It’s been a terrible time – for all of you, and all of us. Sometimes tough moments bring the best version in us. And, the ongoing pandemic is one of those moments;
it helps us to know that people are stronger than the scenarios, and the situations that they’re facing. At the moment, the entire company is rallying behind our mission to help our customers in tough times like this. For people at Hinduja Tech, it is never about just getting the ‘job done’, it is more of a personal commitment and ‘desire’ to serve the customer beyond odds. Here, we bring you the stories of our people – the heroes’ who were resilient and committed in this chaos.
Commitment towards helping  [Hinduja Tech](https://hindujatech.com/) Community
Have you ever imagined moving over 40 machines from one location to the other in just one day notice? Well, our man did it! Bharath (Head of Admin) said: “Though it was an uphill task, considering the situation, it was our top priority and we had to address it.” Yes, the odds were against him, particularly when the whole city was going to be in lockdown, moving the systems became a much bigger task. Apart from arranging and planning the delivery of machines, he also got UPS backup for all the systems within a short period. When we were only hoping for the systems to reach our employees, Bharath went the extra mile to get UPS, as well. He ensured that our people are fully operational without any disturbance. Round the clock, he worked and ensured the systems were packed and delivered to our employees so that they can start working from home from that day itself. By fulfilling the commitment, Bharath ensured that Hinduja Tech reassured to our customers: We’re completely operational and are here to serve you in crucial times.

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When our Engineer decided to take control of the situation
of our engineers who is an integral part an Electric project for a leading OEM decided to take control of the situation. He knows that his contribution is key to the project, so his main goal was to remain operational during this lockdown. Sunil went to the client’s office and discussed on shifting the workstation to his PG. Things didn’t turn out to be smooth even after shifting the workstation to his PG. He faced difficulties to set up a Wi-Fi connection. Sunil contacted his Wi-Fi service provider who informed him that they would require 40 meters of LAN wire to provide connection. Since most of the electronics shops were already closed, the service provider couldn’t help him. During situations like this, there are hurdles, and one must always find a way out and do the right thing, even if it is beyond one’s call of duty. So, he checked with his Wi-Fi provider if there was any other way he could help him, and he connected him to a vendor who was able to help him by arranging for a cable. Sunil directly coordinated with the vendor, and together took efforts to set up the Wi-Fi in his PG.

Soon after he gained access to the Wi-Fi, Sunil resumed work and completed the required task without losing time. His efforts signify how people @HT are focused on delivering our commitment to our customers. And, by doing this, Sunil has encouraged all our people to remain committed and emerge as a Hero.

Distance doesn’t stop us from performing
On 25th of March’20, we decided to shift the machines of our associates to their home. Sneha – our HR business partner took the responsibility of completing this action. It was a total lock-down and even housekeeping staff weren’t allowed inside ICCDGTP premises (Pune); rather than giving up, she checked if it was possible to move all the machines to employees’ homes using a single vehicle and also took a step forward to consult with the local police of Pune. There were strict government regulations in place and the guideline stated that only essential goods movement was allowed. And, the Police officers requested for a permission letter to allow movement of computers. With the help of our security personnel, Admin, and Quality team, and after several conversations with the police, Sneha finally arranged for a permission letter to deliver the systems. Also, even with the approval, there were several roadblocks to get the delivery done. The combined efforts of Admin, Quality and HR team ensured that there were no interruptions in our day-to-day business, and we anticipate that this will remain the case during this lockdown.

With the commanding efforts of our teams, Hinduja Tech has reassured that we’re always ready to provide seamless and uninterrupted service even during such difficult situations and beyond. Though we are connected remotely, we remain fully functional. Distance doesn’t stop us from performing and delivering on our commitment and our customers can expect the same kind of service from us as always.

Hinduja Tech continues to be proactive in taking necessary measures to keep our people safe and protected. People at Hinduja Tech are now staying home, staying safe and are fully operational.



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Our People Stories: When our Heroes went an Extra Mile Beyond the Call of Duty

Everything comes with a price. Most of the time, this price goes unnoticed. [Electric mobility](https://hindujatech.com/product-engineering-services/electric-and-future-mobility) has been a common tabletop discussion, but when you look at it intricately, there is more to it than what meets the eye. The main intention here is to help consumers see from a rational standpoint and to help visualize the broader picture.&nbsp; It is not just about developing electric cars but about establishing a conducive ecosystem which advocates development in a sustainable manner.

Electric cars have always been compared with their traditional IC siblings in terms of emissions from the tailpipe, i.e. from running the vehicle. But this comparison is irrational. Considering a Well-to-Wheel analysis is important to see the bigger picture. Well-to-Wheel emissions are the upstream emissions that accounts for the energy used and emissions generated from primary energy source (Well to Tank) through vehicle operation (Tank to Wheels). It discards the emissions from manufacturing, recycling and disposal.

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A WTW comparison between an electric and a combustion vehicle may seem like an apple to apple comparison. However, there are certain costs which go overlooked. These can be categorized into manufacturing costs, human costs, socio-economic costs, political costs and so on. This article specifically emphasizes on the hidden costs incurred while [manufacturing](https://hindujatech.com/product-engineering-services/manufacturing) an electric vehicle.

