The AUTOmobile becomes the autoMOBILE: How does the mobility revolution impact automotive business...

© 2015 IBM Corporation

The AUTOmobile becomes the autoMOBILE How does the mobility revolution impact automotive business models?

Dr. Sebastian Wedeniwski IBM Distinguished Engineer, CTO Automotive Industry


IBM Global Automotive

Dr. Sebastian Wedeniwski, IBM Distinguished Engineer, CTO Automotive Industry

Three primary disruptors are causing industry boundaries to blur and even disappear

2

Expect digital engagement and experiences

Can be compelled to co-‐create products and strategy

Taps into intelligent vehicle capabili:es

Creates new offerings via consumer-‐driven requirements

Enables new paths to enterprise growth

Creates new opportuni:es to collaborate within and outside tradi:onal industry borders

External Factors

Source: IBM Institute for Business Value: Automotive 2025 – Future trends and the transformation of the Automotive Industry




Agenda

3

Ø Consumers: Digital disruption into the physical world

Ø Mobility: The mobility revolution in the automotive industry

Ø Ecosystem: Inside, related, and beyond connected vehicles

Ø Critical business competencies in a globally transforming digital age




Consumer

Connected Car Life Style

4

Generation 2010 2020 Grown up

Defines Invent

Traditionalist (born <1946) Silent Generation

4% 1% Books Fax

Baby Boomers (1946-1964) Growth Economies Generation

38% 22% TV PC

Generation-X (1965-1976) Tales for an Accelerated Culture

21% 20% PC Mobile Phone

Millennials (1977-1997) Digital Natives (Gen-Y)

37% 50% PC & Internet

Google & Facebook

Gen-2020 (born > 1997) Hyper connected

0% 7% Mobile Media

iPhone Apps

The nature of the consumers is changing

OEM

The History Historically the Dealer-to-

Consumer relationship, supported by the Business-to-Dealer relationship have

been the key relationships in the automotive industry.

The Opportunity 1. Digital technologies will enable OEMs to establish a much closer customer relationship (Customer 1st). 2. In addition the “Connected Car” opens up new “Vehicle to Consumer” (V2C) and “Vehicle to Business” (B2V) relationships.

Dealer Vehicle

B2D

D2C V2C

V2D

B2V




Customer experience: Do we LOVE our cars?

5

You’ve got to start with the CUSTOMER EXPERIENCE and work back toward the technology. - Steve Jobs

“ ”




Customer experience: Do we LOVE our cars?

6

•  Is buying a car a good customer experience today? •  Is car insurance a good customer experience today? •  Is car maintenance a good customer experience today? •  Is parking a good customer experience today? •  Is car trading a good customer experience today? •  …

This is the entry for other industries!

You’ve got to start with the CUSTOMER EXPERIENCE and work back toward the technology. - Steve Jobs

“ ”




Personalized Experiences Example – Business Traveler Use Cases

7

Mobile Devices

Avionics

Quick Service Restaurant

Integrated Resort

Car

Internet of Things New Emerging Devices

e-‐Token/ Smart Key

Digital Signage

POS Connec:vity Technologies

Content Integra:on Triggers

Personaliza:on Preferences • Brands • Lifestyle Entertainment • Merchants

Ac:vi:es • Travel




Agenda

8


Ø Mobility: The mobility revolution in the automotive industry Ø Ecosystem: Inside, related, and beyond connected vehicles




Dr. Sebastian Wedeniwski, IBM Distinguished Engineer, CTO Automotive Industry 9

6 MAF4-18

Shared mobility

Fleet and leasing

Integrated fare management

Savings potential

Mobility planning apps

Road trains

Rapid shuttles

Self learning car

Smart access

Dedicated lane

Smart parking

Real-time traffic management

Intelligent Mobility Market: Concept of Sustainable Mobility, Global, 2015–2035

i

Framework Current infrastructural framework and enablers need to be upgraded or purpose built to a higher plane of intelligence to serve the upcoming needs of intelligent mobility.

Mobility Innovative and diverse mobility solutions that cater to a wide range of consumers’ mobility needs will exist cohesively, providing cost-effective and time-saving travel options for commuters.

