Germany’s Autobahn highway system is associated worldwide with speed. It’s also an apt metaphor for the automotive industry’s ongoing transformation, due to the digital economy, which is accelerating at a breathtaking rate.
Long known for its massive value chain – involving product innovation, car manufacturing, supplier and dealer relationships, as well as marketing and advertising – the process has delivered consistent profits for decades. The resulting evolution has necessarily been incremental.
Those days are over. New technology is disrupting the traditional automotive industry model and forcing car makers to totally rethink their approach, not only for the physical cars themselves, but also for the services connected to the car.
Recently, Brian Fanzo and Daniel Newman, co-hosts of the popular S.M.A.C. Talk (Social, Mobile, Analytics, Cloud) Technology Podcast, caught up with Uli Muench, global vice president, automotive at SAP SE, on an episode of an extraordinary series titled Digital Industries, which examines how digital transformation is affecting 16 different industries.
The future of travel — and what that means for the automotive business
Every business operating today is a technology business. The most successful automakers understand that thriving in the digital economy requires nothing less than a reimagining of their business models and processes, as well as the way in which we work. This means a focus on elements such mobility, smart vehicles and plants, digitally connected supply chains, and other key technologies.
By following these strategies and building a robust digital core, today’s automakers will be able to keep pace with the dizzying speed of the digital revolution.
Transforming into a truly digital business is so much more than just implementing new technology to meet the demands of a digital age. It’s more than keeping up with the deluge of transformation happening all around us. Digital transformation is about understanding how to harness these changes and incorporate them into your business strategy. It’s about driving agility, connectivity, analytics, and collaboration to run a Live Business. A digital core empowers you with real-time visibility into all mission-critical business processes inside your “four walls,” and in your interactions with customers, suppliers, workforce, Big Data, and the Internet of Things.
To listen this episode of Digital Industries for the automotive industry, co-produced by SAP and S.M.A.C. Talk Technology Podcast, click here. For more on how SAP can help you drive your own digital transformation in the automotive industry, visit us online.
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About Judy Cubiss
Judy is director of content marketing for Finance at SAP. She has worked in the software industry for over 20 years in a variety of roles, including consulting, product management, solution management, and content marketing in both Europe and the United States.
About Ginger Shimp
With more than 20 years’ experience in marketing, Ginger Shimp has been with SAP since 2004. She has won numerous awards and honors at SAP, including being designated “Top Talent” for two consecutive years. Not only is she a Professional Certified Marketer with the American Marketing Association, but she's also earned her Connoisseur's Certificate in California Reds from the Chicago Wine School. She holds a bachelor's degree in journalism from the University of San Francisco, and an MBA in marketing and managerial economics from the Kellogg Graduate School of Management at Northwestern University.
Personally, Ginger is the proud mother of a precocious son and happy wife of one of YouTube's 10 EDU Gurus, Ed Shimp.