Case Study – Automotive Aftermarket Products

Automotive Aftermarket Performance Products Leader Sees YOY revenue up 20%

  • Background

    Racing enthusiasts rely on precision-engineered solutions to enhance vehicle performance. This global automotive engineering company offers high-quality aftermarket products for top German automotive brands.

  • Challenge

    Prior to working with Baysource Global, the client had been manufacturing in China for eight years. Quality was a constant headache and defect rates topped 40%. Top line growth was suffering.

  • Solution

    The client turned to Baysource Global to dive in, discover, and develop solutions to drive better performance across their China supply chain operations. Working side by side with the client’s sourcing and engineering teams, Baysource Global:

    • Executed a comprehensive assessment of supply chain effectiveness
    • Identified root causes of major quality issues
    • Discovered one “manufacturer” was actually a trading company with no quality control and a long history of back orders
    • Retained the best suppliers and identified new ones
    • Trained all suppliers to implement new quality performance measures
    • Worked directly with suppliers to improve quality and reduce defect rates
  • Results

    Defect rates dropped 30% in the first quarter after implementing the program. CMD earned the respect of suppliers with training, tools, and programs that not only benefitted CMD’s client but also each supplier’s entire customer base.

    Month after month, quality keeps improving, and the client is enjoying YOY sales growth of 20%.

  • Impact

    • Cut defective rates 30% in one-quarter
    • Restored brand trust
    • Got revenue back on track
    • Contributed to a YOY revenue improvement of 20%.

“With quality humming thanks to CMD, sales are growing 20% YOY.”

Senior LeaderGlobal Automotive Engineering Company