OESA News 2017 Second Quarter, Edition 2

NEWS

Original Equipment Suppliers Association

2017 Second Quarter │ Edition 2

IN THIS ISSUE...

3 4

The Suppliers' Voice New OESA Members

8 9

The Value of OESA Membership OESA Events

This edition is sponsored by

13

Calendar of Events

Management Briefing Seminars July 31 - August 3, 2017

Grand Traverse Resort, Traverse City, Michigan, USA

THE SUMMER’S HOTTEST AUTOMOTIVE EVENT The CAR Management Briefing Seminars delivers thought-provoking, content-rich sessions which provide a vision of where the global automotive industry is headed. Executive management from automakers and suppliers along with representatives from the financial community, academia, workforce development, government and the business and automotive press gather to connect and focus on the issues impacting the industry and the pathways to success.

Don’t miss this exceptional forum—a mainstay event in the North American automotive industry and beyond. The social activities offered in conjunction with the event are renowned for their friendly atmosphere and valuable opportunities to meet other key people throughout the industry.

The northern Michigan setting fosters an environment conducive to learning and networking.

SPEAKERS INCLUDE: Bob Carter

Executive Vice President, Sales, Toyota Motor North America President, Toyota Motor Sales Executive General Manager, Toyota Motor Corporation

Matthew Simoncini

Donald Walker

CEO, Magna International Inc.

Chris Thomas

Founder and Partner, Fontinalis

Han Hendriks

CEO, Lear Corporation

Chief Technology Officer, Yanfeng Automotive Interiors

Anya Babbitt

Sachin Lulla

Thomas Bloor

Albert A. Koch

John Maddox

Colin Langan

Founder and CEO, SPLT

Business Development Manager, Automotive, BlackBerry QNX

CEO, American Center for Mobility

Partner, IBM Global Business Services

Vice Chairman and Managing Director, AlixPartners LLP

Analyst, UBS

Outstanding sponsorship and exhibit opportunities are available for this year’s event. For more information, contact Lisa Hart at lhart@cargroup.org.

Register now at cargroup.org/mbs

Voice

The Suppliers’

Julie A. Fream

President and CEO

The Legislative Summit in D.C. is a must-attend event As proposed changes in trade agreements, import/export taxes and CAFE regulations take center stage in the new administration and Congress, the importance of voicing supplier concerns has never been greater.

With the lobbying support of the MEMA D.C. team, OESA is well positioned to represent the voice and interests of the OESA members and the supplier community. We have already had successful meetings with new cabinet members the Honorable Wilbur Ross, Secretary of Commerce, the Honorable Elaine Chao, Secretary of Transportation and several other legislators and staffers on Capitol Hill.

Legislators and regulators also need to hear from you - the supplier community. We hope you will join us in Washington, D.C. on May 17-18 for the annual MEMA Legislative Summit for the unique opportunity to speak directly with legislators and regulators from the House and Senate. During the Summit Policy Day of the event, you can attend scheduled meetings on Capitol Hill to meet with the government decision-makers on the critical issues that impact on your company and the supplier industry.

Other event activities include discussions on vehicle fuel efficiency and emissions polices, featuring panelists from BorgWarner, Exponent, and Ford.

Attendees will also have the opportunity to showcase their product innovations and technologies to Congress, congressional staff and regulators at the Summit’s Technology Fair. As new policies are made about automotive technology, it is important for policy makers to see the consumer benefits firsthand.

Don’t miss the opportunity to get the latest information from Washington and engage with policymakers.

Registration is still open. For more information, visit mema.org.

As always, please feel free to contact me at 248.430.5963 or jfream@oesa.org.

OESA News - 2017 Second Quarter

│3

OESA MEMBERS

WELCOME NEW OESA MEMBERS Bostik, an Arkema company, has been a leading global adhesive and sealant manufacturer for more than125 years. Specializing in automotive solutions, Bostik’s innovative technologies are used in a range of interior, exterior and aftermarket vehicle applications. From door panels and headliners to weatherstrips and windshields, these products are designed to give customers the flexibility they need and the reliability they deserve.

Bostik, Inc.

