Are battery pack procurement models a key decision lever?
In particular, battery pack procurement models adopted by carmakers can become primary decision levers to increase SC efficiency in both operational and economics terms (Rafele, Mangano, Cagliano, & Carlin, ).
Do battery procurement strategies secure market leadership?
The interplay between battery procurement strategies and AFS reveals that cost efficiency alone cannot secure market leadership. Instead, a holistic approach aligning procurement decisions with consumer financial perceptions drives market success.
Why are the purchasing costs of Batteries Not Included in the analysis?
The purchasing costs of batteries and cells are not included in the analysis because in Scenario 2 the lower cell costs are compensated by the investment costs in the battery production plant. On the contrary, Scenario 1 requires a greater expenditure on complete LIBs but does not require investing in any additional manufacturing facilities. 4.
How does the vertical integration of battery production influence manufacturers' procurement strategies?
They also critically influence manufacturers' procurement strategies: Tesla and BYD's vertical integration of battery production with captive financing reduces supply chain risks by 15-20% compared to outsourced models (Tesla ).
What is a battery supply chain framework?
Such a framework is intended to increase the awareness about the complexity of the supply chain of batteries for electric and hybrid vehicles in order to further stimulate its investigation. Future research will extend the approach to include additional aspects as well as procurement configurations.
Should a battery pack be a logistics strategy?
Purchasing single cells to be assembled into modules and then in battery packs proves to be convenient from a pure logistics perspective. However, such a strategy implies relevant investments related to the battery production facilities, as well as additional operational costs and skilled human resources.
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