CHALLENGES FOR AUTOMOTIVE PARTS SUPPLIERS

[Translate to English:] Automobilzulieferer

 

VERTICALLY AND HORIZONTALLY INTEGRATED: THE ERP SYSTEM FOR AUTOMOTIVE PARTS SUPPLIERS

The automotive industry is experiencing a rapid pace of change: automotive customers expect vehicles to be increasingly personalised, and equipped with modern computing and communications equipment as ‘connected cars’. Alongside the still standard combustion engine, electromobility is now an increasingly attractive alternative, with new players like Tesla appearing on the market almost overnight. Asian manufacturers are also taking more and more market share. All of this toughens the competitive environment and puts pressure on costs.

 

AUTOMOTIVE PARTS SUPPLIERS PRESSURED BY OEMS

OEMs are responding to this development by increasing pressure on their suppliers. OEMs expect input from automotive parts suppliers at an early stage in development, and they also expect high-quality, attractively-priced products that are typically produced flexibly and to be delivered either just in time or just in sequence. Apart from product quality, process quality also has a decisive role to play here: automotive parts suppliers won’t even be considered if they can’t comply with data exchange standards, for example. In contrast, those who satisfy these stringent requirements can establish themselves as long-term strategic partners.

 

VERTICAL AND HORIZONTAL INTEGRATION WITH THE ERP SYSTEM FOR AUTOMOTIVE PARTS SUPPLIERS

All of this depends on automotive parts suppliers continuing to expand both their vertical integration (with the OEM and their input suppliers) and their horizontal integration (between the individual business departments). This, in turn, makes an ERP system for automotive parts suppliers necessary that supports all of the processes between supplier and manufacturer, within the departments and between the departments.

SAP BUSINESS ALL-IN-ONE IS THE PERFECT MATCH FOR THESE REQUIREMENTS!

Where automotive parts suppliers work with OEMs to develop new parts, all stakeholders have to be on the same page as regards changes. SAP Business All-in-One offers change management functionality that can be used for the rapid location and tracking of all changes.

Flexible production requires the precise control of plant and machinery. SAP Business All-in-One lets automotive parts suppliers integrate the OEM’s forecast and just-in-time delivery schedules directly into production planning and production control.

With SAP Business All-in-One, all information – from forecast delivery schedule to complaint – can be exchanged reliably via EDI.