How Top Auto Supplier CEOs Use Technology as a Competitive Advantage
The best CEOs have a firm grasp of the big picture and understand enough of the details to know how to adjust course to meet the company’s goals. Your success as a CEO largely depends on your ability to access the right information. Information is power.
Top Automotive Supplier CEOs insist on knowing their numbers.
Have one system that shows “the truth.”
Do you have a report or dashboard that accurately reflects what is going on throughout the company? How long does it take to compile this information?
Speed is everything. Working with after-the-fact information limits your opportunities to adjust in time to impact overall results. Most of the automotive supplier manufacturing companies we’ve worked with have multiple systems and databases.
Solutions like Microsoft Dynamics 365 for Operations can help companies drastically cut down the number of systems and spreadsheets they use. However, it’s not always feasible or practical to replace all technology – at least not all at once. Often the solution is to build a data warehouse that will consolidate the information from the disparate systems. Business analytics tools can then help make sense of the information and distribute it as needed to employees.
Get accurate sales forecasts.
Few things are as important to know as sales numbers and cash flow. Budgets, procurement, production and hiring all flow from expected incoming revenue. Savvy CEOs are using sophisticated customer relationship management systems and sales forecasting tools that can factor in probabilities and use predictive analytics.
Streamline internal communications.
Email. Phone calls. Meetings. Time looking for lost files. Have you ever added up how much money inefficiency is costing the company? Especially in the automotive supply industry, we know the bid response process is long, laborious and requires multiple levels of approvals. Invest in a system that will support and track the entire product lifecycle from bid to product delivery.
Know your cost of goods sold.
Of course you know your high-level costs, but can you drill into the detail? What happens when the price of steel rises steeply? How should you react when there’s a fluctuation in labor and material costs? Do you have enough information to make the right decisions?
Systems today can help you gain meaningful insight into the entire product lifecycle.