NEWS Original Equipment Suppliers Association
2021 First Quarter │ Edition 1
Lordstown Motors Town Hall and Matchmaker Event January 8, 2021
IN THIS ISSUE... 1 On Your Behalf 2 Supplier Barometer 4 RSM Supplier Barometer Commentary
6 Guest Column: Baker Tilly 8 Guest Column: SAP 10 Council Highlight
12 OESA Events 14 Welcome New Members 15 OESA Event Calender
OESA 2021 Consumer Electronics Show What’s on the horizon for automotive’s new reality, and what will that mean for your organization? Join Gary Silberg, global Automotive sector leader, KPMG LLP, as he discusses the amazing and not-so-amazing new auto-tech products and what they may mean for new business models and growth opportunities during the OESA 2021 Consumer Electronics Show Supplier Debrief on January 21, 2021. Check out Gary’s latest publication, Automotive’s new reality: Fewer trips, fewer miles, fewer cars?, to dive deeper into what’s ahead for automotive and tech. For the latest KPMG Automotive insights, visit the Automotive Center and listen to the Talking Automotive Podcast.
Some or all of the services described herein may not be permissible for KPMG audit clients and their affiliates or related entities. kpmg.com/socialmedia
© 2020 KPMG LLP, a Delaware limited liability partnership and a member firm of the KPMG global organization of independent member firms affiliated with KPMG International Limited, a private English company limited by guarantee. All rights reserved. NDP144148-1A The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization.
Gary Silberg
Global Automotive Sector Leader KPMG LLP
On Your
Behalf
Happy New Year! I hope you all had a safe and restful holiday season Like you, OESA is happy to say goodbye to 2020 and we are full of hope for 2021. As we plan for 2021, OESA will continue much of the new programming and events instituted in 2020. These will be the building blocks for this year and beyond: •
OESA via Virtual Platform During the early days of the pandemic, OESA moved all programming to a virtual format while continuing to foster customer-to-supplier and supplier-to-supplier networking and collaboration. When we meet again in person later this year, OESA will continue to feature a virtual option for many event and meetings.
•
Diversity, Equity and Inclusion (DEI) Initiatives OESA launched a DEI Forum in 2020 to understand the needs of our members while promoting diversity and belonging in the supplier community. Based on the success of the forum, OESA created a new DEI Council to help suppliers understand the implications of DEI and share best practices. OESA will also develop community outreach initiatives and events in 2021.
•
Plant Operations Council In addition to the DEI Council, OESA launched a new Operations and Plant Manager Council to address the unique issues in supplier manufacturing. This Council will continue in 2021.
•
New Programming Additional programming in 2020 included an inaugural Diversity Matchmaker Event, Master Class Series, “Voice America” podcast, and a Strategic Insights video series. These new features will continue in the coming year.
Of course, we will continue with the traditional OESA events and councils, as well. Additionally, with a new president and Congress, OESA and MEMA will be busy in Washington DC, advocating on behalf of the supplier community. The new year will present many new opportunities and challenges, and the team at OESA looks forward to working with all of you during the coming year. Thank you for your support of OESA and for the opportunity to serve you. As always, please feel free to contact me at 248.430.5963 or jfream@oesa.org.
