Tag Archives: Automotive Industry

Automobiles are becoming smarter thanks to advancing technologies and manufacturing practices. Nowadays, vehicles can communicate with each other, people and networks to increase safety due to artificial intelligence (AI) and machine learning (ML). What if cars on the road could communicate with everything? This technology is in the works through vehicle-to-everything (V2X) communication. Here’s a guide on V2X, its benefits and what it means for auto manufacturing.

The Role of V2X Communication

Automotive communication systems date back nearly half a century as manufacturers started designing systems to let vehicles communicate with each other in the 1970s — a concept known as vehicle-to-vehicle (V2V). V2V is still evolving, with Volvo and FedEx experimenting with automated platooning in Europe and pairing groups of trucks to follow each other on the highway.

Other types of vehicular communication include:

• Vehicle to Device (V2D)
• Vehicle to Network (V2N)
• Vehicle to Grid (V2G)

V2N will be critical as researchers continue improving 5G. With this system, cars will send information across networks through LTE and 5G. Experts say about 90% of American mobile connections by 2030 will be through 5G.

V2X in Auto Manufacturing

V2X is a critical technology because it combines all types of vehicular communication into one system. With this advanced mechanism, cars will be more intelligent than ever and could establish themselves as better drivers than humans. Auto manufacturers are trying to accomplish this feat with self-driving vehicles, but the industry hasn’t reached fully autonomous operations yet.

Improving V2X is essential in the race for self-driving vehicles, as this technology lets cars see and understand the world around them. An autonomous car or truck must be able to react quickly to traffic jams, emergency vehicles passing, animals crossing the road and other sudden events. Vehicles could work together and make the streets safer, thus creating a safer environment for autonomous machines.

V2X Applications

V2X offers opportunities to integrate all these technologies into one machine. This vehicular communication system exists in limited numbers currently but could soon make its way into more automobiles.

More recently, Toyota successfully tested its V2X technology in collaboration with Orange. The automaker equipped a vehicle with V2X capabilities and credited 5G and edge computing for its test track accomplishments. V2X technology warned drivers of emergency vehicles, helped them avoid collisions and accurately positioned the car.

What Are the Manufacturing Implications of V2X Communication?

V2X presents an incredible opportunity in the automotive industry to make cars smarter. What does this technology mean for manufacturing? Here are four implications to see as this concept evolves into the mainstream.

Advancing Technologies

Incorporating V2X in all auto manufacturing would make car assembly more advanced due to the AI and ML necessary for building. While some vehicles are simplistic with minimal technology features, these machines require onboard units and other devices to meet V2X’s needs. This change will require employees to understand the technology and how to include it inside the vehicles.

Standardization Needs

Automakers use vehicular communication technology like V2V, but these concepts only work with machines from the same manufacturer. For V2X’s success, auto manufacturers must standardize this technology so cars can connect seamlessly despite the logo on the front. Collaboration must also include semi-chip manufacturers, software developers and other professionals involved in advanced automotive technology.

Cybersecurity Risks

Integrating technology comes with cybersecurity risks, so automakers must ensure their V2X technology has robust security features to protect drivers. Otherwise, operators risk crashes, theft and other unwanted outcomes. One way to safeguard V2X-integrated vehicles is implementing security requirements with third parties to minimize the risk of data breaches.

Supply Chain Visibility

V2X technology can help auto manufacturers with their supply chain visibility — a critical component considering the modern economic climate. With advanced communication devices, automakers can help fleet owners with logistics management and increase transparency with suppliers. For instance, V2X’s enhanced route optimization can reduce lead time for parts, making manufacturing more efficient.

What Advantages Does V2X Communication Bring?

V2X communication is beneficial because it lets the auto industry take another step toward autonomous vehicles. What other advantages does this sector reap? Here are a few positive takeaways from V2X technology.

Driver Safety

With V2X communication, car operators can feel safer on the road. Vehicles communicate with each other to know when hazards lie ahead on the road or changing weather conditions. This benefit is even more pronounced with long-haul trucks, considering their role on America’s highways.

V2X technology in semi-trucks would let logistics professionals use autonomous trucks and reduce accidents and losses. Experts say driverless trucks perform up to 30% better than those with operators, so V2X would go a long way in promoting safety.

Environmental Benefits

Advancing vehicular communication technology also benefits the environment by cutting emissions. The transportation sector is responsible for 29% of all emissions, so reducing this output is essential. V2X can help the environment by mitigating traffic congestion, thus reducing idle time and wasted fuel in cars.

Smart City Integration

Rising urban populations mean cities will need to manage their energy grids better. V2X technology lets vehicles communicate charging needs and reduce strain on the grid. For instance, EVs could select optimal charging times — such as off-peak hours — to help the city’s energy grid and optimize efficiency.

Using V2X Communication for an Autonomous Future

Research on autonomous vehicles has surged as automakers race to be the first to debut fully self-driving cars. Reaching this level of driverless operations requires V2X devices that combine the best aspects of vehicular communication technology. These advanced mechanisms have implications for manufacturers and benefits for drivers, so the future has a lot of potential for this corner of the automotive industry.

This article is written by Jack Shaw. Jack is a seasoned automotive industry writer with over six years of experience. As the senior writer for Modded, he combines his passion for vehicles, manufacturing and technology with his expertise to deliver engaging content that resonates with enthusiasts worldwide.

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Electric vehicles (EVs) have become more mainstream in today’s automotive industry, and the next few decades will see automakers electrifying their lineups and emphasizing emission-free cars. Some consumers hesitate to drive EVs because of their battery range, so how will auto manufacturers improve these critical devices? Here’s how far battery technology has come and what to expect in the future.

How Far Has Battery Technology Come for EVs?

