Orchestrated PDP


The OEM’s role – dictating the pace in an integrated value network

In the automotive industry, new features and networked applications have now become the No. 1 innovation driver. As everything merges together seamlessly, completely new product categories are emerging. But new opportunity brings increasing complexity, not just in terms of solutions and processes but also in terms of how innovations will be developed in the future. Open architectures and ecosystems will bring about long-lasting changes in business models.

Faced with such a challenge, OEMs will have to rethink their leadership role. One possible model would be for the OEM to start setting the pace – as a coordinator beating the drum of development cycles in the supply markets. With orchestrated PDPs (oPDPs), tried and tested lean methods are transferred from individual companies to the entire supply chain, allowing enterprises with different company cultures to collaborate without friction. It also lets startups and suppliers from different industries work in harmony – as is typically required with app developments. This makes it a lot easier to work in coordination, independent of whether a company works with platforms such as GENIVI or whether it is part of an open consortium.

To ensure complexity doesn’t give you a headache, the product development process of the future will have to be agile, across different stages of the value chain. OEMs can then set the tone for managing networked processes and combine development projects – without imposing processes on suppliers from the top down. As a result, the oPDP facilitates flexibility as required – along the entire supply chain – making it possible to monitor development progress and deadlines without huge time investment. If there are deviations from the plan, interventions can be made in the development cycle, thus keeping minds clearly focused on the critical path.