11320 West Watertown Plank Road Wauwatosa, WI 53226 Tel: (800) 726-7845 www.bostik.com

Additionally, Bostik’s level of expertise combined with a commitment to work with automotive manufacturers has enabled the company to adapt well to industry trends and changes.

Member Rep: Brian Walsh, Manager of Business Development – Automotive Tel: (734) 707-6712

Celanese

2600 N. Opdyke Auburn Hills, MI 48326 Tel: (248) 377-6883 www.celanese.com

Celanese Corporation is a global technology leader in the production of differentiated chemistry solutions and specialty materials used in most major industries and consumer applications. Its two complementary business cores, Acetyl Chain and Materials Solutions, use the full breadth of Celanese’s global chemistry, technology and business expertise to create value for customers and the corporation.

It partners customers to solve their most critical business needs, and strives to make a positive impact on communities and the world through The Celanese Foundation.

Based in Dallas, Celanese employs approximately 7,000 employees worldwide and had net sales of $5.7 billion in 2015.

Member Rep: Kenneth Van Der Wende, Director Auto, NAFTA, Brazil and VP Corporate Accounts

Development Dimensions International 20750 Civic Center Drive Southfield, MI 48076 Tel: (248) 339-6483 www.ddiworld.com

Member Rep: Marilyn M. Carlstedt, Automotive Account Executive

4 │ OESA News - 2017 Second Quarter

DDI is a global human resources consultancy specializing in leadership assessment and development.

It helps companies transform the way they hire, promote and develop their leaders at every organizational level. Clients include half of the Fortune 500 and multinationals doing business across a vast array of industries from Berlin to Bangalore. DDI serves clients from 42 offices.

OESA MEMBERS

Gehring L.P.

24800 Drake Road Farmington Hills, MI 48335 Tel: (248) 427-3901 www.gerhinglp.com

The automotive industry is one of the classic areas for the application and use of honing. Whoever wants to be a leader in this field must make high demands on the precision of its engines and transmissions. Functionally optimized surfaces with improved tribological properties ensure lower oil consumption, emission improvements, reduced wear as well as lower fuel consumption. Gehring's wide range of products and customer-friendly service will convince anyone.

In addition to honing, Gehring has developed another method for the production of functionally optimized surfaces - laser structuring. Laser structuring is increasingly being used for the roughening of surfaces. By roughening functional surfaces that have the function of static friction, laser structuring creates a nondissipative connection between two parts, e.g. between the connecting rod and crankshaft.

Member Rep: Jeff Blackledge, Vice President, Sales & Marketing

GNS America was established in 2009. Its core business is in metal stamping, hot stamping, welding, and assembly. Our tool and die division offers full design and build capabilities.

GNS America

13341 Quincy Street Holland, MI 49424 Tel: (616) 796-0433 www.gnsauto.com

The success of GNS America has been accomplished through its people. Their commitment and passion to excel in innovative techniques and processes make GNS an industry leader in metal forming and product assemblies.

Member Rep: Todd Deal, President

HFI is a leading Tier 2 supplier of interior automotive products specializing in cut and sew, foam-in-place, small parts foam, and assembly operations. A privately-held company with over 3,500 employees across ten North American locations, HFI is a manufacturing-driven supplier from concept to production and is ISO 9001 certified.

HFI, LLC

59 Gender Road Canal Winchester, OH 43110 Tel: (614) 491-0700 www.hfi-inc.com

Established in 1954, HFI is committed to collaborative partnerships with customers to produce quality products within targeted markets and serve as a valued supplier.

Member Rep: Jesse Jefferis. Vice President, Marketing

OESA News - 2017 Second Quarter

│5

OESA MEMBERS

Johnson Matthey is a specialty chemicals company and a leader in sustainable technologies. It has expertise in advanced materials and technology to innovate and improve solutions that are valued by customers; optimize the use of natural resources; and enhance the quality of life for millions of people around the world.

Johnson Matthey, Inc. 456 Devon Park Drive Wayne, PA 19087 Tel: (610) 341-8371 www.jmusa.com

It operates five divisions: Emission Control Technologies, Process Technologies, Precious Metal Products, Fine Chemicals and New Businesses.