The first EVs hit the road in the late 19th century, as inventors used primitive technology to power their machines. One of the first EVs came from Gustave Trouvé, who used a rechargeable battery to power a tricycle in 1880. By 1888, German engineer Andreas Flocken invented the first four-wheel electric car using a motor with about 1 horsepower. While it could only drive 9 mph, Flocken’s machine would be inspirational.

Modern EV batteries date back to 1997 with the EV1 from General Motors (GM). This vehicle didn’t last long on the market — as GM destroyed most of the cars — but its battery technology was critical for future machines. The EV1 used lead-acid batteries and had a range of about 74 miles before needing a charge. Nickel-metal hydride batteries doubled the range to 150 miles thanks to increased efficiency.

These batteries seem primitive by modern standards but were critical for the time and the evolution of battery technology. The inventions set up EVs to have improved technology for today’s EV revolution.

What EV Battery Technology Is Available Today?

Auto manufacturers transitioned from lead-acid to lithium-ion batteries in the 2010s, following Tesla’s success with the Roadster in 2008. The California-based EV manufacturer was the first to use these advanced devices in a car, with each system containing 6,831 lithium-ion cells for increased efficiency.

The Roadster could travel 200 miles on a single charge, giving consumers hope that manufacturers could produce efficient EV batteries and compete with gas-powered cars. Tesla’s innovation led to the Nissan Leaf, the Renault Fluence Z.E. and other mass-produced EVs utilizing advanced technologies.

This decade, EVs have improved their range and become more palatable for consumers needing reliable machines. While electric cars occupy a small market share now, experts say EVs will constitute 45% of new car sales by 2035 — signaling a significant shift in the automotive industry.

Most modern EVs still use lithium-ion batteries because they’re the most efficient mainstream option. However, researchers have found ways to improve battery technology and make electric cars more efficient.

What Does the Future Hold for Battery Technology?

EV demand has slightly slipped after a successful run in the late 2010s and early 2020s. Multiple automakers have announced they are pushing back EV production timelines because consumer desire has dropped. How can automakers pull customers back into buying EVs?

Making batteries more efficient to compete with gas-powered cars is a crucial first step. Additionally, manufacturers must produce more sustainable batteries to comply with environmental, social and governance (ESG) policies. Here are a few innovations on the horizon to improve EV battery technology.

Sodium-Ion

Sodium-ion (Na-ion) batteries are an emerging favorite for lithium-ion alternatives because they cost less and are currently in production in some countries. The International Energy Agency (IEA) says China plans to reach 30 production plants for creating Na-ion batteries, and it won’t be long before this technology spreads worldwide.

Na-ion batteries are advantageous because they contain no lithium, an expensive material for EV production. This alternative is cheaper and more accessible for the average EV driver. Using a Na-ion battery also brings advantages like faster charging and a reduced risk of overheating.

Cobalt-Free

Some question the sustainability of EV batteries, considering their use of cobalt. Much of the world imports this metal from the Democratic Republic of the Congo, where workers suffer adverse working conditions. Mining cobalt leads to polluted water and toxic effluents for the employees and surrounding communities.

These controversies have led researchers to develop cobalt-free batteries and boost sustainability. For instance, the University of Texas-Austin has created a battery using 89% nickel, with manganese and aluminum constituting the other elements. These cobalt-free batteries are less expensive and more energy-dense, making them a popular alternative for future developers.

Solid-State

EV batteries can be a liability in extreme hot and cold because the device must work harder to power the car. Using lithium-ion batteries means the liquid electrolyte solution is vulnerable to weather, so how can manufacturers remedy the problem? Solid-state batteries require no liquid or gas in their composition, making them a more stable alternative to lithium-ion devices. Removing liquid also means a reduced chance of leaks under the hood.

Solid-state batteries have existed for a while, but manufacturers like Toyota have improved them thanks to sulfide superionic conductors and other innovations. These batteries aren’t available in current vehicles, but reports say Toyota will implement them for commercial use by 2027. However, timelines could shift due to the supply chain and new research.

Advancing Battery Technology for EVs

Automakers are leaning into EVs to reduce emissions and meet sustainability goals. While technology has evolved, batteries have been an obstacle for consumers due to their perceived lack of range and reliability. Lithium-ion batteries have made EVs more efficient, and more innovations will arrive to boost range and safety.

*This article is written by Jack Shaw. Jack is a seasoned automotive industry writer with over six years of experience. As the senior writer for Modded, he combines his passion for vehicles, manufacturing and technology with his expertise to deliver engaging content that resonates with enthusiasts worldwide.

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The automotive industry is driving automation by having the largest number of robots working in factories around the world — operational stock hit a new record of about one million units, according to the International Federation of Robotics (IFR). With the prevalence of automation rising in the automotive industry, the benefits associated with its use in manufacturing cannot be understated. With advantages that work to bring productivity and efficiency all around, advancements in technology such as the integration of artificial intelligence underline the many innovative applications to come.

Exploring the current advantages of automation

“The automotive industry effectively invented automated manufacturing,” notes Marina Bill, the President of the IFR. “Today, robots are playing a vital role in enabling this industry’s transition from combustion engines to electric power. Robotic automation helps car manufacturers manage the wholesale changes to long-established manufacturing methods and technologies.” The IFR goes on to highlight the recent density of robots in the automotive industry — in the Republic of Korea, 2,867 industrial robots per 10,000 employees were in operation in 2021, while Germany had 1,500 units followed by the United States with 1,457 units.

Automation plays a variety of roles in automotive manufacturing, including taking on tasks such as screw driving, windshield installation, and wheel mounting. Automate highlights one example of a valuable role that automation plays in the manufacturing process, via an automated vehicle floor plug insertion system developed by FANUC for General Motors. As a result, the system effectively helps relieve workers from “the ergonomic strain of the manual process and improves production time.” Apart from assembly, Robotics and Automation News notes additional uses for automation in manufacturing include car painting, welding, polishing and material removal, and quality inspection. Regarding the benefits, automation in automotive manufacturing is known to have a wide variety of advantages that heighten productivity in immense ways — including lowering costs, improving accuracy and safety, and amping up efficiency.

