AUTOMOTIVE

Tier 1 Powertrain and Driveline

World's Most Productive Companies

Shifting Dynamics in Powertrain and Driveline Systems

Tier 1 Powertrain and Driveline manufacturers are key suppliers in the automotive industry, focusing on propulsion, motion, and underbody systems. Their offerings include transmissions, driveline modules, turbochargers, e-motors, and braking systems, often designed for both combustion and electrified vehicle platforms. The companies face ever-tightening emissions regulations, cyclical end-user demand, concentrated customer bases, commodity and logistics volatility, and intense pressure for new product introductions.
 
Productivity has been impacted over the last few years by COVID volatility, chip shortages and recovery, tighter U.S. and EU emissions rules, accelerating electrification, freight and Class 8 cycles, shipping/logistics disruptions, and commodity cost shocks.
 
Auto Tier 1 Powertrain

Top 100 World's Most Productive Companies - Tier 1 Powertrain and Driveline

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Garett Advancing Motion

Productivity Snapshot

The Powertrain and Driveline Peer Group experienced a similar productivity trend to many other industries and peer groups: a surge in productivity from 2020 to 2023, followed by a regression to declining productivity in 2023 and 2024.
 
  • Productivity for the sector grew overall by 13.6% over the last six years, a strong result compared to most other peer groups.

  • All of these companies had negative productivity growth in 2023 and 2024.

  • 2024 Productivity declined an average of 6.4% across these companies.

  • Cummins earned its position within the LNS 2025 World’s Most Productive Companies by growing productivity 16.0% over the last six years, which is more than 17.7% above the average of its peers. Cummins' leading productivity performance is achieved by systematically investing in plant modernization, process efficiency, energy and emissions reduction projects, and modular product designs—often more aggressively than its peers.

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