Report

September 2003

Recycling Recovers Auto Profits


Mark Bünger
Europe's end-of-life vehicle (ELV) mandate stresses global automakers. To profitably recover 95% of each vehicle, OEMs must close the loop of manufacturing, service, and recycling with new value-cycle management systems.
by Mark Bünger with Kate Delhagen, Carey Schwaber

MARKET OVERVIEW
  • The ELV Directive makes global automakers liable for recycling 200 million European vehicles.
  • ELV Directive compliance will cost OEMs up to 10 billion by 2010.
ANALYSIS
  • Value-cycle management replaces value-chain management.
  • Each car's unified vehicle record will store bill-of-material, CRM, engine performance, and service data.
ACTION
  • OEMs must bring better business analysis to ELV issues.
  • US automakers: Don't dismiss recycling as foreign foolishness.
 
Figures & Data
  • Figure 1.  The State Of EU End-Of-Life Vehicle Recycling Today
  • Figure 2.  From Yesterday's Value Chain To Tomorrow's Value Cycle
  • Figure 3.  The Vehicle Value Cycle Emerges From Existing Technologies
  • Figure 4.  Data From Each Stage Of The Vehicle's Life Goes Into The UVR
   
RELATED MATERIAL 
  • Methodology
  • Companies Interviewed For This Report
  • Experts Interviewed For This Report
  • Related Research
 
GRAPEVINE
  • Pass me the leftovers.
  • Is the shredder half full or half empty? Neither! Both!
  • "This old skirt? It's my '82 Mercedes."
  • Reincarnation -- what happens to you if you have good car-ma.

 

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