Increasing automation highlights a productive future

According to CBT News, automakers are “likely to introduce more robots and other forms of automation over time.” Currently, CBT notes that many robots on production lines are called ‘cobots,’ as they work alongside workers in order to complete tasks that are physically demanding or more challenging to do — Ford, for example, has “at least 100 of these cobots across two dozen of their plants around the world.” Automakers are already planning for increased automation in the future in order to achieve various goals. Tesla is a pioneer regarding factory automation and robots; Elon Musk, for example, has said that introducing more automated equipment at Tesla as part of a goal to cut the costs of making future models by 50%, according to CBT News.

To further underline the presence of automation in auto manufacturing, a 2021 article from The Korea Economic Daily Global Edition highlights the use of robots and artificial intelligence (AI) by Kia Corp., South Korea’s second-largest automaker. According to the article, the company had released a video “showing a highly automated production line of the all-electric mid-size crossover utility vehicle (CUV) at a smart factory powered by artificial intelligence and robot technology.” Crossovers have risen in popularity in the US, with the vehicle featuring an SUV-style body based on a car (rather than a truck platform), therefore using unit-body construction. Today’s crossovers offer a variety of features, with top-rated crossovers offering those such as a spacious interior and a smooth engine.

Innovation foreshadows advancements to come

In addition to simply expanding automation efforts throughout auto manufacturing, ‘smart manufacturing’ employs technology in addition to automation. Also called Industry 4.0, RT Insights notes that data-driven decision-making and predictive maintenance are just the beginning of the advantages associated with smart manufacturing, with benefits extending to areas such as energy efficiency and supply chain optimization. “The resulting factors of having a smart manufacturing set-up are efficiency, production optimization, trackability, quick turnaround during downtime, safer working conditions, and responsible manufacturing,” notes Mobility Outlook.

AI and machine learning (ML) are both components that are driving the future of smart manufacturing, with Mobility Outlook explaining that AI systems analyze data sets and historical records of Internet of Things (IoT) devices. As a result, AI can identify patterns and trends which would otherwise go unnoticed by workers. ML algorithms, on the other hand, can “learn from data, make predictions, and make suggestions to improve manufacturing processes.” Predictive maintenance can also make a major difference in the future of automotive manufacturing, with the analysis of data allowing for minimized repair costs and proactive maintenance. Furthermore, Mobility Outlook highlights the value of quality control systems powered by AI — with this technology, defects can be detected in real-time, allowing for waste reduction and improved product quality across the board.

Automation brings a variety of benefits to automotive manufacturing. While automakers are already making use of the technology, technological advancements like AI are driving the future of ‘smart manufacturing,’ effectively foreshadowing a range of advantages to come.

*This article is written by Lottie Westfield. Lottie spent more than a decade working in quality management in the automotive sector before taking a step back to start a family. She has since reconnected with her first love of writing and enjoys contributing to a range of publications, both print and online.

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Industrial and collaborative robots have had a tremendous impact on the automotive industry, changing the standards for production, quality control and safety. In assembly, they have permanently shifted how workers and plant managers interact with machinery.

The State of Robots and Cobots in the Automotive Sector

Industrial and collaborative robots are foundational to the automotive sector. While they can seem similar at first glance, the two have fundamental differences. Their specialized designs and applications give them each a unique place in the industry.

Of course, industrial robots came first and have become the standard. They brought tremendous value to operations, leading to the automotive industry becoming one of the most mechanized industries. These heavy-duty machines outperform their human counterparts in tasks like material handling and part insertion.

Collaborative robots — often referred to as cobots — are meant to act as support rather than replacements. Their place on the factory floor is directly next to workers since they’re much safer than their industrial counterparts. They excel at precision-based tasks like bin picking, screw-driving and product dispensing.

Although traditional industrial robots have long been the industry standard, cobots have quickly grown in popularity. In the automotive sector alone, their combined global sales value was roughly 3.8 billion in 2022. Both technologies have significantly impacted worker safety, assembly efficiency and production yields.

The Rise of Robots and Cobots

In the automotive sector, the popularity of robotics is plain to see. Industrial robot installation increased by 31% between 2020 and 2021 alone, demonstrating how it has room to expand despite already being an industry staple. What makes this technology so highly sought-after?

Industrial robots have existed for ages and they are reliable. They are what’s known as mature technology, meaning their user base has eliminated most of their faults over the years. This consistency is crucial in the automotive sector, given the complex nature of the assembly line.

Cobots have quickly reached the popularity of industrial robots because they can adapt rapidly and outperform their counterpart regarding safety. Instead of being trapped in cages far away from humans, they work alongside employees on the factory floor. They open up many new opportunities for broadened automation and efficiency improvements.

Although most robot and cobot applications involve automation, worker safety and production capacity improvements have also proven significant. Humans no longer have to lift obscenely heavy objects or work in intense heat because their role requires it. Instead, the machines take over the dirty, complex and challenging tasks.

The Role of Robotics in Automotive Assembly

Robots and cobots have made a substantial impact on automotive assembly. Many factory floors now have humans and machinery working alongside each other instead of separately. Because of this development, plant managers have been able to automate duties they never previously could’ve.

Typically, monotonous manual work takes up most of the workweek. Across various industries, more than 40% of employees spend the majority of their workday on repetitive duties. Although the widespread adoption of industrial robotics has made the automotive sector somewhat of an outlier in this sense, there are still plenty of jobs left to partially or fully automate.

Even if demand changes, manufacturers can use cobots to continue automating whatever they need to. Since these machines are reprogrammable, their duties can adjust depending on a plant’s needs. For example, they could easily switch from bin picking to sealant dispensing to make up for an unexpected job vacancy or a sudden shift in consumer expectations.