Electric vehicles depend primarily on their batteries. The battery is a USP for most manufacturers which is used to lure customers. With the rise in demand of electric vehicles, the demand for batteries also rise proportionally, and this has resulted in the increase in demand for raw materials which make a battery.

“Manufacturers have realized the key trade-offs as cost, range, safety and battery life which indirectly links to recycling.”

“Norway has the highest market penetration per capita in the world, and also has the world’s largest plug-in segment market share of new car sales (recorded 49.1% in 2018).”

Manufacturers strive to hit that sweet spot to tackle range anxiety in customers. They either offer high range (large capacity) or low range with quicker charging times, whilst pricing it competitively and at the same time, ensuring reliability
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Lithium-ion batteries are popularly used by many manufacturers with further up and coming technologies.  Lithium is obtained from Lithium carbonate, the raw form of the metal. We are not abundantly gifted with this metal. It’s found only in a handful of places. The ‘Lithium triangle’ which comprises of Argentina, Bolivia and Chile have more than half of the world’s supply. Andrew Barron, a professor who specialises in “Low Carbon Energy and the Environment” at Swansea University, has estimated that – to make the switch to electric vehicles (in Wales alone) would use up all of Bolivia’s annual lithium output. Consultancy Cairn Energy Research Advisors predicts that the lithium ion industry is expected to grow from 100 GWhs (Gigawatt hours) of annual production in 2017, to almost 800 GWhs in 2027. Let alone that, lithium extraction demands immense quantities of water – approximately 500,000 gallons per tonne.


The extraction process could inadvertently cause the leakage of chemical substances into the water supply, one such chemical could be Hydrochloric acid used in the processing of Lithium. Lithium can also be mined from rock using more traditional methods, but it would still require the use of chemicals to bring it into a usable form. Lithium could theoretically be extracted from seawater in the future but will be an energy intensive process.

“Like any mining process, it is invasive, it scars the landscape, it destroys the water table and it pollutes the earth and the local wells. This isn’t a green solution – it’s not a solution at all.”

In terms of carbon footprint, the production of lithium-ion batteries for light electric vehicles releases on average 150-200 kilos of carbon dioxide equivalents per kilowatt-hour battery. One of the smallest electric cars in the market, Nissan Leaf, uses batteries of approx. 30 kWh; many new models have batteries of 60 and 100 kWh.  An electric car with a 100kWh battery has thus emitted 15-20 tons of carbon dioxide even before the vehicle ignition is turned on. This calculation assumes a 50-70 per cent fossil share in the electricity mix. This data is according to a report published by Mia Romare et al. from IVL Swedish Environmental Research Institute.

Human costs – Electric vehicles have fewer components, which makes them easily manufacturable with less amount of workforce. With the advent of factory automation which will be a more plausible solution given the rising demand, lot of people are bound to lose their jobs to their robotic counterparts. Most of the extraction involved are via unethical means – child labor. Cobalt, which is another metal used to make up a battery is found abundantly in Congo where it is extracted from the ground by hand, often using child labor, without protective equipment.

Plenty of research has been conducted in this regard and most of them have concluded that electric vehicles eventually turn out to more beneficial to the environment compared to the conventional IC vehicles. United Nation’s sustainable development goals are focused on producing zero emissions and gives a foundation, upon which future vehicle protocols are built. It is essential that the aforementioned costs are taken into consideration for forthcoming studies. An organic growth rather than rapid commercialization of electric mobility is essential for a healthy and sustainable environment.




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The Hidden Costs of Electrification

Lightweighting has been an age-old industry go-to word for anything and everything connected to body weight of the vehicle to fuel efficiency ratios. Since the inception of the automotive, there has been a constant push to decrease the weight of this ‘metal structure on wheels’. During the inception phase, much of the components were cast iron or steel– which met two specific requirements at the time, one – the availability of iron ore and two, the robustness or sturdiness associated with the metal. As industrialization, and alternative alloys surfaced, the ratio of iron to other metals decreased in a vehicle. Though this phase had a long and glorious stretch in the automotive history, need for Lightweighting vehicles gained momentum towards the latter phase of the 20th century – let’s say 25 to 30 years ago; the term was heavily associated with supercars. Sporting an all-aluminum chassis or carbon fiber components meant edging out its nearest competitor by seconds on the drag strip – a world of difference in the automotive purist’s universe. Realistically this just made them go fast, not achieve fuel economies which the mass market craved for. However, today in the 21st century, this is not limited to the glitz and glamorous world of the supercar and hyper car segments but also in the humble world of mass market segments.

The Inevitable Trickle Down – a Reality Check!
Why this shift in priorities for a mass market OEM; one might ponder? As super/hyper cars have levelled up to carbon fiber, glass fiber, composites, and dare I say magnesium and neo-substrates! The mass market vehicles have started borrowing from earlier iterations, and that have become economical to produce in contemporary settings through a mix of trickle down and necessity. Trickle down of technology is iterative and generational, to put it in black and white, however, the reality is often in the grey. Lightweighting comes with its own set of challenges– one cannot use any or all materials just for its lightness, instead, one must also assess its strength and durability which is also closely related to safety, reaction to heat, stress, and other external vagaries of nature and physics. What works for a two door, carbon fiber, fuel guzzling-million-dollar super car will not make sense on a four door budget hatchback or will it?

