Pole position through long-term partnerships

Almost all major European manufacturers of heavy commercial vehicles are SAG customers. Many of them for decades. The business relationship with the Dutch truck manufacturer DAF has even existed for over 60 years – and a new Long Term Agreement (LTA) has been signed for a further five years. There is a good reason for this: SAG is one of the few companies that deliver to the assembly lines in sequence. In addition, the company is not only as a supplier, but also a partner in the development of new products and services. For SAG, the recipe for successful long-term cooperation is a sound understanding of the concerns, requirements and working methods of its customers as well as absolute reliability in all areas. These are the essential cornerstones of SAG partnerships and create an optimal basis for trust and confidence.

OEMs value these advantages of SAG as a reliable business partner

SAG has had a close business partnership with Daimler, Iveco, Scania and Volvo/Renault for many years. Volvo/Renault recently concluded another long-term agreement. Scania also signed a new LTA for the production of fuel tanks for the new truck generation (NTG) for the period 2021-24. These specifically designed tanks were developed and tested over several years by Scania together with SAG R&D teams. SAG continuously rebuilds customer confidence by meeting high quality standards and innovation. Other key factors for the partnerships are flexibility and adherence to schedules, which SAG can guarantee 100 percent, thanks in part to production sites close to its customers.

Coordinated production processes and short delivery routes enable just-in-time deliveries to OEMs from SAG’s location in the Netherlands, France, Spain, Sweden, Slovakia, Austria and México. These are all important aspects that are of great strategic importance for Tier 1 suppliers such as SAG in the automotive industry.

Advantages for both sides

The fact is that the advantages of long-term partnerships are clearly on both sides. Long-term contracts bring more predictability and a better return on investment of the means of production and thus a higher competitiveness on the market.

More information at www.sag.at