In today’s competitive world, automotive suppliers must forge relationships with new original equipment manufacturers (OEMs) outside of their traditional sphere in order to grow. Achieving success entails compliance with strict OEM requirements, especially as the automotive industry moves from the internal combustion engine (ICE) to electric and autonomous vehicles. Modern, integrated technology can help differentiate successful, competitive suppliers from disjointed business organizations that cobble together multiple enterprise business and technology systems. 

Here are five enterprise resource planning (ERP) considerations that suppliers should adopt to attract new business and increase their competitiveness as preferred suppliers. 

1. Ensure your ERP provider actively participates in global industry associations

OEMs care about industry standards like International Automotive Task Force (IATF) 16949 and Materials Management Operations Logistics Evaluation (MMOG/LE). The chosen ERP provider should participate in industry organizations that develop quality, supply chain and commerce standards.

2. Map best practices into your ERP solution

ERP platforms with embedded best practices, solutions, and documentation are a fast track to compliance. Process maps, work instructions, and compliance notes will help businesses stay within an OEM’s requirements. 

3. Take the automotive process maps and use them as a basis for your global implementation methodology

Process maps, work instructions, compliance points, and courses are all invaluable inputs to employee training which can be turned into a scalable solution to be implemented across the organization. A global implementation strategy saves time and money. 

4. Ensure your ERP comes with an easily upgradeable platform

A user-friendly and intuitive interface supports complex business processes and provides the ability to easily upgrade as requirements change. Look for embedded analytics and the ability to personalize the interface based on role. 

5. Ensure your best practice solution is in a single-tenant cloud operating environment

The cloud offers several benefits, including rapid deployment, scalability, availability, security and disaster recovery. In addition, the cloud environment will make the ERP easier to manage and upgrade as requirements change. 

Investing in modern business systems now will allow suppliers to reach their compliance goals more quickly and allow them to be agile in the face of disruption. Download the Winning New OEM Business in a Competitive, Disruptive World eBook for more details.