Julie A. Fream President and CEO OESA
OESA News - 2021 First Quarter
│1
OESA AUTOMOTIVE SUPPLIER BAROMETER
Production Strength Supports Jump in Optimism Even as Pandemic Persists Mike Jackson Executive Director, Strategy and Research 248.430.5954 │ mjackson@oesa.org
According to the Q4 2020 OESA Automotive Supplier Barometer IndexTM (SBI) – a gauge to measure the sentiments of North American automotive supplier executives – continued strength in light vehicle production volumes bolstered suppliers’ 12-month industry outlook vs. three months earlier. Results posted a strong positive reading of 67 for the period, 17 points above a neutral level of 50. The headline index increased 14 points from the third quarter and soared 52 points from the second quarter when the brunt of the pandemic was most acute. The Q4 2020 OESA Supplier BarometerTM, sponsored by RSM US LLP, focused on Capital Markets & Innovation. The results indicate: Continued issues related to the COVID-19 pandemic remain Nearly 85% of supplier the greatest threat to the industry, however threat ratings responses affirmed that continued to ease from the second quarter. their company's capital • Production volumes are expected to be slightly above the structure supports volumes needed to break-even this year. innovation objectives. • Suppliers, on net, will require more capital for product innovation for next year, as the industry continues to offer its customers the latest technologies that end users are demanding. • A majority of suppliers are confident with their pace of innovation, as 73% of respondents indicate they are at least on pace with the industry; 44% believe they are ahead of the industry. •
Even as suppliers align costs and capital expenditures to a new market reality, leading firms recognize the importance of innovation in offsetting the impact of lost production volume. Nearly 85% of supplier responses affirmed that their company’s capital structure supports innovation objectives, which increasingly fosters collaboration with external partners including suppliers, material producers and customers. Given the dynamic nature of the global automotive industry, suppliers are shrewd to utilize a range of innovation strategies and adapt approaches to suit specific customers and technologies. The Q4 SBI chart and a full copy of the Supplier Barometer results are available on the OESA website. Click here to view. RSM US LLP commentary on the Q4 2020 OESA Supplier Barometer results can be found on page 3.
2 │ OESA News - 2021 First Quarter
OESA AUTOMOTIVE SUPPLIER BAROMETER OESA Supplier Barometer: Q4 2020 Results Describe the general twelve-month outlook for your business. Over the past three months, has your opinion become…? Current Supplier Outlook (Share of Respondents)
Supplier Barometer Index: (SBI and 6m Average) 90 80
US Tax Reform
70
US Fiscal Cliff
US Trade War Escalates
Jan-2020
Japan Tsunami/ Grexit Crisis
Jan-2017
Jan-2009
Significantly more pessimistic
Somewhat more pessimistic
Unchanged
Somewhat more optimistic
Significantly more optimistic
10
Euro Crisis Begins
Jan-2016
20
30
Jan-2015
0%
Jan-2014
40
Jan-2013
50
20%
Jan-2012
40%
67
Lehman Collapse
Jan-2011
60
Jan-2010
60%
Jan-2019
Q4 2020
Jan-2018
Q3 2020
80%
203 responses
The outlook for the fourth quarter improved substantially, with the SBI increasing 14 points from Q3 to 67. The proportion of respondents indicating a more pessimistic outlook fell 24 ppts. to 13 percent. Q4 2020 OESA AUTOMOTIVE SUPPLIER BAROMETER
1
Capital Planning How confident are you that your company will move ahead and implement the needed capital investment to meet your 2021/2022 demand requirements?
100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0%
Wtd. Avg.*
13%
12%
25%
27%
58%
57%
2020 for 2021/2022
2019 for 2019/2020
72%
73%
6%
4%
17%
20%
76%
71%
2018 for 2018/2019
2015 for 2016/2017
79%
80%
Not applicable, we are not planning for increased capital expenditure investments Slightly confident (<50%) Somewhat confident (50-75%)
*Assumes mid-point of each range
Very confident (>75%)
Q4 2020 OESA AUTOMOTIVE SUPPLIER BAROMETER
2
Capital Strategy To what extent does your company’s capital strategy support dimensions of open innovation, which includes working with external partners? Not at all 3% Very high 7% Minimal 23% High 25%
