Information flow in automotive supply chains – identifying and learning to overcome barriers to change

Improving competitive advantage to the first‐tier echelon of automotive supply chains is enabled via the requirement for transparent information flows in both the order‐generating and order fulfilment channels. However, four generic areas are identified which are barriers to improving performance. These are cultural (is it in our interests?); organisational (does the supply chain have the right structure?); technological (what common format and standards are required?); and financial (who pays the bill?). How these barriers may be overcome to the benefit of all “players” in the chain is discussed, plus benchmarking of current best practice. Exemplar supply chains are identified as noteworthy for the emergence of supply chain “product champions”. These have the vision, authority, and drive to implement new systems and set in place mechanisms to minimise regression to old working practices.