Post by Dr. Kenneth Sievers

Profitability in automotive is under pressure. 🚗 Global supply shortages, volatile raw material prices, stricter regulatory requirements, trade conflicts, and the shift toward electromobility are forcing OEMs and suppliers to rethink traditional processes and business models. At the same time, EBIT per vehicle or component is steadily declining for many companies in the sector. Yet the transformation also opens up growth opportunities: e-mobility, car-as-a-service, digital platform solutions, data-driven services, autonomous driving, and connected cars are creating new ways to differentiate and build market access. The key is to combine innovation with a clear focus on complexity and cost management. EFESO DACH (Deutschland, Österreich, Schweiz) supports automotive companies in identifying relevant cost levers across direct and indirect areas, strengthening supplier and procurement management, and implementing lean principles along the value chain. Because sustainable profitability is not built through isolated measures. It requires efficient processes, optimized value streams, and structures that can adapt to regulatory and market changes.