Moderate 42%
How well does your company's capital strategy enable your organization to fully realize its innovation objectives? Not at all 1% Very high 6%
Minimal 15%
High 27%
Moderate 51%
Comments: • Work with external partners a great deal as well as collaborate with suppliers and material producers and leaders. Q4 2020 OESA AUTOMOTIVE SUPPLIER BAROMETER
3
Contact Mike Jackson to learn more about automotive supplier sentiment. He can also provide information on economic and industry trends, as well as the Chief Financial and Chief Purchasing Officers Councils. OESA News - 2021 First Quarter
│3
RSM COMMENTARY: OESA AUTOMOTIVE SUPPLIER BAROMETER
4 â&#x201D;&#x201A; OESA News - 2021 First Quarter
RSM COMMENTARY: OESA AUTOMOTIVE SUPPLIER BAROMETER
OESA News - 2021 First Quarter
â&#x201D;&#x201A;5
GUEST COLUMN: BAKER TILLY
Supply chain resilience: exploring nearshoring to unlock new frontiers of strength
Leverage disruptions to unlock supply chain and organizational resilience
Authored by: Jeff Jorge Principal, Baker Tilly International Growth Services Practice Leader +1 (248) 368 8789 jeff.jorge@bakertilly.com
Contributor: Erich Bergen Director, Baker Tilly +1 (248) 368 8741 erich.bergen@bakertilly.com
The trade war dispute between China and the U.S. prior to 2020 instilled uncertainty and mixed messages of the benefits of a global economy. Then the COVID-19 pandemic arrived, causing great disruption in many companies’ supply chains and leaving them with idled plant floors, empty warehouses and unsatisfied customers. Because of this disruption, companies have a greater incentive to consider nearshoring some or all of their key supplies. For context, nearshoring refers to an organization’s transfer of certain business operations, in particular its own manufacturing capability or a key supplier, to a nearby country closer to the demand location for its manufactured products. For U.S. companies, nearshoring may mean moving a supplier from China, one of the U.S.’ top trading partners, to Mexico or Canada, the U.S.’ other two largest trading partners. Additionally, in considering a move from Asia, some manufacturers with European presence often evaluate select countries in Eastern Europe, such as Poland and Slovakia, which provide analogous benefits for companies with a European manufacturing footprint.
Initial consideration filter: Labor- vs. capital-intensive products While the suitability of nearshoring is highly specific to an individual company and its products, there is one initial and reliable filter employed towards determining whether such a strategic decision holds further exploration: labor content. Specifically, whether a company’s products and its valueadd capabilities rely on a greater proportion of manual labor versus automation in the production of its goods. Regional consumption potential and market size opportunity aside, Asia-based operations and supply base expansions saw their rise early on due to a strong connection with abundant labor supply, low wage rates and increasingly greater production capability. Fast forward 20 or so years to today, when the productive workforce in such low cost countries achieved greater prosperity. The result: labor cost inflation and a growing purchasing power of the populous combine with logistic
challenges and the rise of a trade war across key world economies. Suddenly, for companies whose products rely on intensive labor input, the total landed cost of manufactured or purchased goods from low labor wage countries begin to lose their appeal. One of the most direct benefits of nearshoring is its positive impact in a company’s working capital. Specifically, by reducing the shipment lead-times and related inventory in transit, the total ‘hold time’ for cash outlay to suppliers and receipt from customers, makes it such that working capital “float time” is often reduced to days – instead of the typical six to eight weeks of transit time between China and the U.S. Factoring in both the logistical costs of moving product and the cost of capital provides a company with meaningful perspective and confidence in its decision to keep production/sourcing stay in China or another Asian country, or to nearshore.
