The automotive giant identified critical visibility gaps in its supply chain affecting production, product and parts capacity, and asset management. These issues significantly impacted the company’s operations, contributing to approximately $22,184,140 million in lost car sales weekly due to supply chain inefficiencies.

To address these challenges, the automotive company implemented an advanced analytics solution. This involved deploying 5000 sensors across 5000 primary tools, providing:

• Real-time Production Data: Enabling the company to monitor production processes in real time.
• Capacity Management and Delivery Risk Mitigation: Allowing the company to proactively manage production capacity and mitigate risks associated with delivery timelines.
• End of Life Prediction: Helping the company predict the lifecycle of tools to plan replacements or maintenance more effectively.
• Supplier Benchmarking: Offering the company the ability to compare and evaluate supplier performance systematically.

This pilot project quickly demonstrated substantial benefits, resulting in potential cost savings and efficiency improvements valued at approximately $64,819,193. The breakdown includes $7,977,920 from direct cost savings, $747,873 through cycle time optimization, and $56,093,400 from risk mitigation, showcasing the significant impact of the analytics solution across various operational facets.