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Why OEMs and Suppliers have to Bite the Bait?
Let’s pause and reflect; what works on a super car will work on a mass market vehicle, provided, the costs are evened out by economies of scale and cost of production is significantly lowered by these substitutes. Lightweighting is one of the top-of-mind concerns for most OEMs and hence their B2B suppliers. This necessitates a holistic reduction in weight across body, chassis, interiors, powertrain, and engine – not just in metals on body but across all materials used on the vehicle. How the B2B suppliers reduce the weight will heavily influence the cost of the vehicle and also the segment an OEM positions its vehicle. Now, one of the key automotive trends in recent years has been the focus on “Engine downsizing”. This is a simple yet effective technique to reduce fuel consumption, therefore emissions and weight of the vehicle – a step that doesn’t necessarily make use of light weight alloys or expensive composites but bypasses common nomenclature to achieve the end goal. On the B2B end of the spectrum, suppliers are increasingly using polymer composites, plastics, and magnesium structures in seating structures, lighting, and body panels to help OEMs achieve the goal of building lightweight vehicles.

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What Would Happen if I Crash?
Having established the need to lightweight for fuel efficiency, one must also pull out the checklist on associated effects of using such materials. Would the vehicle now be increasingly prone to crumbling in the event of a crash? What is the catch? – Well, the impact of using a lighter material does impact the robustness and the stiffness of the structure and therefore the vehicle – but, OEMs aren’t completely shifting from traditional metals for new age composites. OEMs are using a mix of multi-material structural components and joining techniques to achieve better scores on crash tests and real-world simulations. Today’s concerns revolve around reducing cost of materials and identifying techniques to hold composites and alloys of varying properties together under operating conditions. Reality dictates that OEMs continue to employ low carbon steel, aluminum, and iron alloys to build majority of their frames and structures while simultaneously incorporating neo-materials and composites as part of body structure that will ensure a combination of strength, durability, robustness along with light weighting and flexible incorporation. A win-win for now. In addition, new age EVs are increasingly adopting the Frunk! A feature made famous by the rear engine Porsche’s of yester years and the new age Tesla in the EV line of things. By carving out a section for extra storage, in the front end of the vehicle, the consumer definitely gets the added space however compromising on structural integrity in the case of a crash. A win-loss!

Regulatory Body’s Blue-Eyed Cause – Lightweighting and Emissions
The Lightweighting trend is also championed by multiple entities that have vested interest in the partial end goal of this crusade – fuel efficiency and reduced emissions. The crusader is the regulatory body of the various nations who are driving OEMs to achieve reduced emissions within a set timeframe. For instance CAFE or Corporate Average Fuel Efficiency/Economy, a regulatory body that chalks out regulatory policies; in this aspect for developed and developing economies including India has set forth regulations that mandates OEMs to check emissions and ensure reduced dependence on traditional fuels such as gasoline and diesel, and control exhaust end emissions – less than 130 gm per km till 2022 and below 113 gm per km beyond that. On the domestic front, India’s BSVI deadlines will work in tandem to realize this cause. One might argue that emission end output might not have causal derivatives from the existing vehicular bodies, as the weight of these structures have already reduced significantly over the decade – there is only so much an OEM can shave off to achieve the emission threshold through Lightweighting

The Electric Vehicle Conundrum
The regulatory bodies’ ulterior motive as some would suggest is to hasten the adoption of Electric vehicles (EVs). There is only so much bandwidth an OEM can do, to work within the realms of reducing emissions from engine downsizing and treating exhaust gases. Hence the realistic route would be to traverse the path of EV. The auto industry has already accepted this bitter expensive pill and is now heavily vested in increasing its EV portfolio globally. However, this presents a catch 22 situation. EVs might have put one concern to rest – the emissions end of the argument but it is simultaneously staring at a familiar foe in weight, pun intended. To the uninitiated, this might seem to be a very minor setback in the cause to achieve something greater. On the flipside, EVs now face the same problems faced by their conventional cousins – the IC engines, which is “Range” (read about it on our latest blog – EVs and Range Anxiety). The battery packs which make up the core of the EVs have significant weight associated with it, making an EV considerably heavier and putting a lot more stress on the energy source (battery). This causes drop in range, or in conventional engine terms – lower mileage. There is increasing pressure on EV manufacturers to reduce weight of the body structures through novel applications of lightweighting, one such instance is the integration of wheel end systems and motors independently while also having swappable batteries placed on storage beds, ensuring effective usage of space for purpose.

