Accelerating supply chain planning in the automotive industry

By May 27, 2022 Blog

Accelerating supply chain planning in the automotive industry

Rocky roads or smooth sailing? Amid ongoing supply chain disruptions, automotive aftermarket suppliers are operating under a new set of rules.

The aftermarket supply chain sometimes struggles to manage a variety of parts, varying demand patterns, large numbers of vendors, inefficient legacy systems, and third parties to coordinate effective distribution. Some trends reshaping planning in the automotive supply chain include:

  • Long product support with a baseline forecast for demand profiling, based on a seasonal/non-seasonal item across the network
  • Introduction of new product categories to support vehicle electrification, connectivity, and autonomy
  • Fast innovators bringing products to market quickly and proactively to balance product flow and costs throughout a product’s life cycle
  • The need for better forecast accuracy to identify customer order trends and improve near-term forecasting
  • Improved upstream supply chain processes that improve supplier qualification / reduce supplier variability
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 Chetan Kulkarni, Dharmesh Lal, and Abhishek Mishra, Trinamix

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