Inventory Management System for the Automotive
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Inventory Management System for the Automotive Giants.

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All the crazy, demon-ish, speed-freak car manufacturers are out there with one single motto — ‘Your money can drive you crazy…’ well, there’s nothing to doubt! While they deal with monstrous engineering marvels, they also need to make sure that they are maintaining it well.
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蓮沼 貴裕(Takahiro Hasunuma) HackerNoon profile picture

All the crazy, demon-ish, speed-freak car manufacturers are out there with one single motto — ‘Your money can drive you crazy…’ well, there’s nothing to doubt! While they deal with monstrous engineering marvels, they also need to make sure that they are maintaining it well.

Talking about the gemstone machinery they carve every year, they make sure that there is enough room for maintenance once the product is delivered to its owner. Their reputation is at stake, and one wrong move can cost them millions! Inventory management has taken over their worries, and thence came into action ‘smooth manufacturing inventory.’

For some automotive manufacturers, their reputation is more important than their sales. All they rely on is the demand amongst the higher class of people. Well, this might go a bit off the topic, but simply selling their automotive at their desired price is not what these companies eye for. They want their products to be in the hands of people who are capable of it, well, ‘reputation’ is everything. These companies take too much pride for their cars, especially for the one who owns them.

They want their cars to be a spotlight for mansions, highly reputed people, not anyone who can afford get hands on these beasts. It wouldn’t be wrong to call these companies ‘ruthless’ as there are many such broken hearts, which deserved one of these, yet didn’t get any.

Huge expenses demand gigantic protection and maintenance. These cars (mostly don’t, because of the reputation, you see), sometimes get their engines or exhausts damaged because of the speed and intensity they are handled with. Such automotive companies have their repair-inventory full of the parts they feel are mostly demanded. There is no scope of a dead-inventory in such cases, as there is never a possibility that the product will die in the inventory unless they stop the production of the car it is associated with.

Because their cars are their reputation, people who own these cars are also valuable. One single fault and these companies toil it out till its sorted. Special logistics and shipment facilities are offered for this. Integration with most of the shipment giants has made it easier for the automobile industry to take the utmost care of their sculpted marvels. Hats off to their inventory management system, from the scratch till the car is delivered.

Turning the pages, how have these automotive companies managed to sustain themselves? Well, let’s get rolling!

Bugatti Automobiles

Founded in the year 1909 by Ellore Bugatti, Bugatti Automobiles was well-known for its beauty and elegance. After all the struggles and fight against the bad times, Bugatti managed to manufacture only ~8000 cars in 50 years. Unfortunately, the operations were impacted after World War 1 and Bugatti had to close the eyes. In the late 90's, Bugatti was taken over by the Volkswagen group and was gradually owned. This is from where the furious journey of Bugatti began.

Known to be the fastest car in the world for years, Bugatti Veyron, the best model of Bugatti with other variants, became the sole dream of almost every billionaire.

Talking about how they managed the manufacturing, let’s keep our eye on the wheel.

Bugatti Automobiles managed to sell only over 1000 cars in the span of 10 years, from 2005 till 2015, till it was replaced by ‘Koenigsegg Agera R’, the world’s fastest car after Bugatti Veyron. This didn’t impact the financials of Bugatti, at all.

Bugatti followed the concept of ‘on-demand manufacturing.’ This never made them a victim of over-stocking their inventory, let that be the repairable and the spare-parts of their vehicles. The ‘just-in-time’ (Kanban) and inventory management system at it’s best, ain’t it?! The cars come with high maintenance, so Bugatti had to make sure that there was ample inventory for the parts, roughly ten times more than the production of their cars.

Bugatti, with the lowest number of cars sold, became the first name when talking about high-speed sports cars.

Guess they have a gold-toned oil, which costs the owners $21,000 to get it changed.

They do deserve an applause, don’t they!?

Rolls Royce Motor Cars

Founded in the year 1998, Rolls Royce, a wholly owned subsidiary of the German automobile giant BMW, was first into manufacturing heavy-aircraft engines.

When it comes to pride and awesomeness, Rolls Royce has never stayed back. As the name says, it believes in being only with the royal personalities; not anyone can get into a Rolls Royce. Rolls Royce’s inventory is considered to be the heftiest when talking about the cost of the car and the spare-parts.

It’s made in a way that no one can take an eye off it till it vanishes. Royal, indeed!

When you wear an expensive coat, you make sure that it doesn’t get dirty. Well, that was a cheap comparison, but yes, if you own a Rolls Royce, the more you plan to feed this beast, the less it would be. The Rolls Royce team ensures that it’s just not the car that you can afford, but the expenses that come along with it. This car is made in a way that you can never plan to get a spare-part from anywhere else except for Rolls Royce, crazy isn’t it?

As said, this beauty has a mighty repair-inventory back home. The inventory management software they use is not linked to any marketplace. They have their own online store, which is accessible only to the owners of this car. Again, a kanban system is followed, which leaves no margin for over-stocking.

Along with the cars, this company is well-known for the manufacturing of heavy-duty Boeing aircraft engines. A trusted engine provider to many reputed airlines, Rolls Royce engines have proven to be the best amongst all. When it comes to the inventory of these engines, Rolls Royce has gigantic warehouses and assembly lines.

The rotor-blades, the metal used, everything is stocked. Now, again, there is no scope for a dead-inventory, as the stock will last until the product lasts.

The big deal, Rolls Royce has sold only ~3000 cars since 2014, worldwide. Strange, but true! Rolls Royce takes care of its inventory in a special way; highly secured with all the barcode systems and RFIDs enabled. The spare-parts remain in a constant scrutiny of the expert officials so that there are no chances for inventory shrinkage, in any case.

Kenworth Trucks

These monsters are no less! Kenworth Manufacturing Company was founded in 1923 in Seattle, United States. Since then, this trucking company hasn’t seen behind. One of the global trucking leaders, Kenworth is one of a kind.

If a Kenworth runs from right next to you, you can feel the ground moving. Muscle, power, and style are what Kenworth focuses on. Kenworth has a huge manufacturing unit (I’m talking about the Kirkland unit here), where it has the assembly line, paint-shop, etc. but not spare-part manufacturing.

The spare-parts are manufactured in another unit. Kenworth gets the repairable only when required. This replenishment is quite often because this trucking giant has now made itself run into the blood of global trucking. With power comes responsibility and maintenance. This has made Kenworth cater its customers with all the required spare parts. After its collaboration with PACCAR, Kenworth made sure that its inventory of spare-parts is always full. From the seat-belt to the music systems present inside the truck, Kenworth has a backup for everything in its warehouse.

Inventory management system in here, it’s sickening!