Automotive Industry: Digital Transformation of Supply Chain

Prompt response to changes in the external environment is a serious competitive advantage of any company.

Automotive Industry:
Digital Transformation of Supply Chain

  • 18+ years of transforming automotive business
  • 30+ successful digital transformation projects

The Challenges of Supply Chain Management in Automotive Industry:

  • The supply chain is highly globalized, involving numerous suppliers, manufacturers, and distributors across different countries. The risks of disruptions due to geopolitical tensions, trade policies, and logistical issues.
  • Poor demand forecasting can lead to either overstocking or stockouts, both of which are costly. Just-In-Time (JIT) manufacturing practices, while reducing inventory costs, can amplify the impact of supply chain disruptions.
  • Managing relationships with a vast network of suppliers: ensuring quality standards, managing risks associated with single-source suppliers, and fostering collaboration and innovation. Dependence on single-source suppliers can be particularly risky if there are disruptions.
  • Efficient logistics and transportation are crucial for timely delivery of components and finished vehicles. It includes managing transportation costs, optimizing routes, and dealing with logistical bottlenecks and global shipping issues.
  • Cost Management: rising raw material costs, labor costs, and the need for investment in new technologies can strain budgets. Effective cost management strategies, such as lean manufacturing and strategic sourcing, are essential.
  • Increasing pressure on the industry to adopt sustainable practices (reducing carbon emissions, utilizing eco-friendly materials, and adhering to stringent environmental regulations).
  • Huge SKU number with characteristics and analogues, which is hard to manage.
  • Sales VS Supply capacity conflicts leading to difficulties in building an optimal contract portfolio.
  • Customers are not satisfied with the service level: late or not-in-full deliveries.
  • No detailed tracking of transport order fulfillment, no understanding where the order is and when it is supposed to be delivered to the customers.

Our solution portfolio is focused on digital supply chain excellence since supply chain management is a core value-generating process for Automotive companies. 

We digitize end-to-end Supply Chain Management processes: from planning procurement to last mile delivery to the customers.

Start Your Journey into end-to-end Digital Supply Chain Today

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