Analysis of Japanese OEM – Suppliers Relationships in United States

ZongSheng(Rex) Chen

Abstract: Nowadays, some automakers often complain about the inefficiency/ unproductivity from their suppliers; however, those OEMs might have to think twice about their own policies & operation processes before framing suppliers as their scape goats. Any manufacturers can find the supply chain operations gain & lost from both U.S. and Japanese automakers, as well as their suppliers. During 1980s and 1990s, Japanese automakers had built strong manufacturing capabilities in U.S.; and their first-class manufacturing methodologies vastly turned out to be the most popular benchmarking quality standard within U.S. automotive industry. Those manufacturing guidelines were not just restricted in just-in-time (JIT) delivery of parts to the factory & lean manufacturing processes. Japanese automakers also equipped with their own lean manufacturing capabilities and realize that their success largely relied on the development of a local supplier base. The data base indicated those Japanese Automakers did share manufacturing management guidelines and technology with local U.S. suppliers. These guidelines and technologies also made similar factories became extremely competitive in Japan. Considering the entire continent's area and transportation system; it is almost impossible to achieve on-time products’ delivery. Thus, many skeptics insist that lean manufacturing would never happen in North America legitimately; yet the Japanese automakers (In U.S. market) had proved them wrong. American automakers are beginning to follow the Japanese endeavors’ leadership, revolutionizing into lean manufacturing and requiring their suppliers to provide on-time delivery.

Keywords: Lean manufacturing, Supplier & OEM relation, Quality, Efficiency, Large production, Integrated system, Inventory/Stock, JIT, Loading, Transportation, Couriers, etc.

Title: Analysis of Japanese OEM – Suppliers Relationships in United States

Author: ZongSheng(Rex) Chen

International Journal of Management and Commerce Innovations 

ISSN 2348-7585 (Online)

Research Publish Journals

Vol. 6, Issue 2, October 2018 – March 2019

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Analysis of Japanese OEM – Suppliers Relationships in United States by ZongSheng(Rex) Chen