August 25, 2020
The platform will integrate 40,000 businesses, allied industries, and industry bodies in the largely unorganized sector.
Local garages will be included in the platform with AI and ML technologies at the backbone of the initiative.
Stakeholders can access an inventory of products, and utilize a wealth of technologies to grow their businesses.
Digitization in the aftermarket will enable the integration of stakeholders, reduce costs, and help strengthen the supply chain.
TVS Automobile Solutions Pvt Ltd (TVS ASL) and Google Cloud India have announced their collaboration to advance digitization within the Indian automobile aftermarket according to media reports citing officials. The initiative will see the seamless integration of close to 40,000 businesses, middlemen, allied industries, and industry bodies in the largely unorganized sector. AI and ML technologies are to be utilized to form the backbone of the platform such that all stakeholders including owners of local garages can access a comprehensive inventory of products in addition to successfully managing and growing their respective businesses.
The endeavor to digitize the sector is expected to increase its market share to 10 per cent by the year 2023. Karan Bajwa, Managing Director of Google Cloud India remarked: “TVS ASL is unlocking the potential of its business data at scale using machine learning to automate and optimise its supply chain, and leveraging managed services so they can focus on their engineering effort on IT-led business initiatives that will pave the path for a strong digital future.”
The automobile aftermarket in India is one with immense potential for digitization. The introduction of smart technologies can enable the sector to centralize information about requirements and repairs in addition to bringing about standardization in safety parameters. Given the fragmented nature of work in the unorganized sector, there is potential to reduce costs through integrative efforts like that of TVS AS, and improving the overall quality of services discharged. Supply chain consolidation through the use of AI can improve existing competencies in inventory management and prevent redundancy of wastage of stock. Increasing the role of analytics within the sector can help enhance sectoral output and performance at large.
The automobile component industry in India has witnessed a growth in exports by 11.4 per cent during the 2018-19 period. Bolstered by domestic demand and anchored in the National Auto Policy, the sector poised to become a leader in the manufacturing of components. The Department for Promotion of Industry and Internal Trade (DPIIT) recently announced the championing of 20 key sectors in India wherein the transformation of the Automobile Component sector into an export powerhouse will be facilitated. With policy-based support from the Government of India and quality collaborations, the sector can expect to become self-sufficient in all respects.