What is a Tier 0.5 supplier?

A tier-0.5 supplier is an automaker’s “wingman,” taking over responsibility for major systems and modules from a vehicle value-creation perspective.

What are the different tiers of suppliers?

What Is Supplier Tiering?

  • Tier 1: Direct partners that help you assemble the end product.
  • Tier 2: Sub-suppliers to your Tier 1 partners (parts, components, and so forth)
  • Tier 3: Parts or raw materials suppliers.

What is a tier 1 supplier in supply chain?

Tier 1 suppliers are companies that supply parts or systems directly to OEMs. These suppliers usually work with a variety of car companies, but they’re often tightly coupled with one or two OEMs, and have more of an arms-length relationship with other OEMs.

What is a Tier 4 supplier?

Tier 4: Raw material suppliers Every product starts with raw materials. These can be farms, livestock farms, cotton plantations or any other supplier of raw materials.

Is Marelli a Tier 1?

Marelli benefits from a strong heritage built on manufacturing excellence and technological innovation. Our aim is to build on this position to create an even stronger, innovative tier 1 supplier.

What is a lower tier supplier?

Lower-tier suppliers are also the least equipped to handle sustainability requirements. They often do not have sustainability expertise or resources, and they may be unaware of accepted social and environmental practices and regulations.

What is a Tier 3 supplier?

Tier 3 suppliers are the foundation of the entire supply chain. They provide the required materials, such as metals and plastic, in their raw form or almost raw state to Tier 2 and Tier 1 companies. Tier 2 refers to companies that produce and supply parts from the material obtained via Tier 3 to Tier 1 level.

What are Tier 1 and 2 suppliers?

A Tier 1 supplier supplies products (usually parts) directly to an OEM (What is an OEM?). The difference, then, is that a Tier 2 supplier supplies products to a Tier 1 supplier (who then supplies the parts to an OEM).