P&A Providers & Administrators
MenuMENU
SearchSEARCH

Toyota and Honda Neck in Neck in WRI Study

The 2022 Working Relations Index shows Toyota in first place, with Honda rapidly closing in.

May 24, 2022
Toyota and Honda Neck in Neck in WRI Study

 

Credit:

Plante Moran

4 min to read


 

Plante Moran has released results of the 22nd annual North American Automotive OEM - Supplier Working Relations Index® (WRI®) Study.

The study shows supply chain shortages and production volatility, the transition toward electric vehicles, logistics constraints, and increasing raw material costs impacting automakers and suppliers has had the impact one might think. In fact, two of the six major U.S. OEMs made substantial improvement in their WRI® scores and two held steady, while two others fell – one significantly.

Ad Loading...

The 2022 Working Relations Index shows Toyota in first place, with Honda moving up. GM remains in third place at 287, with Ford fell further behind at 242. Nissan is in fifth place, continuing major gains started in 2020, with another big move up this year. Stellantis is in last place, having fallen 70 points since 2020.

Honda ranks No. 1 in purchasing organization effectiveness, claiming the top spot in six out of seven categories.

The study also ranks supplier trust of the OEM and buyer integrity. Trust represents the foundation of overall working relations and is a major factor that drives the Working Relations Index ranking. Supplier trust of the buyer is also key. Here, Stellantis and Ford fell in Supplier Trust, and Stellantis, Ford and GM fell in Buyer Integrity.

The index also ranks buyers on key attributes such as the buyer’s knowledge of the supplier’s products or technology, communication, and overall characteristics including integrity and trust. Here, Honda took the top spot passing Toyota, while GM ranked a close third. Ford and Stellantis dropped significantly, but Nissan improved.

Overall, Honda ranked best in three categories, taking two from Toyota. Together, the two automakers dominated all top spots in the Purchasing Area rankings.

Ad Loading...

The overall Working Relations Index is based on Business Practices and Buyer Characteristics. The SBI, or Supplier Benefits Index, ranks the type and degree of support the OEM receives as a result of good working relations. Toyota ranked in first place on the overall Working Relations Index and also derives the greatest supplier support.

Still Toyota dropped 2 points to 345, while Honda gained 18 points and rose to 334, narrowing the gap between first and second to 11 points. GM fell 2 points to 287 and Ford fell 7 points to 242. Nissan improved 8 points to 219, while Stellantis dropped 42 points to 128.

Honda and Nissan improved the most. The spread from highest (Toyota 345) to lowest (Stellantis 128) was 217 points, the greatest since the 2008 spread of 206 between the same two automakers.  

The key to mutual success in OEM-supplier relations is trust, said Andrea, and trust is based on three factors: setting realistic expectations; delivering on commitments; and sharing information. 

Trust goes both ways, Dave Andrea, Principal in Plante Moran's Strategy and Automotive & Mobility Consulting Practice, which conducts the annual study, told PR Newswire.  "Companies get out what they put in. In the new world of scarce resources with numerous customer opportunities, the supplier has to ask himself:  who would I rather do business with, my customer of choice? And the answer comes down to three questions: Who do I trust? Where will I get the best return on investment? And what is the prospect for future business? The OEMs are equally dependent on suppliers they can trust."

Ad Loading...

He adds, "The OEMs really need to focus on more transparency and better communication. They need to better align purchasing, engineering, and manufacturing to achieve the same goals – improved communication, efficiency and speed – in order to take cost and time out of the entire supply chain while helping suppliers achieve their cost and financial performance goals as well. These processes must become more agile and streamlined to benefit both the OEM and supplier. If done property, it's win-win, and setting realistic goals, fulfilling commitments, and sharing information openly and honestly doesn't cost any money."

Andrea also listed areas of on-going concern to suppliers that could be resolved if given priority and if resolved would greatly benefit both suppliers and the automakers. They include:  

  • Eliminating lengthy delays on piece part and tooling price disputes.

  • Handling volatile production schedules.

  • Sharing price and other market risks.

  • Developing bench strength.

  • Recognizing supplier relations is everyone's responsibility.

"All of these typical problems can be resolved," said Andrea. "Look how fast and successfully automakers switched to the production of COVID face masks and respirators. When there's corporate commitment, things get done – fast. These are not complicated issues. And if resolved, the automakers will be more profitable, improve vehicle launches, reduce warranty claims and recalls, and better positioned to transition to EVs."   

Originally posted on Auto Dealer Today

More Industry

Kia Niro SUV in gold color parked outdoors
Industryby Hannah MitchellSeptember 1, 2026

Kia Closes Out Summer With a Bang

Its U.S. subsidiary broke multiple records in August, in part due to a surge of demand for hybrids models.

Read More →
Outside of Auto Park Ford dealership
Industryby Lauren LawrenceSeptember 1, 2026

Indiana Dealership Changes Hands

A 30-year-old Ford dealership in Indiana has a new owner and will soon be undergoing renovations to meet manufacturer requirements.

Read More →
Three men standing in front of two classic cars handing off gift.
Industryby Hannah MitchellAugust 25, 2026

Texas Dealership No Longer in the Family

The Ford store, a longtime cornerstone of the Houston market, is now part of one of the fastest-growing U.S. auto groups.

Read More →
Ad Loading...
Outside of modern car dealership “Genesis of San Bruno
Industryby Lauren LawrenceAugust 25, 2026

Genesis Grows California Presence

The Cardinale Automotive Group opened its third Genesis rooftop in the Golden State, Genesis of San Bruno, a stand-alone dealership serving the San Francisco Bay Area.

Read More →
Red Honda Civic hybrid sedan on two lane road with green hills in background
Industryby Hannah MitchellAugust 21, 2026

August Auto Sales a Mixed Bag

An early forecast shows strong business despite consumer hurdles, and hybrids are a big piece of their affordability coping strategy.

Read More →
EV charger inserted into dark-colored car port
Industryby Hannah MitchellAugust 18, 2026

EV Market Humming Along

July sales show steady growth as the segment stabilizes from last year’s artificial surge following pullback of federal support.

Read More →
Ad Loading...
car in background with hand giving a thumbs up in front
Industryby Lauren LawrenceAugust 14, 2026

Auto Loan Delinquency Rates Stabilize

Auto loans are a main driver of nonmortgage consumer debt, but delinquency rates stabilized in the second quarter across all credit risk tiers.

Read More →
blue sky, yellow and orange rollercoaster with riders going up an incline
Industryby Lauren LawrenceAugust 12, 2026

EV Sales Recover in Q2

The EV sales roller coaster continues as numbers show improvement, but industry experts predict a year-over-year third-quarter decline and fourth-quarter jump.

Read More →
Photo of blue Toyota Prius parked next to body of water with city skyline in background
Industryby Hannah MitchellAugust 5, 2026

The Cheapest Hybrids to Fuel

The powertrain is increasing in popularity, in no small part due to its fuel economy. A new report lists the most efficient hybrids on the market.

Read More →
Ad Loading...
white SUV parked in front of a body of water with a gray sky background
Industryby Lauren LawrenceAugust 5, 2026

Hybrids and SUVs Gaining Ground

The most recent Kelley Blue Book Brand Watch found that only two nonluxury brands increased in shopper consideration, buoyed by their hybrid and SUV offerings.

Read More →