Automotive Industry Action Group

Thomas Jones
BusM 361 Sec. 1
11/29/05

Automotive Industry Action Group
(AIAG)
The Automotive Industry Action Group is a globally
recognized organization founded in 1982 by a group of
visionary managers from DaimlerChrysler, Ford Motor
Company, and General Motors. The purpose: To
provide an open forum where members cooperate in
developing and promoting solutions that enhance the
prosperity of the automotive industry. AIAG's focus is
to continuously improve business processes and
practices involving trading partners throughout the
supply chain.
Agenda
Overview
Brainstorming
AIAG In-depth
Exercise
Reading List
Bibliography
Overview
AIAG Origins
AIAG Initiatives

AIAG Origins
1980 - Arthur Anderson highlights the Japanese
competitiveness in US auto market
- AIAG is formed as a committee in APICS

1981 - The first project teams are formed

1982 - AIAG is officially incorporated
- The first bimonthly newsletter (Actionline) is published
AIAG Initiatives
Open forum
Increase efficiency
Training and publications


Open Forum
Networking opportunities
Technical assistance
Non-competitive environment
Collaboration

Increase Efficiency
Decrease cost and complexity
Increase speed to market
Improve product quality
Promote employee health and safety
Training and Publications
Actionline Magazine
AutoTech Conference
Training sessions
Variety of training publications
Brainstorming Exercise
How could AIAG help our organization?

Help to increase competitiveness in auto industry
Help train us in certain standards
Allow us a better working relationship with auto
makers
Increase our awareness of automotive trends
Help stimulate innovation in our processes
Give us a voice in setting automotive standards


AIAG In-depth
How to join?
Who can participate?
How to participate?

How to Join?
Memberships vary between $600 and $10,000
All employees are members
Must identify a voting representative
Fill out application based on size of company
Contact Customer Service Department to get
more info 248-358-3003

What does the voting
representative do?

Will receive notification of meetings
Will act out any voting interests
Can do this in person or by proxy
Responsible for communicating info to
other company employees.

Who Can Participate?
AIAG was a US auto maker association
Now, it is open to all auto makers, their
suppliers, and other interested
organizations

How to participate in AIAG?
Non-members
Non-members may participate in up to 3
AIAG sponsored meetings if the following
criteria are met.
The AIAG Membership Department must be
contacted first
Non-members may not hold office, vote, receive
awards, or have any other privileges that are
reserved for members only
How to participate in AIAG?
Members

Board of Directors
Meetings
Voting
Board of Directors
Elected from voting companies
Between 15 and 25 board members
Elected for three year terms
Meetings
Annual meetings
Special meetings
Meeting announcements
Voting
Fifty members form a quorum
Each company gets one vote
Examples of AIAG
Accomplishments
IV&I will save the supply chain $255 million
annually
AIAG was one of the first associations to become
ISO 9001 certified
Has over 1,600 member companies with
combined sales of $850 billion
Nearly 90 publications on how to improve your
business processes

Exercise
Rank every department in your
organization on a scale of 1 to 5 with 5
being excellent and 1 being poor.

Exercise
Now take the areas that ranked 3 or less
and write some ideas on how AIAG could
help that department improve.
Summary
AIAG sets standards and seeks solutions
to critical problems in the automotive
industry
Members of AIAG receive various benefits
including networking, improved efficiency,
and training.


Where to find more information
Actionline Magazine
AIAG Customer Service Department
248-358-3003
http://www.aiag.org




Bibliography
AIAG removes roadblocks over origin Tim
Moran. Automotive News. Detroit: May 15,
2000.Vol.74, Iss. 5874
http://www.aiag.org
http://www.openstandards.net