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Automotive Industry Action Group

Thomas JonesBusM 361 Sec. 1

11/29/05

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Automotive Industry Action Group(AIAG)

The Automotive Industry Action Group is a globallyrecognized organization founded in 1982 by a group ofvisionary managers from DaimlerChrysler, Ford Motor

Company, and General Motors. The purpose: Toprovide an open forum where members cooperate in

developing and promoting solutions that enhance theprosperity of the automotive industry. AIAG's focus isto continuously improve business processes and

practices involving trading partners throughout thesupply chain.

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Agenda

Overview

Brainstorming

AIAG In-depth

Exercise

Reading List

Bibliography

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Overview

AIAG Origins

AIAG Initiatives

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AIAG Origins

1980 - Arthur Anderson highlights the Japanesecompetitiveness in US auto market

- AIAG is formed as a committee in APICS

1981 - The first project teams are formed

1982 - AIAG is officially incorporated

- The first bimonthly newsletter (Actionline) is published

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AIAG Initiatives

Open forum

Increase efficiency

Training and publications

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Open Forum

Networking opportunities

Technical assistance

Non-competitive environment

Collaboration

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Increase Efficiency

Decrease cost and complexity

Increase speed to market

Improve product quality

Promote employee health and safety

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Training and Publications

Actionline Magazine

AutoTech Conference

Training sessions

Variety of training publications

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Brainstorming Exercise

How could AIAG help our organization?

Help to increase competitiveness in auto industry

Help train us in certain standards

Allow us a better working relationship with auto

makersIncrease our awareness of automotive trends

Help stimulate innovation in our processes

Give us a voice in setting automotive standards

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AIAG In-depth

How to join?

Who can participate?How to participate?

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How to Join?

Memberships vary between $600 and $10,000

All employees are membersMust identify a voting representative

Fill out application based on size of company

Contact Customer Service Department to get

more info 248-358-3003

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What does the votingrepresentative do?

Will receive notification of meetingsWill act out any voting interests

Can do this in person or by proxy

Responsible for communicating info toother company employees.

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Who Can Participate?

AIAG was a US auto maker association

Now, it is open to all auto makers, theirsuppliers, and other interestedorganizations

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How to participate in AIAG?Non-members

Non-members may participate in up to 3

AIAG sponsored meetings if the followingcriteria are met.

The AIAG Membership Department must be

contacted firstNon-members may not hold office, vote, receiveawards, or have any other privileges that arereserved for members only

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How to participate in AIAG?Members

Board of DirectorsMeetings

Voting

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Board of Directors

Elected from voting companies

Between 15 and 25 board membersElected for three year terms

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Meetings

Annual meetings

Special meetingsMeeting announcements

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Voting

Fifty members form a quorum

Each company gets one vote

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Examples of AIAGAccomplishments

IV&I will save the supply chain $255 millionannually

AIAG was one of the first associations to becomeISO 9001 certified

Has over 1,600 member companies with

combined sales of $850 billionNearly 90 publications on how to improve yourbusiness processes

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Exercise

Rank every department in your

organization on a scale of 1 to 5 with 5being excellent and 1 being poor.

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Exercise

Now take the areas that ranked 3 or less

and write some ideas on how AIAG couldhelp that department improve.

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Summary

AIAG sets standards and seeks solutions

to critical problems in the automotiveindustry

Members of AIAG receive various benefits

including networking, improved efficiency,and training.

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Where to find more information

Actionline Magazine

AIAG Customer Service Department248-358-3003

http://www.aiag.org

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Bibliography

AIAG removes roadblocks overoriginTim

Moran. Automotive News. Detroit: May 15,2000.Vol.74, Iss. 5874

http://www.aiag.org

http://www.openstandards.net