The Impact of Information Technology on Auto Manufactures - Research Paper Example

Introduction The automobile industry has an outstanding global reach, where there is one vehicle for every 11 people on the planet, although it may differ from country to country Car is a necessity of life in this present world. It is a way of transportation from one place to another. The first combustion engine was invented in the year 1861 by Gottlieb Daimler. He manufactured a huge bench type internal combustion engine (Karwatka, 2002). Since then, the evolution has started and reformed itself to advance the global economy in a spectacular way. Nowadays there are many auto manufacturers in the market. The prime objective for all of them is to provide a unique design with advance functions, improved mileage and vice versa. The automotive industries spend a lot of expertise and money on research and design for making a better product. In recent years, it has become technologically demanding and efficient. The model and design of the vehicle reflects cultural identity which is an important aspect. The auto industry is contributing enormously for improving the global economy. It is enabling the creation and support for massive industries including fuel supply, roads, streets, highways, bridges, transportation planning, vehicles parts and services and vice versa. The management specialist Peter Ducker concludes the auto industry as “industry of industries”. As per Information Technology for Automotives (ITA) “an interest federation of the international automobile industry with the emphasis is information technology. They became to 14. March 2000 based. A goal is, the information flow between the car manufacturers and - suppliers on the one hand and the IT-enterprises on the other hand to improve; at present the emphasis is on the analysis of the logistics of the delivery chains” 1 Impact of Information Technology Transformation Presently the auto mobile industry consists of all the procedures and processes required for transportation. Ahead of original equipment manufacturer (OEM) and the sales processes, this incorporates all of the levels of supply in OEM. Services of vehicle transportation include insurance, regulation, highways, streets, resale, disposal etc. These business functions can be supported to full potential by Information technology having all method of gathering information, storage, processing and dissemination. When integrating the current digital technologies in the auto industry, manual methods have been an element from the initial existence of this industry. In the information technology transformation sector, focus is directed towards implanted information proficiency which has been evolved and played a central role in the auto industry. A research was conducted for achieving successful products which concludes that concurrent engineering techniques in the automotive industry assist the organizations to achieve a successful product. The key elements for the concurrent engineering technique include Computer Aided Design, Analysis Simulation and Modeling, Geometric Modeling, Statistical and Quality Methods, Human Resources and Management (Sapuan, Osman, & Nukman, 2006). Three elements are emphasized in the auto industry for integrating information technology services. Superior product platforms Utilize and service supervision Allocation and manufacturing systems. These three key elements deliver services in a different domain as shown in Fig 1.1 Key Elements Products, Processes and Regulations Impact of I.T Applications Superior product platforms Property regulation Risk improvement, Balancing asset stipulation Driver registration services, Insurance Utilize and service supervision Atmospheric emissions control Passenger safety Embedded digital fuel and emission control systems Air bag and collision detection systems Sound systems, hands-free phones, remote control Distribution and production systems. Coordinating Allocation and manufacturing Manufacturer–customer liaison construction and safeguarding ERP applications and systems Supply-chain management (EDI, e-collaboration, e-markets) Car service history, Customer profiling/service, intelligent service management Fig 1.1 1.1 Superior Product Platforms (Property regulation, Risk improvement, Balancing asset stipulation) When automobiles became publicly available, they were only reachable to the rich community because the cost was high. Soon they were in a reach of common people which portrayed a profound effect on the financial economics of houses and society. The automobile was the second most expensive personal property after the house property. There was no proper registration policy for the vehicles letting the thieves steal the car anytime. A requirement for an automobile registration system was soon launched. One more issue regarding the untrained drivers may cause disorder, injury and also the damage to the automobile itself. The system for regulating, and the registration of those people who are meeting criteria was introduced. The registration systems were the first record systems. These systems were utilized by the insurance companies as they have to access the historical records containing driving behavior and automobile itself. The system became matured as other local information was interlinked including accidents and possible violations. The data was accessed by the law enforcement agencies and insurance companies. 