Several steps toward recovery

Making new vehicles out of old vehicles-as well as discarded carpeting-enables automakers to do the right thing for the environment society, and their balance statements.

In what appears to have been an accurate portent of things to come, 50% of the automotive engineers and designers who planned to attend the SAE 2000 World Congress cited cost reductions as the industry's top concern, up 19% from the previous year. Also, 50% of the survey respondents of the DuPont Automotive/SAE International survey identified cost as the most important quality automakers seek when choosing a supplier. In the year since the survey was conducted-and especially in the past six months-automakers have not been reticent about requesting cost cuts from suppliers; it may not be a stretch to now put those cost-concern figures at 100%.

“The focus on cost reduction has reached its highest level in the last six years,” said Walter Fields, Vice President, DuPont Automotive Engineering Materials. “The trend toward systems integration has certainly helped drive out cost and improve performance, but the key to long-term, sustainable growth for the industry revolves around enhancing overall value-chain relationships.