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Casting Users’ Perspectives on Foundries as Suppliers

Global competition is tightening and companies have to think how to remain competitive. The main aim of this paper is to discuss how Finnish foundries will remain competitive. To fulfil the aim, we conducted interviews in nine companies using castings and analysed buyer-supplier relationships, current competitive advantages of Finnish foundries and customer perspectives on how Finnish foundries remain competitive. We found that the customer- foundry relationship is still closer to traditional subcontracting than partnering and general image of foundries is negative. Current competitive advantages of Finnish foundries include designing cooperation, proximity and flexibility. Casting users state that Finnish foundries should sell their know-how and services instead of their capacity, concentrate on prototype, single and short series castings and supply ready-to-install cast components directly to customers' assembly lines. Keywords—Buyer-supplier relationship, casting, competitive advantage, customer prespective.