Antolin today

Conversation with the Chairman
Ernesto Antolin

01

The transformation plan designed by Antolin and aimed at leading mobility from inside the vehicle was launched in 2023. How would you describe this first year? What advances have generated the greatest impact?

The transformation process we have implemented must be considered as a future project in which Antolin’s employees are building a new era on firmer foundations with a more profitable and value generating business. This will enable us to respond and adapt to the technological and regulatory changes we are experiencing in the industry in a macroeconomic context with growing competitive pressure. We are ambitious, showing the same ambition that has led us to become the worldwide leaders in the vehicle interior business, serving more than 100 brands.

We want to be a leading and profitable company driven by its capacity for innovation and managed by top-tier professionals with financial, industrial and operational excellence. Therefore, the first step has been to reinforce our organization and commit to a change of culture with a new way of working that is more flexible, cross-cutting, inspiring, collaborative and customer-centric. The basis of any change is always the people, who are the main players in our transformation.

At the same time, we have made progress in the plan’s main lines, which cover all scopes of the business, from accelerating the digitization of our processes to expanding the product portfolio, by taking advantage of the changes in vehicles brought by the new mobility. In a challenging environment that requires being as efficient and competitive as possible, we are unfolding in our plants projects based on the Internet of Things, advanced robotics and smart energy, which is currently implemented in seven factories. The aim is to achieve the most efficient and competitive industrial network in the industry.

Another important point is to consolidate ourselves in markets where we have more potential for growth. The best example was our presence at the latest edition of the Shanghai International Automobile Industry Exhibition, currently the largest showcase in the industry in Asia. Customers in China had the opportunity to see first-hand our comprehensive portfolio of products and solutions for the vehicle interior in areas such as functional lighting, smart surfaces and sustainability. Thanks to the improvement of our technological capabilities and innovation, the business units have entered new and significant projects with customers. The result of it all is that Antolin’s components are currently in more than 600 vehicle models in all major automotive markets.

02

The innovation and technological development of Antolin's solutions are strategic levers in the company's transformation process aimed at leading the change that vehicles and their interior are experiencing. What does this evolution consist in and how is it materialized?

Our innovation strategy aims to address a changing mobility that is changing. Connectivity, digitization and new technlogies such as the electric motor, in conjunction with a consumer that wants more sustainable consumer goods, are joining forces to transform our main means of transport, which will continue to be the car, and the travel experience it provides. We are talking about a vehicle as a sustainable and advanced space, which will have new entertainment or work-related functions and where one will be able to interact with the environment, other cars and the infrastructure itself. Let me give just a few examples of the work carried out by Antolin during 2023. We have been developing a vehicle access system with several technology partners that allows accessing the vehicle or even starting it by voice or facial recognition. Another interesting example of this transformation that vehicles are experiencing, and of how we are researching its application to our solutions, is our Genius project. By means of a system of sensors installed in the vehicle compartment, we are able to monitor, analyze and interpret the user’s cognitive and emotional state.

Depending on the identified state, we can improve the passenger’s safety, comfort and experience using external stimuli such as lighting, sound or aromas.

The potential of all these new technologies is enormous, and the goal is to offer a smart vehicle interior that automatically adapts to the needs of each person. The strategy is to make the most of this change in order to offer more value to our solutions and components, thus strengthening our business model. As an expert in this field, our customers expect us to evolve the interior of their future vehicles by integrating all this technology while maintaining the perceived quality of the components at competitive costs. In fact, some of the innovation projects initiated in 2023 are being developed in close collaboration with the innovation and design departments of several vehicle manufacturers. On this point, it is important to mention all the collaborations we have with partners that provide cutting-edge technologies that we can integrate into our solutions.

During the year, we signed agreements with Biometric Vox, involving the voice-activated vehicle access system, and with VIA optronics, with which we are working on developing a wider range of interactive screen solutions.

