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Suppliers love Toyota and Honda: Why that matters to you

You might think that a survey of automotive suppliers and their relationship with OEMs is the automotive equivalent of nerd prom. In some ways that's what the North American Automotive OEM-Supplier Working Relations Index (WRI) is. The study, the 17th annual conducted by Planning Perspectives Inc., is based on input from 652 salespeople from 108 Tier One suppliers, or, PPI points out, 40 of the top 50 automotive suppliers in North America. Suppliers to General Motors, Ford, FCA, Toyota, Honda, and Nissan. But the results have consequences in terms of tens of millions of dollars for OEMs - and in the quality, technology, and cost of the next vehicle you buy. There are a couple of ways to look at the results of the WRI. One is, "So what else is new?" And the other is, "Damn! How did that happen?" The study looks at five relationship areas — OEM Supplier Relationship; OEM Communication; OEM Help; OEM Hindrance; Supplier Profit Opportunity — within six purchasing areas — Body-in-White; Chassis; Electrical/Electronics; Exterior; Interior; Powertrain. In the overall rankings, Toyota is on top for the 15 th time in 17 years, with a score of 328. Honda, the only company to best Toyota (in 2009 and 2010), comes in second, at 319. Those two companies, explains John Henke, president of PPI, have collaborative working arrangements with colleagues and suppliers alike built into the very fabric of their cultures. This, however, is not a situation where one can readily conclude it is about "Japanese companies," because the third company with headquarters on the island of Honshu, Nissan, came in dead last. This is the "How did that happen?" portion. The Nissan score of 203 puts it 125 points behind Toyota. There hasn't been a number that low since the then-Chrysler Corp. scored 187 in 2010, when the company was clawing its way out of the recession. Clearly, the suppliers don't feel particularly engaged by the buyers at Nissan. Henke explains that whether a company does well or not on the WRI is rather simple. All people do things based on what they're measured on. "If you're measured on taking 10% out of your annual buy, you immediately know how to do it. But if you're also measured on improving relations, suddenly there is a new dynamic as to what you can do to achieve both.

Alonso interview, part 2: He says F1-Indy crossovers boost racing

Fernando Alonso said his racing in this Sunday's Indy 500 spurred great interest in Spain and that other Formula One drivers crossing over would benefit both U.S. racing and Formula One. "I think Formula One needs North America and maybe North America needs more of Formula One than what we currently have," Alonso told Reuters on Tuesday. "I think its a win-win situation," the Spaniard said about the potential impact of more F1 drivers following his example and crossing over between the circuits. Alonso said he understood that interest back home in the Indy 500 had spiked by 800 percent. "For the fans, from what I see now in Spain and Europe, it is amazing the interest in the Indy 500 this year compared to any other year," he said. "Everyone in Spain, they are waiting for May 28 to watch the race. I received many messages from fans in social media saying, 'thanks for showing us this race because I never watched it before and I absolutely love it.'" Alonso also believes U.S. fans will become more intrigued by Formula One as they get to know those drivers. "Hopefully from now on the interest in Formula One in the US will be growing," he said. "We have new owners of Formula One, (U.S.-based) Liberty Media, and I think they have some good plans to build interest here." Alonso decided to skip this week's Monaco Grand Prix, which he has won twice, to try and add the Indy 500 as his second leg to a rare Triple Crown of Motorsport. The Spaniard hopes to emulate Graham Hill, who in 1972 became the first to complete the Formula One championship, Indy and Le Mans 24 Hours collection of titles. "The Triple Crown, I think that's the ultimate goal of any racing driver," said Alonso. "Only one man has achieved that in motor sports and that shows how difficult it is to do that." Alonso said he expects no problem adjusting back to Formula One after his Indy sojourn. "My skills, and my driving techniques are developed in Formula One cars. I think when I get back there it will be an immediate adaptation." With his contract up after this season with the poorly performing McLaren-Honda team, Alonso remained tight-lipped about his future. "After the summer I will consider what are the options out there," he said.Part 1 of this interview: F1 veteran gears up for his rookie run at Indy Reporting by Larry FineRelated Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. Drive A McLaren | The List #650

Translogic 189: 2015 LA Auto Show

The LA Auto Show has become known for its green cars and concepts, and 2015 was no exception. Translogic host Jonathon Buckley gets all the details on BMW's 330e plug-in hybrid straight from BMW President of North America Ludwig Willisch. Then we get up-to-date on Honda's latest FCX Clarity hydrogen fuel cell car. We round out our tour with a stop at the Elio Motors booth for a look at their updated, three-wheel P5 concept and a chat with CEO Paul Elio. But first, we jump in a time machine at the Volvo booth to discuss Concept 26, an interpretation of how car interiors might evolve in the era of self-driving cars. "The reason why we talked about it as a time machine [is] because, really, Concept 26 is giving you back something that is so precious," explained Volvo senior director of design Tisha Johnson. "We're letting you delegate driving to the car, so that you can then have that time to yourself." Click here to learn more about our host, Jonathon Buckley.