1.2 Utilize and Service Provision(Atmospheric emissions control, Passenger safety, Entertainment, cordiality and control) The atmospheric emission control system has the combustion process which had to operate very near to ‘stoichiometric’ conditions. A small variation can effect in a disastrous turn down in cleaning effectiveness. A micro adjustment in the air ratio on a permanent basis is the only way to obtain the right operating. The sensor of the ‘Lambda-sond’ solution transmit its information to a computer that include state tables routing the fuel injection system to make a modification in the air ratio instantly to keep the output gas in ‘stoichiometric’ equilibrium. For emissions control, this was the first application of modern Information Technology in an automobile engine and was incorporated in Volvo’s 240 models. Automatic braking systems which were the integration of Information technology played a prominent role which was to reduce skidding, deceleration-detecting air bag systems used for supplementary self-control in the event of a collapse or a car crash, and automatic warnings for the driver on events such as doors not locked and brake system failure. Recent efforts at intelligent vehicles and highways are aimed largely at safety concerns as well as impede travel time. The role of Information technology as with emission controls, the rise of ‘record keeping’ systems would demonstrate to have significant effects on passenger protection. 1.3 Distribution and Production Systems The E business transformation involves production and distribution of new automobiles. Research on Information Technology also emphasizes on the production and distribution of new automobiles. The role of Information Technology in reconstructing is the Japanese expansion of techniques for quality assurance and lean development. The trademark of these developments is the development of a single supplier Original Equipment Manufacturer association called the “voice” model. The exploitation of an innovative information management methodology called the ‘kanban’ system to synchronize the production. The OEM convention arises after World War II when Japan was harassed to rebuild its devastated industries with a washed-out workforce. The dramatically changed of social formation was imposed by the occupation. An essential part of the rebuilding was the creation of strong bonds between labor and administration that incorporated long-term job security in exchange for labor motivation to work across limitations between trade and to meet management in problem solving. This supportive strategy unmitigated to suppliers and OEMs; the OEMs agreed to stay with key provider in good times and bad, while provider settled to support the OEMs with enhancement in design, the production, and efficiency. The ‘kanban’ system was a formal feedback system. The system use paper cards that would escort part and component the production and at key points in the processes be passed back up through the supply chain to make more efficient flow. The system enabled the instant inventory control strategy that eventually caught on among the global OEM. The Japanese auto industry recognized itself as the manufacturer of high quality in the market, trustworthy car production that could be sold at the substandard price end of export marketplace in the United States and Europe. Japanese technological and technical innovation also verified that it was achievable to think out of the box that the more established automobile industries did not believe achievable, as with the Honda CVCC engine. United States industry was following strategies that were emphasizing on information technologies, particularly digital computing and process control devices in manufacturing. The vital get through was numerical computer controlled tools (CNC) that can be programmed to machine specific outline with great meticulousness and express throughput. The ability to program robotic tools was to execute multifaceted tasks on a recurring basis allowed them to extend into body painting and glass handling that carried prospective for causing troubles in worker security, protection and health. The technology eventually became comprehensive to the assembly process, with entire assembly lines choreographed by computing equipments. The development of computer aided design (CAD) tools that can create “programs” for CNC tools to support higher level geometric specification. They almost immediately became a part of the manufacturing technology. Primarily, CAD and CAM tools were utilized to automate manual drafting, as mathematical modeling was integrated they commence for implementing in integrated solid modeling. Defined geometries could be tested through prearranged element analysis and other methodologies before being fabricated. A designer could devise a part to input parameters of expected use and identify materials and processes for development. The execution set of virtual tests is used to determine whether the part would reach the performance potential or not. This dramatically concentrated the quantity of experimental engineering which was necessary to create trustworthy and cost effective components. It has been extensive to all modules and to vehicles in total. Geometric models are now extensively used in the early period of product design for simulation and to acquire feedback from potential clientele. These systems present a suite of tools for incorporated product management across the complete value