Robust Engineering saves millions for Tier 1 automotive supplier

Practice / Industry: Automotive

Challenge:A multi-billion dollar Tier 1 automotive supplier was struggling with poor product quality and reliability. Automotive OEM customers were not confident that the supplier could meet their stringent quality requirements. The company recognized that poor quality – redesign, returns, warranty, cancellation of contracts – were costing them several million dollars. The company leadership decided to focus on Engineering. They realized that if quality is designed into a product or a process, costs and warranty will be reduced.

ASI Solution:The company selected ASI-CG as its partner to achieve the new mission. ASI-CG and engineers within the company collaborated on an extensive review of the company’s entire engineering process and closely examined areas that had short and long term impact on the company. Although initial projects were focused on fixing highly urgent problems (fire fighting), using Robust Engineering the projects gradually shifted from “problem solving” to “advanced development”, focusing more and more on problem prevention as opposed to fire fighting. ASI-CG also worked closely with the company leadership to ensure sustainability. The application of Robust Engineering precluded fire fighting and helped engineers to focus more on strategic aspects.

Achieved Benefit:The average result of Robust Engineering implementation was approximately 50% reduction in variation and the total financial benefits have exceeded $100 million. One recently completed project achieved $9 million savings in piece part cost reduction. The company now performs over 100 projects a year globally.