“First, let’s talk about manufacturers. These firms are usually called OEMs (original equipment manufacturers), which is somewhat inaccurate. Although these manufacturers produce some original equipment, they focus on car development, car promotion, ordering from suppliers, and car assembly. Log in to the level system. Tier 1, 2, and 3 suppliers. Tier 1 suppliers are companies that supply parts or systems directly to equipment manufacturers. These suppliers usually work with various automobile companies, but they are often closely associated with one or two OEMs and have closer relations with other OEMs. Many firms supply parts that end up in automobiles, although these firms themselves do not sell directly to OEMs. These firms are called second-tier suppliers. Second-tier suppliers are often experts in their particular field, but they also support many non-automotive customers and therefore do not have the ability or desire to produce automotive-grade parts. In the automotive industry the term Level 3 refers to suppliers of raw materials or materials close to raw materials, such as metal or plastic. All component manufacturers, level 1 and level 2 companies need raw materials, so levels 3 provide all levels.
Our combination of product development innovation and a high level of technical knowledge and customer support enables us to meet our customers’ needs with industry-leading packaging solutions and superior service. Identification of needs, development of solutions and support. We are constantly expanding our presence in new markets. Our latest addition is Aerospace. Our customer was looking for a specific cutting-edge solution with low productivity, and we could push this solution forward for them. In the automotive industry, we work with the reverse side of this coin and most often produce products in large volumes. 90% of the automotive market that we serve is equipment manufacturers, first and second level suppliers. Let’s take a look at the automotive supply chain and how return packaging fits into the picture.
There are about 30,000 parts in one machine, from every part to the smallest screws. One of our recent blog posts explains what class A surfaces mean when it comes to automotive parts – this is only part of the equation when car manufacturers and car suppliers turn to us for return packaging solutions. Their entire supply chain greatly affects this equation. There are OEMs and a tiered system.