Robots also protect the automotive industry from common pain points like labor shortages, human error and assembly line bottlenecks. This development is clearly visible with cobots, considering plant managers can support any manual duty with them and reprogram them at will.

These machines can safeguard production rates even in unforeseen circumstances. The COVID-19 pandemic impacted the sector significantly, causing unprecedented downtime. More than 50% of automotive companies experienced substantial disruption during this period. If facilities had a combination of robots and cobots, they likely could’ve avoided the effects of the sudden labor shortage.

The Impact of Robotics in Automotive Assembly

With robots and cobots, plant managers can fully or partially automate virtually any position in the assembly line. As a result, they can pursue highly-trained employees with more specialized skills. This development might eventually give rise to product quality improvements.

Robotics has also made labor condition improvements possible. In the past, workers had to do every hazardous or strenuous task by hand. Even with the introduction of industrial robots, they still risked injury and exhaustion. The development of cobots allowed them to work alongside each other.

Most importantly, robotics has vastly improved product yields. While Industrial robots are an industry staple, their large size, operational skill requirements and ability to injure workers hold them back. Cobots closed the gap, allowing plant managers to automate what was left.

Robotics Innovate Automotive Assembly

While cobots have quickly risen in popularity, traditional industrial robots are still vital parts of automotive assembly because they excel in heavy-duty tasks. A combination of both helps maximize efficiency, worker safety and product yields.

*This article is written by Jack Shaw. Jack is a seasoned automotive industry writer with over six years of experience. As the senior writer for Modded, he combines his passion for vehicles, manufacturing and technology with his expertise to deliver engaging content that resonates with enthusiasts worldwide.

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Has the trend passed about caring for the environment and preventing harmful emissions?

Despite the fact that GMC is touting its new, 2024 Hummer EV SUV, starting at a cool $80,000 with a 329 range on a full battery charge, Reuters is reporting that the demand for electric vehicles isn’t keeping up with expectations. In October 2023, Honda and General Motors announced they were ending a $5 billion partnership to develop lower-cost EVs. GM says it’s to “enhance the profitability of our EV portfolio and adjust to slowing near-term growth.” Ford, too, just announced it pushed back its EV production timeline because of slower customer demand. Investors are taking notice. Automakers are thrown for a loop.

It’s not for lack of desire for electric vehicles by consumers, auto manufacturers and climate activists alike. Reducing the sting at the gas pump while helping the environment? Bring that on. Indeed, Cox Automotive Report tells us EV sales exceeded 300,000 units in the U.S. in Q3 2023. That’s record numbers.

So, what’s going on?

There are vexing factors swirling around this marketplace, colliding into a miasma of toil and trouble for auto manufacturers.

High interest rates = slowing demand

The current demand slowdown reflects the uncertain economy and the looming shadow of high interest rates (Will they go higher? Will they come down?) driving up the price of the already-expensive EVs. It’s a one-two punch. For most people, the decision to buy a car depends on the affordability of the monthly payment combined with other factors affecting their household budget. The vast majority of us are not rushing out to spend $80K on that Hummer. Maybe a more affordable model? Sure, but with sky-high interest rates driving up the monthly payment of already-expensive vehicles at the same time a pound of ground beef costs upwards of $8, people are taking a wait-and-see attitude. Maybe a gas-fueled car is a better bet right now.

Raw materials shortages for batteries = supply chain issues

As The Buzz EV News recently put it so succinctly, the raw materials that power EV batteries, namely lithium and cobalt, “aren’t exactly littering the landscape.” This, coupled with the fact that 90% of the supply chain for EV batteries runs through China, makes it difficult for U.S. auto manufacturers to realize efficient, profitable production. No one in the industry wants a repeat of the auto microchip shortage during the pandemic.

How is it all affecting auto manufacturers, and what can be done about it? At USCCG, we have a half century of experience dealing with the effects of supply, demand and the economy on many different industries. We work across the entire battery supply chain from mining to metals to battery manufacturing plants. Here’s how we see the issues playing out currently.

Auto manufacturers are doing a 180 (for now), so…

Based on the changing demand, automotive manufacturers are pulling back from EV investment right now and putting it back into traditional auto manufacturing. Even though the industry’s goal is still moving towards a 2030-2035 conversion to EVs, consumers are still buying gas-powered vehicles. Automakers need to maintain production to satisfy the demand.

…Demand and schedule planning is crucial, but…

Automakers’ backlogs need help — they have the orders and demand for gas vehicles, but are struggling to fulfill this demand and fill those orders. At USC, we happen to be the specialists in wrangling schedules, planning for demand when those sands keep shifting, and adding horsepower to teams just when they need it the most. It’s an all-hands-on-deck situation for auto makers, except…

…The skilled labor shortage is real

The new UAW contracts are driving labor costs throughout the industry, even in non-union facilities.  Couple that with the ever-shrinking skilled workforce, and it puts auto makers behind the eight ball just when they need to find and retain quality, reliable employees. At USC, we’ve been focusing on this issue, helping employers train their people on best practices and optimal processes. It’s crucial now, like never before.

EV issues aren’t going away. It’s time to reshore now

Yes, the demand is slowing. For now. But auto makers are still on track for conversion to electric vehicles, and the public still wants them. But these battery and supply chain issues are still plaguing the industry.

A few facts entering into this mix: The current Inflation Reduction Act included billions of dollars in government loans to fund EV battery plants in the U.S., and also included a $7,500 tax credit to people who buy U.S.-made EVs. It also allocated $7.5 billion to fund a network of charging stations around the U.S. (That, in itself is exciting for logistics nerds like us.)

Gov. Brian Kemp of Georgia is taking advantage of this trend, creating a push for EV jobs, major manufacturers including Hyundai and Kia located in the state, and pledges to make Georgia the “electric mobility capital” of the country.

