Digitalization in the Automotive Industry

Achieving Data-Driven Value Creation with EFESO

*Examples from EFESO’s Digitalization Excellence project

Digitalization has long been a strategic success factor in the automotive industry. For OEMs and suppliers, leveraging digital technologies, using data strategically, and continuously evolving digital transformation are now more crucial than ever. At the core of this transformation lies data-driven value creation—serving as the foundation for efficiency, quality, and innovation across the entire industrial value chain.

Companies that flexibly adapt their digital strategies to meet changing market demands and consistently implement targeted improvement initiatives are positioning themselves for long-term competitiveness. Three action areas are particularly vital:

1. Increasing efficiency through AI technologies in production
Artificial Intelligence (AI) is revolutionizing production processes , enabling predictive maintenance, automated quality control, and intelligent production planning. AI allows for more precise, faster, and adaptive workflows. The primary challenge lies in integrating these technologies into existing production systems and diverse MES environments. Especially in globally structured production networks, multiple data sources, legacy systems, and the lack of standard interfaces impede the seamless scaling of proven digitalization approaches. In this context, modular, interoperable solutions and a consistent data strategy are essential.

2. End-to-end digital supply chain management
Growing market volatility and shorter product life cycles make a transparent, resilient, and responsive supply chain essential. However, in practice, the digitalization of supply chain processes is often fragmented. A lack of real-time data, siloed solutions, and fragmented IT infrastructures hinder efficiency and agility. OEMs and suppliers must therefore invest in integrated data flows and IT systems to enable seamless control from procurement to the production line.

3. Digital capabilities – key to successful transformation
Interdisciplinary teams with strong expertise in data analysis, automation, and operational processes are critical for the success of digital transformation. Building digital leadership and fostering a cultural shift toward agile, data-driven working methods is just as important as technical know-how.
In many organizations, the development of these capabilities and digital excellence structures is still in its early stages. Therefore, targeted training and systematic skills development should be an integral part of any digitalization strategy.

EFESO ONCE AGAIN “BEST CONSULTANTS” IN THE SECTOR “AUTOMOTIVE & SUPPLIERS”

For the twelfth time in a row, EFESO Management Consultants has been recognized by brand eins and Statista in the renowned industry study “Best Consultants” (formerly: ROI-EFESO). The respondents confirmed the top position already achieved in previous years in the “Automotive & Suppliers” industry segment of the ranking.

We would like to thank everyone involved for the trust they have placed in us and for all the recommendations that led to us being awarded the “Best Consultants” seal.


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Comprehensive digitization of the value stream

With EFESO, you identify the key levers for successful digitalization across your entire value stream – delivering measurable efficiency gains and long-term resilience. Our project experience in the automotive industry combines strategic vision, technological expertise, and implementation know-how. Together, we implement high-impact solutions in all relevant areas of digital transformation:

  • Efficient planning and control of production and supply chain networks
    Utilization of digital technologies to optimize production and logistics processes, such as predictive maintenance or digital twins.
  • Future-proof information flows and IT structures
    Standardization of IT architectures and platforms, and the use of AI to reduce capital and operating expenses (CapEx/OpEx).
  • Digitalization as a performance driver
    Identification and implementation of digital levers to increase efficiency and reduce costs in development, production, and the supply chain.
  • Knowledge consolidation
    Empowerment and upskilling employees through digital tools and formats such as analytics dashboards, webinars, training videos, and digital learning and collaboration platforms.

VISION, UNITY AND COURAGE – A RECOMMENDATION FOR ACTION

The transformation of the German automotive industry is a marathon - not a sprint. In Automobilwoche's “Cockpit Talk”, Jost Kamenik and Dr. Uwe Steinkötter explain how OEMs and suppliers can take advantage of opportunities, play to their strengths and tap into new business areas.


To the interview

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CONTACT

Ralf Bechmann

Ralf Bechmann
Partner

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Florian Roth

Florian Roth
Managing Director

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Felix Erhard

Dr. Felix Erhard
Principal

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CASE STUDIES & INSIGHTS - PRACTICAL EXAMPLES

CASE STUDY:

An automotive supplier improved the transparency of work and organizational processes in a production plant for dashboards. With a "Digital Process Twin" from EFESO, the company reduced the reject rate and made improvement potentials in its value creation networks visible.

CASE STUDY:

An automotive supplier harmonizes production planning and control in ten factory locations around the world. With EFESO, the company develops a suitable solution concept for a suitable software solution. This enables a standardization of the planning process and thus more flexibility and efficiency. Likewise, a long-term capacity planning of the plant group can be carried out in the new software.

INSIGHT:

Identify bottlenecks, resolve them effectively – and boost results fast.
By optimizing machines and equipment, companies can increase output quickly while achieving long-term cost reductions. A targeted approach that directly impacts competitiveness and performance.

INSIGHT:

EFESO supports companies in the end-to-end realignment of their production network – from ideation to ramp-up. As a one-stop shop, we offer strategic, efficient, and hands-on support for every stage of your factory planning.

INSIGHT:

Learn how ‘Procurement Spend Cube Analytics’ can help you quickly identify savings potential in procurement.

INSIGHT:

Discover how we successfully plan and execute factory projects using a ‘one-stop-shop’ approach, as demonstrated in an EFESO project for a 5 GWh battery cell factory.

INSIGHT:

Read here how EFESO’s team can help you to professionalize your receivables management and make your organization more agile and more resilient to phases of inflation/deflation.

INSIGHT:

Discover how one Tier-1 supplier is expanding into the fast-growing e-axle sector, closing a profitability gap, and meeting customer-specific design requirements through a best practice project with EFESO.