There has been much attention focused recently on what may be happening with regard to autonomous vehicles at the National Highway Traffic Safety Administration (NHTSA). But no one is talking about what won't be happening.
With the disruption in technologies around the Internet of Things (IoT) and connected vehicles, the possibilities in the aftermarket have grown exponentially. This opens opportunities for new players who want to try a variety of service integration possibilities, enabling a new dimension of value-added services in the auto industry.
Due to this revelation that hyperbole seems to trump common sense, I have developed a simple chart to help you determine where you should buy your parts and get your service. I call this guide the crazy vs. experience matrix.
Today, the vehicles entering shops for maintenance or repairs sit parked 95 percent of the time. Tomorrow, fleets of driverless cars will spend nearly all their time on the road—with an increase in wear and tear and a proportionate need for maintenance and repair.
John Krafcik, CEO of Google Self-Driving Cars, told a Washington audience that NHTSA needs to update its federal safety standards if autonomous vehicles are to reach the market as quickly as companies like Google hope they will.
The United States is currently involved in two high-profile trade negotiations that could have far-reaching benefits for suppliers: the Trans-Pacific Partnership (TPP) and the Transatlantic Trade and Investment Partnership (T-TIP).
In an unusual move, the Environmental Protection Agency (EPA) announced in April that it was withdrawing a proposal it had made last summer as part of a broad greenhouse gas emissions proposed rule. The announcement was good news for the aftermarket, since it would have inhibited aftermarket sales to the racing car industry.
The new OSHA standard goes into effect on June 23, 2018 and establishes a new permissible exposure limit (PEL) for respirable crystalline silica that is half the old standard. This new PEL will affect a broad range of auto parts manufacturers, according to a chart published by the OSHA.
A study of wholesale order activity conducted by GCommerce showed that drop ship or special orders represented 80 percent of the purchase order transactions, while contributing only 20 percent of the revenue and accounting for 80 percent of the operating costs. That math is upside-down and doesn’t make the accountants happy.
Is more than 25 percent of your business coming from one source? If it is, consider this. According to OnStrategy’s article by Todd Ballowe, Ten Common Causes of Business Failure, number six is overdependence on a single customer.
The OBDII is the gateway to the vehicle and ultimately to the motorist. It provides access to the onboard CAN-BUS and to various diagnostic information. As with any wireless network there is a concern about security and protection against unauthorized access.
We’re in the midst of a second catalog revolution, one that once again will separate businesses committed to strong growth from those that are at risk of losing touch with the changing needs of today’s aftermarket customers.
The schools are teaching the students what the school knows but not necessarily what the industry needs. Advisory councils provide input to the schools on curriculum requirements; their goal is to educate a student on what they must know to become employable.
The automotive aftermarket is at a crossroads because it remains to be seen on how e-tailing will affect it. Will there be collaboration between suppliers and resellers on this subject or will they choose to go it alone?
Aftermarket Business World columnist Brad Mewes says that understanding the role that synergies play is important in evaluating the merits or a merger or acquisition in his column, "3 synergies that maximize value in the automotive aftermarket."