TechCrunch+ says the U.S. is in an EV battery factory construction “boom” as a result of these initiatives. In 2019, there were just two battery factories here in the U.S. Today, 30 are either planned or under construction.

What does it all mean? It means auto manufacturers need to meet current demand while keeping an eye on the future. USC can help you do that. Contact us today.

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Technology is crucial in most industries to advance safety and efficiency. The automotive sector is an excellent example of how advanced technology transforms products and, thus, the world. Big data and analytics have become an integral part of it all. So, how exactly has the automotive industry taken advantage of analytics, especially with maintenance and predictive diagnostics? How can using it benefit manufacturers? Let’s find out…

How Did Big Data Analytics Emerge in the Automotive Industry?

Big data is a relatively new concept, but its modern adaptations originated in the 1960s. For example, in 1964, IBM introduced the System/360, offering processors 100 times more potent than their predecessors. This technology is primitive in retrospect, but it was an essential first step for data processing. In the 1970s and 1980s, tech companies improved this technology to include the automotive industry.

By the 1990s, automotive technology producers began using big data analytics for vehicles. For example, global positioning systems (GPS) became more prominent this decade. These devices allowed consumers to use navigation technology well-known in the U.S. military. Many luxury cars came with this feature installed to entice consumers.

While GPS devices are still prominent, big data has improved cars enough to where they can be self-reliant. Soon, automakers will remove GPS devices once autonomous vehicles become widespread. These vehicles know where they’re going and do not need a GPS for navigation.

What Role Does Big Data Analytics Play in Automotive Maintenance and Predictive Diagnostics?

The last two decades have seen incredible growth for big data and its role in the automotive industry. Automotive professionals have used advanced technology for maintenance and predictive diagnostics. Using data helps technicians know precisely what the problem is and the necessary methods for mitigation.

Automakers primarily take advantage of big data analytics through embedded sensors in their vehicles. These devices allow the manufacturers to track cars anywhere in the world and detect where the problems lie. With this information, the automaker can notify the consumer of issues, find trends and develop solutions for widespread problems. Then, they know what issues to correct for future models of the same vehicle.

What software and technologies do automotive professionals use? These examples demonstrate how industry experts use big data for predictive maintenance and predictive diagnostics.

Machine Learning

Machine learning (ML) has become a critical part of the automotive industry because it solves complex problems and creates algorithms. For auto manufacturers, ML has helped technicians predict equipment failures.

For example, automakers use ML to analyze historical data from their vehicles. Their computers use sensor data to detect trends and see what abnormalities led to the issues. Therefore, manufacturers can catch what problems may arise when they see a particular pattern occurring in a vehicle.

Another use for ML is creating maintenance schedules for vehicles. Historical data indicate when owners of a particular model should bring their cars for routine maintenance. The algorithm is intelligent enough to combine the data with driver performance to alert when service is necessary for the vehicle.

Telematics

Telematics is one of the earliest examples of big data in the automotive industry, and it’s become vital for car owners and fleet managers worldwide. Research shows about 80% of Class 8 trucks in North America use telematics for safety and efficiency.

Telematics is essential for maintenance because it monitors vehicle health. These devices often detect problems earlier than the operator can, allowing companies to act swiftly on their machines. Early detection and mitigation save money and improve safety by not putting drivers in harmful situations.

What Are the Benefits of Big Data in Automobiles?

Big data analytics is a win-win for manufacturers and consumers. All parties can have peace of mind knowing their machines are safe and efficient. The following three benefits demonstrate how automotive professionals benefit from big data.

Improving Safety

Cars are essential for daily travel, but they can be dangerous. The National Highway Traffic and Safety Administration (NHTSA) says nearly 43,000 people died in motor vehicle traffic crashes in 2022. Reasons for accidents vary, but they can originate from fixable mechanical failures.

Big data analytics decreases the likelihood of these failures by scheduling preventive maintenance and alerting when serious problems arise. Users can know if their brakes, steering wheel or battery needs attention before a catastrophe happens.

Decreasing Downtime

Big data analytics has become invaluable for fleet managers worldwide. The average fleet manager may have 10, 100 or 1,000 vehicles under their wing, making it difficult to track all of them simultaneously. However, advanced data allows them to monitor all the cars and detect trends.

Warning systems send information to the fleet manager, allowing them to act immediately. The modern supply chain demands maximum productivity from fleets, so taking advantage of big data analytics is essential.

Supporting Sustainability

Sustainability has become a significant focus for auto manufacturers. The push for more renewable energy and less waste has led to innovation across the industry. How are they achieving sustainability standards? Big data analytics is helping automakers care for the environment.

Using big data analytics extends the life of cars and reduces the need for customers to consume resources by purchasing cars. Instead, they can keep the same vehicle longer and spend less time at the mechanic.

When cars reach their end of life, many head to the scrapyard. While recycling has improved, parts and pieces still go to waste. For example, the European Union scrapped 5.4 million passenger cars in 2020. Installing telematics devices and using big data would extend their time on the road and reduce waste.

Big Data Analytics in the Automotive Industry

Automotive technology has come a long way and only improves yearly. Modern software allows auto manufacturers to utilize big data analytics with maintenance and predictive diagnostics. With this technology, manufacturers lower the cost for themselves and consumers and make their processes more efficient.

*This article is written by Jack Shaw. Jack is a seasoned automotive industry writer with over six years of experience. As the senior writer for Modded, he combines his passion for vehicles, manufacturing and technology with his expertise to deliver engaging content that resonates with enthusiasts worldwide.

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Strikes have been in the headlines lately, with the writers’ strike bringing Hollywood to a standstill and President Biden making history as the first sitting president to ever walk a picket line (he did it in Michigan in support of the United Auto Workers strike), and most recently healthcare workers are threatening to walk out as well. The average Joe is certainly impacted by these disputes between management and workers. The writers’ strike, which was recently resolved, means no new scripted programming this fall season (say it ain’t so, Law & Order!). The auto workers’ strike means new car prices are expected to rise… as if inflation and interest rates hadn’t handled that already. And a nurses’ strike will certainly impact the care people receive.

