INFORMATION TECHNOLOGY AND THE AUTOMOBILE INDUSTRY

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INFORMATION TECHNOLOGY AND THE AUTOMOBILE INDUSTRY

• Chester Kumm
• Sue Murali
• Praveen Punnam
• Desiree Vance

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IT and the Auto Industry

• Information Technology has transformed the car
  into
• Mobile Work Fronts for the professional
• Entertainment Centers for passengers
• Search and rescue for the lost
• Weather stations for fans of the weather
  channel
• Gizmos for tech freaks -)

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IT in Automobiles

• Electronic Systems that control various functions
  brakes, fuel injection etc.
• Auxiliary Services based on Wireless IT
  navigation aids, for e.g..

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Say What ?!?

• 1990 the average new car carried more on board
  computing tools than the vehicle that took
  Armstrong et al to the moon and back.

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Electronic Systems

• Back in the 70s, vehicle emission systems were
  crude and mechanical.
• By the 90s, engine management computers take
  over.

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Electronic Safety Standards

• Airbags can be traced back to the 60s but only
  became viable with electronic controls.
• ABS, Traction control and Stability control are
  other examples.

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Auxiliary Services

• In the 1930s, radios in cars or telephones in
  cars were unheard of.
• Early Satellite Navigation Systems not user
  friendly. ( the Hyundai example )
• Pioneers voice recognition idea in 1996 -market
  reaction was non-existent.

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The Industry Today

• Digitization and Networking
• Revolution of IT Market Globalization
• Commercialization of the Internet

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The Industry Today -

• Information Technology - Contributions to the
  Auto Industry
• Product Development
• Procurement and Supply
• Manufacturing System
• Vehicle Order to Delivery Management

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The Industry Today -

• IT - Research and Development
• AHTRI (1995) Collaboration with other research
  organizations
• Other activities

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The Industry Today -

• Features once considered luxuries are Standard
  features in cars today.

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The Industry Today -

• Hybrid Technology
• More mileage
• Low emissions
• Telematics
• ACN (Automatic Crash Notification)

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The Industry Today-

• LCD Technology
• Several keys integrated into a single
  multi-functional key
• User friendly
• Interactive guidance
• Space saving

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The Auto Industry

• What the future holds

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Software and Hardware Advances

• Continually improving
• CAD and CAE advances enable simulations to
  replace physical models
• Order tracking and delivery management
  applications

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E-Commerce and the Internet

• Increased Revenue
• Cost Savings
• End-to-End integration of the value and supply
  chains
• Less vertical organizations Partnering
• Evolutionary vs. Revolutionary

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Modularity

• Build to order - Customization
• Traditional Push approach vs. Pull approach
• Production pulled from real time information
• Inventory buildups will be eliminated
• Need for incentives reduced

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Supply Chain Management

• A Good IT system is the backbone of a good supply
  chain management system
• Partnering with real time, networked
  collaboration
• Increased role of vendor in development
• Internet order tracking

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COVISINT

• Industry consortium developed B2B hub
• Benefits
• Reduced Costs
• Increased efficiency
• Enhanced quality
• Improved time to Market
• Logistical Improvements
• Provide vendors access to real time production
  information

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Industry Wide IT Standards

• XML Labels
• COVISINT Standards
• Vendors will not need to support multiple
  processes and technologies
• CAD / CAE applications available to smaller firms
• Enables partnering and co-development

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In Vehicle Systems

• Creating value by providing customized services
• Increased revenue opportunities
• Subscriptions and repeat upgrades
• Requires merely a software upgrade
• Upgrade and configuration management services
• Standardization - Eliminate system compatibility
  issues

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In Vehicle Systems

• Modular approach
• Assembly and Design Cost savings
• Increased Software control of functionality

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Future In-Vehicle Systems

• Entertainment
• MP3 players
• Satellite radio expanded
• Information Services
• News Headlines, weather, sports
• Investment portfolio updates
• Movie or theatre times

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Future In-vehicle Systems

• Communication Services
• Safer docking facilities for cell phones and PDAs
• Improved voice activation and recognition
• Hear email or navigation instructions
• Pay for items like fast food or movie tickets

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Future In-Vehicle Systems

• Driver Assistance Services
• Enhanced GPS Systems
• Dynamic routing directions based on real time
  traffic reports
• Operational Assistance
• Sensors diagnose problems and proactively alert
• Driver
• Roadside Assistance
• Service Personnel

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Future In-Vehicle Systems

• Operational Monitoring
• Insurance Companies
• Repair Shops
• Safety and Security
• Different levels of access
• Drivers
• Passengers
• Mechanics, Valets..

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Future In-vehicle Systems

• Virtual Dashboard
• All gauges consolidated into one flat panel
  monitor
• Safer
• Voice technology
• Hands stay on the wheel
• Eyes stay on the road

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Future In-Vehicle Systems

• Integrated Services
• Sensors automatically activate or control an
  event
• Velocity of the airbag
• Doctor or family members notified after accidents
• Trend analysis leads to proactive repairs

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Future In-Vehicle Systems

• Parental Monitoring
• Safeforce Teen Driving System
• Audio warnings to unsafe driving
• Removable memory card
• GPS option to track real time driving
• Will be available in early 2003.
• Roadsafety Inc.of Thousand Oaks, CA

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Conclusion

• Technology transforming the Auto Industry.