The biggest feature of this sector right now is uncertainty,” asserts Benedikt Raspovic, Head of Key Account Management Automotive at Stahlo. As he explains, it is not just the economic, political and technological conditions that are constantly changing both internationally and in Germany: “It has become much more difficult for manufacturers to predict which strategies and models will really appeal to their customers – and which won’t.” For the suppliers, their economic situation is very dependent on the models in which their products and services are used.

The risks are growing

Situations where the planned production numbers for a new model don’t tally with actual sales figures are much more common than they used to be. When you’re talking about a product that takes years to develop and initially generates only costs rather than revenue, that poses a serious risk – for manufacturers and suppliers. At the same time, there are positive surprises, such as models that resonate unexpectedly well with customers. Overall, the role of suppliers is changing. Although the steel service centre’s business is still shaped by the triad of enquiries, quotations and deliveries, contacts are increasingly going beyond the basics as a need emerges to discuss entire processes. “Manufacturers need a new level of flexibility and technological focus from us.”

Technology and customer proximity

With its Steel Compass, Stahlo has become the first company to develop a concept for categorising green steel products. What’s more, the Digital Material Passport provides a tamperproof means of tracing products back through the supply chain. Besides these forward-looking developments, the most important aspect of the company’s focus on technology is investment in equipment. For example, Stahlo has greatly increased its flexibility by acquiring a new laser cutting plant. Being able to produce small pre-production series without having to invest huge sums in development is exactly what OEMs and suppliers need – especially now.

However, technology is not enough on its own, and never has been. Despite all the digitalisation, customer proximity is still key. “We have to understand exactly where the problems lie. Nothing beats a face-to-face discussion for that,” emphasises Raspovic. Regular visits to suppliers and OEMs are therefore part of his everyday work. Indeed, the 31-year-old has just returned from a mini tour of Germany, visiting a series of automotive suppliers and vehicle manufacturers for discussions over the course of just a few days.

After all, the automotive sector is still a business where personal contact matters. Raspovic explains what is changing: “The things we’re talking about are becoming more and more multilayered. Gone are the days when we were simply salespeople. Whether it’s steel goods, manufacturing and machining processes, or logistics, conversations are increasingly about flexibility and skills across the entire process – especially in volatile times.”