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2015 Car Innovation: A comprehensive study on innovation in the automotive industry
Posted on 2010-04-15
|
More This will be accompanied by structural changes in the auto industry¡¯s R&D departments. OEMs will only slightly increase their R&D spending. While Western car manufacturers will cap their R&D investments, OEMs from China, India and South Korea will boost their spending on innovation. Overall, the supplier sector and engineering service companies will be the winners of this development with additional R&D spending of EUR 20 billion in 2015 (in 2005: EUR 46 billion). The concentration process in the supplier industry will improve innovative strength and networking opportunities with other partners ¨C another way of cutting costs while increasing the quality of innovations. Oliver Wyman has analyzed the innovation strategies of the industry¡¯s most successful auto companies. The study ¡°Car Innovation 2015¡± identifies the levers that car manufacturers and suppliers must pull to become state-of-the-art innovation leaders. Depending on the business design of the supplier and OEM, four dimensions must be brought into alignment: innovation proposition, competence focus and collaboration, innovation business case, and innovation organization and structure. The leading suppliers in innovation management generate a 16 percent higher EBIT margin than their peers ¨C all by employing a clear innovation strategy and balance along those four dimensions.
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