So, it’s easy to see how everyday people are affected by strikes. How do labor strikes impact the business side of the manufacturing industry? They can wreak havoc in many facets of operations, obviously bringing production to a screeching halt during the strike itself.

But those effects, and others, can linger when employees exchange the picket line for the production line, impacting operations long after the strike is resolved. Here’s how.

Decreased output. Obviously, production is brought to a stand-still during the strike itself. So, when employees get back on the job, the entire operation is behind. It affects everything from hitting forecasted numbers to earning revenue.

Inventory snags. Other parts of the industry, like the supply chain, can be unaffected by a strike, so inventory can accumulate. Getting inventory just right is a core principle for efficiency, and it’s a delicate balancing act between too much and not enough. Strikes can throw that balance off in a big way.

Delivery delays. Product isn’t being produced during a strike, period, so obviously it’s not going to be delivered on time. But even after the strike is over, delays can continue as companies play catchup. Those delays and shortages have a ripple effect, first hitting your partners and clients, but then rippling out to their partners and clients.

Damaged relationships. Employee morale is like gold in any industry, but after a strike, especially if it’s a prolonged one, relations between employees and management can sink to an all-time low. Distrust of higher-ups can seep onto the production line, disputes may not be completely resolved to both parties’ satisfaction, collaboration can suffer. With the battle for qualified, experienced workers in manufacturing, this is a tough setback.

Bottom-line woes. All of those production delays can result in fewer orders, distrust among your clients and vendors, stock prices could even take a tumble. All of it will eat away at your profits.

How manufacturing can bounce back after strikes

When the negotiation is done and the workers are back on the job, management’s next steps can mean the difference between bouncing back quickly from a strike or feeling those nagging, lingering effects. At USC Consulting Group, we’re the experts in helping management streamline operations, become more efficient, create effective training and more — all crucial elements in the next steps after a strike.

Careful scheduling to increase production. This doesn’t mean piling on the work to make up for the shortfall. But it might mean adding additional shifts, giving people extra hours or even hiring temporary help to close that gap.

A laser focus on employee relations. Now is the time for the C-suite to get out on the production line, if they haven’t already been walking that floor. Employee relations can be at an all-time low after a strike, so it’s vital to focus on employee retention efforts, additional training and other methods to make your employees feel valued and needed.

Involve employees in the fix. Items may have been hammered out at the negotiation table, but it doesn’t mean all employees will be on board with what the union agrees to. The old adage, if it ain’t broke, don’t fix it, applies here, only in reverse. It was “broke.” Involving the people on the front lines in the “fix” in terms of streamlining operations can go a long way.

Strive for operational excellence. This means efficiency and ease all the way down the line. When your shop is running on all cylinders, it’s not just good for your company’s bottom line. Employees like their jobs better when snags, delays and other frustrations aren’t happening.

Have labor strikes affected your manufacturing operations? Need some help improving your processes to please your employees and bottom line? Contact us today and we will walk you through the steps.

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The automotive manufacturing industry has been traveling a strange and bumpy road over the past couple of years. The pandemic created a traffic jam in the supply chain. At the same time, demand for new cars dried up. Who was driving? Everyone was at home during the lockdown. And on the heels of that, interest in electric vehicles began to surge. According to research by the International Energy Association, the demand for EVs is expected to rise 35% by the end of 2023 after a record-breaking 2022.

What did it all mean for auto manufacturers? Demand for traditional vehicles lowered as demand for electric vehicles grew, forcing auto manufacturers to do a delicate dance of balancing the type of production they’ve always done with the new processes and systems needed to produce EVs. The moving target of demand coupled with shaky supply brought about inventory uncertainty — how much was enough, but not too much? And then, there was (and continues to be) the labor shortage, with seasoned workers retiring and younger ones not exactly flooding through the doors.

Improving processes is paramount for the automotive manufacturing industry now. Here are a few ways you can do that:

Lean Six Sigma. If there ever was a need for auto manufacturing process improvements like the ones Lean Six Sigma can produce, it’s now. LSS is the blending of two efficiency methodologies, Lean and Six Sigma. It’s a bit ironic, because the Lean methodology, which focuses on efficiency and eliminating waste, was developed back in the day by Henry Ford… or at Toyota, depending on who you ask. It got its start on the auto manufacturing line, with the intent of eliminating the “seven deadly wastes”: overproduction, waiting, transporting, processing, inventory, excess motion and defects. At USC Consulting Group, we’ve added an eighth waste. People. Specifically, not using them to their fullest, not seeing untapped potential in great workers, and not training and developing people to rise through the ranks. Lean is about eliminating waste to produce more product quickly and efficiently.

Six Sigma, the other side of the Lean coin, is about quality control. Minimizing flaws and defects. But it’s deeper than that, rooted in data. The goal is to improve cycle time while eliminating or reducing defects.

SIOP. It’s difficult to achieve careful, accurate planning for the future when the road ahead contains so many bumps. That’s why we take the usual sales and operations planning (S&OP) process to a different level by adding inventory to the mix. The goal is to look ahead, anticipating the inventory you need while also coordinating with sales, marketing, and finance to involve the entire organization in this process. A key to SIOP is using inventory as a strategic tool to help offset variation in either demand or production issues.

Predictive Maintenance. Yes, it sounds extremely basic, but we find that heading off trouble before it starts can eliminate the risk of bogging down your entire production line to fix what’s broken.

Skills Training. Investing in training is playing the long game, but in light of your best people on the line retiring and fewer people to take their place, it’s paramount. Training has advantages in addition to the obvious — your people being more skilled on the job. It also demonstrates in a very tangible way that you are committed to the growth and success of your employees. You gain loyal workers and create a pipeline for advancement. It’s a win-win.