chain and life cycle. It is used in computer based modeling of the production process to assist materials requirement planning (MRP). MRP, the answer of other OEM to the Japanese ‘kanban’ strategy, come into sight from the need to get enhanced control over inbound and outbound logistics, inventory and to coordinate manufacturing costs. The premature MRP systems were expanded to slot in a broad array of manufacturing resources and ultimately to grip the enterprise as a whole in the course of enterprise resource planning (ERP), SAP and MySap and related software platforms. German manufacturers, in particular Daimler, have been most important adopters of this technology. The next stepladders in this region are more homogeneous interfaces and processes for managing data through industry wide product specification for example, EbXML. Up till now these developments have not produced an impact as physically powerful as compared to the Japanese revolution in quality assurance and lean manufacturing. The production of automobile world-wide is far well-organized than before, as it is observed that declining car prices and enhanced quality, dependability, and resilience. This is partly due to major perfection in materials technology for example, plastics, lubricants, and vise versa. Eventually it is due mainly to advancing research about how to build what the market needs efficiently and successfully. In difference to just past two decades, it is now complicated to purchase a new automobile of poor eminence. Other industries were also empowered with the auto industry. Racing cars manufacturing became started and became popular very early. The mobile radios, voice communication and music players were installed for communication and entertainment. The compact cassettes enable users to record the music at home and play it in the automobiles. The companies providing home entertain systems, divided in to two separate domains. Entertainment systems for the automobile with LCD screen, DVD players, MP3 players, Radios, GPS and other features were incorporated. Today these features are highlighted as a strong marketing spot. 2 Conclusion One of the vital impacts of information technology on the automobile industry is the enhanced product features of automobiles. Lot of debates were conducted on inflexible customer behavior, cultural partiality for ownership, but there seems to be no rationale of why the industry has not shifted on a rental model as Information technology is already provisioning and giving all options required for this shift to be made. Some issues including service and life of an automobile and legal responsibility of design need to be discussed more. The focus of the automobile industry is very simple which is a new car manufacturing and sale. The acceleration in the automobile industry is due to enhance sales; amplify interoperability of government record systems along with the insurance companies and the globalization of original equipment manufacturers ad hefty vendors on the Internet. The process of Information Technology integration is far slower as the Internet suggest. The transformation is slow and complex in terms of infrastructure reformation but the effects are dominant and collective. The automobile industry injects the Information technology radically long before the digital revolution. The most vital impacts of Information technology on the automobile industry have been the advanced features and characteristics of the products. It is difficult to predict the future of the automobile industry. Predictions will focus on providing rapid transit and related services including entertainment, advanced security, information services and risk mitigation. The mechanics of transportation and information capability in the automobile industry was facilitated by Information Technology thorough out the automobile transformation process. Information technology will change the structure and technology of a car component industry. Reducing the significance of economics of sale and increasing the need for elasticity and technical proficiency of companies with the advantages of production and design flexibility and a competitive cost structure which will be possible by the integration of Information technology. It will lead to great opportunities for competitive revolution in the automobile industry. There is only on intimidation related to Information technology, the organizations which have not adopted or will not adopt Information technology will be swept away by the robust tide of flexibility and productivity (Haynes, 1987). References Karwatka, D. (2002). Gottlieb daimler and the first motorcycle. Tech Directions, 62(1), 8. The "industry of industries" goes back to the future - opinions - australian business foundation Retrieved 11/22/2010, 2010, from http://www.abfoundation.com.au/research_knowledge/opinions/159 Sapuan, S. M., Osman, M. R., & Nukman, Y. (2006). State of the art of the concurrent engineering technique in the automotive industry. Journal of Engineering Design, 17(2), 143-157. doi:10.1080/09544820500275511 Information technology for the automobile industry / automobile industry - economypoint.org Retrieved 11/26/2010, 2010, from http://www.economypoint.org/i/information-technology-for-the-automobile-industry.html Haynes, N. (1987). Invest and survive--the impact of information technology on the UK car components industry. Journal of Information Technology (Routledge, Ltd.), 2(4), 196. Read More