Member Rep: David A. Cetola, Director of Regulatory Affairs

Pace Industries

200 East Big Beaver Road Suite 126 Troy, MI 48083 Tel: (231)730-7645 www.paceind.com

Pace is a die casting company that provides support to nearly 500 Blue Chip OEM customers, many in the automotive and trucking industries who came to Pace to improve product quality and optimize cost. Pace's operations include five International Automotive Task Force TS-certified facilities.

Thermal stress, finite element and other analyses determine the optimal die casting alloys – aluminum, magnesium or zinc – to achieve the right balance of light weight and durability, increase end-user satisfaction and reduce potential for costly automotive recalls.

Member Rep: Jim Walker, Vice President, Automotive Strategy

Sumitomo Corporation of Americas

39555 Orchard Hill Place, Suite 520 Novi, MI 48375 Tel: (248) 228-8594 www.sumitomocorp.com Member Rep: Mr. Robert V. Brooks, Director and Deputy General Manager - Automotive Business Unit

6 │ OESA News - 2017 Second Quarter

Established in 1952 and headquartered in New York City, Sumitomo Corporation of Americas (SCOA) has 9 offices in major U.S. cities. SCOA is the largest subsidiary of Sumitomo Corporation, one of the world’s leading traders of goods and services. As an integrated business enterprise, the firm has emerged as a major organizer of multination projects, an expediter of ideas, an important international investor and financier, and a powerful force for distribution of products and global communications through a network of offices worldwide.

Its core business units include Oil & Gas and Energy, Environment and Infrastructure, Steel and Non Ferrous Metals, Transportation, Construction Systems and Automotive, Chemicals and Electronics, Real Estate, Mineral Resources and Energy, and Food.

OESA MEMBERS

Hoosier Gasket Corp

Hoosier gasket corporation provides objective sealing solutions to customers worldwide, through excellence in engineering, technology, manufacturing and customer service. For 50 years, it has paired its global sealing industry knowledge with its application engineering and technical expertise, to create solutions that satisfy even the most advanced requirements, in many different market segments across the globe.

2400 Enterprise Park Place Indianapolis, IN 46218 Tel: (317) 545-2000 www.hoosiergakset.com

Member Rep: Dan McDowell, Vice President, Sales and Marketing

Whether passenger car or HGV, Gedia Michigan develops and produces structural elements and assemblies for automotive lightweight vehicle body engineering and chassis components.

Gedia Michigan

269 Kay Industrial Drive Orion Township, MI 48359 Tel: 248-392-9090 www.Gedia.com Member Rep: Karl Neef, General Manager

It offers more than 100 years of experience in the production of pressed, stamped and drawn parts as well as increasingly complete systems. The demand for lightweight technologies has grown significantly in the past few years.

After exploring all significant lightweight construction possibilities in the field of cold forming, Gedia has now expanded its focus to include hot forming. Hot forming is the technology which enables a substantial weight reduction of vehicle components whilst maximizing the component strength. Gedia Michigan applies this technology combined with an increased use of aluminum and organic sheets to open up new possibilities in the field of lightweight construction.

TS Tech Americas, Inc.'s business covers all stages of the creation of interior components for automobiles, from development to production. TS TECH is a manufacturer of interior components for automobiles, and our flagship product is vehicle seats.

TS Tech Americas, Inc. 8458 East Broad Street Reynoldsburg, OH 43068 Tel: (614) 208-2828 www.tstna.com

The core business of TS TECH is the development and production of seats and other automobile interior components. TS TECH handles all kinds of automobile interior components including seats and door trim. We also offer power sports products such as motorcycle and ATV seating.

Member Rep: Adam Byrnes, Sales – Business Development

OESA News - 2017 Second Quarter

│7

OESA MEMBERS

Qlik delivers intuitive platform solutions for self-service data visualization, guided analytics applications, embedded analytics and reporting to over 40,000 customers worldwide. Companies of all sizes, across all industries and geographies, utilize Qlik® solutions to visualize and explore information, generate insight and make better decisions.

Qlik Technologies Inc.