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Enter Hinduja Tech! – The Frugal solution to your heavy engineering burden

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Hinduja Tech’s unique frugal Engineering paradigm has helped multiple OEMs realize cost savings by shaving off sections on body panels by which the OEMs not only realized monetary gains but also significantly reduced the weight of the vehicle when replicated on both sides of the vehicle. Let’s get into the details- For this to work, the engineering team had to increase certain estate on the bumper module and decrease sections on the fender. Though the bumper module increased in cost and weight by ₹30 INR and 140gm respectively, Hinduja Tech’s BIW practice helped in reducing fender costs by ₹50 INR and weight by 400 gm, approximately half a kilo! If that puts things into perspective. This helped the OEM realize a net saving of ₹20 INR and weight savings of 260 gm per vehicle.
Another instance is the re-engineering and frugal engineering of seats and seat structures, by reducing the number of redundant components in the form of springs, and engineering it to perform at the same level as before or even better; OEMs realize savings on the B2B and sourcing aspect, reduce weight of the module, and ensure the portfolio is on the path towards lightweighting – all ensured through Hinduja Tech’s frugal engineering solution. During this engagement, Hinduja Tech helped the OEM save ₹200 INR and also reduce weight by 360 gm per vehicle.


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Hinduja Tech is also driven towards accelerating the adoption of EVs; its Electric Vehicle Engineering team is equipped to work on designing, building, prototyping, battery swapping, with the expertise and proven experience to find solutions to most of the engineering challenges that OEMs and suppliers are facing today when it comes to lightweighting; IC or EV.
For insights and details on how Hinduja Tech can add value and help solve your lightweighting concerns, write to us at info@hindujatech.com or you can browse through our corporate website to learn more about our Engineering Prowess.









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Lightweighting and Frugal Engineering go hand-in-hand

Evolution of [digital technology](https://hindujatech.com/digital-technologies) has transformed the business model of every industry. And, it has a huge impact on the automotive industry. In this digital age, to stay top of the line in the business spectrum, automotive companies should embrace digital disruption and adopt new business practices.

Innovation is behind the wheels of all the vehicles. Yes, connectivity is shaping the sector in a newer way. Some technologies are in the making, while a few of the technologies are in the verge of becoming mainstream. For an organization, it is quite difficult to keep track of all the technologies which are spread across the globe. For an organization, to keep track of all the technologies which are spread across the globe is quite difficult. Software like [SAP](https://hindujatech.com/digital-technologies/erp-sap) can generate a centralized database for all different applications running across your organization. A management-level member would always be interested to know the key data points from all major sources, in a nutshell, to compare and execute the business transactions. Further, it helps to identify current situation in the ground level of each functional unit.

Evolution of digital technology has transformed the business model of every industry. And, it has a huge impact on the automotive industry. In this digital age, to stay top of the line in the business spectrum, automotive companies should embrace digital disruption and adopt new business practices.

Innovation is behind the wheels of all the vehicles. Yes, connectivity is shaping the sector in a newer way. Some technologies are in the making, while a few of the technologies are in the verge of becoming mainstream. For an organization, it is quite difficult to keep track of all the technologies which are spread across the globe. For an organization, to keep track of all the technologies which are spread across the globe is quite difficult. Software like SAP can generate a centralized database for all different applications running across your organization. A management-level member would always be interested to know the key data points from all major sources, in a nutshell, to compare and execute the business transactions. Further, it helps to identify current situation in the ground level of each functional unit.

“90% of the manufacturing companies are satisfied using SAP implementation when it comes to IT cost reduction and 96% improvement is in productivity after implementing SAP in manufacturing companies”

Benefits of SAP for the Automotive Industry A single, centralized solution for all your manufacturing applications
Manufacturing companies can get a complete, 360-degree view with analytics to monitor continuous improvement
Speed up the design, make more-informed decisions and accelerate market introductions by collaboratively engaging all partners with a single set of product data Manufacturing and Supply Chain processes become easier Manage the supply chain better with a comprehensive system for production, sales and shipping to purchasing; goods receipt and communication management
Streamlines business processes to suit market needs as the company grows Improves integration and ensures that manufacturing companies are effective and efficient with time and resources.

Improving Our Customer’s Digital Experience Automotive companies are on a journey towards digital transformation. Wherever you are in your digital transformation journey, ‘SAP is your Destination’; Hinduja Tech has the expertise to give the right services and solutions you need.

When implementing Hinduja Tech’s SAP model, it easily helps to get rid of all the redundant legacy systems and multiple data source points to provide a centralized source of data. It increases the operational efficiency and gives transparency over the entire system which becomes the single reliable source of data.

Hinduja Tech’s SAP business process flow helps in speeding up the data process by eliminating unnecessary manual intervention and makes it less dependent. We made the business process in such a way to maintain standardization across the organization and channel them according to each unit. Also, the SAP business flow of Hinduja Tech avoids a high degree of repeated data entries and helps you in automating the reports.

Hinduja Tech’s SAP Offerings to the Automotive Industry: A Complete Solution Technology is not only about enabling automotive companies to embrace digital disruption, but it’s about driving fitness, reshaping business models and influencing innovations.
Our best-in-class SAP solutions help you to innovate faster, increase efficiency and stay on top of the industry trends. Hinduja Tech helps automotive companies to reimagine digitized business models with innovative solutions across the industry value chain, and drive sustainable revenue growth and maintain margins, powered by new generation technologies such as SAP S/4 HANA, Mobility, IOT, etc.

