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25 March 2024

Definitive Guide to the ERP System for the Automotive Industry

Saiba como o ERP para indústria automotiva pode ajudar seu negócio a funcionar em conformidade com as normas do setor e de forma competitiva.

The automotive industry faces unprecedented challenges amidst a scenario of intense transformation. The climate issue is putting pressure on manufacturers to migrate their production lines to hybrid and electric vehicles. A global supply chain expands opportunities, but also increases competition. Increasingly strict regulation and quality issues require precision and error reduction. These are changes that continually affect the industry and its daily operations. Next, find out how ERP for the automotive industry can help your business operate in accordance with industry standards and competitively, mitigating risks and increasing efficiency.

ERP for the automotive industry: why is it essential?

The automotive industry has a highly integrated production chain, as any delay in supply can interrupt the car assembly line at vehicle manufacturers. This is such a critical aspect that even penalties are applied for suppliers in these cases. Therefore, ERP for the automotive industry is essential, as it is the management system that integrates all information, controlling production, deadlines and deliveries.

Furthermore, ERP provides traceability of components for quality control in vehicles. This is the only way to carry out recalls, for example, ensuring the safety of drivers and passengers.

Identifying the unique needs of automotive manufacturers and suppliers

Supply chain interdependence is a strong characteristic of the automotive industry. Therefore, inventory optimization and delivery time management are decisive factors for business competitiveness. Avoid fines from car manufacturers due to material shortages with effective management of your orders and deliveries. Don’t miss any deadline and don’t put the continuity of your company at risk.

Data integration brings more security to the entire operation and brings more reliability to management. Furthermore, ERP software for the automotive industry needs to comply with Brazilian legislation in regulatory, compliance and tax matters.

Assessment criteria: what to look for in an ERP for the automotive sector

The ERP system needs to be adherent to the automotive sector, in order to meet all the needs of this industry. An adherent system is one that contains the sector’s best practices already embedded, facilitating everything from implementation to day-to-day operations. This is the case with QAD ERP, provided exclusively by Vockan in Brazil.

Vockan and QAD have long experience in implementing and managing software in the automotive industries, in addition to being close to sectoral organizations in Brazil and around the world. So much that QAD participates in the preparation of the MMOG/LE (Materials Management Operating Guideline/Logistics Evaluation), a set of recommendations for practices and procedures relating to the management of the automotive industry’s supply chain.

QAD ERP also meets IATF 16949 standards. To give you an idea, 93 of the 100 best-selling cars in the world are enabled by QAD ERP.

Integration and customization: how to adapt an ERP to your specific operations

The ERP system for the automotive industry promotes total data integration, which allows errors to be mapped throughout the process and mitigate risks. If your company is a supplier, it is possible to integrate your system with your client’s to achieve greater agility in the flow of information.

To further expand the tool’s potential, count on Vockan’s consultancy for the best implementation of the software. Our experts have the knowledge and experience to contribute to the design of new processes together with your team, increasing efficiency and maximizing your business results. Have customized and flexible software that allows you to quickly adapt your production to market movements.

Cost-benefit analysis: investment in ERP and expected ROI

Investments in ERP are usually high, after all, it is a technological solution that increases the efficiency and competitiveness of the business, consolidating it for future growth. However, paying attention to some issues can avoid gotchas and reduce this investment, without prejudice to the final result.

The first point is to check the system’s adherence to your sector of activity. The more adherent it is, the less need for customization, that has a strong impact on the final value of the project. That’s why QAD and Vockan’s solid experience in the automotive market guarantees the solution with the best total effective cost, without surprises throughout the project.

Additionally, more savings can be achieved by opting for a cloud ERP. It eliminates the need for physical IT infrastructure in the company itself, reducing equipment and real estate costs, since it is not necessary to maintain space for servers. QAD BR+ is a cloud ERP tailored for medium-sized Brazilian industries, get to know it.

With Vockan, you maximize the value of your ERP investment with the lowest cost of ownership. We offer a complete and unified solution from sales, implementation and support, all with a single partner. We integrate QAD ERP with other systems that your industry uses and consolidate the foundations for a future of growth.

Steps for selecting and effectively implementing an automotive ERP

The first step towards selecting and effectively implementing an automotive ERP is to check the system’s adherence to the sector. After all, with so many specificities, it is important to have a solution that meets all the business needs.

Then, it is important to consider the company’s objectives by the ERP implementation: reducing costs, increasing efficiency, expanding market share and so on. This way, with defined and clear objectives, it is possible to guide the project’s focus towards the best solution, be it automation, standardization, increased control, vision of the future, etc.

Then, form your company’s team that will work together with Vockan to adapt the tool to your business processes. They are the key people who will carry out the final tests and validations. This participation is fundamental to the success of the project.

Ready! In just a few weeks, your company will be able to enjoy all the benefits of an advanced management system with an ERP specific to the automotive industry.

Whatever is the current scenario of your automotive industry, count on Vockan to elevate it to the level of global giants. Vockan has the solution to put your company on the path to growth. Contact us!


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