03

The company is focusing on offering innovative technological solutions aimed at creating smart, safe and comfortable interiors, as well as more environmentally friendly. How can we achieve this marriage between innovation and sustainability? What are the main achievements of the year?

Innovation is to us a fundamental lever for improving our position as a company that offers sustainable solutions to customers. This is why we have decided to integrate our resources and competence in sustainability into the Innovation Department, which will lead to greater efficiency and better results in both areas of work. Consequently, it will enable us not only to fulfill the requirements of innovation of our more technology-oriented customers, but also those that affect aspects of sustainability, such as recyclability, weight reduction, the circular economy and eco-design.

This marriage between innovation and sustainability has enabled us to develop a new material made from mycelium, which is part of the vegetative growth of fungi. In other words, by making the most of the infinite resources provided by nature, we can offer customers a biodegradable product with zero emissions. In the sphere of recycling, we are researching the use of all types of organic and inorganic waste as a basis for future materials that are more environmentally friendly.

These projects are already generating a positive impact on the market, such as the sustainable headliners equipped in Volvo and Volkswagen models. Our commitment is to incorporate 40% of sustainable plastic into the products supplied to customers by 2030.

Following this strategy, in 2023 we have continued to make progress on all the environmental objectives we have set for the coming years, that is, on reducing our corporate environmental footprint and minimizing the impact of our products. Our goal is to become a carbon-neutral company by 2050, consolidating ourselves as a circular business. Antolin thus contributes to the unstoppable decarbonization process in the automotive industry.

04

Among the year's milestones, an improvement in the ratings provided by the main ESG rating agencies stands out. What does this consistent presence among the most prestigious ratings involve for Antolin?

The improvement we have achieved in some of the main international sustainability classifications, such as Moody’s ESG Solutions, S&P global and Sustainalytics, is a sign that we are on the right path when it comes to our commitment towards advancing in sustainability and our business responsibility. We aim to be a benchmark in material issues that concern our stakeholders, such as environmental management, human rights and the sustainability of the supply chain. We hope to continue improving the rating of our environmental, social and governance performance among the ESG rating agencies and customers.

Companies have the responsibility of building a fairer world and tackling the climate emergency, poverty and inequality in certain regions. In addition, in terms of the new mobility, the vehicle is the reflection of a consumer who not only seeks to travel from point A to point B, but who also wants this experience to be consistent with their values and vision of the world. Therefore, apart from considering issues such as the vehicle’s cost, safety or comfort, they also require manufacturers to commit to sustainability. They demand from the companies behind the vehicle to conduct themselves following the environmental commitments and to contribute to social development, as well as to act in accordance with clear principles and values, while applying the highest standards of good governance.

Another acknowledgement worthy of mention is that given by SupplierAssurance for our sustainable performance. In this industry, it is impossible to move forward with comprehensive sustainability in the entire business cycle if all the players involved do not move forward together with clear goals. A sound sustainability performance of our chain is essential, and it is part of our commitment towards excellence, innovation, transparency and a sustainable performance in the eyes of the sector and customers.

05

This responsible management of the supply chain is a requirement of your customers, who also value the commitment to a sustainable business model and innovation. How are you working towards meeting all your customers' needs?

A clear goal of our transformation process is to reinforce our customer orientation by strengthening relationships with all of them. This includes ensuring the sustainable business model that I explained beforehand, based on flexibility, the quality of services and products, state-of-the-art technology and cutting-edge design. We have to meet our customers’ needs by helping them move forward in their own business strategy. The best example is the work we do to improve the performance of their electric vehicles, which ranges from optimizing their thermal and acoustic insulation to making the components lighter, with the aim of increasing their autonomy, and developing natural materials. We currently have around 200 ecological models on the market.