150 N. Radnor Chester Road, Suite E120. Radnor, PA 19087 Tel: (248) 312-8740 www.qlik.com/us/

At Qlik, it optimizes Business Intelligence (BI) by harnessing the collective intelligence of people across an organization. It focuses on empowering people - by enabling everyone in an organization to see the whole story that lives within their data.

Member Rep: John Truskowski, Territory Sales Manager

Discover the value of OESA Membership Join more than 450 member organizations that are represented by the leading association in the North American automotive supplier sector.

Through advocacy initiatives, industry events, networking forums, global connections and the expertise of leading automotive thought leaders, OESA members stay abreast of the industry and have access to exclusive information to make critical business decisions.

INDUSTRY EVENTS: OESA industry events offer suppliercentric insight by authorities in the industry. Topics are member-driven and address today’s supplier interests and concerns.

TOWN HALL MEETINGS: OESA’s town hall meetings offer unparalleled access to OEM decision-makers in purchasing, engineering and the supply chain.

PEER GROUP COUNCILS: Ranked among the top benefits of OESA membership, OESA councils address issues of common interest for every functional area in a supplier organization.

ADVOCACY: MEMA’s government affairs team represents members of OESA on state and federal issues and works to protect the government interests of the supplier community.

8 │ OESA News - 2017 Second Quarter

MEMBER RESOURCES: OESA offers resources to capture the “pulse” of the supplier industry. Through industry analysis, forecasts, white papers and publications, OESA member resources provide members access to exclusive information.

INDUSTRY COMMUNICATIONS: OESA keeps the industry informed with a quarterly newsletter, weekly updates and event alerts.

OESA membership provides access to exclusive industry publications and information, including: • (CQI-14) Consumer Centric Warranty Management Guideline • Directed Buy Agreement • OESA Comparative Analysis of North America OEM Warranty Programs • OESA Model Terms and Conditions • OESA North American OEM Production p.o. Terms and Conditions Comparative Analysis To learn more, contact: Steve Horaney Vice President, Membership and Sales 248.430.5969 shoraney@oesa.org

Brenna McCann Senior Manager, Membership and Sales 248.430.5970 bmccann@oesa.org

OESA EVENTS

THE FIRST 100 DAYS OF THE NEW ADMINISTRATION | MAY 3 In response to proposed changes on current U.S. tax and trade policies, OESA is hosting a MEMBERS ONLY “First 100 Days” update. This session will focus on the first 100 days of the new administration, and the potential impact proposed changes could have on automotive OE suppliers. It will also highlight actions OESA and MEMA are taking to ensure the voice and business interests of automotive suppliers are articulated and represented.

Join OESA, Butzel Long, Kerr Russell and PwC on May 3, 2017, at the MSU Management Education Center in Troy, MI, or via live webinar, for an update on the new administration at the 100-day mark.

Topics to be discussed include: tax, trade, regulations, CAFE and labor. This event is geared toward decision makers who need the most recent information regarding activities in Washington, D.C. ► SUPPORTING SPONSORS:

OESA MOBILITY SUPPLIER FORUM Q2 | MAY 9 OESA recently announced the formation of the “Mobility Supplier Forum” – intended to help automotive suppliers on the west coast automotive suppliers advance their business interests as they relate to connected and transformative technologies.

The new group meets quarterly in 2017 in the California “Silicon Valley” area. Each meeting features a half day of OEM presentations and updates, as well as insights from industry leading experts on issues of common concern for automotive suppliers.

The next event is scheduled for May 9, 2017 in San Jose, CA. ► SUPPORTING SPONSOR:

For all events, register in the events section of www.oesa.org. For additional information, contact OESA at 248.952.6401 or info@oesa.org.