Technology Investments. USC Consulting Group is not about coming in and asking manufacturers to invest in the latest and greatest technology in order to become more efficient. No, efficiency takes harder work than just installing a new machine. However, in some cases, it’s necessary to level up. Legacy technologies don’t have the same features and capabilities as newer models. And in the auto manufacturing industry, you’re dealing with producing an entirely new product with electric vehicles. It may be time to look at your technology and decide if it can take you into the future or keep you in the past.

Doing business in the automotive manufacturing industry is like driving a manual transmission. You are constantly shifting gears to keep pace with traffic – in this case, the consistent change of consumer demand. Operations consulting helps companies improve their processes and be prepared for what’s coming down the road. We help manufacturers become more efficient and profitable in this or any economy.

Is working with operations consultants an untraveled road for you? Please get in touch. We’d love to talk with you about it.

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When looking into the trends for the automotive industry, there’s really only one headline. Electric vehicles. EVs are no longer “the future” of the industry. The future is now. It means many changes for the automotive industry, including changing demand, supply chain and inventory (which are all connected) and workforce challenges, in addition to the specter of new facilities to handle new assembly lines. For auto manufacturers, it means a heightened focus on efficiency, which we at USC Consulting Group are all about.

Electric vehicles (EVs) aren’t dominating the market. Yet. But they’re on the road there. According to research by the International Energy Association, the demand for electric vehicles is surging and is expected to rise 35% by the end of 2023 after a record-breaking 2022.

“Surge” is a good term for it, but “tsunami” might be even better. The EV market share in the worldwide automotive industry was hovering at around 4% in 2020, jumped to 14% in 2022 and will hit 18% by the end of 2023. It shows no signs of slowing down. By 2030, the EV market share is projected to rise to 60% in the U.S. and the EU.

It feels like we’re on the cusp of a great societal change with the surging EV market, the likes of which we’ve seen during the first and second industrial revolutions, the dawn of the internet and the day, back in 2007, when Steve Jobs stood on a stage in front of the world and introduced Apple’s new invention, the iPhone.

Yes, society will be impacted, but perhaps no sector more than auto manufacturers. It means great changes in demand, new challenges with supply chain and inventory, the urgent need for increased employee education, expertise and training, and changes on the line. It’s a whole new world out there for auto manufacturers, from the C-suite to inventory management to the production line, even extending to the dealerships.

How EVs are impacting automotive manufacturers

Here’s a look at the ways EVs are impacting the auto industry today, and how USC can help.

Changing demand

A good analogy for what’s happening in auto manufacturing right now in regard to changing demand is what we saw in the food processing industry during the pandemic. If a company was mainly supplying produce to restaurants, its entire market dried up when the restaurant industry was shuttered. Many processors shifted and began supplying grocery stores — two very different markets. Companies that were agile, lean and light on their feet (so to speak) were able to shift quickly in response to the shifting demand. So, too, with automotive today. Demand for traditional cars is lessening as demand for EVs is rising. It requires auto manufacturers to do a delicate “just in time” dance, which also involves supply chain and inventory.

For more info on how to roll with changing demand, read our eBook, Strategies for Meeting Increasing Customer Demand.

Supply chain

To state the obvious, EVs require different components, technologies and parts than traditional cars. Batteries, electric motors and other types of electronics, to name a few. On a higher level for auto manufacturers, it means developing new relationships that may be outside of the current supply chain, including battery manufacturers, those who deal with raw materials and microchips, and more. Supply chain woes that began during the pandemic are still bedeviling manufacturing operations in many industries, including automotive. New and unforeseen snags in the supply chain are sure to pop up as well. Solidifying while also diversifying your supply chain, with an eye toward reshoring, is critical.

Inventory

With shifting demand and supply chain challenges, this is an especially tricky time for the auto industry, inventory managers especially. It’s important to focus on inventory and output, ensuring a balance between too much and too little. To wrangle all of these issues, demand, supply and inventory, savvy auto manufacturers are employing a methodology we call SIOP: sales, inventory and operations planning.

S&OP is a time-tested business management process that involves sales forecast reports, planning for demand and supply, and other factors. The goal is to help companies get a better, more clear look at their operations and create better-informed strategy decisions, allowing them to deliver what clients need in the most profitable way. We’ve found a lot of our clients do not include inventory as a strategic tool in their S&OP process. Therefore, they leave the “I” out of SIOP. That’s a mistake, especially now for auto manufacturers. The key to SIOP is to emphasize inventory as a strategic tool to help offset variation in demand or production issues.

To find out more about SIOP, download our free eBook: “Sales, Inventory & Operations Planning: It’s About Time.”

Workforce

Ramping up EV production or even transitioning to EVs is going to require a lot from your workforce. In some cases, your best people who have been on the production lines for their entire careers will start to feel obsolete. It means reskilling and retraining of your current people, and hiring workers with expertise in EV technology.

Infrastructure

As the demand for EVs grows, the production line will need to grow with it, shifting from traditional engine vehicles (combustion) to the kind of specialized production that EVs require. It may mean new facilities and new technology.

All of these changes for the automotive industry require a sharp focus on efficiency to meet current demand and planning to gear up for future demand. If there was ever a time for Lean Six Sigma (a methodology involving less waste, greater efficiency and consistent quality) it’s now. Lean was developed back in the day for the auto industry, and it couldn’t be more pertinent today. At USC Consulting Group, we have decades of experience helping our clients navigate changing tides in their industries. To learn more about how we can help, contact us today.

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The automotive industry has faced many challenges since the first cars rolled out of factories in the 1800s. Automobiles have become an integral part of society as a means of transportation for people and goods.

Given the importance of vehicles, many automotive companies focus on research, development, and innovation to deliver the best products to customers.

