Samvardhana Motherson International Limited (SAMIL), through its subsidiary SMRP BV, has initiated a cost optimisation program across Central and Western Europe. The initiative is aimed at improving operational efficiency amid ongoing global challenges in the automotive industry.
In recent years, the company has made significant investments, including 23 acquisitions since 2020. With the automotive landscape facing growing complexity and volatility, Motherson is adjusting its operational footprint to align with market realities.
As part of the plan, the company will work closely with local employee representative bodies to develop and implement a phased workforce realignment in the affected regions. The program targets annual cost savings of approximately EUR 50 million, expected to be fully realised within three years.
The cost areas under evaluation include salaries, employee benefits, overheads, and expenses related to leased and contract workers. Motherson has assured that customer deliveries will continue without disruption throughout the transition. All measures will comply with local laws and regulatory requirements.
These steps reflect the company’s continued focus on long-term sustainability and adaptability. The optimisation efforts are part of a broader strategy to maintain a strong competitive edge in a fast-evolving market.
Samvardhana Motherson International Limited, formerly Motherson Sumi Systems Limited, was founded in 1986 as a joint venture with Japan’s Sumitomo Wiring Systems. The company was listed on Indian stock exchanges in 1993 and has since grown into a global supplier of automotive components for original equipment manufacturers (OEMs).
Operating from over 400 facilities in 44 countries, SAMIL has also diversified into sectors including technology and industrial solutions, medical and healthcare, aerospace, and logistics. Today, the company stands as India’s largest automotive components manufacturer and ranks among the world’s top 15 suppliers to the automotive industry.
