James Bond and Aston Martin go hand in hand—it’s an iconic match. Since the 1960s, Aston Martin has been the epitome of style and exclusivity, thanks in no small part to its connection with 007. But as the automotive world shifts gears, Aston Martin faces its own challenges, needing to adapt just like Bond himself.
The company is reacting to significant changes in the market. Trade barriers are complicating supply chains and keeping electric vehicle (EV) prices high. Competition is fierce, especially in markets like China. Just last month, Aston Martin and several other major carmakers issued warnings about profits.
However, it’s not all bleak. New-vehicle sales globally are on track to hit an impressive 97.2 million by 2025, with EVs expected to lead the way, growing to nearly 19.4 million units. This news brings a much-needed boost to the industry.
Recently appointed CEO Adrian Hallmark leads Aston Martin as it navigates this landscape. The brand operates in a high-end sector where costs can skyrocket, and technology plays a crucial role in staying competitive. At Infor’s conference in Amsterdam, CIO Steve O’Connor emphasized the importance of efficiency and a “software-defined car of the future.” This vision drives current developments, including how they manage data and assets.
Aston Martin began working with Infor four years ago, choosing a full system overhaul rather than a simple upgrade. O’Connor explained that their old materials planning system, built two decades ago, had become increasingly complex and out of step with industry standards. The urgency to modernize grew as the industry demanded change.
O’Connor pointed out that the shift toward electrification is vital. Recently, the company secured £9 million in government funding to develop its own EV platform, but the real challenge lies in customizations. He noted that even a simple part, like a sun visor, can have up to 3,000 different versions. This kind of complexity complicates manufacturing and logistics. “No two Aston Martins are truly alike,” he said, even among standard dealer models.
Customization extends to details like stitching color and leather type, complicating inventory and increasing the risk of errors. To navigate this, Aston Martin utilizes Infor’s LN software, part of Infor’s CloudSuite Automotive. This suite includes tools for warehouse management and supply chain planning.
O’Connor described their connected ecosystem, beginning with an online configurator that integrates with Salesforce. The modular software allows for customizations without disrupting core processes, which is a significant advantage. The system tracks details down to the stitching and leather, allowing Aston Martin to compete effectively while simplifying its supply chain.
O’Connor sees automation as a solution for managing complexity. Transitioning from their old system posed significant challenges, but automation opens up possibilities. By minimizing manual tracking of custom parts, Aston Martin can offer extensive customization more efficiently, saving time and costs while enhancing customer satisfaction.
However, the transition isn’t without its hurdles. A report by Deloitte highlighted that future automotive companies will need a significant number of IT specialists and tech-savvy talent. The industry’s demand for expertise in data, AI, and mobility makes it competitive to attract the right people.
O’Connor emphasized that skills development is crucial. He learned the value of change management through this IT transformation. He described the decision to replace their core systems with Infor as monumental, noting it’s essential to align processes and provide adequate training.
Focusing on automation also extends to order management processes. Customers can make changes right up until a production freeze, which is particularly valuable. This flexibility helps maintain a high level of customer service.
Sustainability is increasingly vital to Aston Martin’s strategy. The company aims to meet growing environmental expectations, with the Racing Green initiative setting ambitious targets for reducing its ecological footprint across all production stages.
O’Connor believes that Infor will support these efforts, enabling the tracking of emissions and resource use. He clarified that sustainability isn’t just about compliance; it’s essential for reshaping the brand to attract environmentally-conscious consumers.
Previously, Aston Martin’s systems weren’t equipped to handle this level of data tracking. With Infor, they now have the insight needed to manage their operations more effectively. The transformation marks a bold step for this iconic brand, allowing it to return its focus to what it does best: building luxury cars.