Determinants in the adoption of new automobile modular platforms

Abstract

Purpose The purpose of this paper is to analyse the key factors behind the adoption of new automobile modular platforms from the perspectives of product design, manufacturing network and production systems. Design/methodology/approach An in-depth and qualitative cross-case analysis of European manufacturing networks was performed based on the modular platforms of seven automobile manufacturers. Findings The adoption of modular platforms has changed automobile product architecture helping automobile manufacturers to improve their manufacturing network outputs. The results show that operational flexibility and scope and scale economies at manufacturing network level depend on the platform design – degree of modularity – and the manufacturer’s product and manufacturing network conditions. This new product architecture allows for the new production systems to be efficient in terms of flexibility and versatility without overinvestment. Originality/value The main contribution to the research literature is the combination of traditional product architecture with the manufacturing network approach to analyse the influence of product design on production systems, especially regarding the adoption of new automobile modular platforms.

Strategic Options for Automobile OEMs of Indian Origin to have Sustained Competitive Advantage: A Case of Tata Motors

“…Automobile OEMs worldwide, such as Volkswagen, Volvo, and BMW, are early adapters to modular platforms (Lampón et al, 2019 ). However, OEMs from Asia are slow in leveraging modular platforms and their associated digital technology advantages.…”

“…Moreover, adopting modular platforms demands more capital investments to develop new production facilities (Lampón et al, 2019 ). Still, Tata Motor may explore ingenious adaptation and technology absorption for specific new product development to reduce risks (Momaya, 2018 ).…”

A State‐of‐Practice Survey of the Automotive and Space Industry Product Development Strategies

“…There are many benefits to the modular architectural model; such as reduction of product development and manufacturing costs, reduction in development times and reduction in system complexity (Muffatto 1999b;Ulrich 1995;Meyer 2008;Jose & Tollenaere 2005). The development of these suites is known as platform development and has become a standard architecture within the automotive industry (Lampón, Frigant & Cabanelas 2019). However, the integrated architecture does provide subsystems that reach peak performance.…”

“…Modular Architecture. Modular Architecture (MA) is a process that is heavily used in the automotive industry to provide a variety of model options to customers (Muffatto 1999b;Lampón, Frigant & Cabanelas 2019;Meyer 2008;Fredriksson 2006). The figures below highlight the differences between integral design compared to modular design highlighting automotive variants (Paralikas et al 2011).…”

“…MA investment cost benefits are a prime factor in the desire to make the shift from Integral Architectures. Each of the automakers surveyed showed significant reduction in costs by creating a higher degree of MA within product families and across their product families, to drive the business into an even more modular system (Lampón, Frigant & Cabanelas 2019). Integral Architecture.…”