  1. Reduce the Operational cost, reduce time to market, and increase revenue from the market

  2. Companies must respond quickly and effectively to changes in demand and supply. Hinduja Tech offers SAP MRP LIVE production planning program which provides synchronization to changes in demand, that result in fewer material shortage and delays. Maximizes capacity utilization and real-time inventory management. Increases the Production Planning, Improves Order to Delivery and Production Cycle Times and Reduce Inventory &  Planning cost.

  3. Our Lead to Cash process improves customer satisfaction, reduces sales and service cost and increases the Revenue Growth

  4. Since we have decades of experience in the Automotive industry, our Analytics team helps to provide various dashboard reports to check the KPI’s and KPD

  5. We offer various dashboard reports which provide real-time information on the fly  

  6. Our Predictive Maintenance (PdM) Solution monitors the performance and condition of the fleet during normal operations and helps to reduce failures

  7. Talent Acquisition Solution reduces time to hire, cost per hire and quickens time to contribution

Going digital always starts from within. We believe digital is the future and it’s already here. Our SAP services have helped several global companies to adopt digital transformation and they found it to be the right platform to begin their digital journey. With data-driven customizable SAP solutions and services, make better decisions, meet enterprise goals with efficiency and unleash innovation & growth. Reimagine your business models, the way you work, and compete better with our suite of SAP Services and solutions that are opening an infinite world of new possibilities.



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SAP Automotive Industry

How Hinduja Tech’s SAP can improve efficiency in the Automotive Industry?

The first innings Electric vehicles outsold IC Engines by ten to one. Yes, I know you are thinking this is probably a lie or forecasting the future or even I’m out of my senses. It is a fact I had to check probably a hundred times from different sources, unfortunately, there wasn’t a way to call up my great grandfather. Early in the 18th century, Inventors like Thomas Davenport and Thomas Edison had been experimenting with electric motors, lead acid batteries and nickel alkaline batteries which led to the development of Electric carts and carriages. In 1896, the first car dealership was started exclusively for EVs, in fact, companies like Oldsmobile and Studebaker started out as Successful EV companies, only later did they transition to gasoline powered vehicles. Over the years, EV gained popularity, even though they were produced at a very small scale and mostly built by hand.

The downfall on the other hand, in the year 1913, Henry Ford, inspired by a butcher shop, invented the motorized assembly line for mass production of gasoline vehicles, then 90% of EV manufacturers perished due to individuality and the funds to source a large number of components. Further development of better road infrastructure and discoveries of petroleum fields, made long distance travels possible but due to non-existent infrastructure of electricity outside the city limits, severely limited the driving range of EVs, which in turn increased the popularity of IC Engine Vehicles due to their unmatched refueling infrastructure. With reduced range, the popularity and usage of EVs started to reduce, finally stopping the production of Electric cars, and EVs became niche vehicles- serving as delivery vans, freight handlers and golf carts.

The rebirth of EVs had a second chance during the Oil crisis in 1973, when the OPEC (Organization of Petroleum Exporting Countries) members, started an oil Embargo, creating a need for alternative sources of energy. Later in the 1990s, due to concerns related to increasing air pollution and depleting energy resources, major carmakers resumed the manufacturing of EVs – prompted by the CARBs( California Air Regulatory Board) ZEV (Zero emission vehicles) mandate. However, due to various reasons and conflicts, the ZEV mandate was slowly weakened and all the EVs were destroyed (the ones which were sold also).

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Slowly the support and prompt from EAA (Electric Auto Association) and others who were concerned about the environment, along with the technological advancement such as Lithium-Ion battery, Metal Oxide semiconductors, advanced battery management systems, ECUs which led to the production of the first BEV in 2008 with a range of 320 km and a charging time of 9.5 hours. Initially, only very few countries like the USA, Japan, and China welcomed the alternative mode of transport as a measure to reduce the emission levels. Over the years more than 20 countries have taken the initiatives and are planning to stop the use of ICE completely.

Pre – purchase cognitive Dissonance
‘Will I be able to reach office with the remaining charge/ fuel?’

‘What if I get stranded in the middle of the road?

‘How will I again recharge/refuel my car?

‘How long will it take to charge my car?

242 million searches related to distance and range of an EV, gives us a perspective on why people are hesitant or reluctant to go for EVs. Range is one of the main factors which affect the acceptance rate of EVs along with various factors that indirectly or directly influence range such as battery cost, purchasing cost and charging time.
. 
Cost of battery manufacturing and how it increases the retail price. 
The extraction of raw materials for the battery or the technology and infrastructure required to produce battery packs in full scale is nowhere near to the advanced technologies, supply chain and cost saving methods for the development of IC engines. That said, the cost of a battery alone comprises 40% of total EV cost. Also taking into account that it has taken hundreds of years for the ICE to evolve and achieve where we are today in terms of performance and efficiency, the EV industry will be able to achieve the same in a relatively shorter period of time considering the exponential adoption of EVs across the globe that is expected to happen in the coming years. With additional support from the International governments and the pressure of climate change hanging our human heads, it will be a reality in the near future.