Nearshoring considerations Data-driven viability assessments are an important piece of any nearshoring pre-deployment evaluation. When considering the challenges of nearshoring, forward-thinking manufacturers consider a wide range of variables, some of which include: — Freight and insurance costs: The long spans of ocean separating Asian supply locations from the Americas come with a comparatively high cost of shipping and insurance relative to a nearshore location like Mexico. Not surprisingly, the cost of shipping from China has fluctuated in 2020 due to the pandemic. According to Hellenic Shipping News, in October, shipping costs from China to the U.S. West Coast were 30% higher than the same period in 2019; costs to the East Coast almost doubled. — Lead times: By bringing their supplies closer to the demand points for their products, companies reduce long lead times, among other benefits. Doing so enables a company’s products to reach the end customer faster – which also has a direct impact in
6 │ OESA News - 2021 First Quarter
GUEST COLUMN: BAKER TILLY working capital (shorter hold times and lower inventory needs), customer satisfaction and competitive market performance, to name a few. — Labor costs: The difference in labor costs between Mexico and China has become clearer in recent years. Mexico labor rates have remained effectively flat. According to Statista, from 2019 to 2020, manufacturing labor costs per hour for China increased from $5.78 to $6.50 USD, while Mexico experienced a much smaller increase from $4.66 to $4.82 USD over the same time period. — Labor availability: Mexico, along with some Eastern European countries, have highly experienced labor forces that are adaptable to different types of manufacturing. While most industrialized areas in manufacturing-centric regions come with competition for qualified labor, the emergence of industrial parks in locations adjacent to such high-demand regions provide access to a growing labor pool at competitive local rates. — Stability in tariff regime and trade relations: The U.S.-Mexico-Canada Agreement (USMCA), the end result of negotiations from two distinct administrations (Barack Obama and Donald Trump), foster an environment for trade relations between Mexico and Canada that is far more stable than those with China and other countries. This favors near-term and long-term planning considerations of Mexico as a manufacturing and import/export hub for the manufacturing sector’s leading performers. — Mirroring: Larger organizations are also looking to create “mirrors” or redundant supply sources in two or more locations to create resiliency within their supply chain. This may mean a company will have similar suppliers in China and a nearshore country, balancing capacity between both locations. If one location is shut down by a natural disaster or pandemic-like event, the company can more easily shift operations to the unaffected country’s supplier.
Conducting a battle drill One way companies can investigate if nearshoring will help bolster supply chain resiliency is through a “battle drill.” In essence, this entails a simulation exercise by which a company undergoes the scenario planning, feasibility study, cost estimation and nearly every pre-deployment action except actually nearshoring the target operation or supplier.
A good battle drill includes a preliminary work plan to implement the nearshoring effort, which further crystalizes the timing, resources and dependency requirements.
A complete battle drill would include dynamic scenario modeling, deep analytics on material movement and total applied cost, new facility simulation, inventory buffer build, facility decommissioning and re-start cost determination. A good battle drill includes a preliminary work plan to implement the nearshoring effort, which further crystalizes the timing, resources and dependency requirements. The output of such an exercise is a confident decision on whether to nearshore and, if so, the specific economic, tactical and strategic benefits in doing so. Together, these items provide the necessary detail for subsequent steps, including internal organizational alignment/change management, budgeting and possibly external debt to finance such operations’ relocation. The battle drill exercise can largely be outsourced to a capable provider to accelerate execution, improve outcomes and reduce the overall investment in reaching a “go”/“no go” decision to nearshore.
Nearshoring as a transformative organizational catalyst Irrespective of geopolitical or socioeconomic shifts – and their effects on trade relations and economic policy – critical supplies that rely heavily on remote sources are more vulnerable to disruption than those near their consumption point. A disruption such as a global pandemic can make minor distance vulnerabilities swell to a crippling effect on a company’s supply chain. The current public health crisis that has decimated a number of companies with fragile supply chains stands as proof. The current COVID-19 crisis is unlikely to be an isolated event in coming years. This prospect of a pandemic-laden world calls for sound leadership decisions and the prudence of foresight, planning and action in the face of known and unknown variables. Companies owe it to themselves, to their team members and to their customers to investigate nearshoring as part of an instrumental variable in injecting strength and resiliency into their supply chain. And strength, pandemic or not, is invariably welcome.
