The development of production in the automotive industry is leaning towards components being outsourced to subcontractors, so they are ready-made for use in final assembly. These components are subject to a very strict quality control which must be provided by the supplier.
Components for the automotive industry are under tremendous pressure to be competitively priced while at the same time being highly innovative. With this in mind, the challenge is to ensure they meet the required quality standards. This requires good quality management, because errors in the products attract very high costs.
Recall programs are not only very expensive, but can also damage the reputation of a brand. Repairing reputation, if at all possible, with confidence building measures, incurs additional cost, so it is essential to get the products right the first time.
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