With 2021 coming to an end, you’re likely looking ahead to the next calendar year. But are you truly ready to support the next year’s vehicle lineup, especially if the automotive supply chain market remains as volatile as it has been in 2020 and 2021?
As vehicles change from year to year, so too can the parts that go into them. The investment and quality checks required to meet manufacturing production demand ahead of launch date are significant and time-sensitive. Mistakes can be costly.
We’re looking at how you can be prepared to not just survive 2022, but go on to thrive – regardless of external pressures.
- Multi and Dual Source
Instead of relying on just one supplier, don’t put all your proverbial eggs in one basket. In 2022, aim to multi or dual-source – meaning using two (or more) different suppliers for any particular raw material, product, service, or component. In multi-sourcing, manufacturers award a portion of their business to several different suppliers rather than just one (single sourcing) or two (dual sourcing).
But multi and dual sourcing, you can improve your buffers to offset Just in Time disruption. You can also source from regional supply chains for risk management and economic viability. Suppliers closer to production points reduce logistical costs.
When you have multiple suppliers, it decreases the chance of a part not being available when you need it. When you have multiple suppliers, you have several solutions. OEMs and Tier 1 suppliers need to make sure that their suppliers and their manufacturing partners’ suppliers have the right sourcing strategy and capacity to meet flexible production requirements.
- Supply Chain Visibility with Predictive Capabilities
Wouldn’t it be great if you could predict the future? Good news – you (almost) can. An improved supply chain planning process, especially at granular levels, gives you the ability to make better decisions with complete insights and reduced errors that lead to better performance. You can increase visibility into supply chains to help make decisions faster. This can save you time and money.
Predictive intelligence is vital to supply chain operations. You can build scenarios to problems that could occur (no matter how probable) through this capability. When you have a better idea of possible disruptions and how they can impact your automotive supply chain, you can address them sooner.
- Outsource the Risk within the Automotive Supply Chain
A manufacturing partner can identify why a part may not be ideal for the product lifecycle due to the lack of geo-redundancy. This partner can provide extensive visibility into the supply chain ecosystem. It can support demand forecasting and adjust production lines. But most importantly, it can reduce risks while delivering tremendous efficiencies, allowing your business to focus on its core competencies.
There’s one partner that can help you achieve all of the above – and more. SHEA’s SMART Auto includes everything related to project management, so you can optimize your production, forecast demand and potential pitfalls, and proactively develop solutions to challenges. SMART Auto can be your secret weapon in getting ready to support not only the next year’s lineup, but also lineups well into the future.
To learn more about our many solutions ranging from the aerospace industry to high technology, visit us at https://sheaglobal.com/