OESA News - 2017 Second Quarter

│9

OESA EVENTS OESA Board of Directors Chairman of the Board Mike Mansuetti* President Robert Bosch LLC Immediate Past Chair Samir Salman* CEO NA Region Continental Automotive Systems, Inc. Vice Chairman Michael E. Martini* President Consumer OE Bridgestone Americas Vice Chairman Ramzi Hermiz* President and CEO Shiloh Industries, Inc. Officer Julie A. Fream* President and CEO Original Equipment Suppliers Association Officer Steve Handschuh* President and CEO Motor & Equipment Manufacturers Association *Executive Committee

Directors Oscar Albin Executive President INA, Industria Nacional de Autopartes A.C. Paul Barnett President Principal Manufacturing James Bradbury President Grand Rapids Controls Company LLC Françoise Colpron Group President Valeo North America Frederick Cartwright Executive Director Clemson University International Center for Automotive Research (CU-ICAR) David C. Dauch Chairman and CEO American Axle & Manufacturing, Inc. (AAM) (Continued on page 11)

10 │ OESA News - 2017 Second Quarter

CYBERLIABILITY: RESPONSE AND RECOVERY IN AN AUTOMOTIVE ENVIRONMENT | MAY 23 OESA, Dawda Mann and Willis Towers Watson are pleased to present “Cyberliability: Response and Recovery in an Automotive Environment” on May 23, 2017, at the Somerset Inn. This event will focus on best practices when a cybersecurity event occurs within an organization. We live in a world where it is no longer a matter of "IF" your organization will get hacked, it is a matter of "WHEN" it will happen and what you need to do when it does happen.

The meeting will explore the aftermath of a cybersecurity event from the perspectives of: liability, insurance, law enforcement, forensic investigation and communications. Attendees will walk away with a guidebook of resources and insights from presenters. ► SUPPORTING SPONSORS:

WARRANTY 2017: TERMS, TRENDS AND BEST PRACTICES IN COMPLICATED TIMES | MAY 25 OESA, in partnership with Brooks Wilkins Sharkey & Turco PLLC, will host Warranty 2017: Terms, Trends and Best Practices in Complicated Times, on May 25, 2017, at the MSU Management Education Center in Troy, MI. The event will cover the most important terms, trends and tactics impacting warranty management for suppliers, and will focus on warranty processes (including recent changes), cost drivers, analysis and negotiation. It will have a special emphasis on addressing real world risks using proven tools and solutions.

This event will benefit anyone involved in understanding and managing warranty and warranty costs, from sales to warranty specialists.

All registered participants will receive a copy of the “2017 OESA Comparative Analysis of North American Warranty Programs.” The document analyzes the OEM warranty management programs in North America for BMW, FCA, Ford, General Motors, Honda, Hyundai, Nissan, Toyota and Volkswagen. ► SUPPORTING PARTNER:

OESA EVENTS

OESA /SCAC SOUTH CAROLINA REGIONAL SUPPLIER MEETING | MAY 31 The Original Equipment Suppliers Association (OESA) and South Carolina Automotive Council (SCAC) invite suppliers to attend the OESA/SCAC South Carolina Regional Supplier Meeting on May 31, 2017. The event will be held at the prestigious Clemson University International Center for Automotive Research (CU-ICAR) in Greenville, S.C. MEMA will review how the new administration is directing the automotive industry as well as how the MEMA Washington, D.C., team is advocating for automotive suppliers.

With the rise of a sharing economy built on new technologies, KPMG will share insights on the impact of mobility on the supply chain.

A panel of automotive suppliers and industry experts will share innovations being implemented as a part of “Industry 4.0.” Lead by moderator Brian Daugherty, CTO, MEMA, the panel includes thought leaders from Jtekt/Koyo, Clemson University, Bridgestone and Mark Ratcliffe, and Bosch.

The day will conclude with a presentation from Dirk Hilgenberg, vice president assembly, BMW, sharing insights into program schedules, how suppliers can interface with BMW, and future plans. ► CO-HOSTED WITH:

OESA Board of Directors (Continued from page 10) Jacqui Dedo Co-Founder Aware Mobility, llc Paul Doyle CEO Coastal Automotive John Dunn President and CEO, The Americas, Plastic Omnium Auto Inergy Division Douglas J. Grimm President and COO MPG Michael Haughey President North American Stamping Group, LLC Ken Hopkins President and CEO Neapco Holdings, LLC Don Manvel Chairman AVL Americas Chris Obey President, Automotive Flex Lon Offenbacher President and CEO Inteva Products Michael Rayhill President Jiffy-Tite Company, Inc.