About Baker Tilly
More than 4,200 professionals strong, Baker Tilly is a leading advisory, tax and assurance firm with experienced mobility and transportation professionals that provide growth, operations and business technology services to help all members of the mobility and transportation supply chain improve decision making and operational efficiencies. Headquartered in Chicago, Baker Tilly, and its affiliated entities, have operations in North America, South America, Europe, Asia and Australia. Baker Tilly is an independent member of Baker Tilly International, a worldwide network of independent accounting and business advisory firms in 146 territories, with 36,000 professionals. @BakerTillyCloud Baker Tilly Consulting Baker Tilly US, LLP, trading as Baker Tilly, is a member of the global network of Baker Tilly International Ltd., the members of which are separate and independent legal entities. © 2020 Baker Tilly US, LLP
OESA News - 2021 First Quarter
│7
GUEST COLUMN: SAP
This is a Time of Great Opportunity for the Automotive Industry By Judy Cubiss, SAP Charles Darwin’s insight “It is not the strongest of the species that survive, nor the most intelligent, but the one most responsive to change” certainly applies to the automotive industry. There has been nothing but change for auto companies recently, including the introduction of new mobility business models, the growing importance of software in the car, the shift to hybrid/electric, and the real possibility of autonomous vehicles. All of this was already having a huge impact on automotive company processes, required employee skillsets, and organizational and supervisory structure. The pandemic compounded this challenging situation, but it also brought new opportunities – especially in the area of human resources. Working from home was not common for the automotive industry. However, the pandemic has shown that remote working is an effective option for white-collar workers – especially in larger companies. Going forward, there is evidence that, for many, working from home will be much more prevalent in the future, providing more flexibility. Mercedes announced that its 875 headquarters employees will work remotely for the rest of the year. “Working remotely was the exception — for the foreseeable future, it will become the norm," Mercedes-Benz USA CEO Nicholas Speeks told Automotive News. However, for factory workers and plant management, working from home is not possible or not effective. Reopening after an industry-wide shut down, factories have new protocols and processes, with workers wearing masks and other protective gear, plus temperature checks and contactless checkin for shifts. The number of shifts has been adjusted, to reduce density on site, and start times have been staggered to avoid congestion at critical times. Production lines where possible are configured to reduce direct contact and to enforce social distancing and to even manage with reduced number of workers on site at one time. There is increased cleaning and disinfecting of equipment and tools, especially between shifts. New processes and tracking are in place to ensure compliance and enable contact tracing. These could have a negative impact on productivity – which many companies are addressing through additional automation or increased pricing. For example, SAP benchmarking have found that using technology to help with tracking, tracing, and reporting has helped reduce costs up to 60 percent. The transition to automated, digitized processes is being accelerated in many companies, using Industry 4.0 strategies to address worker shortages and improve transparency and resiliency. A recent McKinsey article discusses how using digital strategies are helping companies bounce back and highlights increased focus on digitalizing their supply chain, with 90 percent planning to invest in talent for digitization. This is key, because as the adoption of digitalization increases, the skill profile of workers will shift to designing, operating, and servicing automated equipment and processes. Workers will need more digital skills to operate and maintain smart factory lines and equipment. Companies need to keep up technological advances and at the same time train and retain workers with the rights skills. Companies that focus on digital training can not only reduce training costs by 50 percent but also reduce turnover by more than 30 percent. Roles are changing as manufacturers need to respond faster than ever to their customers, driving a more devolved approach to decision making. As more data is available at the edge, there can be more and faster decision making at the line. Factory workers empowered with mobile devices and tablets can monitor multiple machines and lines more effectively and make decisions in real time while still
8 │ OESA News - 2021 First Quarter
GUEST COLUMN: SAP