Intelligent Mobility—A Multi-faceted Sustainable Solution Several facets of today’s mobility solutions will face disruption and evolve to fit tomorrow’s intelligent mobility ecosystem, resulting in improved benefits and responsibilities for consumers.

Source: Frost & Sullivan



Dr. Sebastian Wedeniwski, IBM Distinguished Engineer, CTO Automotive Industry 10 Source: Bosch




Mobility is getting from A to B

11

The “Amazon of Mobility” is a Network Ecosystem

Start

Preferences •  Time •  Costs •  Simplicity •  Comfort •  …

Use Case •  Business •  Leisure •  Shopping •  …

Travel destination

One check-in … keep your personalities always with you … one payment




Agenda

12








How has the car changed since 2007?

13

Source: Daimler AG (Feb 05, 2015) Investor Conference, "Getting grip to the road!"




How has the car changed since 2007? AND the ecosystem?

14

Source: Daimler AG (Feb 05, 2015) Investor Conference, "Getting grip to the road!"

How has the mobile changed since 2007? The smartphone as the key to mobility!

iPhone (1st generation) first released June 29, 2007

iPhone 6 first released Sept 19, 2014

Creating new products and business models!

Driving engagement and customer experience!

Accelerating advances in technology…!are transforming every part of business!

Advanced analytics!

Product lifecycle!

Cloud!

Pervasive!connectivity!

Embedded sensors!

!




IBM – Panasonic Cross Value Innovation for New Business Models

15

Internet of Things Automotive centric Ecosystem – B2B2C Customers & Collaboration Partners

Connected IRE

• Autonomous Car for Car Rental Apps with e-check in/out at airports

• Integrated Dealership Experience with KIOSK and Intelligent Agents

• Car Centric e-payments for QSR and Intelligent /Personalized Offers

• Real Estate Agents Car

• Contextual Personalized Brand Life Style Content Delivery at all IBM & Panasonic B2B / B2B2C touch points

• Integrated Parking & e-payments

• Car Surround View User Generated Content

• Car Centric Stadium Apps for Tailgate and Parking type events

• Fleet Solutions

IoT Devices (w/ APIs)Design & Development & Manufacturing

Capabilities

IoT Cloud SolutionsDesign & Development & Manufacturing

Capabilities

Core Technologies

Vertical Domains B2B2C Know-How

Inside-out Vehicle

Connected(Healthcare(

•  Health'Presence'•  Extended'Care'•  Pa1ent'Media'

Monitoring'•  I7Services'in'HC'•  Pa1ent'Room'of'

the'Future'•  Extended'Care'

•  City'Infrastructure'Mgt.'

•  Remote'Expert'for'Gov.'

•  Untethered'Employee'

Connected(City((

•  Mobile'Shopper'Experience'

•  Digital'Signage'•  KIOSK'•  Smart'Locker'•  Remote'Expert'•  Demographic'•  Untethered'

Employee'•  Store','Social,'

Opera1onal'Analy1cs'

'

Connected(Retail(

•  Interac1ve'Banking'Kiosks'

•  Integrated'Remote'Expert'Mobile'Advisor'

•  Connected'Analy1cs'for'Retail'

'

Connected(Omni3Channel(

Connected Solutions

Customer Experience

Strategy

•  Interac1ve'POS'Kiosks'

•  Digital'Content'Hub'

•  e7payments'•  Connected'

Analy1cs'for'QSR'

•  Food'/'Logis1cs''•  Security''

Connected((QSR(

•  Brand'Life'Style'Personaliza1on'thru'Panasonic'Connected'Screens''

•  Loca1on'Based'Car'Life'Style'Services'

•  e7payments'•  BIG'DATA'•  Security''

Connected((Car/Mobility(

Industry-specific Transformations

Applications & Solutions

Platforms

Devices & Networks

Driver Insights Vehicle Insights Infrastructure Insights

Cognitive Cloud

IBM Global Payment Security Operation Center

Moving Object Map Analytics

Cognitive Agent

Outside-in Vehicle

ADAS ComponentRear Seat EntertainmentOnboard Charging SystemElectrification ComponentsBatteriesCamerasSensorsNavigation