Automobiles Are Getting Smarter

The future of automobiles involves offering additional smart technology and features. We’ve come a long way since the days of steam-powered cars. In those times, vehicles consisted of a seat with wheels powered by an engine. In contrast, today’s automotive companies are in a constant battle for the latest features.

Car manufacturers first removed the need to shift with automatic transmission, and then they removed the need for maps with GPS. Now, they’re working on removing the need for drivers to control cars.

With automakers hard at work developing self-driving cars, experts see future roads filled with cars that can drive themselves. Radar sensors and complex algorithms can help accomplish this.

Machine-learning technology plays a significant role in the safety and navigation of self-driving cars. It creates a map of the surrounding area based on sensors. Meanwhile, control features monitor other vehicles. The data powers the understanding of the surroundings.

Complex software could process the data to operate the vehicle. With this technology, the car knows the direction to take, how to steer, when to accelerate, and when to hit the brakes. In the future, automobiles will operate themselves, with vehicle occupants becoming mere passengers.

Development is expected to wane in 2023. However, companies continue to take steps toward this goal, albeit at a slower pace.

Self-Reliant Cars

Not only are cars becoming smarter, but they are also more self-reliant. Companies are working on features to reduce vehicle maintenance. One example is regenerative braking.

Automobile brakes rely on tremendous force to stop the vehicle. Regenerative braking takes the excess kinetic energy that otherwise goes to waste and turns it into electricity. The motor then receives the electricity as power.

Mobile information integration is another factor. Many car owners frequently worry whether their vehicle is in good condition. Drivers do not want to take on a cross-border drive only to find something is wrong in the middle of the trip. Information integration could prevent that.

One future service possible through mobile integration information is preventive maintenance. With this, the car becomes capable of monitoring its own systems and doing self-diagnosis. It relays key information to the owner. As a result, car owners get an early warning about their vehicles’ operational performance and potential issues.

Technology Integration

Another key feature of future cars is integration with technology. We live with smart technology everywhere. From computers to smartphones, we are a voice command away. Why not integrate cars into the mix?

Volvo has already taken a step toward this. Partnering with Google, the automotive company is planning to introduce features to allow car owners to use voice commands with their vehicles. Examples include the following:

• Turning the car on and off
• Controlling the heating and cooling systems
• Providing car information

Integrating technology could also mean making better use of time spent on the road. Most people equate their daily commute to lost time. That could change with the right technology. The goal is to deliver productivity apps in the car.

Future vehicles would allow owners to do the following on the road:

• Making calls
• Joining meetings
• Checking emails
• Work on presentations

What is lost in the commute could be brought back with the right technology integration. However, with all the new features and integration, the issue of privacy comes up. Customers expect personalization, but that means providing personal data. This means automotive companies must have safeguards in place to protect car owners’ personal information.

Meeting Customer Expectations

Modern customers have varying expectations, and there is no single vehicle that can meet all customer needs. Instead, car manufacturers offer a variety of options.

That has led to the development of crossover vehicles. The idea is to give people an in-between option. Need more space than a car without going with a truck? You can now choose from a wide range of crossover vehicle models.

Innovation Is the Mindset

Having an innovative mindset is the key to remaining competitive in the automotive industry. These new features improve customer experience. When people choose between cars, they typically go with one that offers the functions they need. Advanced technology could influence consumers’ choices of vehicles.

Either manufacturers disrupt the industry, or they will get disrupted. Everyone is trying to create the next best thing to offer the public. They should never stop innovating, not only in terms of car features and performance. Using new technology, manufacturers could develop new business models.

Traditional business models for automakers include vehicle sales, after-sales services, and financial services such as loans. Advancements in technology can improve these services. For instance, social media platforms create an opportunity for market research. These platforms can also be a channel for after-sales services.

Moreover, websites and apps can now process financial data. These processes are more accessible to customers through technology.

New business models are developed, too. Mobility as a service (MaaS) and cars as a platform are good examples. With MaaS, customers can book vehicles for specific tasks. Ride-sharing apps are an example of that, as they are starting to eliminate the need for some people to own a car. That does not mean doom for automakers; it presents an opportunity to adjust their focus instead.

Innovation provides flexibility for manufacturers. It allows automotive companies to be prepared for disruption, which can happen anytime.

Learning From the Past

As the recent COVID-19 pandemic has proven, the supply chain is highly vulnerable. One small change can cause a ripple effect, disrupting the entire chain. Costs tend to go up in that scenario, and it is the customer who pays for that.

The COVID-19 pandemic severely affected the entire global supply chain. All industries felt the consequences of shutdowns. According to studies, the auto industry was among the hardest hit. Study results showed that over 50% of the auto sector said the disruption to them was very significant. That was the highest proportion across all other industries in the survey.

The biggest supply chain issue that affected the automotive industry was the automotive microchip shortage. Semiconductors and computer chips are crucial in powering modern vehicles’ advanced features. The semiconductor shortage resulted in production almost grinding to a halt.

Automotive production processes have not yet fully recovered from these shortages. As a result, auto experts remain unsure about whether now is a good time to buy a car.

The silver lining is digitization. The pandemic accelerated automotive companies’ progress in adopting new technology. It helped them recover and develop new supply chain processes.

The pandemic was not the first disruption the auto industry experienced, and it surely will not be the last. Automakers should expect more to come, as future disruptions could come from their progress.

What the Future Holds for the Automotive Industry

It is interesting to see how individual vehicle ownership could become obsolete. The current popularity of ride-sharing apps and other MaaS platforms shows that many customers prefer this means of transportation. This is also why automakers are focusing on driverless technology.

That means innovation is turning the automotive industry away from its current business model. Instead of losing to new customer preferences, automotive companies are leaning toward these changes. In doing so, they remain in control. This flexibility could be a significant aspect of future innovations in the automotive industry.

* This article is written by Cedric Jackson. Cedric is a freelance writer who is passionate about internet marketing, automotive, travel, and the entertainment world.

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