Automotive manufacturers strive to continually meet these high expectations by continually developing new and innovative features that will continually drive new interest and push enthusiasm from customers. Automotive manufacturers must continue to consistently meet and surpass these expectations as consumers continue to demand more out of their cars. While it may seem that consumers are frustrated with the pace of change in the Automotive Industry, the fact is that they’re also savvy enough to understand that changing times do bring with them new opportunities. As the Automotive industry continues to evolve and grow, the competition will increase, providing additional opportunities for Automotive manufacturers to provide products of excellence while benefiting from the increased competition.
With the ongoing evolution of Automotive manufacturing and innovation, Automotive manufacturers are implementing new business models to capitalize on their competitive advantage. Traditional Automotive manufacturing has focused more on process integration rather than product innovation or connectivity. Process integration allows Automotive manufacturers to implement standardized processes across all Automotive processes without requiring significant expense to change Automotive manufacturing processes. Automotive manufacturers have focused their business models on making their Automotive production process more “plug and play”, which has reduced their ability to innovate and invest in new technology. The result is that Automotive manufacturers have been unable to develop effective business models that incorporate new connectivity and mobility solutions that will provide Automotive consumers with a seamless experience.
Automotive manufacturers are implementing new business models such as supplier relationship management and vehicle sales channels to improve the efficiency and optimize customer relationships. Automotive manufacturers are developing supplier relationship management software to better coordinate with their Automotive and suppliers to optimize the flow of business between the two companies. Vehicle channel programs are also being developed that will allow Automotive manufacturers to leverage their customer’s data to optimize their customer acquisition strategies and improve customer loyalty. Both of these strategies will create an increase in Automotive profits. These strategies will also create greater market share for Automotive manufacturers, reduce costs and streamline operations.
Automotive manufacturers are changing their business models to become more “plug and play” in order to become more nimble in their movements to create new business opportunities and penetrate existing markets. Automotive manufacturers have traditionally focused their marketing budgets on customers who buy their traditional Automotive products and services. As a result, Automotive manufacturers have not been able to effectively compete against other brands when it comes to marketing and promoting new vehicles. By implementing new business models such as E-marketing and Web Marketing Automotive manufacturers will be able to develop new markets, increase their visibility in their areas of responsibility and capture more consumers.
Automotive manufacturers have identified five autonomous vehicle technologies that have the potential to completely revolutionize the Automotive industry. These technologies include Computer assisted steering, Real time diagnostic, autonomous driving, automatic data transmission and cellular connectivity. In addition, many automotive manufacturers are using these same technologies in their production facilities. These computer assisted steering and real time diagnostic programs help the ASE computers in the cars determine the condition of the roadways ahead and determine the best route and speed to travel. The programs also help drivers in their blind spots by adjusting the car’s traction. On the other hand, self-driving vehicles will help drivers to fully control their autonomous systems, including the emergency functions like braking and turning the auto in reverse.
Vehicle complexity is another component of Automotive industry that will be disrupted by autonomous vehicles. Many in the Automotive industry believe vehicle complexity can be reduced by up to fifty percent by implementing new manufacturing techniques, better manufacturing processes and by rethinking the design of some Automotive products. Additionally, future vehicles will have a greater safety rating due to reduced risk in collisions and driver error. Automotive manufacturers are also exploring new ways to test the vehicles for crash protection. Automotive manufacturers are exploring the introduction of crash avoidance systems which use LATCH and OPDS. These systems incorporate a locking mechanism that prevents the vehicle from being driven into a stationary obstacle.
Automotive manufacturers are also exploring new and innovative solutions to the problem of connectivity. Connectivity refers to all of the functions that make a vehicle to work and communicate with its surroundings including telematics, diagnostics and in-car applications. The automotive industry has been traditionally focused on internal connectivity and has not considered external connectivity as an important factor in the design of modern vehicles. However, new vehicle models will offer an assortment of connectivity options and it is likely that new vehicles will include a form of electric vehicle technology.
Automotive industry experts believe that the changes outlined in this article are likely to reduce the automobile industry’s annual revenues for at least five years. It is likely that the automobile industry will continue to focus on efficiency and on reducing costs. These changes come at a time when consumers are struggling to save money. Automotive manufacturers are likely to make these changes in response to consumer demands and industry initiatives.