Display Audio Head up displaySmart DisplayCockpit System




Agenda

16








Personal Mobility is changing the product architecture…

17

vehicle

power train

combustion engine

gearbox

chassis

steering system

braking system

suspension system

body

platform

hat

overall

exhaust system

fuel system

interior

seats

console

electr(on)ic

electrical power supply

lights

infotainment multimedia

Drive architecture

Life architecture

Source: BMW




The value chain needs to be changed to implement it

18

Development Produc:on Sales APer-‐sales support

Digitalisa:on of the industry: A move from the AUTOmobile to the autoMOBILE

Core processes of the classic business model in the automotive industry

Procurement & produc:on

Sales and digital access

Digital product

integra:on

Value-‐added services

Core processes of the business model in the mobility industry

AUTOmobile in order to emphasise ‘Auto’ – the German word for car

AutoMOBILE to emphasise the mobility of travelling from one place to another




IBM Internet of Things for Automotive Vision “autoMOBILE with IBM”

19

Development* Produc0on* Sales* A5er6sales*support*

Digitalisa0on*of*the*industry:*A*move*from*the*AUTOmobile*to*the*autoMOBILE*

Procurement*&*produc0on*

Sales*and*digital*access*

Digital*product*integra0on*

Value6added*services*

Product:)minimalis0c*travel*capsule*

*Product)development:)

Raw*material*produc0on,*manufacturing*of*basic*

parts,*assembly**

Manufacturing)type:)Build*to*stock*

*Focus)of)subsystems:)Drive*system,*chassis,*

bodywork*!

Business)domain:)Physical*produc0on*&*outbound*logis0cs*

Product:)Travel*capsule*&*periphery*


3D*printer,*connect,*replace*

*Manufacturing)type:)

Build*to*order**

Focus)of)subsystems:)Interior/equipment,*electricals/electronics*

!Business)domain:)

Sales*&*digital*access**

Product:)autoMOBILE*


So5ware*Defined*Environment*

*Manufacturing)type:)

Digital*copy**

Focus)of)subsystems:)Communica0on*&*entertainment,*electr(on)ics*

!Business)domain:)

Digital*product*integra0on*&*value*added*services*

Industry-specific Transformations

Applications & Solutions

Platforms

Devices & Networks

IoT for Automotive

Vehicle Insights Driver Insights Infrastructure Insights

Cognitive Cloud

Cognitive Agent




Don’t forget the legacy of 89 business competencies in the automotive industry

20

Corporate'leadership'

Research'&'development'

Procurement'&'inbound'logis1cs'

Produc1on'Marke1ng'&'

communica1on'Sales'&'

outbound'logis1cs'Financial'service'

AAerBsales'support'

Human'resources'

Quality' Finance'&'controlling' Infrastructure'Corporate'

support'service'

Leadership'domain'

Core'business'domains'

Administra,on'domains'

Support''domains'

Planning'&'management'system'

Internal'control'system'

Repor1ng'&'indicators'

Accoun1ng,'financial'statement'

Treasury'

Financial'market'communica1on'

Goals,'values,'principles'

Corporate'strategy'

Business'&'process'structure'

Integrity'&'law'

Risks'&'finance'

Safety'&'security'

Corporate'documenta1on'

Environment'

HR'management'&'process'

Human'resource'policy'

HR'planning'&'organisa1on'

Opera1on'control'

Evalua1on'

Entry'&'exit'

Opera1on'&'development'

Administra1on'&'remunera1on'

Understanding'of'quality'

Quality'planning'

Quality'improvement'

Quality'evalua1on'

Performance'evalua1on'

Quality'assurance'

Problem'and'error'processing'

Quality'documenta1on'

Planning,'requirement,'change'

Research'&'preBliminary''develop.'

