Capgemini: Creating a sustainable automotive supply chain

With so much economic, political and regulatory change, Capgemini are examining how the automotive industry can maintain a sustainable supply chain

The report from Capgemini ‘Transforming the Automotive Industry Supply Chain’ breaks down the many challenges that are facing the industry, and the need for resilience, intelligence, connectedness and sustainability.

The challenges are:

  • Political and economic events that are forcing rapid evolution in supply chains to increase risk management and flexibility.
  • Rapid changes to regulation that require supply chain visibility to meet ESG laws and guidelines.
  • Customer expectations are changing as they expect an omnichannel purchasing journey and want to buy extra features for the vehicle while using it.
  • Changes to the automotive industry such as EVs and new business models.

The research goes on to claim fewer than 20% of organisations across all industries consider themselves able to handle today’s supply chain challenges with ‘consistent success’ and the automotive industry appears to fit into that exact pattern.

The five key levers for change in supply chain transformation

Capgemini indicates there are five key levers for change in supply chain transformation.

  • Evolution
  • Orchestration
  • Data
  • Technology
  • Talent

Many of these points interconnect with the importance of visibility and data right across the supply chain to be able to identify risks, increase resilience and find opportunities.

There are certain actions automotive companies can seek to take now to increase their resilience.

  • By rethinking planning it becomes possible to forecast demand better, and update suppliers in real-time.
  • If companies embrace transparent collaboration within their procurement operation, it will strengthen connections with suppliers, by promoting data sharing and mutual trust.
  • Getting help with innovation by using the right advisors and expertise can help a company move forward at pace.
  • Building a data-driven culture will ensure that the insights it provides can drive action and decision making.

How an intelligent data layer can aid the journey to sustainable supply chains 

The conclusion of the report says “the journey to a resilient, connected, intelligent, and sustainable supply chain requires a multi-faceted transformation, including the introduction of an intelligent data layer (integrating technology from hyperscalers and others) to provide visibility, decision support, and risk identification. This transformation will facilitate complex scenario planning and enable suppliers to respond effectively to dynamic decisions across the supply chain.”

You can read the full Capgemini report here.


For more insights into Procurement & Supply Chain - check out the latest edition of Procurement Magazine and be sure to follow us on LinkedIn & Twitter

Other magazines that may be of interest - Supply Chain Magazine | Sustainability Magazine

Please also check out our upcoming event - Procurement & Supply Chain LIVE in London at the BDC on Sept 26/27th 2023


BizClik is a global provider of B2B digital media platforms that cover 'Executive Communities' for CEOs, CFOs, CMOs, Sustainability Leaders, Procurement & Supply Chain Leaders, Technology & AI Leaders, Cyber Leaders, FinTech & InsurTech Leaders as well as covering industries such as Manufacturing, Mining, Energy, EV, Construction, Healthcare + Food & Drink.

BizClik, based in London, Dubai & New York offers services such as Content Creation, Advertising & Sponsorship Solutions, Webinars & Events.


Featured Articles

Why you Should Automate your Supply Chain Analytics

Supply Chain Digital takes a look at some key vendors to consider when your business is automating its supply chain analytics

P&SC LIVE New York welcomes Amanda Davies, Mars Snacking

Amanda Davies, Chief R&D, Procurement and Sustainability Officer at Mars Snacking, is set to speak at Procurement & Supply Chain LIVE New York

P&SC LIVE New York welcomes Kirsten Loegering, ServiceNow

Kirsten Loegering, VP of Product Management, Finance and Supply Chain Workflows at ServiceNow, will speak at Procurement & Supply Chain LIVE New York

P&SC LIVE New York welcomes Dean Ocampo, ServiceNow

Digital Supply Chain

P&SC LIVE London Welcomes New Sponsor – LeanLinking


Procurement & Supply Chain LIVE Dubai is LIVE!