The Global Automotive Industry

Notes on Contributors xi Series Preface xvii Foreword xix 1 Introduction and Overview 1 1.1 Introduction 1 1.2 Continuity and Change 3 1.3 Overview 4 References 6 2 Understanding Change and Difference in the Global Automotive Industry 7 2.1 Introduction 7 2.2 Socio]Technical Transitions 9 2.3 Varieties of Capitalism 12 2.4 Global Value Chains 14 2.5 Change in the Automotive Industry: A Synthesis 15 2.6 Conclusions 16 References 17 3 The Market for New Cars 19 3.1 Introduction 19 3.2 Market Fragmentation and Lack of Industry Consolidation 20 3.3 Geography of Markets 22 3.4 Mobility Services and the Emergent Automotive Ecosystem 26 3.5 Conclusions 27 References 27 4 Understanding People and Cars 29 4.1 Influences on Travel Choices 29 4.2 Influences on Vehicle Choice 33 4.3 Acceptability of Transport Policies and New Technologies 34 4.4 Conclusions 36 References 37 5 Car Manufacturing 41 5.1 Background and Prehistory 41 5.2 Ford, Budd and Sloan: The History of Mass Car Production 42 5.3 Monocoque Construction: Budd’s Impact on Car Design 44 5.4 Toyotism 45 5.5 Buddism in Crisis? 46 5.6 Lean v Agile 47 5.7 Conclusions 49 References 50 6 Recent Trends in Manufacturing Innovation Policy for the Automotive Sector: A Survey of the United States, Mexico, European Union, Germany and Spain 53 6.1 Introduction 53 6.2 A Changing Manufacturing Landscape 55 6.3 Restructuring in the Automotive Industry 56 6.4 Automotive Policies in the United States, Mexico, EU, Germany and Spain 57 6.4.1 United States 57 6.4.2 Mexico 59 6.4.3 European Union 60 6.4.4 Germany 61 6.4.5 Spain 62 6.5 Conclusion 63 References 64 7 Labour Relations and Human Resource Management in the Automotive Industry: North American Perspectives 67 7.1 Introduction 67 7.2 From Fordist Production to Lean Production: The Evolution of Labour Relations/Human Resource Management Systems in the North American Auto Industry Prior to 2000 70 7.2.1 The Classic Fordist Industrial Relations System in the US and Canadian Automotive Industries 70 7.2.2 The Impact of Japanese Transplants and Lean Production Methods on the North American Automotive Labour Relations System 72 7.3 Developments in North American Auto Labour Relations Since 2000 74 7.3.1 Concession Bargaining 2003–2008 74 7.3.2 The Impact of the Global Financial Crisis 76 7.3.3 Post]Crisis Developments 78 7.4 Conclusion 78 References 80 8 Labour Relations and HRM in the Automotive Industry: Japanese Impacts 83 8.1 Introduction: The Japanese Car Industry and Toyota Production System 83 8.2 TPS and Japanese HRM 85 8.3 ‘Japanization’ of the Global Automotive Industry 88 8.4 Changes in Japanese Labour Relations and HRM 90 8.5 Concluding Remarks 92 References 93 9 The Rise of South Korean (or Korean) Automobile Industry 95 9.1 Introduction 95 9.2 A Brief History of South Korean Automobile Industry and the Performance of HMC 96 9.2.1 Brief History of South Korean Automobile Industry 96 9.2.2 The Change in Performance of HMG 100 9.3 Considering Five Success Factors of HMC 102 9.3.1 Vertical Integration 102 9.3.2 Modularization of Production and Standardization 102 9.3.3 Expansion of Overseas Production Capabilities in Emerging Markets 104 9.3.4 Product Strategy 104 9.3.5 Quality Focused and Design Focused Management 105 9.4 Characteristics of HRM in HMC and Effects on the Management System 106 9.4.1 Militant Trade Union Movement and Confrontational Labour]Management Relations 106 9.4.2 Fragmentation and Automation of Work 106 9.4.3 Internal Competition Systems 107 9.5 Conclusion: New Challenges for the Korean Auto Makers as Multinational Enterprises 107 References 108 10 China’s Car Industry 109 10.1 Background 109 10.2 Pre]History 110 10.3 China’s Car Industry 111 10.4 The Role of Government 114 10.4.1 Traditional Automobile Industries 114 10.5 New Energy Vehicles 118 10.5.1 R&D Support 118 10.5.2 Industrialization 119 10.6 Bringing NEVs to Market 121 10.6.1 Demonstration and Pilot Projects: Strategic Niche Management 121 10.6.2 Financial Incentives 122 10.7 Conclusions 124 References 124 11 Forging Ahead or Stagnating?: An Analysis of Indian Automotive Industry 127 11.1 Introduction 127 11.2 History of the Indian Automotive Industry 128 11.3 Statistics on Automobile Industry Performance 132 11.4 Stagnation of Industry in 2013–2014 133 11.5 Factors Critical to the Growth of the Indian Automotive Industry 133 11.6 Challenges and Future of Indian Automotive Industry 134 References 136 12 From Factory to End]User: An Overview of Automotive Distribution and the Challenges of Disruptive Change 139 12.1 Shipping and Stocking Cars 140 12.2 Retail and Distribution 143 12.3 Changes to the Dealer Model 146 12.4 The Changing Role of Fleets 148 12.5 Delivering Integrated Services Means Rethinking Skills 150 References 150 13 Impacts of Automobility 153 13.1 Introduction 153 13.2 Externalities and Automobility: A Broad Perspective 153 13.3 Death and Injuries from Road Traffic 154 13.4 Environmental Impacts 156 13.5 Toxic Emissions 157 13.6 Current Concerns 159 13.7 Role of the Consumer 160 13.8 Conclusions 161 References 161 14 Regulating the Car 163 14.1 Regulating for Safety 163 14.1.1 Development of Vehicle Standards 164 14.1.2 European Directives 164 14.1.3 US Federal Motor Vehicle Safety Standards 166 14.2 New Car Assessment Programmes 167 14.3 Future Developments 168 14.3.1 Impact of New Vehicle Technologies 169 14.4 Legislating for a Cleaner Environment 170 14.4.1 Fuel Economy: Incentives and Disincentives 171 14.5 Climate Change 172 14.6 Future Developments 173 References 174 15 Global versus Local: Regionalism in a Global Industry 177 15.1 The Old World 177 15.2 Asia 179 15.2.1 The Creation of Two Motoring Cultures: India v China 179 15.3 Latin America 180 15.4 Case Study: On the Margins of Mass Production: Australia 181 References 184 16 The Impact of Electric Automobility 185 16.1 Electric Vehicle Design 185 16.1.1 Battery Electric Vehicles 186 16.1.2 Hybrid Electric Vehicles 186 16.2 Charging Infrastructure – UK Case Study 187 16.3 Electric Vehicles in Europe 191 16.3.1 Urban Electric Vehicles 193 16.3.2 Rural Electric Vehicles – The Welsh Case 193 16.4 Conclusions 197 References 197 17 Alternatives to the Car 199 17.1 Introduction 199 17.2 Defining the Car: Legislative and Market Boundaries 200 17.3 The Hidden World of Non]Car Automobility 202 17.4 Transition by Stealth: The 2W]BEV 203 17.4.1 3W]BEVs 205 17.5 Conclusions 206 References 206 18 New Business Models and the Automotive Industry 209 18.1 Introduction 209 18.2 Fundamentals of the Existing Automotive Industry Business Model 210 18.3 Pressures for Change on the Existing Business Model 212 18.4 Incremental Business Model Evolution in the Automotive Industry 213 18.5 Radical Business Model Innovation in the Automotive Industry 214 18.6 Conclusions and Future Prospects for Business Model Innovation 216 References 216 19 Future Challenges for Product and Industry 219 19.1 Introduction 219 19.2 New Engine Technologies 220 19.3 Owning or Sharing? 223 19.4 The Future Car 223 19.5 The Future Industry 224 References 226 Index 229