Standard,'method,'process'

Tes1ng'&'valida1on'

Concept,'design,'construc1on'space'

Development'&'engineering'

Product'data'&''documenta1on'

Procurement'strategy'

Logis1cs'planning'&''management'

Supplier'rela1onship'

Supplier'evalua1on'

Purchase'awarding''&'contract'

Produc1on'supply'

Procurement'op1misa1on'

Produc1on'planning'&'management'

Equipment'planning'

Produc1on'assurance'

Series'prepara1on'

Manufacturing'

Assembly'&'intralogis1cs'

Corporate'communica1on'

Corporate'&'brand'iden1ty'

Marke1ng'concept'

Execute'

Control'

Direct'

Market'analysis'&'success'evalua1on'

Marke1ng'measures'

Edi1ng'&'Proofreading'

Media'archive'

Produc1on'process'&'simula1on'

Sales'strategy'&'client'

Sales,'demand,'stock'

Distribu1on'system'

Sales'performance'

Qualifica1on,'quote,'contract'

Order'&'distribu1on'

Acceptance'&'documenta1on'

Distribu1on'op1misa1on'

Financial'service'strategy'

Guideline,'process,'risk'

Evalua1on'&'sustainability'

Performance'measurement'

Financial'services'contract'

Bank'&'credit'

Insurance'

Customer'voice'

Connected'vehicle'

Customer'&'vehicle'data'

Product'monitoring'

Warranty'&'goodwill'

Standard,'equipBment,'informa1on'

Loca1on'planning'

Facility'&'site'safety'

Equipment'&'supply'

IT'opera1ons'

Knowledge'&'ideas'

Law'&'regula1ons'

IT'development'&''documenta1on'

Assistance'

IT'planning'

Project,'por[olio,'process'




Primary focus on building up digital and mobility competencies

21

Sales & digital access

Sales strategy & client

Sales, demand, stock

Sales performance

Qualifica:on, quote, contract

Order & personalisa:on

Acceptance & documenta:on

Customer voice & contact

Sales strategy & client

Sales, demand, stock

Distribu:on system

Sales performance

Qualifica:on, quote, contract

Order & distribu:on

Acceptance & documenta:on

Distribu:on op:misa:on

Produc:on planning & management

Resource planning

Produc:on safeguarding

Engineering, series prepara:on

Manufacturing

Assembly & intralogis:cs

Produc:on process & simula:on

Distribu:on system

Distribu:on op:misa:on

Produc:on planning & management

Resource planning

Produc:on safeguarding

Series prepara:on

Manufacturing

Assembly & intralogis:cs

Produc:on process & simula:on

Physical produc:on & outbound logis:cs

Digital product integra:on & value added

service

Planning, requirement, change

Network Ecosystem

Client & vehicle data

Product monitoring

Guarantee & goodwill

Standard, equip-‐ment, informa:on

Vehicle fleet & mobility service

Tes:ng & valida:on

Research & Development

Planning, requirement, change

Research & pre-‐liminary develop.

Standard, method, process

Tes:ng & valida:on

Concept, design, construc:on space

Development & engineering

Product data & documenta:on

Customer voice

Connected vehicle

Client & vehicle data

Product monitoring

Guarantee & goodwill

Standard, equip-‐ment, informa:on

Financial service strategy

Guideline, process, risk

Evalua:on & sustainability

Performance measurement

Financial services contract

Bank & credit

Insurance

Financial service strategy

Guideline, process, risk

Evalua:on & sustainability

Performance measurement

Financial services contract

Bank,,credit, payment portal

Insurance

Produc:on Sales &

outbound logis:cs

APer-‐sales support

Financial service

Financial service




Business competencies of the changing business architecture for the autoMOBILE value chain

22

Corporate'leadership'

Procurement'&'inbound'logis1cs'

Phy.'produc1on'&'outbound'logis1cs'

Marke1ng'&'Communica1on'

Sales'&''digital'access'

Financial'service'Digital'product'

integra1on'&'value'added'service'

Human'resources'

Quality'Finance'&'Accoun1ng'

Corporate'support'service'

Infrastructure'

Leadership'domain'

Core'business'domains'

Administra,on'domains'

Support''domains'

Planning'&'management'system'

Internal'control'system'

Repor1ng'&'figures'

Accoun1ng,'financial'statement'

Treasury'

Financial'market'communica1on'

Goals,'values,'principles'

Corporate'strategy'

Business'&'process'structure'

Integrity'&'law'

Risks'&'Fnance'

Security'

Corporate'documenta1on'

Environment'

HR'management'&'process'

Human'resource'policy'

HR'planning'&'organisa1on'

Opera1on'control'

