BETA
This is a BETA experience. You may opt-out by clicking here

More From Forbes

Edit Story

Why Auto Manufacturers Are Turning To The Cloud For Greater Innovation

This article is more than 8 years old.

New vehicle development never sleeps. Ideas that begin in the morning in Japan move the Europe by noon and get worked on in Detroit or Los Angeles by the end of the day. Creating fresh automotive designs is almost always a collaboration among designers, engineers, supply chain experts, and production and services organizations. Cloud-based platforms allow these cross-functional teams to work on new designs in real-time, sharing information to speed up innovation.

The cloud also helps to eliminate information silos that used to keep auto makers bogged down with delays and errors. By sharing more data more often, automakers end up with fewer errors in initial product design and a more efficient supply chain, both of which lead directly to more profits once the vehicle model comes out. The cloud is essential for fast-moving projects where lots of engineers and designers are rotating in and out of the project. Automakers need a single, secure platform with all the knowledge built in, and one that creates insights and market intelligence once the vehicle is released.

Too often auto manufacturers only get a partial view of how product quality is contributing or detracting to customer loyalty and satisfaction. By having a cloud platform that enables 360-degree visibility of product quality and its effects on sales and service, auto manufacturers can quickly determine what aspect of their product design needs the greatest attention.

Auto manufacturers with global cloud collaboration platforms are pulling away from competitors who are stubbornly relying on inward-looking and manual approaches to designing and building new cars. The cloud also can tie into sensors on machines on the shop floor. These manufacturers can set production goals with a level of precision and accuracy not possible with manually-based approaches. Car makers are also increasing their use of tablets and smartphones for inspecting raw materials, quality management, production scheduling and in dealers, sales and service. Cloud platforms tie all those disparate systems and insights together when they're constructed properly by an IT department.

Making the new vehicle creation process more collaborative using cloud computing not only accelerates time-to-market, it also leads to higher quality and new designs that reflect customer requirements.