1. Deep OEM Integration is Essential for Global Competitiveness
European die casting companies are battling stiff global competition, often disadvantaged by rigid structures and outdated frameworks. One major takeaway from the Executive Circle is that success lies in building strategic partnerships, not transactional relationships. OEMs must integrate deeply with their supplier networks, fostering transparent, ongoing communication from the very early stages of product development.
Instead of treating suppliers as last-minute executors, OEMs should position them as core contributors throughout the lifecycle of the project. This includes aligning on shared goals, co-developing tooling strategies, and collectively innovating for speed and efficiency. As Katrin Grebe puts it, “The OEM is inside the process, they have to benefit too. But they need to involve partners from the start.”
2. Overcoming Structural Silos in OEM Organizations
The podcast clearly outlines how traditional departmental divides within OEMs are hindering innovation. Whether it's the disconnect between pre-development and purchasing, or the fragmentation between design, industrialization, and tooling, the result is costly inefficiencies and repetitive work.
Staffan Zetterström aptly refers to these internal handovers as ditches that projects fall into, requiring restarts and causing valuable knowledge loss in transition. To truly accelerate development cycles, OEMs must restructure toward more fluid, cross-functional collaboration, mirroring agile practices already seen in Asian and American OEMs. Otherwise, Europe risks being left behind in a faster-moving global market.
3. Front-Loading and Knowledge Retention Are Game-Changers
One of Grebe and the panel's strongest calls to action is the need for front-loading, which means engaging suppliers and toolmakers early in the design phase. When casting parts, tools, and production processes are developed simultaneously, the potential for waste, redesign, and downtime plummets.
However, as OEMs have steadily reduced their in-house casting expertise over recent decades, they increasingly rely on external partners for this knowledge. Grebe notes, “OEMs don’t even know what to ask anymore. They need us.” Protecting and properly compensating for that knowledge, especially when shared early, is not only fair but also essential for long-term competitiveness.
4. Shifting from Cost-Focused Purchasing to a Total Cost of Ownership (TCO) Mindset
One of the podcast’s most critical critiques was the short-sighted nature of many purchasing decisions. By favoring low upfront costs, OEMs often ignore hidden expenses such as quality losses, maintenance needs, production inefficiencies, and supply chain delays.
Grebe and the panel argue that adopting a TCO approach, where lifetime costs are considered, leads to more sustainable and strategic sourcing decisions. Better tooling might cost more upfront but can drastically reduce waste and increase output over time. Yet, as Fabian Niklas remarks, “There’s no structured way in Europe to track these costs. It’s spread across departments and accounts, making it nearly invisible.”
5. Culture and Lobbying: Catalysts for Transformation
Ultimately, the greatest obstacle may not be technical; it’s cultural. European OEMs remain entrenched in a legacy mindset, prioritizing compliance, traditional hierarchies, and risk-averse structures. In contrast, newer market entrants (like Rivian in the US) are nimbler, more collaborative, and faster to embrace innovation. Grebe summed it up well: “We don’t need more R&D studies. We just need to do it.”
That’s where platforms like the Euroguss Executive Circle come in. They’re more than industry roundtables; they’re incubators for change. The group isn’t a closed club; it’s an open movement advocating for more integrated models, policy change, and unified industry lobbying to keep European manufacturing competitive on the world stage.
Conclusion: The Time to Act is Now
This podcast didn’t just shine a light on challenges; it offered a roadmap. OEMs hold the key to transforming Europe’s die-casting future, but they must act with urgency, openness, and strategic intent. As the global race accelerates, the choice is clear: continue with fragmented models and risk obsolescence or embrace deep collaboration and lead the way forward.
As Katrin Grebe aptly concluded, “The foundry industry is ready and open for new models to achieve this goal. Now, the OEMs must step up.”
