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Industry Report: Automakers Join Forces to Troubleshoot Common Problems

A Behind the Scenes Look at the Automotive Industry Action Group

DETROIT--As he takes the reigns of the Automotive Industry Action Group (AIAG), Andrew Cummins, a 30-year veteran of the auto industry, wants his organization to stand out as a resource for automakers and suppliers.

That may seem daunting given the fact there is a proverbial sea of other automotive organizations that hold conferences, expositions and sponsor discussion forums.

"For years the suppliers have been beaten down on price," noted Cummins, who was installed as AIAGs executive director on July 30. "For example, you sell a part for $20, but next year youre forced to sell it for $17; the following year, $13; and the following year, $12. Its a diminishing return.

"The cry for the suppliers, for years, has been: dont sell us advertising

Andrew Cummins, a 30-year veteran of the auto industry, was recently appointed as the executive director of the Automotive Industry Action Group. He says he has his eye on expanding AIAGs impact in the industry while still "sticking to the knitting" on finding solutions to common problems on a non-competitive basis. (Photo: AIAG)

space; give us opportunities to get next to our customers. For years, Ive looked for those opportunities in different ways, but it wasnt until I came to AIAG that I realized that this is the forum that the industry has been crying for."

Cummins has had a long career in the automotive field. Prior to joining AIAG, he was vice president of corporate communications for Oxford Automotive,

"For years the suppliers have been beaten down on price," noted Cummins. (Photo: Ford Motor Company)

a Tier One supplier of metal modules and assemblies. And, he was formerly publisher and editorial director of Automotive Industries magazine, and proprietor of Cummins Publishing Co.

AIAG, meanwhile, is a not-for-profit organization, founded in 1982, that allows its 1,600 members a way to cooperate in developing and promoting solutions for common problems in the auto industry. The groups board of directors includes representatives from General Motors, Ford and DaimlerChrysler with the newest board members officially joining on August 20 from Honda of America Manufacturing and Toyota Motor Manufacturing North America.

This

Honda of America Manufacturing and Toyota Motor Manufacturing North America are the latest AIAG members. (Photo: Alexandra Straub, American Auto Press)

shows that AIAG has the support of many of the major North American Auto Manufacturers, although Volkswagen dropped out of the AIAG several years ago. And, AIAG holds an annual conference and exhibition at Detroits Cobo Conference Center, Auto-Tech 2003 on August 26-29, but again it is one of many such venues held in the Motor City during a given year. (For further details on Auto-Tech, see below).

What makes AIAG different, Cummins said, is that it is the only place in the world where automotive manufacturers and suppliers can sit together at the same table, to solve issues in the automotive industry. It works in partnership with other organizations like the Original Equipment Suppliers Association (OESA) and the Motor

The AIAG currently has the support of most of the big North Americian Auto Manufacturers, with the exception of Volkswagen who dropped out years ago. (Photo: Shawn Pisio, American Auto Press)

& Equipment Manufacturers Association (MEMA) to identify and find solutions to common problems.

"There are some 1,000 people who come through our doors and they are OEMs (Original Equipment Manufacturers a.k.a. the automakers) and suppliers and vendor companies--like IBM and Microsoft, Sun Microsystems, and other high tech companies," Cummins said. "Every single day at AIAG, OEMs and suppliers sit down at a table and deal with the issues facing the industry."

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