Automotive Supply Chains Under Pressure: Lessons from Bill Hurles of General Motors

1. Avoid Reactionary Decisions—Work With Your Current Suppliers

Knee-jerk supplier switches can backfire. Hurles cautions that maintaining your existing supply base, when possible, is often the smarter path. Shifting production partners can introduce new quality and delivery risks—especially when your current suppliers have been long-term collaborators.

“I want to stay with my supply base… I don’t want to jump to resourcing immediately. That has huge ramifications on quality, delivery, and the partnerships you’ve built.”

2. Build Flexibility, But Act Decisively When the Time Comes

In uncertain environments, “wait and see” is not a strategy—it’s paralysis. Leaders should remain agile and prepared to pivot quickly. Hurles emphasizes the importance of calculated action even in the face of incomplete information.

“Taking no action at all is the worst thing to do. You need to act on the facts you have—even if they change tomorrow.”

3. Complexity Is the Enemy of Agility—Reduce It Where You Can

Supply chains burdened by an excess of SKUs and low-turn parts suffer when stress hits. Hurles recommends simplifying part portfolios to improve responsiveness and free up capacity for higher-volume, higher-impact products.

“Look at your low-volume parts. Many provide marginal value but consume inventory and cost. Simplifying can benefit both you and your suppliers.”

4. Invest in Deeper Visibility Beyond Tier 1

Most OEMs have good visibility into their Tier 1 suppliers—but true risk often lurks deeper. Building visibility into Tier 2 and 3 suppliers can uncover hidden vulnerabilities and allow earlier, more effective responses.

“Mapping into Tier 2 and Tier 3 is paramount to understanding your true exposure.”

5. Tariffs Are a Catalyst for Innovation—Not Just a Cost Burden

Supply chain leaders should view disruption as a chance to innovate. Hurles notes that crises often push organizations to reimagine processes, reduce waste, and pursue smarter operating models.

“We always say: never let a good crisis go to waste. This is an opportunity to rethink the model and build stronger networks.”

6. Communicate Clearly and Frequently With Your Suppliers

Great supplier relationships begin with open, proactive communication. Hurles emphasizes the need to share intentions early and often—particularly around volume forecasts, timelines, and engineering changes.

“Don’t hold the cards too close to your chest. Let suppliers know your intent on volume, timing, and engineering changes.”

7. Trust Is Built by Doing What You Say, When You Say It

Consistency is the foundation of trust. Hurles believes trust is earned through action—by meeting your commitments and avoiding surprises, even during difficult times.

“Avoid surprises. Follow through. That consistency builds trust and gets you through tough times together.”

8. Plan for Downstream Disruption in the Dealer Network

Dealerships are the final customer-facing node of the automotive supply chain. To avoid empty showrooms and customer frustration, OEMs must closely collaborate with dealers to ensure timely parts availability and consistent communication.

“Customers come first… there’s a lot of focus on anticipated demand and buffering inventory to protect the field.”

9. AI and Analytics Can Help—But Fundamentals Still Matter

Forecasting tools powered by AI can be invaluable, but Hurles cautions that success still depends on the basics: good data, a deep understanding of seasonal trends, and sound inventory strategy.

“AI provides a lot of forecasting capability, but I’m no expert. I’d expect companies are using it to bolster inventory planning right now.”

10. Resilience Requires Ongoing Effort—Not Just Reaction

Post-crisis complacency is dangerous. Hurles urges leaders to keep momentum going even after the chaos subsides. Continuous improvement, scenario planning, and team development must remain a priority.

“Once you come out of a crisis, there’s a tendency to relax. As a leader, you’ve got to keep evolving your organization and growing your skill set.”

🎯 Final Thoughts

Tariffs may be causing short-term pain, but as Bill Hurles reminds us, they’re also a wake-up call. For automotive supply chain leaders, this is a moment to double down on relationships, simplify operations, and prepare for the next disruption—not just survive this one.