Rover is the U.K.'s only domestically based high-volume builder of
passenger cars, but it has become increasingly reliant on Honda for
engineering development and other support. A Rover spinoff, Land
Rover, still is independent and dominates the luxury sport/utility
vehicle (SUV) market. Then there's Rolls-Royce Motor Cars Ltd. and its
Bentley sibling, the enduring niche players in the tiny market for
extremely expensive luxury cars.
This industrial metamorphosis has prompted many British parts and
components suppliers, such as Lucas Industries plc, T&N plc and GKN
plc, to expand internationally starting in the 1970s -- a process that
continues. Their goal has been to compensate for shrinkage of their
traditional customer base and, of course, to capitalize on new
opportunities.
Although home-owned automotive production has shifted hands, a
hardy band of specialized engineering, design, development and testing
groups have held on and flourished thanks to myriad global trends that
dovetail with their expertise.
Some compete with each other, while others work together on joint
projects. Most, like the suppliers, have established offices,
technical support facilities and in some instances manufacturing
facilities around the globe, with the United States on nearly
everyone's list. Customers for their services and consulting now are
found worldwide, and their thumb prints -- and more -- can be found on
a broad range of vehicles from GM's Saturn to Mazda Motor Corp.'s
Miata, just to name two.
Their technical prowess runs the gamut from engine development and
manufacturing to components engineering and production, and from
building full prototypes to vehicle conversions and in-lab and
on-track testing. The Motor Industry Research Assn.'s full-line test
and proving grounds at Nuneaton, Warwickshire, is a primary resource
used by automakers and the independent shops as well.
Most -- like Vickers plc's Cosworth Engineering, Lotus and Ricardo
Consulting Engineers Ltd. -- long have enjoyed worldwide recognition
for their technical capabilities. But until fairly recently they
generally lacked strong business skills and adequate financing.
Their prospects have multiplied as the large automakers have
downsized their engineering and technical staffs, sending more work to
outside shops. Shorter new-product cycles also play a role as
Britian's independent firms take on pieces, of or even full
responsibility, for engineering new vehicles.
In many cases they combine forces, spreading the work among
themselves based on what each can bring to the effort. It helps that
most of the folks involved, although often direct competitors, know
each other. Because they generally are smaller organizations, they
also have speed and perhaps a tad more creatively on their side than,
say, an automaker's 2,000-person engineering staff. And, of course,
they have the necessary motivation: Their pocketbooks depend on
satisfying their customers.
The growth in automotive regulation also has worked to their
advantage, and they've made the necessary investments to capitalize on
the engineering, developing and testing of safety and exhaust
emissions systems.
Several other global automotive trends have enhanced their
propects. Labs throughout the U.K. are pressing ahead with
noise-vibration-harshness (NVH) solutions, supporting automakers'
efforts to satisfy customers and gain an advantage over their
competitors. They also are involved in numerous environmental
projects, including design for disassembly (DFD).
Although British engineers have been renowned for their
drafting-board acuity for years, brag points these days focus on the
number of "screens" -- computers -- each firm has in operation. Like
their automaker customers, they are pushing the technological
envelope. Shop talk is likely to include allusions to futuristic
topics such as "virtual reality" -- using computers to simulate
designs almost identical to what they look like in the real world.
The downside to all of this is their dependence on their customers.
They can, and in some case have been, hurt by economic downturns. When
cash is tight there's tendency for automakers to either postpone
projects or bring them back inhouse. Mergers and consolidations also
can hurt.
A whirlwind tour of British independent organizations providing
services for the world's automakers elicits these snapshots.