Regulations and Impact
Repeated, widespread support and initiatives from governments are being taken to reduce the gap between the price range of EVs and ICE vehicles by providing support funds, implementing subsidy programs and VAT Exemptions. For instance, The American Recovery and Reinvestment Act (2009) was an unprecedented action to stimulate the economy. It included measures to modernize the nation’s energy and communication infrastructure and enhance energy independence for battery manufacturing projects, vehicle component production, construction of production facilities and demonstration projects. Initiatives such has FAME (Faster Adoption and Manufacturing of Hybrid & Electric Vehicle) in India, and EVI (Electric Vehicles Initiative) were launched with the goal of accelerating EV’s adoption. Despite such efforts, the adoption rate has been slow because it is important to understand possible and likely EV adoption trends and factors such as charging infrastructures, charging time, consumer perception and travel distance that more effectively affect rates of uptake of EVs.

The current state of infrastructure
Due to the limited range of EVs, the development of charging infrastructure plays a critical role in EV adoption. However, it is still not clear as to how and where the infrastructure should be and how optimized it should be. Recent research suggest that at least 1 charging station with 2 fast( 7- 22KW) charging ports (2-3 Hours for a full charge) and one rapid( 43- 120 Kw) charger (30-60 minutes) is necessary within a Grid of 3X3 kilometers for a well-planned charging network. It would be more appropriate if the government can invest in EV infrastructure as a public good which would be more suitable for subsidies and policies. Also, technologies like wireless charging similar to a wireless phone charger works on resonant magnetic induction, where it makes use of the air gap to transfer electricity from one magnetic pad which is placed on the ground to another placed on the bottom of the car which could be helping saving lot on infrastructure cost and space. Another example would be the Pantograph super chargers which can charge Electric buses within 3 minutes. Niche technologies like this are a boon and only a handful of organizations can do them. Check out this website for more. Hinduja tech

Long distance relationship – let’s not ignore the pun
The average distance travelled by an individual on a single day is 35 miles/ 56 Km while the average range of an EV is 90 Km which will further increase over the years with the development of better technology and ease of accessibility to charging infrastructure. The average distance an EV can travel on a single charge has doubled in the last six years. Optimization of existing lithium-ion batteries, along with the introduction of new materials for the battery cell materials will result in incremental improvements in reduced charging times, increased charge density and better thermal management resulting in a better range. Also, advanced Battery Management Systems developed by companies like Hinduja Tech can help in increasing safety, range and reducing the mass of the battery pack. The term range anxiety is sometimes laid thick because most of the times due to the way our brain functions, the anxiety transforms into fear.

The realistic future of mobility
EVs are disruptors – replacing IC Engines which has 400- 500 parts, with the electric motor which has only around 20 parts. The EVs single speed transmission replaces the multi geared gearbox and DGS clutch system which will together reduce the cost of manufacturing by a third. The high development cost of batteries can be reduced by ESPs, and the best pick would be Hinduja Tech which incorporates Frugal Engineering as their core value is to reduce Product cost and Engineering cost by 15 – 30%.


![The-realistic-future-of-mobility.jpg](https://storage.googleapis.com/htlwebsite/The_realistic_future_of_mobility_028247adb5/The_realistic_future_of_mobility_028247adb5.jpg)

Furthermore, new breakthrough products such as battery swapping, lithium-air batteries, alternative metal-ion batteries, solid state technology and high energy capacitors which are still developing at an exponential rate will increase the range and reduce the cost and charging time. The problem of Range is applicable only when the commute is twice or thrice the actual range of an EV, where there might be no access to charging infrastructure or even if there is one you will have to make multiple stops for more than an hour to charge it. Otherwise, it is just your daily commute to your workplace with the usual traffic but with smoother riding experience and less noisy vehicles. Oh also no Exhaust gases.

References:
[https://en.wikipedia.org/wiki/History_of_the_electric_vehicle](https://en.wikipedia.org/wiki/History_of_the_electric_vehicle), History of Electric vehicle.
[https://www2.deloitte.com/content/dam/Deloitte/uk/Documents/manufacturing/deloitte-uk-battery-electric-vehicles.pdf](https://www2.deloitte.com/content/dam/Deloitte/uk/Documents/manufacturing/deloitte-uk-battery-electric-vehicles.pdf)
[https://thedriven.io/category/faqs/](https://thedriven.io/category/faqs/)
[https://eaa-1967.clubexpress.com/content.aspx?page_id=22&club_id=222684&module_id=296550](https://eaa-1967.clubexpress.com/content.aspx)
[https://www.zap-map.com/charge-points/](https://www.zap-map.com/charge-points/)











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EVs &amp; Range

EVs and Range – The long untold story

- Like mobile phone evolution automobile will change from hardware product to a software defined vehicle
- System / function-based architecture to transform into E / E central architecture
- As part of continuous improvement through OTA updates continuous co-ordination between OEM and supplier R&D team is required
- Suppliers will have to sell software and hardware as separate and in combo based on the OEMs software outsourcing strategy
- Customer centric optional (subscription based) and mandatory updates needs data driven decision making


Just like how cell phone has changed, cars are also going through a revolution, modern cars are being sold as hardware with a software package. Pushed by CASE (Connectivity, Automation, Shared and Electric) revolution along with development of 5G and Artificial Intelligence (AI). Traditionally cars were sold as a hardware unit and gets minor feature changes through service centres, which is now being changed to software defined vehicle with Over-the-Air (OTA) updates.