Evalua1on'

Entry'&'exit'

Opera1on'&'development'

Administra1on'&'remunera1on'

Understanding'of'quality'

Quality'planning'

Quality'improvement'

Quality'evalua1on'

Performance'evalua1on'

Quality'valida1on'

Dealing'with'problems'&'errors'

Quality'documenta1on'

Planning,'requirement,'change'

Procurement'strategy'

Logis1cs'planning'&''management'

Supplier'rela1onship'

Supplier'evalua1on'

Purchase'awarding''&'contract'

Produc1on'supplies'

Procurement'op1misa1on'

Produc1on'planning'&'management'

Resource'planning'

Produc1on'safeguarding'

Engineering,'series'prepara1on'

Manufacturing'

Assembly'&'intralogis1cs'

Corporate'communica1on'

Business'&'brand'iden1ty'

Marke1ng'concept'

Execu,on'

Control'

Management'

Market'analysis'&'success'evalua1on'

Marke1ng'measures'

Edi1ng'&'proofreading'

Media'archive'

Produc1on'process'&'simula1on'

Sales'strategy'&'client'

Sales,'demand,'stock'

Distribu1on'system'

Sales'performance'

Qualifica1on,'quote,'contract'

Order'&'personalisa1on'

Acceptance'&'documenta1on'

Distribu1on'op1misa1on'

Financial'service'strategy'

Guideline,'process,'risk'

Evalua1on'&'sustainability'

Performance'measurement'

Financial'services'contract'

Bank,'credit,'payment'portal'

Insurance'

Customer'voice'&'contact'

Network'Ecosystem'

Client'&'vehicle'data'

Product'monitoring'

Guarantee'&'goodwill'

Standard,'equipBment,'informa1on'

Site'planning'

Facili1es'&'sites'safety'

Equipment'&'supplies'

IT'opera1on'

Knowledge'&'ideas'

Law'&'regula1ons'

IT'development'&''documenta1on'

Assistance'

IT'planning'

Project,'por[olio,'process'

Vehicle'fleet'&'mobility'service'

Technology'&'development'

Research'&'preBliminary''develop.'

Standard,'method,'process'

Tes1ng'&'valida1on'

Concept,'design,'construc1on'space'

Development'

Product'data'&''documenta1on'




…further details

23

The Mobility Revolution in the Automotive Industry: How not to miss the digital turnpike!

The Internet of Things, Cloud Computing, Connected Vehicles, Big Data, Analytics – what does this have to do with the automotive industry? This book provides information about the future of mobility trends resulting from digitization, connectedness, personalization and data insights. The automotive industry is on the verge of undergoing a fundamental transformation. Large, traditional companies in particular will have to adapt, develop new business models and implement flexibility with the aid of appropriate enterprise architectures. Transforming critical business competencies is the key concept. The vehicle of the digital future is already here –who will shape it?

http://www.amazon.com/Mobilitätsrevolution-Automobilindustrie-Ausfahrt-digital-Xpert-press/dp/3662447827/ref=sr_1_1 http://www.amazon.com/Mobility-Revolution-Automotive-Industry/dp/3662477874/ref=sr_1_2

1

ISBN 978-3-662-47787-8

Sebastian Wedeniwski

The Mobility Revolution in the Automotive IndustryHow not to miss the digital turnpike

The Mobility Revolution in the Automotive Industry

Wedeniwski

Sebastian Wedeniwski The Mobility Revolution in the Automotive Industry How not to miss the digital turnpike

Th e Internet of Th ings, cloud computing, connected vehicles, big data, analytics – what do any of them have to do with the automotive industry? Th is book provides essential information on the future of mobility trends resulting from digitization, connectedness, personalization and data insights. In particular, traditional companies will have to adapt, develop new business models and become more fl exible with the help of appropriate enterprise architectures; transforming critical business competencies will be the key. Th e vehicle of the digital future is already here – but who will shape it?

Professional Computing

9 783662 477878




Thank You!

24

The AUTOmobile becomes the autoMOBILE: How does the mobility revolution impact automotive business...

Automotive

Transcript of The AUTOmobile becomes the autoMOBILE: How does the mobility revolution impact automotive business...