1. IT in Automobile Industry
Group 5,
Section A

2. Value Chain
Strategies & Models
IT in Automobile Industry
Business Intelligence
Web 2.0
Cloud Computing
Success
Failure

3. Value Chain
Market Product
Procurement
Survey Development
Marketing Logistics Assembly
Dealership Sales Service

4. Mediation Strategies
Traditional Remediation Network based
• New & Used • Used cars • Used cars
cars websites classified
• Eg. Car • Eg. • Eg. Online ads
Dealers FirstChoice,
TrueValue

5. Business Model
Automobile
Industry
Integrated Disintegrated
Mass
Exclusive
Produced
Vehicles
Vehicles

6. Operating Model
High
Co-
Degree of Integration
Unification
ordination
Diversified Replication
Low
Low High
Degree of Standardization

7. Business Strategy
Customer Value Process
Profit Value
Proposition Oriented
• Rolls Royce • Tata Motors • Toyota

8. Blue Ocean Strategy
Toyota Prius: First mass-produced
full hybrid car
Launched in Japan, 1997
Third generation (2009) sold 1
million units

9. IT in Automobile Industry
Online Surveys
eBuild, Simulators and R&D
Training
ERP
Logistics & Tracking
Sales and Service Database
Online Ads/Websites

10. Business Intelligence
Business Intelligence is used to
Generate the MIS reports
Complete Integration
between BI & ERP system
Provides accurate and latest
data
Basis for making
Strategic decisions

11. Web 2.0
Listen
Engage
Triage Infrastructure
Measurement

12. Cloud Computing

13. Present Trends
Maps
Android

14. Cloud Types for Automobile Industry
• Business Processes as a Service
BPaaS • e.g. indirect procurement
• Software as a Service
SaaS • e.g. CRM, eCommerce
• Platform as Service
PaaS • e.g. Application servers, databases
• Infrastructure as a Server
IaaS • e.g. Storage and File System

15. Advantages
Standardization
Virtualization Automation
Reduced
Cost

16. Cloud Network

17. The Future
CD’s will become
obsolete
Multibrand Dealer

18. Mercedes-Benz mbrace

19. Security System
Then Now

20. The Big Benefits
Faster deployment of new
capabilities
Improved consistency and quality
of new capabilities
Increased efficiency in use of IT
resources
Faster integration with vendors
suppliers and customers

21. Success
Highly Process Oriented
Lean Production System
IT used to Standardize & Integrate
process
Best Practices in Industry

22. Failure
Mass Production System and no IT,
1990
No proper Standardization
No trainings and No incentives
Tried LPS, but opposed by
employees
Kia declared bankruptcy in 1997

23. One fine day…