![Infographics-01-01.jpg](https://storage.googleapis.com/htlwebsite/Infographics_01_01_d9f5e92aee/Infographics_01_01_d9f5e92aee.jpg)

Moving away from conventional cars to software defined vehicle is an evolutionary process. This is four staged evolution of a vehicle as 1. Functional Vehicle, 2. Digital Vehicle, 3. Updateable-Vehicle and 4. Software Defined Vehicle. Each stage transition needs both hardware and software architecture changes which in effect demands an overhaul in conventional automotive research and development (R&D). That means shifting from the traditional scattered, embedded Electronic Control Units (ECU) to a domain focused system with central vehicle controllers. This requires sophisticated software including a software abstraction layer, Ethernet usage and large scale connectivity.

Traditional vehicle development period use to be 5-6 years, software defined vehicle demands R&D cycle of 3-4 years range. Main changes in R&D for the software defined vehicles are; change to agile systems engineering from component based waterfall development, change from embedded development for ECUs to centralised electrical-electronics (E/E) architecture and software, change from material cost optimisation at start of production to cost and revenue optimisation throughout the lifecycle, from product and technology focus to customer focus and change from experience based engineering to data enabled engineering and virtual engineering.

![Infographics-01-04.jpg](https://storage.googleapis.com/htlwebsite/Infographics_01_04_88d0f99eaf/Infographics_01_04_88d0f99eaf.jpg)

Conventionally OEMs use to get components/systems from suppliers and integrate, this will get sophisticated for software defined vehicle. OEMs and customers and looking for flexibility and agility, which in effect will make suppliers to sell hardware and software separately, so that OEMs and customers can pick and choose. As there will be OTA updates for both mandatory and subscription based systems and features, OEMs needs continuous co-ordination with supplier. The R&D team co-ordination that happens throughout continuous product updates makes this little difficult manage with conventional automotive organizational thinking and structure.

Conventional product focused R&D and product development processes discussions typically remain in their area of focus and have a few structured interactions with other functions such as marketing and sales. In case of software defined vehicle, OEM’s customer experience team needs continuous co-ordination with R&D team and some information has to be shared with software supplier R&D team. Customer experience should not be just from traditional surveys through service centers and third party but from data generated from vehicle and service centers.

Bringing automotive R&D organization fits to software defined vehicle is a sophisticated but necessary evolution for OEMs and suppliers, if they want to remain competitive to face CASE revolution and disruptive player entries.


Software Defined Vehicle demands R&D overhauling

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As technology evolves, the level of outsourcing to supplier partners has increased over time, with OEMs focusing on conceptualizing and building the vehicle, its integration, brand presence and establishing seamless customer connections. COVID-19 has exposed the vulnerabilities of global sourcing and emphasizes the need to localize as well as engage closely with suppliers as long-term business partners rather than a transactional interplay. The subsidies extended by the Government for EVs also emphasize the localization of aggregates. 


Diversifying the supply chain by engaging local suppliers and building redundancy in the sourcing of critical components reduces dependence on a single source and minimises the impact of supply disruptions. A localized supplier network to source components and materials closer to the manufacturing facilities reduces supply chain vulnerabilities and minimises logistics costs.

Supplier risk management strategy is essential for automotive companies to identify, assess, and be ready to face potential risks in their supply chain. This could start with onboarding a new supplier, managing supplier collaboration, integrating supply chains, and keeping in mind the impact of natural or geopolitical disasters and any other threats to the supply chain.

Therefore, Supplier Risk Management is an end-to-end activity, beginning with assessing the technical capability of the supplier, manufacturing process and productivity of the supplier, financial strength to run the operations, sustainable quality of the product and services, and competitive pricing to support the volumes and business growth plans of the OEMs.

## Managing Risks and Compliance Processes for OEMs

As OEMs are dependent on a complex supply chain that extends across the globe, market intelligence and predictive analytics are critical tools necessary to manage risks and ensure regulatory and other compliance aspects.

Supplier audits, interactions, and industry forums provide market intelligence. [Industry 4.0](https://hindujatech.com/industry-4-0), telematics, and other software tools help with predictive analysis at the product and process levels.
The decisions we arrive at with this data model will lessen the impact of challenges and pressures the automotive supply chain causes from time to time. Any stress in the automotive supply chain will impact sourcing, extending to Logistics, Technology, Regulations, Resource Availability, Environment, etc. Data Analytics driven by AI-based logic could circumvent all these issues paving the way for seamless operations.

