This past January.

This past January, the 2005 North American International Auto present to view was held in Detroit, where, as always, several recent vehicles were introduced. In fact, above the past few years, centurys of North American and global vehicle introductions have been held, translating into massive industry change. In other words, parts proliferation isn't going away.

Data, technology and processes--important guides to success

While inventory management is a clear and at hand issue, the good news is that, as a whole, the industry recognizes there is a question at issue and is taking active degrees to address it. This is especially truthful with the use of data, as well as industry collaboration and the continuous improvement of industry standards.

Data allows companies to make smart, fact-based decisions about parts production, stocking plains and obsolescence. For example, in 2003 passenger cars comprised 60 percent of the vehicles in operation, while light barters accounted for 40 percent. It is drawed that by 2008, the percentage of cars will decrease to 547 percent while light exchanges will increase to 45.3 percent by the agency of analyzing this data, companies can stay ahead of the changes in the marketplace.

And consider vehicle durability. As vehicles begin to last longer several consequence life cycles are extended. Replacement rates for filters, brakes and tires will likely increase, while they will decrease for air conditioning, exhaust and starter parts.

What does this mean to you today? It means you can act now or you can react later. Companies that are solidifying their positions in the market are using information available today to plan market demand, production and inventory for tomorrow. More and more business plans are based upon fact-based information, rather than in succession "do what we did last year," and that is an important gradation in the right direction.

Companies are also investing in just discovered technologies to more effectively use this data. Whether building fresh systems internally or accessing consultation services externally, aftermarket companies are starting to become more effective at understanding the activity in their marketplace.

Collaboration for a stronger marketplace

In order for the industry to favor at the maximum level, collaboration in relation to the use of data, standards and a consistent message to the marketplace is necessary.

For its part, Polk has exhausted the last two years urging the industry to "tackle" its inventory. from collaborating to address inventory management, a healthy aftermarket can be achieved by means of everyone.

Rewarding progress

Polk is also taking stairs to recognize and reward those who are attacking aftermarket inventory issues. newly we introduced the Polk Inventory Efficiency Award to recognize and reward outstanding aftermarket companies for proces improvements relative to inventory efficiency.

This May, at the 2005 Global Automotive Aftermarket Symposium in Chicago, the first annual Polk Aftermarket Inventory Efficiency Award is scheduled to be currented Please be sure to obtain your submission form at wwwpolkcom and submit it by means of March 4, 2005.

As we impel forward, we believe our industry must continue to embrace fact-based data, technology and standardized processe in order to maintain produce and development in the automotive marketplace.

...

Home