minimizing the time on the line. Roles that have typically stayed static will be changing considerably, so successful workers, at all levels, will need to cope with change and uncertainty. Shift patterns will continue to change, but there will also be the opportunity to learn new skills and processes. Workers that have the capacity to adapt and learn will be in high demand. We believe, going forward, companies will have to either invest in re-skilling their employees so that they can take on new roles or find talent elsewhere. The need for digital talent will increase, yet the appetite to invest in re-skilling is influenced by cultural and region. Re-skilling is a significant cost, so in areas where there are lax labor protections, reskilling may not be the top priority. A recent OESA Barometer report found that although voluntary turnover has decreased due to the pandemic, there has been a shortage of available hourly workers in the US, mainly attributed to generous unemployment benefits which have now ended. Also contributing to the shortage is the retirement of older hourly paid workers concerned about returning to shop floors. Losing the knowledge of older workers was already a concern for automotive companies, but this talent drain means companies urgently need to retain knowledge and transfer it to younger or new workers with a systematic, repeatable approach. This is a pivotal time, as the number of generations in the workforce is reducing from five to three, and SAP estimates that up to 60 percent of the workforce will need reskilling or re-hiring with new abilities. So, companies will need to have the digital tools in place to capture the knowledge from older workers in different formats and systematically train younger workers or use augmented reality to bridge any gaps. Despite all these challenges, according to research done by Oxford Economics sponsored by SAP, the human resource function is still not seen as strategic within automotive companies. Reskilling and engaging the workforce rank low on the list of priorities for automotive executives (24 and 17 percent, respectively). And while improving the employee experience is considered an important factor that enhances brand reputation, many executives across the automotive industry are missing an opportunity to make that happen by sidelining HR. According to the same Oxford economics study, automotive executives are among the least likely to value interactions with the HR function: fully 49 percent say HR is not critical to the success of their organization, far more than the cross-industry survey average of 39 percent. Recent reports indicate that there may be a shift in focus. I hope so, as focusing on, listening to, and communicating to their people will be critical for automotive companies as they rebuild. To be successful, they will need to ensure that their people and processes, from hire to retire, are resilient. They will need to use intelligent tools and technology to automate and simplify processes wherever possible. The pace of change has accelerated in the past year but, again, it is important to understand that there has also been a rise in opportunity. Darwinian influences will result in changemakers succeeding in the automotive industry. Reach out to us to discuss further. Judy Cubiss, Global Lead for Industry Marketing
Tom Madonna Industry Executive Advisor
Judy.cubiss@sap.com
Tom.madonna@sap.com
OESA News - 2021 First Quarter
â&#x201D;&#x201A;9
COUNCIL HIGHLIGHT
Enviroment, Health, Safety & Sustainability and Human Resources Joint Council Meeting Happy New Year! Conversations with colleagues, within and across functions, is a wonderful way to start the new year. On January 28th, the OESA Environment, Health, Safety and Sustainability (EHS&S) Council and the Human Resource (HR) Council will come together virtually. EHS&S Council: Designed specifically for the automotive supplier industry, members of the EHS&S Council meet quarterly to discuss relevant topics, such as health and safety standards implementation and audits, workplace performance improvement, and sustainability initiatives. Meeting agendas revolve around peer sharing and subject matter expert presentations from industry, government officials and MEMA’s legislative affairs group. Recent areas of focus include: Collaborative Robots – Making a Business Case for Cobots; MIOSHA – Trends for the coming year; Governance of EHS&S – From Managing Compliance to Value Creation and ISO 45001 or not? HR Council: Known for lively roundtable discussions, the HR Council draws on the specialized expertise of human resources executives. Subject matter experts discuss and share best practices on various topics, such as employee engagement, talent management and total compensation. Recent areas of focus include: COVID-19; What it takes to be successful with Remote Work; Benefits Disruptors - What’s new, What’s Trending, What to Look Out For and Managing and Developing the New Work Force Scheduled Topics Include: ● Remote Work – Implications from a Health and Safety Standpoint ● COVID: Where we are now – Focused Roundtable To join the conversation on January 28th, please reach out to Karen Bohannon at kbohannon@oesa.org or Keiyania Mann kmann@oesa.org. We welcome EHS&S and HR partners from the same organization to attend the meeting together to meet their peers and learn from the cross functional exchange. Council membership is available to environment, health, safety and/ or sustainability executives or senior human resources executives of OESA supplier member companies. To determine eligibility requirements for either council contact Ginger Juncker, Executive Director, Councils and Member Services, at gjuncker@oesa.org or via 248.430.5953.
