Acloudear’s White Paper on Digital Transformation in the Automotive Parts Industry Released

Author:Acloudear , 2024-01-21 11:19   
Achieving sustainable growth in an increasingly digital and environmentally conscious world.

Automotive components usually refer to all parts and components except for the car frame. Among them, parts refer to individual components that cannot be separated; A component refers to a combination of parts that implement a certain action (or function). There are tens of thousands and a wide variety of automotive components, involving multiple fields such as smelting, chemical engineering, electronics, etc., forming a unique industry with a long processing chain from raw materials to finished products. It is also an indispensable and important industry to support the development of automotive products and technological progress.



The global auto parts industry is facing major changes, especially the rise of electric vehicles (EV) and autonomous vehicle (AV). By 2035, the industry landscape will undergo significant changes: electric vehicles are expected to account for about 60% of new car sales, and internet smart vehicles will account for 70% of the global total number of cars.


As a key component of this ecosystem, primary automotive suppliers face challenges in maintaining profitability and adapting to these technological transformations. Acloudear digital experts believe that the automotive parts industry needs to embrace digital transformation as soon as possible, focusing on components and software of emerging technologies, while managing the transition from traditional power vehicles.


Therefore, we have written the following White Paper on Digital Transformation in the Automotive Parts Industry, hoping to use our years of successful digital experience in the automotive parts industry to help automotive parts enterprises transform and upgrade, and achieve sustainable growth in an increasingly digital and environmentally conscious world.


As a pure cloud SAP partner, Acloudear Network provides multiple digital solutions around SAP digitization for enterprises in different sub sectors of the automotive parts industry.


Successfully served well-known domestic and foreign automotive parts companies such as STS, HAICHENG, UCIT, Sejin, Sinotruk Hiab, Wabco, Filtran, Neotis, etc., helping them achieve digital transformation.


The automotive parts industry is at a crossroads, influenced by technological progress, changes in consumer preferences, and the evolution of business models. The transition between electric and autonomous vehicle, coupled with the rise of shared mobility and software driven features, is creating challenges and opportunities. In order to navigate this landscape, enterprises must adapt, innovate, and may even completely reform their traditional business models. The future of the industry will be shaped by companies that can effectively respond to these dynamic changes, utilize new technologies, and anticipate the growing consumer demands in the digital world.


Digital navigation indicates direction

Digital Transformation Strategy and Practice Guide


1、 Focus on 5 major transformation directions


We have found that the automotive parts industry generally faces the following transformation needs and needs to focus on five major transformation directions

1.Customer centricity:keeping up with the latest changes in the market and customers; Actively expanding markets, channels, and formats;

2.Agile response to changes:efficiently manage customer needs, drive production scheduling in real-time, and provide timely and reliable services;

3.Collaborative supply chain:Expand sourcing, strengthen supplier management, and quickly respond to market changes through collaborative supply chain;

4.Ensuring productivity and quality: Ensuring overall quality management of human resources and comprehensive labor supply chains;

5.Comprehensive analysis and decision-making:Real time insight into the operational status of the enterprise; Simulate and simulate various changes and plan adjustments


2、 Suitable for automotive parts enterprises

Specific solutions for digital transformation


As a senior supplier of digital strategy consulting and service implementation for enterprises, Acloudear can provide professional digital strategy consulting services for automotive parts enterprises, and rely on industry best practices to provide one-stop solution packages to support business transformation.


1、SAP solutions comprehensively assist automotive parts enterprises in running fast in the cloud

Firstly, we highly recommend the globally leading SAP solution, which not only provides the best business practices for the automotive industry for automotive parts enterprises, but also focuses on enhancing upstream and downstream collaboration and internal business integration by extracting more than 20 pre configured processes from advanced global parts enterprises. This is crucial for large automotive groups to promote their subsidiary component companies in a template style.


Customer Experience Solutions – Strengthening Close Relationships with Customers

Production Manufacturing Solutions – Accelerating Response to Plans and Changes

Procurement and Supply Chain Solutions – Expanding sourcing and procurement channels

Employee Experience Solution – Multi source Employment Configuration and Training

Analysis and Decision Solutions – Enhancing Comprehensive Analysis and Decision Making Ability

Business Finance Solutions – Enhancing Comprehensive Control of Business Finance

Sales Management Solutions – Significantly Improving Sales Efficiency

Business innovation solutions – comprehensively enhancing business competitiveness


2、Acloudear solution package empowers automotive parts enterprises to accelerate value realization


In recent years, Acloudear has innovatively launched multiple lightweight cloud expansion application solutions around industries such as discrete manufacturing, high-tech, medical devices, automobiles, and consumer goods. This not only enriches application scenarios, but also effectively improves customer experience, earning market praise.


SAP Cloud ERP Discrete Manufacturing Industry Solution Package

AcloudEAR is a discrete manufacturing solution based on SAP Best business practices and integrated into SAP cloud ERP solutions. It helps discrete manufacturing enterprises, including automotive parts enterprises, establish a comprehensive management platform that integrates sales, procurement, customer, dealer relationship management, finance, and management accounting. It supports multiple business forms for multiple companies and organizations, order splitting and merging, flexible pricing management models, and outsourcing processes, Triangle trade, tariffs, electronic invoice processing, etc. meet the needs of business and finance integration, and improve the operational efficiency of enterprises.


● Fast implementation: up to 100 days online; Cost control;

● Flexible Expansion: Rich Add on optional copywriting;

● Joint Innovation: Creating Exclusive Cloud Services and Settling Industry Solutions


Acloudear Extension Integration Solution Package

This solution package is built on top of the SAP Business Technology Platform and is ready to use out of the box. It comes with pre built configurable templates, so you don’t have to worry about SAP’s standard API not meeting business needs, nor do you have to worry about your own CPI knowledge reserves. Let Acloudear network, and you can easily integrate and integrate SAP’s multiple cloud products, third-party systems, and SAP’s cloud solution with our innovative solution!

Finally, this white paper delves into successful digital transformation cases of automotive component companies: STS, HAICHENG, UCIT, and other companies represent different sub sectors in the fields of automotive component materials, rubber, and intelligence. By analyzing how these enterprises utilize digital technology to optimize their business processes, improve efficiency, and enhance market competitiveness, it can provide reference for the practical application of digitalization in automotive parts enterprises.


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This article "Acloudear’s White Paper on Digital Transformation in the Automotive Parts Industry Released" by AcloudEAR. We focus on business applications such as cloud ERP.

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