AVG Automotive Group

AVG AUTOMOTIVE GROUP

Headquartered in Toronto, Canada, AVG Automotive Group (AVG) designs, engineers, develops, and delivers automotive accessories as a Tier 1 and Tier 2 supplier to original equipment manufacturers (OEMs). The company focuses on creating accessory solutions that enhance the car customer’s experience along three avenues: audio optimization, cosmetic enhancement, and functionality improvement. AVG’s dedication to customer support and expertise in supply chain management has convinced many automotive OEMs to place their trust in the company’s ability to supply its accessories in a timely fashion. As a result, AVG has successfully developed a worldwide reputation as a manufacturer of high-quality and innovative automotive accessories.

AVG Automotive Group was established in 2000 by its current CEO, Ayaz Somani, and current President, Karim Suleman. This group of companies includes AVG (OEAM) Inc., AVG (OEM) Inc., and the National Automotive Customizers Inc. In May 2017, the company launched AVG North America, a manufacturing and logistics facility in Gas City, Indiana. Somani has been in the automotive customization business for over 30 years, building numerous relationships and networks within the industry that have helped AVG attract new customers, while Suleman has been involved in the field of business development for nearly 30 years, developing expertise in business structuring, strategic management, and financing. Together, Somani and Suleman have led AVG’s rapid growth since the company’s inception.

Somani and Suleman understand the value of being adaptable, which is why the majority of the company’s employees are engineers who can design and develop new products. Production of the parts required is then outsourced to other manufacturers with expertise in manufacturing those particular products, and final assembly of the product takes place at AVG. This system allows AVG to focus on developing new products based on emerging trends and technologies, and to quickly update existing products when required. Fortunately, not only do the manufacturers with whom AVG works have the expertise and capacity to make these quick product adjustments, they also share AVG’s desire to deliver world-class products.

One of AVG’s most unique products is the Digital Power Station (DPS), developed by award-winning recording engineer and producer, Tony Bongiovi.

One of AVG’s most unique products is the Digital Power Station (DPS), developed by award-winning recording engineer and producer, Tony Bongiovi. This technology provides a solution to the audio quality degradation that occurs in automotive vehicles as a result of digital media compression. The DPS adjusts and enhances the sound coming from speakers in real time to create “studio quality sound.” The innovative technology is offered to customers through an external plug-in application, an internal radio integration, a portable headphone solution, or even a speaker-less car solution with the DPS embedded in the car’s headliner materials. Examples of other accessories offered by AVG include 360-degree viewing systems, accelerated chargers, and enhanced mirror systems that are capable of functions such as opening the garage door.

Although AVG is well known for its innovative accessories, the company’s supply chain management is what differentiates it from competitors. AVG has ensured that it is capable of managing every aspect of its supply chain, which includes the design, engineering, manufacturing, logistics, and installation of products. In addition to being able to deliver its products to all three points of the post-production option space (i.e., factory, port, and dealer), AVG has the unique ability to offer turnkey port installation fulfilment programs. For OEMs that provide their own port installation services, AVG offers an installation training program; otherwise, AVG employee-installers will work on site at the OEM ports, and are integrated into the OEM’s logistics intelligence and vehicle flows.

Multiple global OEMs have recognized that AVG has equipped itself to effectively manufacture accessories and provide customer support as both a Tier 1 and Tier 2 supplier.

While customers appreciate this superior supply chain management, which enables AVG to continuously optimize the processes that develop and deliver high-quality and innovative accessories, they also value AVG’s various customer management services. The company offers a plethora of such services, including product development, engineering, and marketing support. AVG assists customers at each stage of a product’s development, working closely with them from the program concept up to the full product launch and production support. Multiple global OEMs have recognized that AVG has equipped itself to effectively manufacture accessories and provide customer support as both a Tier 1 and Tier 2 supplier.

AVG’s dedication to both supply chain management and customer service is the main reason that the company has been able to grow so rapidly. Repeatedly, AVG has demonstrated to customers that within a short product development cycle, it is capable of manufacturing top-quality products and meeting customer requirements and functionality. Contracts are awarded on a four-year basis, and the company’s continuous drive to put the customer first allows it to create new products with the confidence that current and new customers will be willing to award the company a contract. For example, customers to which AVG currently delivers products include Kia, General Motors, Hyundai, Toyota, Nissan, and Lexus. Moreover, AVG has already been awarded additional contracts for future delivery from Toyota, and Nissan.

