Adient Plc · NYSE:ADNT
Adient — Investor Presentation (June 2021)
23 slides from Adient's investor presentation, June 2021
Slide 1: ES Development & Transformation
3 ES Development & Transformation June 2021 Adient – PUBLIC
Slide 2: historical fact are statements that are, or could be, deemed “forward-looking statements” within the
Adient has made statements in this document that are forward-looking and, therefore, are subject to risks and uncertainties. All statements in this document other than statements of historical fact are statements that are, or could be, deemed “forward-looking statements” within the meaning of the Pr
Slide 3: Today's presenters
7 ; ADIENT Today’s presenters 4 Doug Del Grosso 4 Jeff Stafeil President and CEO Executive VP and CFO
Slide 4: What is ES3?
What is ES3? JD Power Results Evolution of Seating Market Research Systems Sustainability VAVE Workshops Leveraging the available knowledge to Innovation Portfolio create opportunities and value for our Warranty Analysis customers to improve their market Benchmarking performance and increase Adient’
Slide 5: Seat Integration Experience
Seat Integration Experience Benefits of a JIT / Foam / Trim Package 5 key factors are applied to produce a quality seat DESIGN INFLUENCES TRIM MANUFACTURING JIT MANUFACTURING Standards & Guidelines Seam Placement & Sew Routing • DFAM Applications Open back vs envelope cover DFAM (Design for Assembly
Slide 6: Workstreams Impacted by ES
June 2021 Workstreams Impacted by ES 3 Adient – PUBLIC
Slide 7: Product & Process Optimization
Product & Process Optimization Volume & JPH Forecast Reduces Trapped Labor, Drives Operational Performance Accuracy Premiums & Obsolesces Operational Waste Drives Operational Reduce sq. ft., part movement, Complexity Reduction Requirements Eng. $, Obs. risks Drives Development and Reduces cost, prog
Slide 8: ES – Design Complexity and Operational Waste
3 ES – Design June 2021 Complexity and Operational Waste Adient – PUBLIC
Slide 9: JIT Complexity / Waste & Schedule Stability Impact
JIT Complexity / Waste & Schedule Stability Impact Schedule Stability OEM Ordering Stability Customer Customer Customer • OEM actual order schedules drives trapped labor and Customer XXX 1 2 3 operational inefficiencies when it significantly deviates from Schedule adherence - volume 92% 98% 95% 94%
Slide 10: Design Complexity Reduction – Full Size Pick-Up
Design Complexity Reduction – Full Size Pick-Up Competitor OEM in Focus Design Complexity Analysis 13 total foam pads 38 total foam pads • For similar full-size pick-up truck 2X applications, the seat complexity was evaluated 3X 4X 9X • The analysis of the complexity illustrated a significant part n
Slide 11: ES – Engineering Specifications
3 ES – Engineering June 2021 Specifications Adient – PUBLIC
Slide 12: Technology Optimization through Specification Analysis
Technology Optimization through Specification Analysis Summary: • With Adient’s broad customer base and engineering knowledge, the customer requirements are consolidated and analyzed • Specific customer requirements are compared with the total OEM population to determine gaps and opportunities to no
Slide 13: ES – Market Research and Customer Feedback
3 ES – Market June 2021 Research and Customer Feedback Adient – PUBLIC
Slide 14: Marketing Vehicle Content Comparison
Marketing Vehicle Content Comparison Row 1 Vehicle Vehicle 1 Vehicle 2 Vehicle 3 Source: Autoknowledge VIC Price Range NA $32K - $44K $30K - $53K Segment Differentiator Seat Material 1st Row Low Cloth Leatherette/Vinyl Cloth Under-Contented Feature Seat Material 1st Row Mid Leatherette/Vinyl, Cloth,
Slide 15: Independent Customer Research
Independent Customer Research Feature Utility Ranking Independent Customer Research • Custom surveys were sent to 500+ end users to investigate the perceived value of various seat features • Recipients selected most preferred features to provide a clear view of seat feature prioritization • Adient l
Slide 16: JD Power Quality Analysis
JD Power Quality Analysis JD Power Analysis and Recommendations • JD Power results are analyzed on an annual basis to improve our understanding of customer perceptions and satisfaction • The data is leveraged to make design recommendations intended to improve the future seat content and increase ove
Slide 17: ES – VAVE Workshops & Design Changes
3 ES – VAVE June 2021 Workshops & Design Changes Adient – PUBLIC
Slide 18: VAVE Workshop Overview
VAVE Workshop Overview 03/11/2021 03/04/2021 03/25/2021 04/06/2021 VAVE Workshops for Idea Generation • Facilities available in each region to conduct detailed teardown and benchmarking studies • Workshops held with engineering, suppliers and customers to identify opportunities to drive continual co
Slide 19: Top VAVE Ideas
Top VAVE Ideas #1 – Leather Inserts / Synthetic Leather Bolsters $ 55 cost reduction 500g weight reduction #2 - Row 2 - Armrest Single Shot Cup Holder & Direct Fitment $2.25 cost reduction 150g weight reduction #3 – Combine Plus Pads Across Multiple Leather Panels Current Proposal $1.50 cost reducti
Slide 20: Environmental Sustainability
June 2021 Environmental Sustainability Adient – PUBLIC
Slide 21: Adient Environmental Sustainability Strategy
Adient Environmental Sustainability Strategy Sustainable Manufacturing Sustainable Product Design Sustainable Supply Chain Employee Engagement Define a clear path to achieve Develop sustainable products by Cooperate with suppliers to increase Engaging all employees in day-to-day resource efficient p
Slide 22: Seat solutions to support electric vehicles (EVs)
Seat solutions to support electric vehicles (EVs) Cost: To succeed in “Autos 2.0,” a significant amount of investment dollars are required by OEMs (especially with non-traditional engineering resources, such as software engineers) All things being equal, less expensive seat solutions will generally
Slide 23: Summary
Summary Adient’s ES3 process is being deployed globally to drive quality seat solutions for our customers Superior results are largely rooted in a collaborative product development process. Process optimization typically relates to the following elements: Operational waste reduction Engineering spec