Restructuring of automotive supply-chains: the role of workforce skills in Germany and Britain. (5th January 2006)

• Record Type: Journal Article
• Authors: Mason, Geoff; Wagner, Karin
• Is Part Of: International journal of automotive technology and management. Volume 5:Number 4(2005)
• Page Start: 387
• Page End: 410
• Publication Date: 2006-01-05
• Subjects: automotive components -- skills -- automotive supply chains -- automobile industry -- supply chain management -- SCM -- Germany -- UK -- Great Britain -- supply chain restructuring -- component suppliers -- vocational education -- craft apprentice training; Automobile industry and trade -- Management -- Periodicals; 338.456292068
• Languages: English
• ISSNs: 1470-9511

Abstract

The recent restructuring of automotive supply-chains in response to intense competitive pressures has led to rapid change in, and upgrading of, the skills required by automotive component suppliers. In this paper we compare matched samples of Tier 1 and Tier 2 suppliers in Germany and Britain in order to examine how the ability of suppliers to develop the required new skills has been affected by the comparative strengths and weaknesses of the two countries' vocational education and training (VET) systems. Our findings suggest that higher levels of craft apprentice training in German establishments give them an advantage over their British counterparts in responding flexibly to changes in markets, technologies and supply-chains. Furthermore, the engineering and commercial graduates produced by German Fachhochschulen help German suppliers to improve design skills relatively quickly and to manage long-term relationships with local supply-chain partners.