incentive from transaction cost can be beneficial due to the selection and implementation of the purchasing strategy under…
Abstract
Purpose
The purpose of this paper is to discuss how the incentive from transaction cost can be beneficial due to the selection and implementation of the purchasing strategy under different scenarios in the value chain, including the automotive assembly sector and auto parts sector. Furthermore, it aims to investigate how to reach break even point between transaction cost and agency cost and to further achieve the goal of cost minimization.
Design/methodology/approach
This is empirical analysis of variables constructed from transaction cost theory and data obtained from two famous motor companies in Taiwan automotive industry. This study adopts the probit model and tobit regression model to test and discuss the parameters in the model to deeply realize the influence of transaction cost variables towards purchasing strategy.
Findings
The findings prove the situation of multiple sourcing in supplying auto parts and demonstrate that the dimensions in transaction cost are truly important factors to affect the purchasing strategies. In addition, the empirical results show the explanatory capabilities of variables are very significant in monopoly power, steering system, electro mechanism, and other parts systems.
Practical implications
The awareness on transaction cost are beneficial to partner selection of automotive companies in Taiwan. These findings also improve the quality of purchasing strategy in Taiwan automotive industry.
Originality/value
This study explores the variables of transaction cost influencing purchasing strategies. In addition, the knowledge on transaction cost towards purchasing strategy helps companies enhance the quality in future purchasing strategy and select their suppliers.
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