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Automakers want flexible manufacturing after the pandemic

Anticipating a volatile demand environment after the Covid-19 global pandemic, automakers are looking to fast-track plans for agile manufacturing processes and supply chains. In this model, production schedules are rigid and optimised for efficiency, while upply chains work on schedules decided months in advance on the basis of demand projections.

Maneesh Pant, Vice President at Capgemini India, said, “One is continuing the broken supply chain, and another is making manufacturing more agile. Focus is shifting from pure production performance to surviving in an environment of unpredictable change by being able to react quickly to changing market conditions.”

However, Ravi Bhatia, president, JATO Dynamics, a global automotive consultancy firm, opines that the sector could face instability for 12-18 months after the lockdown ends. Some experts think that there may be a few more technology trends in the offing for further cost reduction