10 │ OESA News - 2021 First Quarter
COUNCIL HIGHLIGHT
Operations and Plant Managers Council We are pleased to announce the creation of the OESA “Operations and Plant Managers Council.” This new council group is intended for operations and plant managers for any Tier 1, 2 and 3 supplier member. Our objective is to provide a forum to share issues of common concern that affect the manufacturing environment. For 2021, the council will meet six times virtualy. Each 90 minute meeting will provide a look at current economic conditions that effect the automotive industry and provide an outlook for the near term. We will also review recent OESA research and our quarterly “Supplier Barometer”. The meetings will feature one keynote presentation and provide time for an open dialogue. The meeting agendas for 2021 are already set and can be viewed by clicking here. Topics will include: ● Financial performance ● Demand planning ● Doing more with the same resources ● Supplier turnarounds For a number of years OESA has looked at starting a manufacturing focused council group and the challenge we faced was how to get plant managers out of the plant to participate in a council meeting. For a typical council meeting, people come together in metro Detroit for a half day meeting. Because most supplier manufacturing operations are outside of metro Detroit, the travel commitment would prohibit participation. With the COVID related challenges we faced in 2020, OESA quickly pivoted to hosting all of our meetings virtually. It has become apparent that some meetings can effectively be hosted virtually. One positive outcome from this year is that we discovered a way to serve this segment of our membership. The meeting dates for the 2021 OESA “Operations and Plant Managers Council” are as follows: ● February 24, 2021 ● April 28, 2021 ● June 30, 2021 ● August 25, 2021 ● October 20, 2021 ● December 15, 2021 For more information and to join the OESA Operations & Plant Managers Council, click here.
OESA News - 2021 First Quarter
│ 11
OESA EVENTS
Lordstown Motors Town Hall & Matchmaker Event January 8 | 9:00 a.m. - 12:00 p.m.
OESA is pleased to host the first OESA Members-Only Lordstown Motors Town Hall & Matchmaker Event on January 8, 2021, via virtual format. Lordstown Motors Corp. (LMC) is an automotive technology company focused on designing, engineering, and producing a portfolio of vehicles for the transition to future mobility. At the current stage of its vehicle program, and after the acquisition of the former General Motors assembly plant in Lordstown, Ohio, LMC is actively engaging suppliers to source critical components. The purpose of this meeting is to provide OESA members with a unique opportunity to learn about needs and opportunities with Lordstown. Components of interest to Lordstown Motors can be found by clicking here. Rich Schmidt, president, Darren Post, VP engineering, and Steven Slawson, VP purchasing, Lordstown Motors Corp., will provide an overview of Lordstown Motors, production plans and how LMC is looking to partner with suppliers. They will also discuss the companyâ&#x20AC;&#x2122;s market segmentation, its technical competitive advantage, and the value LMC can bring to the supplier base followed by a Q&A session. Lordstown Motors purchasing and engineering executives from the component and systems groups will be available following the meeting for networking and one-on-one meetings. Supporting Sponsor:
Consumer Electronics Show Supplier Debrief January 21 | 1:00 - 3:00 p.m.
OESA invites members to virtually attend the OESA 2021 Consumer Electronics Show Supplier Debrief on January 21, 2021. Senior industry experts will provide a high-level review of the 2021 Consumer Electronics Show (CES), discuss major announcements from OEMs and industry leaders, and provide an update on AV and ADAS tech trends. It will also feature a summary of automotive technologies revealed at CES 2021. Gary Silberg, partner, the Americas head of automotive, KPMG LLP, will discuss the amazing and not so amazing new auto-tech products and what they may mean for new business models and growth opportunities. Danny Kim, director of advisory services, and Phil Magney, founder & president, VSI Labs, will provide an overview of CES 2021 with a review of major announcements from OEMs and other industry leaders, as well as provide an update on AV and ADAS tech trends. Presenting Sponsors: Anyone who would typically attend CES and would like to gain an understanding of how new and existing technologies are adapting to a new post-COVID consumer environment should attend this briefing.
12 â&#x201D;&#x201A; OESA News - 2021 First Quarter
OESA EVENTS
Nissan Purchasing & Engineering Town Hall Meeting January 27 | 9:00 a.m. - 12:00 p.m.
