Automotive suppliers and Original Equipment Manufacturers (OEM) face a myriad of disruptions in today’s landscape: technological advances, global supply chains, workforce shifts, and regulatory changes. These obstacles are just a few of the aspects automotive companies must consider when building and improving business processes. As automotive suppliers and OEMs continue to navigate increasingly competitive global markets, it is imperative that suppliers and OEMs keep their essential supply chain priorities in focus.

For suppliers

The top priority is keeping an accurate pulse on fluctuations in customer demand ... in real-time. About half of automotive suppliers identify the alignment of operations and forecasting to customer demand as the top challenge facing their current operating model according to Industry Week.

Forecasts and opportunity tracking, stored in a CRM system, should integrate with the ERP and ordering systems that reflect OEM and aftermarket orders.  This integration allows for greater accuracy and increased worker productivity by automating many of the manual forecasting processes. Appirio’s supplier opportunity management framework reduces the headaches suppliers currently face when forecasting demand, while accounting for the individual needs of the business.

For OEMs

Manufacturers need insight and analytics to make decisions on component and parts suppliers. The top priorities for OEMs include supplier performance and capacity — and the majority of OEMs lack the historical data to make future decisions on supplier contracts.

Proper tracking of supplier performance can allow OEMs to conduct improved root-cause analysis, improve buying for efficiency, and ultimately to improve the customer experience. Appirio’s proprietary Warranty Management solution delivers supplier analytics dashboards, connected device management, and integrated field service capabilities to allow OEMs to handle day-to-day operations as well as innovate for the future.

Regardless of sector, automotive companies need an empowered and enabled workforce to mitigate the challenges and priorities of the future. Appirio understands the deep connection between worker experience and company performance — and that any technology or process change should empower rather than burden workers. Reach out to our automotive team to hear more about our sector expertise, automotive research, and our Virtuous Cycle framework.