Digitalization as an Opportunity to Remove Silo-Thinking and Enable Holistic Value Creation

Abstract

Digitalization is a game changer. It enables the move from a single expertise toward interdisciplinary innovation. It thus enables technical innovation by making it easier to acquire and connect system-related information thus enabling the generation of a digital twin. Experts can feed their knowledge into different and connected models. This now structured store of information can be used for holistic value creation. Furthermore, different application domains can also be mapped together creating an environment where new solutions for new markets can emerge. An example of this is predictive maintenance where information derived during vehicle operation is mapped with component knowledge from the design phase. The result is a new service for the user and a new source of revenue for the vehicle manufacturer in a new market (services during vehicle operation). This increases productivity through the optimization of the entire supply chain and the emergence of new services where different application domains converge. At the same time, major automotive trends such as electrification, automated driving, connectivity, and the diversification of mobility are fundamentally reshaping the market in terms of customer needs, the skills required, and business logic. These trends demonstrate that a vehicle is no longer a monolithic system but has instead become a highly customizable system able to adapt itself to its customer and environment. The goal of this chapter is to analyze the opportunities for digitalization in the automotive domain as well as the respective needs for systems engineering including processes, methods, organization, and tools.

This chapter has been written while Mr. Zembacher was employed at AVL Software and Functions GmbH