DEALING WITH UNCERTAINTIES

Automotive SCM is considered to be one of the strongest SCM across the industries. It is a fast-evolving, lean, and efficient model that has seen continuous improvement over decades, covering various stakeholders.

- Birender Siwach

One of the biggest challenges brought by COVID-19 pandemic that we, as an industry, are facing, is ensuring the supply chain remains undisrupted. The supply chain of the automotive industry is unique as compared to the other sectors, because of the given number of stakeholders involved, the new disruptive trends, availability of raw materials that require global coordination and adhere to strict timelines. This has also helped the industry evolve and create one of the best supply chain systems across sectors.

In a joint report by Thomson Reuters and AIAG, the concerns regarding the automotive supply chain are exacerbated by the acceleration towards electrification and automation, as well as the demand for more features in standard vehicles at a lower cost. However, there are always newer systems that can be implemented, which can help optimise processes.

ERP Systems: Enterprise Resource Planning (ERP) in SCM is very critical for manufacturing and distribution business as it helps in gaining greater transparency and managing business information, integrating various systems, working processes, and ensuring optimal operational efficiency.