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PA successfully identified where parts for lithium car batteries could be sourced at a lower price, and worked with Magna Steyr to develop 40 different technical changes that could realise cost reductions.
Rainer Gross, PA automotive expert
Magna Steyr is a leading global supplier of engineering services and components for vehicle producers. The company had developed a lithium-ion battery to be used in buses and commercial vehicles but found the costs were higher than the target price agreed with the customer.
So they asked PA’s experts to help them reduce costs significantly from across the manufacturing process for this electric vehicle battery. The PA team carried out a detailed analysis of the battery’s component parts and their associated cost. Together with the Magna team PA then identified where parts for lithium car batteries could be sourced at a lower price, and worked with Magna Steyr to develop 40 different technical changes that could realise cost reductions.
Finally, PA negotiated with Magna Steyr’s suppliers to ensure the projected cost savings could be reached in practice. As a result of the work, Magna Steyr met its ambitious cost savings target whilst reducing emissions from buses and commercial vehicles they supply for.
For further information on how your organisation can take a lead for cost-efficient green vehicles please contact us.
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