2. Value Chain
Strategies & Models
IT in Automobile Industry
Business Intelligence
Web 2.0
Cloud Computing
Success
Failure
3. Value Chain
Market Product
Procurement
Survey Development
Marketing Logistics Assembly
Dealership Sales Service
4. Mediation Strategies
Traditional Remediation Network based
• New & Used • Used cars • Used cars
cars websites classified
• Eg. Car • Eg. • Eg. Online ads
Dealers FirstChoice,
TrueValue
5. Business Model
Automobile
Industry
Integrated Disintegrated
Mass
Exclusive
Produced
Vehicles
Vehicles
6. Operating Model
High
Co-
Degree of Integration
Unification
ordination
Diversified Replication
Low
Low High
Degree of Standardization
8. Blue Ocean Strategy
Toyota Prius: First mass-produced
full hybrid car
Launched in Japan, 1997
Third generation (2009) sold 1
million units
9. IT in Automobile Industry
Online Surveys
eBuild, Simulators and R&D
Training
ERP
Logistics & Tracking
Sales and Service Database
Online Ads/Websites
10. Business Intelligence
Business Intelligence is used to
Generate the MIS reports
Complete Integration
between BI & ERP system
Provides accurate and latest
data
Basis for making
Strategic decisions
11. Web 2.0
Listen
Engage
Triage Infrastructure
Measurement
14. Cloud Types for Automobile Industry
• Business Processes as a Service
BPaaS • e.g. indirect procurement
• Software as a Service
SaaS • e.g. CRM, eCommerce
• Platform as Service
PaaS • e.g. Application servers, databases
• Infrastructure as a Server
IaaS • e.g. Storage and File System
20. The Big Benefits
Faster deployment of new
capabilities
Improved consistency and quality
of new capabilities
Increased efficiency in use of IT
resources
Faster integration with vendors
suppliers and customers
21. Success
Highly Process Oriented
Lean Production System
IT used to Standardize & Integrate
process
Best Practices in Industry
22. Failure
Mass Production System and no IT,
1990
No proper Standardization
No trainings and No incentives
Tried LPS, but opposed by
employees
Kia declared bankruptcy in 1997