The rapid growth AVG has enjoyed means that Somani and Suleman are always looking to hire new employees who exhibit creativity, passion, and a drive to succeed. The company fosters a culture of creativity that allows all employees to proactively present new product ideas to customers and to deliver on solutions that meet or exceed customer expectations. Once new ideas have been formed, passionate and hard-working individuals consistently convert them into complete solutions. Somani and Suleman also ensure that AVG’s employees understand their value and feel appreciated by inviting all employees to offer input in strategic discussions and participate in critical decisions.

Moving forward, AVG plans to keep expanding worldwide by entering the Middle East and North Africa (MENA) region, Asia Pacific, and Central and Latin America region. The company continues to analyze emerging technologies in order to come up with innovative ideas for new accessories. Somani believes that if the company keeps capitalizing on emerging trends, grows its network, stays adaptable, and further improves its supply chain management and customer service, it can continue its promising growth patterns well into the future.

For more information visit the company’s website.

Published on March 12, 2019

Company Profile

Company Description

Overview

  • Headquartered in Toronto, Canada, the AVG Automotive Group (AVG) designs, engineers, develops, and delivers automotive accessories as a Tier 1 or Tier 2 to Original Equipment Manufacturers (OEMs). The company focuses on creating accessory solutions that enhance the car customer’s experience along three avenues; audio optimization, cosmetic enhancement, and functionality improvement. AVG has successfully developed a worldwide reputation as a manufacturer of high-quality and innovative automotive accessories.

Key Facts

  • Headquarters: 605 Middlefield Rd., Unit 1, Toronto, Ontario, M1V 5B9
  • Executives:
    • CEO: Ayaz Somani
    • President: Karim Suleman
    • COO/VP of Engineering: Dean Molde
    • Managing Director: Mangesh Soman
  • Year Established: 2000

Line of Business

  • NAICS Code: 336390 - Other Motor Vehicle Parts Manufacturing

Products

Markets

  • OEM Customers
    • Toyota
    • Nissan
    • Lexus
    • Hyundai
    • General Motors
    • Kia
  • Exports: 90%+ of our products are exported to the USA and Mexico.

R&D, Skills, and Educational Needs

  • R&D: currently being conducted on emerging technologies such as;
    • Speaker-less cars
    • Connected cars
    • Solar powered car battery rechargers
  • Skills: AVG is capable of designing and manufacturing innovative automotive accessories, and has created an inclusive environment and employs individuals who are creative, passionate, and driven to succeed
  • Education: AVG typically hires various types of engineers

History

  • The AVG Automotive Group was established in 2000 by current CEO, Ayaz Somani, and current President, Karim Suleman. This group of companies includes AVG (OEAM) Inc., AVG (OEM) Inc., and the National Automotive Customizers Inc. Together, Somani and Suleman have led the rapid growth experienced by AVG since its inception. In May of 2017, the company launched AVG North America, a manufacturing and logistics facility in Gas City, Indiana.

Competitive Environment

Competitors

  • Due to its unique business structure and ability to quickly adapt to new technologies and trends, AVG does not have any competitors that are also capable of providing multiple OEMs with a diverse set of innovative automotive accessories.

SWOT Analysis

  • Strengths:
    • Developed a reputation as a manufacturer of high-quality automotive accessories
    • Excellent supply chain management, ensuring timely delivery of all products
    • Consistently provides customers with a pleasant experience, and offers a variety of customer support services
    • Capable of responding immediately to market changes and improving existing products
  • Weaknesses:
    • Rely heavily on the performance of other companies to produce high-quality parts in a timely fashion
  • Opportunities:
    • Continue to develop automotive accessories based on new technologies and emerging trends
    • Expand sales into the Middle East & North African (MENA), Asia Pacific, and Central & Latin American regions
  • Threats:
    • Rapid growth could make it difficult to find employees who are suitable for the company culture

Performance

Awards

  • Toyota Motor Sales Inc. – Supplier Quality Gold Award (2018)
  • Toyota Motor Sales Inc. – Supplier Quality Gold Award (2016)
  • Toyota Motor Sales Inc. – Supplier Quality Platinum Award (2014)
  • Toyota Motor Sales Inc. – Supplier Quality Gold Award (2013)

OTHER PROFILES