04/13/2023

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Erstaunliche Autos

Recommendations for improving efficiency

By Rick van der Werf and Lennard Weiss

Consultants of Tompkins and Kosters

04/13/2023

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Overview

Problem?

Recommended improvements

Explain separate improvements

Conclusion and Summary

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EA and its competitors

Q1 - 2008

Q2 - 2008

Q3 - 2008

Q4 - 2008

Q1 - 2009

Q2 - 2009

Q3 - 2009

Q4 - 2009

Q1 - 2010

Q2 - 2010

Q3 - 2010

Q4 - 2010

Q1 - 2011

Q2 -2011

Q3 - 2011

0

5

10

15

20

25

30

35

40

45

EA

Average competitor

Marketshare EA v.s. competitors

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Problems

Costs of production too high

Productivity too low

Costs of labour too high

Supplier too expensive

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Visualisation

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Costs of Labour

Germany India Belgium0

10

20

30

40

50

60

Average hourly pay rates for assembly-line workers

Average hourly pay rates for assembly-line workers

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Overview of recommendations

Cutting costs

Increasing productivity and efficiency

Prolong the working week

Move production to India

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A 7-billion cost-cutting programme

Savings in improved sales

Labour costs

Reducing suppliers costs by 10%

Others

€2bn€2bn

€2bn

€1bn

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Increasing productivity and efficiency

Close Belgium plant

Start production plant in India

Pronlong working week

Raw materials from China

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Prolong working week

Higher productivity

Lower average costs

Over-time working

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Conclusion

Seven billion cost-cutting Programme

Close Belgium plant

Move to India

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Thank you for your attention

Any questions?