In this sense, the efforts made by the teams in boosting technical promotion activities in all regions are very important, both at global exhibitions —I already mentioned our presence at the Shanghai International Automobile Industry Exhibition— and at the customers’ facilities. Vehicle brands from around the world, including consolidated manufacturers and new entrants in the electric mobility market, trust the innovative capacity, technological leadership and experience accumulated by Antolin in the industry. We have gained this trust after years standing by our customers and helping them grow and transform. If we consider the sizeable technological and regulatory challenges faced by the industry, it is time to further strengthen this relationship with vehicle manufacturers.

06

One of the major challenges that the sector is facing is the search for the professional profiles required to overcome the challenges of Industry 4.0. How is Antolin addressing this situation? What role does a differential employee's experience play in attracting talent?

The success of any business project is based on the talent and commitment of the collaborators, because, in the end, the strategies and initiatives are designed by people. Managing teams demands the utmost from organizations in a context of stiff competition to attract the best talent, which in many profiles is lacking, or the paradigm shift in the mindset of the new generations. Young people demand more job flexibility, work-life balance and clear expectations of professional development. This opportunity was seized by the 21 youths who completed our latest IT Bootcamp, Finance Bootcamp and Dual Training programs.

These challenges require a long-term strategy, which for Antolin involves fostering aspects such as continuous learning, attending to the team’s diversity in order to develop talent or opting for flexibility as an organizational model. Training is another key aspect, as is the leadership capabilities of the people responsible in an environment with extremely stringent demands. With this in mind, in 2023 we implemented the Goodhabitz tool, which focuses on an innovative and effective approach to training, so employees can decide what to learn in relation to the development of communication skills, technology or marketing, and more importantly, when to learn it. As regards leadership, our executives participated in a program delivered by the renowned International Institute for Management Development. The aim was to reinforce their skills to better guide their teams towards a culture of change management in the company and achievement of results.

07

Lastly, with a more medium-long term outlook, which is the vision of the future for Antolin's Chairman? If we were to imagine where the company will be in five years, what elements do you see in this projection?

At Antolin, we are not only looking to the future with excitement, but also with determination and firmness so as to make the decisions required to drive our business. This will enable us to move forward in the new era that we, the nearly 22,000 collaborators, are building. Mobility and our environment are changing, and Antolin wants to play the leading role in this change by contributing with value to all our stakeholders through the vehicle interior, as well as via the people’s interior. The aim is to increase our profitability and the strength of the business in a timeframe of a few years by broadening the customer base with new projects that provide added value. We are also working towards gaining further presence in the regions that will lead the major growth of the coming years.

We want to consolidate Antolin as a leading manufacturer in terms of profitability, innovation and sustainability. As a result, we will help our customers in the process of change they are experiencing. Our company is about to turn 75. I am convinced that the next 75 years will be better, and they will be so because we have the people and talent and because we all share the same ambition and commitment.

2023 Milestones

Cristina Blanco,
new CEO

One of her main challenges is to accelerate the implementation of the transformation process, in which she actively partook

Innovation,
strategic lever

  • Presentation of the new concept car Antolin VIVAR
  • Development of a smart intralogistics system aimed at improving the efficiency of factories, with Keyland as a strategic partner

Promotion of
responsible business

  • Approval of the target of 40% sustainable plastic material by 2030
  • 12.42% increase in the consumption of renewable energy
  •  Reduction of 7% in the Frequency Index (2.97)
  • Delegated committees’ structure review with expansion of the knowledge matrix, experience and responsibilities
  • 88% of our productive and investments suppliers accepted the Supplier Code of Conduct

Participation at forums and events

  • Participation at The Automotive Decarbonization and Sustainability Summit 2023, within the Green & Smart Auto Shanghai in China
  • DVN Workshop in Cologne to present functional surfaces and integrated products
  • Ernesto Antolin at the 27th edition of the Automotive Quality 4.0 Congress
  • María Helena Antolin at the Future Mobility Challenges Forum, held by FACYL and Polo de la Automoción, and at the 4th Edition of the International Forum held by Expansión

Main figures