OESA is pleased to host the virtual OESA 2021 Members-Only Nissan Purchasing and Engineering Town Hall Meeting on January 27, 2021. Nissan North America, Inc.’s new Vice President, Purchasing, Hiroshi Izumiyama, will provide a personal introduction. In addition, Carol Jean (CJ) Milner, director, supplier diversity, service and support purchasing, Nissan North America Inc., and Chris Reed, regional senior vice president, research and development, Nissan Americas, will share an update on the Nissan’s business and participate in the Q&A panel session. Following the Q&A session, the Nissan team will be available for virtual networking. Current and prospective Nissan suppliers and those interested in learning more about Nissan’s future strategic plans should plan to attend this town hall.
OESA members and industry guests may register for all OESA events at www.oesa.org. For registration assistance, contact OESA at 248.952.6401 or info@oesa.org. OESA News - 2021 First Quarter
│ 13
WELCOME NEW OESA MEMBERS Grede Holdings LLC
20750 Civic Center Dr., Ste 100 Southfield, MI 48076-4129 www.grede.com Member Representative: Tony Lovell – President and Head of Commercial
Pace Industries
111 W. Western Ave. Muskegon, MI 49442 www.paceind.com Member Representative: Stephen Pridmore – Senior Vice President of Sales Alternate Representative: Flavia Oneda – Senior Director of Sales
The Capitol Group
215 E. 12 Mile Rd. Madison Heights, MI 48071-2557 www.capitolgroup.net Member Representative: Laura Muresan – General Manager
Tune In! OESA is pleased to present the "Automotive Insiders" podcast. Tune in for the latest in automotive and supplier industry news and learn how companies are thriving in the new mobility landscape. Click here to listen to the latest
For membership information, contact: Steve Horaney Vice President, Membership and Sales 248.430.5969 | shoraney@oesa.org Erin Schrieber Manager, Membership Recruitment and Development 248.430.5970 | eschrieber@oesa.org Adam Slaman Manager, Sponsorship Sales and Membership Development 248.430.5958 | aslaman@oesa.org 14 │ OESA News - 2021 First Quarter
OESA EVENTS Upcoming OESA Events (via virtual format) Jan. 8
Lordstown Motors Town Hall & Matchmaker Event
Jan. 21
Consumer Electronics Show Supplier Debrief
Jan. 27
Nissan Purchasing & Engineering Town Hall
Upcoming Council Meetings (via virtual format): Jan. 12
Legal Issues Council - 1st Quarter Segment 1
Jan. 14
Advanced Technology Council
Jan. 26
Young Leadership 9 Council Kick-Off
Jan. 28
Enviroment, Health, Safety and Sustainability and Human Resources Joint Council
OESA App: Get The Latest in Events and Councils Stay up-to-date on the latest OESA events, council meetings and industry information with the OESA mobile app. It is available in the App Store & Google Play Store. Log in to the app with your OESA username and password. CLICK HERE for more details.
Upcoming 2021 OESA Town Hall Meetings
Mark your calendar for the Members-Only OEM Town Hall Meetings via virtual format.
Jan. 8
Lordstown Motors Town Hall
Jan. 27
Nissan Town Hall
Mar. 3
General Motors Town Hall
Aug. 11
FCA Town Hall OESA News - 2021 First Quarter
â&#x201D;&#x201A; 15
Original Equipment Suppliers Association 25925 Telegraph Rd., Ste. 350 │Southfield, MI 48033-2553 248.952.6401 │oesa.org │info@oesa.org Connect with us on OESA News is provided by the OESA Communications Team. April Buford Senior Director, Communications
Jeff Laskowski Senior Manager, Communications
Abby Napier Communications Specialist
Lexi Putman Member Services Representative
248.430.5964 abuford@oesa.org
248.430.5951 jlaskowski@oesa.org
248.430.5957 anapier@oesa.org
248.430.5959 lputman@oesa.org