Tier I automotive offers a clear case study. Quality systems like APQP, DFMEA, PFMEA, control plans and Toyota-style problem solving are deeply embedded. Customer audits, massive penalties for quality issues and independent accreditation ensure a minimum compliance level. And still, issues persist.
The most consistent drivers? Complexity and change.
American OEMs often prioritize variety—trims, redesigns, configurability. Japanese automakers rely more on shared platforms and stable designs. Limiting frequency of change and complexity consistently leads to more reliable outcomes.
Auto is just one example of a broader industrial challenge: quality depends not only on execution, but on upstream discipline—restraint in design, focus in marketing, and a willingness to simplify. This is cultural.
I think car options mirror business culture: in many East Asian firms, group efficiency takes precedence over individual tailoring, so fewer trims and packages keep the system coherent and robust; in Western firms, individual preference warrants more variants despite added cost and complexity. Make sense?
Tier I automotive offers a clear case study. Quality systems like APQP, DFMEA, PFMEA, control plans and Toyota-style problem solving are deeply embedded. Customer audits, massive penalties for quality issues and independent accreditation ensure a minimum compliance level. And still, issues persist.
The most consistent drivers? Complexity and change.
American OEMs often prioritize variety—trims, redesigns, configurability. Japanese automakers rely more on shared platforms and stable designs. Limiting frequency of change and complexity consistently leads to more reliable outcomes.
Auto is just one example of a broader industrial challenge: quality depends not only on execution, but on upstream discipline—restraint in design, focus in marketing, and a willingness to simplify. This is cultural.
David, that is really interesting. Thanks. Any sense of what explains the difference between the two business cultures?
I think car options mirror business culture: in many East Asian firms, group efficiency takes precedence over individual tailoring, so fewer trims and packages keep the system coherent and robust; in Western firms, individual preference warrants more variants despite added cost and complexity. Make sense?