Minimal margins are a reality in the automotive supply industry. A project that looks profitable today can be a loss-making business tomorrow - if exchange rates, material or energy costs rise.
Many suppliers struggle with significant cost variances compared to the award status - but without a structured claim process, money falls by the wayside.
- Exchange rate fluctuations cause unforeseeable losses
- Material and raw material prices rise rapidly, often without immediate compensation
- Energy prices fluctuate and drive up production costs uncontrollably
If these deviations are not actively managed, companies quickly end up with long-term loss-making projects.
Cost changes cannot be avoided - but their early identification can. Automated recording of deviations in exchange rates, material prices and energy costs makes it possible to make risks immediately visible.
Many companies do not have clear processes for managing claims. A structured process ensures that all relevant steps run seamlessly:
- Definition of the deviation and analysis of the contractual clauses
- Calculation of the claim with a sound database
- Negotiation with OEMs on the basis of contractual provisions
- Follow-up until final payment
A claim that is not followed up is a lost claim. With a structured reporting process, companies can keep track of open, processed and closed claims.
A well-functioning claims process not only protects margins - it can actively contribute to increasing earnings. Transparent dashboards and targeted incentives for sales teams help to consistently enforce claims and optimize them in the long term.
Manual renegotiations and Excel tracking are a thing of the past. Digital Automotive offers an integrated solution for claim management:
- Automated detection of deviations in exchange rates, materials and energy
- Consistent end-to-end claim process for structured negotiations
- Real-time reporting and tracking of all claims
- Performance tracking to optimize future processes
Times of fluctuating exchange rates, rising material prices and uncontrolled energy costs are here to stay. But suppliers who do not have a structured claims process are losing millions every year.
With automated claim management, companies can identify their cost variances immediately, enforce claims efficiently and protect their profitability in the long term.
👉 Learn how Digital Automotive can transform your claim management. Book a live demo now at Digital Automotive Contact