Automotive | Supply Chain Solutions

Automotive

The automotive industry is undergoing rapid changes worldwide. While it has always been characterised by modular product structure, complex production process and multi-tiered vendor network, increasing competition and technological advancements have compounded the challenge for automakers to fight on multiple fronts and evolve a successful business model. Efficient procurement planning and production planning in automobile industry already required sophisticated analytical tools and management methods. Increasing competitive pressures to frequently introduce new products, offer large variants of every product, and develop products based on new technology, have made the entire supply chain planning a more challenging exercise. Increasing parity among leading automakers traditional production tools and vendor management practices have made enlightened strategists shift the spotlight on demand planning, integrated supply chain optimization with synchronization of procurement, production and demand plans, and making the supply chain flexible enough to seamlessly accommodate new products and large product variety.

IGSA solutions can help auto companies make demand plans that are customer responsive and simultaneously enable efficient supply and production plans. They can also help with integrated optimal planning of outbound logistical allocations from assembly plants to stockyards to dealers, production mix at plants, and procurement allocations from supplier production facilities to automaker’s assembly plants. In the process, IGSA solutions can contribute to reduce cost-to-serve, enhance customer service, and increase inventory turnover speed throughout the supply chain.

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