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Insights into Automotive Industry Digital Transformation White Paper Analysis (7)

In the process of promoting digital transformation of car companies, many challenges have also been exposed at the organizational level, mainly in two aspects:

Pain point 1: Cross-departmental collaboration is difficult, and the implementation of transformation is hindered

At present, the low collaboration efficiency of car companies in the promotion of digital projects is mainly caused by the following reasons:

First, digital teams are often low-level and often subordinate to a business unit or IT department, leaving them with little voice in project decision-making and advancement. Second, enterprises have not yet established a clear cross-departmental coordination mechanism, and the responsibilities of relevant departments in key links such as strategy formulation, project initiation, demand assessment, development follow-up, and achievement acceptance are vague, resulting in low implementation efficiency. Finally, digital teams are often seen as "cost centers", their value is not fully recognized, business departments lack the willingness to cooperate, and the overall promotion is passive and insufficiently motivated.

Solution path: Enterprises can optimize the coordination mechanism with minimal organizational adjustment through the "three-step" strategy

1.                Establish a clear division of responsibilities: Prioritize the construction of a framework for the division of responsibilities based on the RASIC matrix, and clarify the functions of the digital team and business units in each project. At the same time, a "digital committee" with influence and decision-making power is established, composed of key business line management, to efficiently drive complex decision-making matters.

2.                Upgrade the organizational structure: If collaboration still faces bottlenecks, you can strategically upgrade the digital function from the original structure, set up independent first- and second-level departments, and even set up digital subsidiaries to enhance its overall planning and execution capabilities.

3.                Improve the awareness of the value of digitalization on the business side: By initiating a number of small, intuitive, and measurable projects, such as marketing touchpoint optimization and financial automation processes, we can achieve cost reduction and efficiency improvement in the short term, so as to gradually break down the misconceptions of cost centers and enhance internal recognition.

Figure: Digital Talent Capability Blueprint

Figure: Digital Talent Capability Blueprint

Pain point 2: The digital talent system is not perfect, and the capacity reserve is insufficient

The dilemma of car companies in terms of talent is mainly reflected in two aspects:

On the one hand, there is a lack of unified understanding of the competency model of digital positions, and it is not clear what kind of digital literacy each department should have in collaboration, resulting in a lack of pertinence in recruitment and training. On the other hand, enterprises mostly rely on external digital talents, but in the process of use, there are often problems such as "unadaptation", insufficient skill matching, and high turnover rate. At the same time, enterprises lack a systematic path in the identification, allocation and training of cross-industry high-end talents.

Coping Strategies:

First of all, car companies should systematically sort out existing and potential digital positions, clarify core competency requirements, and flexibly use internal recruitment, external recruitment, and third-party cooperation to build talent sources based on the needs of different levels and scenarios. At the same time, the organizational mechanism needs to be more flexible and have the ability to quickly adjust under the guidance of new talents.

Secondly, enterprises need to reconstruct the concept of talent from a strategic height, shift to the way of thinking of "digital talent reservoir", pay equal attention to reserve and activation, and form a closed-loop management of the whole process of "selection, use, education and retention".

1.                Draw a blueprint for digital capabilities: Based on the main process of transformation, identify 7 types of key functional positions, and refer to the best practices of peers and different industries to sort out the core competencies and priorities required for each position, and guide the direction of talent training.

2.                Building a talent storage mechanism: Considering the rapid development of the digital industry and the rapid updating of capabilities, car companies can find targets from cross-border compound and high-potential talents, such as talents with experience in product design and project management, and familiar with Internet or manufacturing projects. At the same time, it is supplemented by a soft landing mechanism to help talents quickly adapt to the organizational culture and business environment, such as general training courses for new employees, sharing digital experience and co-creating "ice-breaking activities", etc., to shorten the run-in cycle and improve the efficiency of talent use. 


Related:

Insights into Automotive Industry Digital Transformation White Paper Analysis (1)

Insights into Automotive Industry Digital Transformation White Paper Analysis (2)

Insights into Automotive Industry Digital Transformation White Paper Analysis (3)

Insights into Automotive Industry Digital Transformation White Paper Analysis (4)

Insights into Automotive Industry Digital Transformation White Paper Analysis (5)

Insights into Automotive Industry Digital Transformation White Paper Analysis (6)

Insights into Automotive Industry Digital Transformation White Paper Analysis (7)

Insights into Automotive Industry Digital Transformation White Paper Analysis (8)

Insights into Automotive Industry Digital Transformation White Paper Analysis (9)

Insights into Automotive Industry Digital Transformation White Paper Analysis (10)

Insights into Automotive Industry Digital Transformation White Paper Analysis (11)

Insights into Automotive Industry Digital Transformation White Paper Analysis (12)

Insights into Automotive Industry Digital Transformation White Paper Analysis (13)

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