AUTOMOTIVE TRANSFORMATION

HANOVER
25-FEB-2026

The first stop of the
KEYPLAYER-LEADERSHIP FORUM 2026:
“Strategic Excellence
in Operations & Finance”

Insights from our
panel discussion

    Structural challenges facing the German automotive supplier industry

    // Operating Models in a reality check: speed, focus and courage
    A key topic of discussion was the competitiveness of German automotive companies in international comparison – especially with regard to China. The question “Why are we slower than China in so many areas?” ran like a common thread throughout the conversation.

    One example discussed was the significantly longer development times in Germany – for instance when comparing OEM 1 in Germany with OEM 1 in China. While companies in China work with focused, streamlined specifications and high execution speed, in Germany the emphasis is often placed on comprehensive quality standards, complex coordination processes and extensive regulatory requirements. Procurement units are increasingly developing into “Regulatory Affairs” functions, accompanied by a correspondingly high level of bureaucracy.

    The discussion made one thing clear: beyond structural conditions, mindset and leadership culture play a decisive role. Germany is seen as too conservative, too risk-averse and, in part, too self-satisfied. There is a lack of courageous management personalities who do not merely administer and safeguard, but actively shape, accelerate and take responsibility.

    What is needed is a clear mindset shift – with a consistent customer focus, greater speed and increased openness to technology. “Right-sizing for the customer” means aligning solutions consistently with market and customer requirements, reducing complexity and shortening decision-making paths.

    // Organisational friction and the role of data
    In addition to cultural aspects, structural challenges were also discussed in depth. Many companies struggle with interface issues, a lack of consistency in processes and fragmented data landscapes. Insufficient data quality and inadequate data structures prevent transparency and reliable steering.

    The foundation of high-performing operating models is a robust data architecture. Without consistent data structures, efficiency programmes remain fragmented and digital initiatives ineffective. In this context, sales and operational planning were highlighted as essential instruments of corporate steering – especially in times of increased volatility.

    Another aspect raised was that the target pictures of companies and their workforces appear in some cases to have drifted apart. Whereas a shared understanding of result orientation and commercial success used to dominate, today the focus is more often on internal topics. The “hunger for results” needs to move back into sharper focus.

    Strategic perspectives for the German automotive supplier industry

    // AI as a lever – with a clear strategy and a solid process foundation
    Artificial intelligence was another key focus of the event. The consensus was clear: before launching numerous AI projects, companies need an overarching AI strategy. Without clear objectives and governance, there is a risk of creating isolated solutions with no sustainable added value.

    At the same time, it was emphasised that dedicated resources can deliver measurable results quickly, especially in indirect areas – such as negotiations, certification processes, supplier audits or administrative activities. A proactive approach pays off.

    At the same time, one principle remains true: a poor process remains a poor process with AI – only a digital one. Process quality is the prerequisite for successful automation and scalability.

    A practical example was provided by Pfisterer, which prepared and executed its IPO with the targeted use of AI. This illustrates the potential of strategically deployed technology – not as an end in itself, but as a clear driver of value.

    // Finance as a strategic enabler in uncertain times
    The discussion on financial resilience reflected the current market environment. Uncertainty – particularly in Germany – has increased significantly. At the same time, financing through banks is becoming increasingly challenging.

    Alternative instruments such as private debt funds are gaining importance, although they come with higher financing costs, for example an additional 2% interest premium. In addition, other suitable financing instruments as well as trade credit insurers were identified as important stabilising elements.

    One clear message emerged: in good times, companies must prepare for more difficult phases. Liquidity planning, scenario analyses and robust financing structures are not simply a reaction to crises, but an integral part of forward-looking corporate management.

    It was also recommended that, in the event of acute financing challenges, OEMs should be involved at an early stage and that problems should be addressed within a consortium if necessary. Partnership-based approaches along the value chain can help secure stability.

    // Strategic positioning: learning from the past ten years
    One particularly powerful impulse was the recommendation to take a structured look back at the past ten years:

    Which strategic decisions were made? Which investments were undertaken? Which results were achieved?

    An honest analysis often reveals quite quickly where a company may have taken a wrong turn – whether in its technology direction, internationalisation strategy or operating model. This kind of strategic assessment provides the foundation for a robust realignment.

    // The integration of Operations & Finance as the key to value creation
    The Automotive Leadership Forum 2026 made one thing clear: future-ready operating models do not emerge in isolation. They require close integration of Operations and Finance, clear strategic direction, courageous leadership, and a strong data and process foundation.

    Efficiency gains, cost management and productivity improvements are not an end in themselves – they serve to safeguard strategic capability and sustainable value creation.

    The industry is facing profound transformation. Those who combine speed with quality, understand Finance as a strategic enabler and have the courage to embrace change will be able to succeed even in a volatile environment.

    // Thank you & outlook
    We would like to sincerely thank all participants for their time, openness and trust in addressing even critical topics within a protected setting.

    The next Automotive Leadership Forum will take place on 29 April 2026 at Motorworld Cologne.

    Ihr persönlicher Ansprechpartner für die KEYPLAYER X CHANGE ROADSHOW AUTOMOTIVE 2025

    Alexander Kujumdshiev
    PARTNER & DIRECTOR AUTOMOTIVE
    DRAG
    CLICK