► IN COOPERATION WITH:

Michael Robinet Managing Director Automotive Advisory Services IHS Markit Dan Sceli President and CEO Peterson American Corporation

► SUPPORTING SPONSORS:

Wes Smith President and CEO E & E Manufacturing Co., Inc. Armando Tamez CEO Nemak Jim Teets President and CEO ADAC Automotive James Verrier President and CEO BorgWarner Inc.

OESA News - 2017 Second Quarter

│ 11

OESA EVENTS

OESA 2017 ALIXPARTNERS GLOBAL AUTOMOTIVE OUTLOOK EXECUTIVE BRIEFING – SUPPLIER MEMBERS ONLY | JUNE 9 OESA invites supplier members to attend the 2017 AlixPartners Global Automotive Outlook® Executive Breakfast Briefing with John Hoffecker, global vice chairman-operations, and Mark Wakefield, global automotive & industrial practice co-lead, AlixPartners LLP. The event will be held on June 9, 2017 at The Townsend Hotel, Birmingham, MI. Based on AlixPartners’ in-depth analysis of the financials and operations of more than 150 global suppliers and 50 automakers, this executive breakfast briefing will provide the analysis of key trends likely to structurally impact the industry over the next ten years. The 2017 report is the 22nd edition of the AlixPartners study and includes a deep-dive analysis on North America, Europe, Japan/Korea and China. Hoffecker and Wakefield will also discuss structural changes affecting the supply base and operational actions the best suppliers take to improve their competitive position.

This meeting is intended for supplier CEOs, presidents, CFOs and strategic planners. Also, the review of OEM financials and strategies will benefit sales and marketing executives looking to gain insights into their customers’ commercial needs and how to mitigate risk. Hoffecker and Wakefield will also participate in a question session targeting issues that are top of participants’ minds.

Only members attending the meeting in person will receive the AlixPartners’ benchmark data and analysis. ► SUPPORTING PARTNER:

12 │ OESA News - 2017 Second Quarter

OESA EVENTS

CALENDAR OF EVENTS UPCOMING EVENTS May

03 May

09 May

17-18 May

23

The First 100 Days of the New Administration MSU Management Education Center Troy, MI OESA Mobility Supplier Forum Q2 Prospect Silicon Valley San Jose, CA

MEMA Legislative Summit The Watergate Hotel Washington, DC

May

25 May

31 June

09

Warranty 2017: Terms, Trends and Best Practices in complicated Times MSU Management Education Center Troy, MI South Carolina Regional Meeting CU-ICAR Greenville, SC OESA 2017 AlixPartners Global Automotive Outlook Executive Briefing – Supplier Members Only The Townsend Hotel Birmingham, MI

Cyberliability: Response and Recovery in an Automotive Environment Somerset Inn Troy, MI

UPCOMING OESA COUNCIL MEETINGS* May

Young Leadership Council 5 MSU Management Education Center Troy, MI

June

Advanced Technology Council The Madison, 1555 Broadway Street Detroit, MI

May

Environment, Health and Safety Council OESA Conference Center Southfield, MI

June

Chief Information Officers Council OESA Conference Center Southfield, MI

May

Tooling Council Meeting OESA Conference Center Southfield, MI

June

Chief Financial Officers Council The Townsend Hotel Birmingham, MI

04 11

24

02 06 09

*Open to peer group council members & invited guests.

For more information and to register for events and council meetings, visit oesa.org, or call OESA at 248.952.6401.

OESA News - 2017 Second Quarter

│ 13

Original Equipment Suppliers Association Check out our online publication at www.oesa.org/news

25925 Telegraph Rd., Ste. 350 │Southfield, MI 48033-2553 248.952.6401 │oesa.org │info@oesa.org Connect with us on

OESA News is provided by the OESA Communications Team.

April Buford Senior Director, Communications

Jeff Laskowski Manager, Communications

Alia Bazzi Website and Graphic Designer

248.430.5964 abuford@oesa.org

248.430.5950 jlaskowski@oesa.org

248.430.5958 abazzi@oesa.org