Providing a platform for the development of future technologies, information and communication technology (ICT) could enable automotive companies to meet current industry challenges, which include the rise of new growth markets, changing consumer behaviour and the need for improved fuel efficiency, says ICT solutions provider T-Systems.

The concept of a connected car, for instance, is being developed by leading automotive manufacturers in Europe and the US, highlights T-Systems automotive business operations head Michael Frans, who defines a connected car as an ICT solution that facilitates communication between the driver, the vehicle, the manufacturer of the vehicle and the manufacturer’s dealer network.

The solution, which is available to local manufacturers from T-Systems, enables a driver to access the Internet from his or her vehicle; it also enables a vehicle to communicate to the value- chain network when there is a fault or when it is due for a service. This, in turn, enables the dealership to order the necessary parts for the service and allows for the manufacturer to address any design or manufacturing faults.

“A connected car enables the manufacturer to plan better. Moreover, any quality improvement requirements can be mapped quickly using this technology, thereby improving the quality of the product and the customer’s experience. Ultimately, it enhances the relationship between the automotive value chain and the customer,” Frans avers.

He adds that a connected car also benefits a driver in terms of safety and security, as any critical error or failure in the vehicle will be communicated to the vehicle’s on-board computer, which will subsequently request roadside assistance, if necessary.

Frans points out that mobile applications (apps), such as the Johannesburg Road Agency’s (JRA’s) Find & Fix app, which enables commuters in the city to report potholes to the JRA for repair, could be integrated with a connected car.

Connected cars could also be expanded to report traffic incidents and provide drivers with alternative routes to avoid congested areas. “This illustrates how the value of the network starts to develop into more than the sum of its parts.”

Frans tells Engineering News that, to remain competitive, automotive industry stakeholders need to embrace innovation to enable proactive responses to these challenges. “Digital transformation and the ability to strengthen relationships between automotive stakeholders and their customers are key in taking the automotive industry into the future.”

He highlights that undergoing digital transformation and improving relationships with customers require automotive stakeholders to recognise two trends: the age of the customer and the age of the user.

The age of the customer accepts that the customer likes to have some control over the final product, particularly in terms of customised product offerings, while the age of the user prioritises the customer’s demand for fast, reliable and consistent service delivery.

Frans points out, however, that addressing the needs of customers according to these trends is challenging for automotive companies, as they need to strike a balance between tight budgets and limited resources to ensure operational integrity.

He asserts that, by adopting ICT systems to promote digital transformation, automotive companies will be better equipped to deal with the challenge of balancing customer needs with the operational requirements of a business.

He adds that T-Systems helps businesses control product development through an integrated product life-cycle management system. The company also offers a supply chain management system, which ensures that raw materials are delivered in the correct amounts at the correct time.

T-Systems also offers ICT solutions that allow for improved collaboration and faster time-to-market responses. This is particularly important for multinational automotive corporations with a local presence and a parent company situated outside local borders – much like major automotive companies originating from the US, Europe or Asia that have operations in South Africa.

“While automotive companies are embracing digital transformation, it becomes difficult when dealing with multinational corporations, as many of the programmes developed by the parent company are not prioritised or appropriate for the Southern Africa markets,” Frans explains.

He adds that, because the parent company determines many of the production processes within multinationals, delivering customised products within Southern Africa markets becomes difficult, as the local company requires authorisation from the parent company, which might delay delivery.

“T-Systems works with its customers to develop regional responses to customer needs within the guidelines of multinational corporate policies.

“To lower costs for companies, digital transformation, as well as the ability of T-Systems to integrate the global expertise of multinationals into the requirements of the local company, is important, as it ensures consistent quality,” Frans concludes.