Business strategy in the automobile industry and the auto parts industry
Until now, the automobile industry has pursued a business model that seeks needs in the consumer market and launched new vehicles whenever a new market emerged. More recently, however, each area of the world has strong points in different areas of technology. For example, development of peripheral industries (materials, parts, production equipment, IT engineering) in China, India, and ASEAN, the IT with automobile technology in the U.S., and advanced safety technologies in Europe. Therefore, it will become necessary to seek the resources of vehicle production across the world.
It becomes increasingly important for the automobile and auto-parts industries to manufacture competitive automobiles by deploying functions appropriately on a global scale while utilizing resources out of Japan.
NRI does not just provide marketing research and support. We support the entire business strategies for automobile and auto-parts manufacturers to gain competitiveness in the global market, ranging from establishment of supply chains and business collaboration to role allocation between headquarters and overseas offices.
Technology strategies including next-generation automobiles, self-driving and materials
In order to realize sustainable automobile society, the automobile industry focuses on the development of environmental and safety technologies represented by electric powertrains and self-driving. These technologies requiring advanced control technologies will further accelerate computerization and motorization of automobiles. At the same time, emergence of new players, for example from the electrical industry, will bring about the "logic of the electronics industry" to the automobile industry such as shorter development cycles and horizontal division of labor (meaning dispersing work tasks to different types of specialists). This will have a great impact on the structure of the industry.
NRI values the attitude of understanding technologies before speaking about the business. For example, for the electric powertrain field, we established the system where we can discuss, review and make proposal in the entire value chain including systems, batteries, components and materials in order to regularly study and analyze the future perspective of powertrain on a global scale, supporting the establishment of clients' visions as well as the formulation of business strategies with the principle of genchi-genbutsu (Go, see & study).
Dealer management reform in markets of emerging countries
Rapid motorization has continued for over ten years in the markets of emerging countries, particularly China. The market structure is shifting from the demand for the first vehicles to the demand for substitute vehicles. Accordingly, automobile manufacturers also need to operate with the dealers that emphasize the retention of existing customers. It is important for them to enhance the satisfaction of existing customers by providing various services. However, as many dealers were established quickly to catch up with the rapid growth of the market, the lack of service capabilities and poor insight of the industry have become serious problems.
NRI conducts a project in China for reforming dealer services in cooperation with several manufacturers of passenger vehicles. In addition to the development of service programs in emerging countries and providing customer service training, we promote deployment of the "Japanese style dealer services" in which results are thoroughly visualized and managed.
Planning and promotion of group strategies for automobile and parts businesses
The mission of automobile manufacturers is that they continue to support the sustainable development of human society and the global environment through the development of attractive automobiles and appealing communities. In that sense, the needs for environmental friendliness, safety, comfort, and convenience will increase. On the other hand, it is important to note that there are declining trends towards lower prices as a result of the rise of emerging markets. Accordingly, technology development of automobiles will become so bloated and complex that the management resources of complete vehicles and parts manufacturers are not only tightened but also forced to run businesses beyond their capabilities.
While facing the reality of difficult problems such as pursuit of the ideal future of the Group company, the ideal form of competitiveness enhancement, and the accompanying Group restructuring and designing of organizations and systems, NRI proposes group strategies that work beyond the boundaries of department based on total optimization and provides customers with steadfast support to reach a consensus of each company.