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Value Creation In The Digital Automotive Network:

Inspire And Shape a Digital World That Reinvents Automotive Design, Production, Distribution, and Retail.

Dear Customers,

 

More than 125 years ago the first vehicle was patented very close to my hometown in Mannheim, Germany. Even after so many years, the automotive industry has never been more exciting and challenging than today.

 

Most of the global vehicle manufacturers have the same vision of accident-free driving with zero emissions. Only after 125 years does this vision seems technically possible. With innovation, new business models, and consumer behavior, massive changes are now transforming the entire industry.

 

Proven business models are being disrupted by new players on the market. Tesla, Uber, and Google are forcing traditional vehicle manufacturers and suppliers to rethink their strategy, ecosystem, and value chain. Even proven core business in the automotive industry is being questioned by leading automotive executives and experts.

 

The industry has to sustain its core business while investing in new revenue streams or providing new services to stay relevant. This balance poses the biggest challenge to all players, as speed and integration become imperatives. Leading vehicle manufacturers and suppliers are reevaluating their existing businesses and customer relationships to:

 

• Reimagine business models to find new revenue and profit sources by offering innovative products and services

 

• Reimagine business processes and use digital technology to optimize business outcomes by converging information and operational technologies

 

• Reimagine the role and structure of their workforce to support future business by incorporating smart glasses, 3D printers, and geospatial technologies

 

All participants will use digital innovation to run their enterprise in real time and operate in a global network. They will provide superior products and services for a unique customer experience with the highest safety and environmental standards. This also paves way for new mobility concepts and business models.

 

Our vision is where urban mobility and transportation systems run in a sustainable ecosystem while protecting natural resources and environment. This requires the ability to connect companies, people, and vehicles in real time for accident-free driving with zero-emissionoperated vehicles.

We strive for the highest customer satisfaction through a delightful and unique driving experience. We will offer the digital foundation and the digital gateways that integrate the core solutions of each market participant.

 

This document offers our perspective on industry transformation and how SAP contributes to the evolution of the automotive industry. Thank you for your interest, and I look forward to our journey together.

 

Holger Masser

Global Vice President

SAP SE

 

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