The automobile sector works under ‘just-in-time’ philosophy designed to reduce stocks to minimum levels. This fact forces automotive suppliers to focus their work on meeting demanding service levels rather than on optimising their costs. However, it is evident that all those involved have an increasing interest in reducing costs to improve their competitiveness. To this effect, this project examined different logistics scenarios that would allow costs to be reduced without compromising service levels.
The overall objective of this project was to identify and analyse the different transport mode alternatives as well as logistics options of the flows of automobile spare parts and components of Valencian suppliers of factories located in Eastern European countries. The underlying goal of such research was to strengthen the competitiveness of Valencian SMEs supplying the automobile sector.
The main results of the project were the following:
- Drawing up of a map of the automobile industry in the European Union identifying factories, the brands of manufacturers and manufacturing volumes;
- In-depth study of the Valencian industry of automobile spare parts and components, analysing the number and type of companies present as well as the nature of their production and the volume of their activities, as well as the key flows of goods between these companies and foreign markets;
- Identification of the markets of interest in Eastern Europe of Valencian companies supplying automobile spare parts and components;
- Study of the configuration of logistics chains, defining current logistics requisites and needs;
- Analysis of logistics options and the transport modes that would fulfil such needs;
- Selection of logistics alternatives that lower costs whilst meeting service requirements.