Managing Challenges In Auto Industry

Challenges are not new to the automotive industry. It has faced several challenges before. Those who handled them well continue to be market leaders. The situation is no different now, although the challenges are different. The chip shortage is forcing vehicle makers to shift to a make-to-order model, but with a pricing advantage. The lack of driving pattern data for Electric Vehicles (EVs) makes it difficult to price insurance policies for them. The increasing size of electric SUVs makes them accident prone. Vehicles are found to have many features, many of which customers never use. This situation should also change to manage the chip crisis. To improve vehicle quality at Honda Cars India, a control system was designed to identify product defects in real-time. The use of IoT on the shop floor enabled end-to-end part traceability and significantly reduced manual effort. Here are some recent challenges faced by the auto industry and some more interesting updates reported in the media.

Make-to-order to manage chip shortage

It turns out auto executives are doing some serious plotting as to how they’ll run their businesses differently once an ample supply of semiconductors is restored. This year, though, the scarcity of chips has forced…