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Case Studies

Scaling a Tier 1 Supplier to Meet Tesla’s Growing Demand

Driving Profitability Through Strategic Pricing Negotiations

Driving Profitability Through Strategic Pricing Negotiations

Challenge:

A Tier 1 Chinese-owned automotive supplier needed to rapidly scale operations to support Tesla, the leading U.S. EV manufacturer. With rising production demands and aggressive growth targets, the supplier had to establish a local business presence and optimize its strategy to compete in the evolving EV market.

Solution:

To meet Tesla’s requirements, the company established a dedicated local business unit and implemented a strategic growth plan focused on operational efficiency, supply chain optimization, and market expansion. This approach enabled the supplier to build a scalable infrastructure that aligned with Tesla’s evolving needs.

Results:

  • Revenue growth from $70M to $2B annually over seven years.
  • Successfully scaled operations to match Tesla’s production demands.
  • Secured a strong market position within the EV supply chain, reinforcing its status as a key Tier 1 supplier.
  • Demonstrated the ability to scale rapidly and support major EV manufacturers’ growth strategies, ensuring long-term industry success.

This strategic expansion solidified the supplier’s role as a critical partner in the electric vehicle revolution, showcasing its agility, innovation, and ability to thrive in a fast-changing global market.

Driving Profitability Through Strategic Pricing Negotiations

Driving Profitability Through Strategic Pricing Negotiations

Driving Profitability Through Strategic Pricing Negotiations

Challenge:

A Tier 1 automotive supplier faced intense pricing negotiations with major OEMs, including Tesla and Hyundai/Kia. Struggling programs had eroded profitability, and the company needed to secure favorable agreements while maintaining strong customer relationships and long-term growth potential.

Solution:

A strategic approach to negotiations was implemented, ensuring mutually beneficial outcomes for both the supplier and OEMs. Pricing models were optimized to restore profitability, and targeted discussions focused on restructuring struggling programs while strengthening customer retention.

Results:

  • Achieved win-win agreements with Tesla and Hyundai/Kia, reinforcing long-term partnerships.
  • Revitalized struggling programs, restoring profitability where success had once seemed unlikely.
  • Secured and expanded relationships with high-growth customers, ensuring sustained business growth.

This initiative highlighted the power of strategic negotiation in the automotive industry, demonstrating the supplier’s ability to drive profitability while maintaining trust with key OEM partners.

Scaling Sales Operations for an Energy Technology Start-Up

Driving Profitability Through Strategic Pricing Negotiations

Expanding Tier 1 Automotive Supplier Business Unit for Hyundai/Kia

Challenge:

An energy technology start-up in Rheinbach, Germany sought to expand its market presence and establish a scalable sales operation. The company needed a structured approach to growth, including a robust sales network, long-term strategic planning, and executive-level guidance to ensure the successful execution of key initiatives.

Solution:

A Global Sales Representative network was built to support international expansion and drive business development. Multi-year Strategic Growth Plans were developed to provide a clear roadmap for scaling operations, while executive advisory support ensured the CEO’s initiatives were implemented effectively and on schedule.

Results:

  • Successfully established an independent global sales network, enabling business expansion.
  • Developed long-term growth strategies, ensuring a sustainable roadmap for scaling.
  • Provided strategic advisory support to the CEO, ensuring timely execution of key initiatives.

This initiative positioned the start-up for long-term success, demonstrating the value of a structured, scalable approach to business growth.

Expanding Tier 1 Automotive Supplier Business Unit for Hyundai/Kia

Establishing a Centralized Business Center for Automotive Tier 1 Supplier

Expanding Tier 1 Automotive Supplier Business Unit for Hyundai/Kia

Challenge:

A global fortune 100 Tier 1 automotive supplier, sought to strengthen its partnership with Hyundai/Kia by establishing a dedicated Customer Business Unit in Bratislava, Slovakia. The company aimed to drive significant revenue growth, expand its product offerings, and establish manufacturing operations in key locations to support production demand.

Solution:

A new Customer Business Unit was successfully launched in Bratislava, providing a dedicated hub for Hyundai/Kia operations. A strategic growth plan was implemented to expand the business portfolio, optimize operations, and establish manufacturing facilities in high-value locations to meet customer needs efficiently.

Results:

  • Achieved business growth from €150 million to €350 million annually over five years.
  • Expanded the product portfolio, enhancing offerings tailored to Hyundai/Kia’s needs.
  • Established two manufacturing facilities in Zilina, Slovakia, and Ostrava, Czech Republic, ensuring streamlined production capabilities.
  • Strengthened the Tier 1 Suppliers’ market position and reinforced its long-term strategic partnership with Hyundai/Kia.

This initiative positioned the Tier 1 Supplier as a key supplier, showcasing its ability to scale operations, expand strategically, and support major automotive customers effectively. 

Building a Program Management Office for Tier 1 Automotive Supplier

Establishing a Centralized Business Center for Automotive Tier 1 Supplier

Establishing a Centralized Business Center for Automotive Tier 1 Supplier

Challenge:

A global fortune 100  Tier 1 automotive supplier, needed a centralized approach to manage and oversee the health of more than 100 projects across Europe, South America, and Africa. The company lacked a standardized framework for monitoring project performance and required improved training and recruitment strategies to build a strong team of Program Managers.

Solution:

A dedicated Program Management Office (PMO) was established to streamline project oversight, implement standardized monitoring processes, and drive operational efficiency. A structured training program was developed to enhance project management capabilities, alongside a strategic recruitment initiative to attract top-tier talent.

Results:

  • Successfully centralized project oversight for 100+ initiatives across multiple regions.
  • Introduced standardized processes to evaluate and improve project performance.
  • Designed and implemented training programs to enhance Program Manager expertise.
  • Established recruitment strategies to build a strong, highly skilled PM team.

This initiative strengthened the Tier 1 Suppliers' ability to manage large-scale projects effectively, ensuring operational efficiency and long-term success in key global markets.

Establishing a Centralized Business Center for Automotive Tier 1 Supplier

Establishing a Centralized Business Center for Automotive Tier 1 Supplier

Establishing a Centralized Business Center for Automotive Tier 1 Supplier

Challenge:

A global fortune 100  Tier 1 automotive supplier, needed to streamline global operations by centralizing key business functions. With operations spanning Europe, South America, and Africa, the company sought to improve efficiency in critical areas such as Finance, Purchasing, and IT while scaling support for over 150 locations worldwide.

Solution:

A Centralized Business Center was established in Bratislava, Slovakia, consolidating global services under one roof. The strategy focused on optimizing business processes, enhancing coordination, and creating a scalable infrastructure to support international locations.

Results:

  • Successfully centralized core services, improving operational efficiency.
  • Grew the facility to over 1,000 employees, providing critical business services to locations across Europe and North America.
  • Enhanced cross-functional collaboration, enabling faster decision-making and improved resource management.
  • Strengthened the Tier 1 Suppiers’ ability to support international expansion and sustain long-term business success.

This transformation positioned the Tier 1 Supplier as a more agile and responsive Tier 1 supplier, demonstrating the power of strategic consolidation in the automotive industry. 

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