Title: Challenges for the organization of technical functions in the automotive industry

Authors: Christer Karlsson

Addresses: Professor of Management, European Institute for Advanced Studies in Management, Rue d'Egmont 13, 1050 Brussels, Belgium

Abstract: Factors such as technology, markets, economies, and strategy and structures of firms in the automobile industry determine the demands made on the organization of the technical functions in the automotive industry. These demands influence global structure, product development structure, control of production, and integration between functions. There are many indicators to show that there might very well be an impending transformation in the automobile industry based on innovation. Both product development and production will be dealt with as global activities within firms. Location will be according to optimal availability of resources (individual, physical, etc.). Engineers and operations will be tied together in networks that not only contain data and information, but also advanced knowledge. What these networks will produce are advanced customized products based on modular ||base|| objects, with almost endless varieties. Base objects will be current for long time periods, while new types and variants come very frequently. This foreseeable future transformation is given the label ||global customization||.

Keywords: automotbile industry; International Motor Vehicle Programme; technical functions; globalisation; market strategy; global customisation; automotive markets; networks.

DOI: 10.1504/IJTM.1987.026137

International Journal of Technology Management, 1987 Vol.2 No.3/4, pp.405 - 416

Published online: 27 May 2009 *

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