Toyota Soars, Honda and GM improve, but Nissan, Ford and Stellantis Drop in 2025 Working Relations Study

DETROIT, May 19, 2025 /PRNewswire/ -- Results of the 25^th annual North American Automotive OEM - Supplier Working Relations Index^® (WRI^®) Study that evaluates relations between US automakers and their suppliers were released today by Plante Moran.

The Study shows three of the six OEMs improved overall relationships while managing unprecedented market volatility due to changing government policies, EV program cancellations and the threat of new low-cost Chinese entries, uncertain sales volumes, and continued tensions over cost-recovery issues related to materials and tooling.

This year's WRI^® scores show Toyota, Honda and General Motors capitalizing on their market strength and established relationships to better help suppliers manage costs, risks, and uncertainty. They finished 1-2-3, distancing themselves from Nissan, Ford, and Stellantis.

Toyota jumped 18 points to 386 which puts the automaker alone in the upper good-very good category -- Toyota's highest score in the WRI since 2007 when they topped out at 415. Honda gained 3 points and scored 347. GM gained 11 points to 310, rising above 300 for the first time. This is especially noteworthy given that 20 years ago, the company placed last with a WRI score of only 114, the lowest score ever recorded in the study. GM now ranks in third place behind Honda and Toyota (see full WRI graph).

However, Nissan fell 6 points to 249. Ford also fell 6 points year-over-year keeping the company in fifth place. Stellantis dropped 11 points and remains in last place at 141. Between Toyota and Stellantis is a gap of 245 points, the largest gap since 2008.

Costs to Serve, Uncertainty Define OEM-Supplier Relationships

"Suppliers want balanced financial risk and they want to know where they fit in OEMs' future market strategies so they can align accordingly," said Dr. Angela Johnson, Principal, Plante Moran Management Consulting, Supplier Relations Analytics. "They perceive OEM behaviors – fairness, equity, accountability, and then trust – through the impact of OEM decisions to their bottom line. What separates the Top 3 from the Bottom 3 OEMs is their ability to help suppliers reduce their costs to serve the OEM and manage uncertainty."

OEMs in the Top 3 score better in the basics – communication, responsiveness, accessibility, engagement, and buyer knowledge. "These skills help suppliers operate more efficiently, and in turn, create strong relationships," said Johnson. "Stronger relationships enable OEMs and suppliers to work together and better navigate industry uncertainty with more equitable risk and cost sharing."

"With all the challenges and conflicts facing automakers and their suppliers this past year, it's not surprising that some automakers dropped even further in their WRI scores because the WRI reflects the tangible and intangible costs to serve any individual customer," said Dave Andrea, Principal in Plante Moran's Strategy and Automotive & Mobility Consulting Practice. "It's all about balancing and aligning the various functional demands of the OEM -- purchasing, manufacturing, engineering, design, finance -- so there are fewer conflicting demands on the supplier and the OEM's team members."

TOP TAKEAWAYS FROM THE WRI STUDY

The Plante Moran team identified several prominent themes derived from the survey results. Among them:

• Established relationships propelled the Top 3 OEMs' gains: Suppliers reported feeling like a true partner 12 times more for the Top 3 OEMs versus Bottom 3 OEMs. "The top three OEMs were able to lean into established relationships to jointly address with suppliers economic and industry chaos, creating more win-win outcomes," Johnson noted.
  
  
• Fundamentals come first. Trust is an outcome: According to the study, relationships improve when it's easier to work together. Top performers improved fundamental behaviors and processes by having:
  • Purchasing VPs present and engaged.
  • Buyers accessible, knowledgeable, and responsive.
  • Payments made in a timely manner.
  • Regular, open discussions for supplier strategic planning.
    
    
• Consistency, predictability, and alignment of strategic goals lower the perceived risk and cost to serve, and drive customer of choice: Toyota, Honda, and General Motors remain 1, 2, and 3 in Customer of Choice, tracking their WRI score. Toyota and Honda have these attributes entrenched in their cultures, and GM is making gains in its culture as it continues to push back on lingering "old school" behaviors. However, Toyota and Honda face the challenge of maintaining those values as North American operations become more westernized. Toyota will be further tested this year with its first North American purchasing leadership change in 14 years.

"Overall, OEMs that effectively address consistency, predictability, and alignment of strategic goals are generally stronger, more profitable, and become customers of choice for suppliers. And because of their mutual dependency, these attributes are good for the suppliers too," said Andrea.

About the Working Relations Index® Study

Now in its 25th year, the 2025 North American Automotive OEM-Tier 1 Supplier Working Relations Index® Study was conducted by Plante Moran from mid-February to mid-April. Respondents are executives from Tier-1 suppliers serving Ford, General Motors, Honda, Nissan, Stellantis, and Toyota. The annual Study tracks supplier perceptions of working relations with their automaker customers in which they rate them across the eight major purchasing areas broken down into 20 commodity areas.

The respondents to the survey were 665 supplier executives from 398 unique Tier-1 suppliers. This number of responses represents an estimated 45% of the six OEM's North America annual purchases. The sales personnel provided data on 2,014 buying situations (e.g., one supplier responding can sell into multiple components groups of one OEM, such as chassis parts and powertrain for two buying situations). Demographically, the supplier respondents represent 36 of the Top 50 NA suppliers and 68 of the Top 100 NA suppliers.

The Study was founded in 2001 by Dr. John Henke, CEO of Planning Perspectives, Inc., and acquired by Plante Moran in 2019, led since then by Dave Andrea, Principal in Plante Moran's Strategy and Automotive & Mobility Consulting Practice. Andrea retires June 30, passing responsibility for conducting and analyzing this industry-leading study to Dr. Angela Johnson who joined Plante Moran in March 2025. Johnson brings 30 years of automotive experience at General Motors across multiple functions. Most recently, she led the Business Intelligence & Data Analytics team for GM's Global Purchasing & Supply Chain. She completed her PhD in Industrial Engineering at Wayne State in 2024, culminating with a dissertation on OEM-Supplier Relationships. The six automakers at the focus of the study follow the results carefully as the attributes measured by the Working Relations Index® (WRI®) directly correlate to the benefits of high-functioning supplier partnerships, including competitive pricing, investment in innovation and technology, and reduced operating costs. These benefits contribute to OEM operating profits and competitive strength.

About Plante Moran

Plante Moran is among the nation's largest audit, tax, consulting, and wealth management firms and provides a full line of services to organizations in the following industries: manufacturing and distribution, financial services, service, healthcare, private equity, public sector, real estate, construction, and energy. Throughout the firm's 100+ years in business, Plante Moran has grown to a staff of nearly 4,000 professionals throughout the United States with international offices in Shanghai, China; Mumbai, India; Tokyo, Japan; and Monterrey, Mexico. Plante Moran has been recognized by a number of organizations, including Fortune magazine, as one of the country's best places to work. For more information, visit plantemoran.com.

SOURCE Plante Moran