![dn.png](https://storage.googleapis.com/htlwebsite/dn_5f33851001/dn_5f33851001.png)

 
 
### Action Plans by Hinduja Tech to challenge the contingencies

  1. Increased frequency of financial audits with relevant questionnaires. The data obtained is compared with the declaration. By assessing the financial ratios with relevant questions, the exact position of the supply partner is evaluated                             

      •	For instance, the current ratio, if less than 1, indicates short-term liquidity and solvency issues

      •	Not all the time; higher revenue translates to higher profit. Hence the profitability ratio gave us insights into how the organization can generate profits out of revenue. The contribution margin is an indicator of the profit after the costs of goods sold and services provided are considered

      •	Understanding the liabilities of the company against its net worth gives us visibility of how well an organization leverages against financial risks

  2. Continuous engagement with suppliers and developing a Risk Mitigation Plan    
  3. Alternate source development across commodities and technologies      
  4. Balance the inventory levels to have stock in place if there is an unexpected delay from the supplier   
  5. Ensuring positive free cash flow to the supplier, thereby ensuring smooth flow in operations across the supply chain   
 
Also, collecting the following information about the suppliers helps HT to comprehend their capability to ensure liquidity to meet current or short terms liabilities and their ability to sustain the business in the longer run.

  1. Sources of revenue and the weightage from each of its customers. As an example, if the supplier gets 25% of the revenue from one source, it might lead to a greater risk      
  2. Banks / Financial Institutions backing the supplier and its reputation      
  3. Debts committed to the Supplier by the Lender  
  4. Outstanding Debt / Capital   
  5. Financial Structure of the Supplier    
  6. Future Financing Options

Suppliers play a crucial role in the sourcing and supply of components, and their selection and management are vital for a robust supply chain. In the context of [electric powertrain engineering](https://hindujatech.com/product-engineering-services/powertrain), suppliers, particularly in the [EV industry](https://hindujatech.com/product-engineering-services/electric-and-future-mobility), such as battery suppliers, are key partners in ensuring the availability and quality of components.

Hinduja Tech (HT) recognizes the significance of suppliers and has developed a Supplier Risk Matrix assessment sheet. This tool enables HT to assess and evaluate the strength and reliability of the supply chain. The Supplier Risk Matrix assesses various factors such as financial stability, production capacity, quality control measures, and after-sales support. By using the Supplier Risk Matrix assessment sheet, HT can effectively evaluate the risks associated with potential suppliers, identify any vulnerabilities in the supply chain, and make informed decisions in selecting and managing suppliers. This assessment helps ensure that the chosen suppliers have the capabilities, resources, and commitment to meet the sourcing needs and provide reliable components for the electric powertrain engineering projects.

By deploying the Supplier Risk Matrix assessment sheet, HT can enhance supply chain resilience, minimize potential disruptions, and foster strong partnerships with suppliers, ultimately contributing to the success of electric powertrain projects.

 ![SRMchaert.png](https://storage.googleapis.com/htlwebsite/SR_Mchaert_ea27dab874/SR_Mchaert_ea27dab874.png)

![SRM.png](https://storage.googleapis.com/htlwebsite/SRM_4d12a8e5fb/SRM_4d12a8e5fb.png)


### Why is Supplier Risk Management Critical?

The COVID-19 pandemic, geopolitical problems like the Ukraine war, climate change, natural disasters, and others have badly impacted many companies and forced them to revisit their approaches towards supplier Risk Management. For instance, the COVID-19 pandemic is a prime example of how a health crisis can disrupt supply chains on a global scale. Similarly, Ukraine, the producer of copper, an essential input to many manufactured goods and electronics, could not cope with the promised schedules. These disruptions have required companies to gather information from suppliers with Ukrainian operations and adjust their production schedules and processes accordingly. Another recent example of an unanticipated supply chain disruption was when the Suez Canal was blocked by a giant container ship for 6 days. Recently China’s continuous cyber-attack attempts in Taiwan, the major chip source for global operations, pose a threat to hinder the global supply chain in terms of the availability of chips.

It is impossible to predict pandemics, wars, or disasters far in advance, but mitigating their impact on your organization is possible. With statistical data tests, every organisation must continuously work on identifying the vulnerable parts of the supply chain and the impact it would have on revenue generation. With the results, the organizations should identify alternate sources to have a smooth flow of operations.

### Our Strategic Matrix

Hinduja Tech works on the following 5*4 matrix, based on qualitative and quantitative data of any supplier, to assess the Risk in the Supply Chain. 

![SRMsup.png](https://storage.googleapis.com/htlwebsite/SR_Msup_030682cfe5/SR_Msup_030682cfe5.png)

 
A recommendation with a detailed action plan to mitigate the risks is offered to our customers.

### Our Supplier Management Strategy brings the following benefits

  1. Lower Supplier / Sourcing Costs – 14%-38% Reduction achieved 
  2. Reduced Supplier Risk  
  3. Improved Competitive Position in the Market  
  4. Increased Operational or Financial Efficiencies   
  5. Transparency in Escalation  
  6. Early Detection of Risk  
  7. Ability to Respond to Contingencies   
  8. Ensuring Compliance   
  9. Avoid Fines and Penalties.    
 

## Conclusion  
  
The automotive industry has complex supply chains that involve multiple tiers of suppliers, making it difficult to track and manage risks. This complexity increases the likelihood of risks and results in quality issues, delivery delays, or disruptions due to natural disasters or geopolitical events.

Partnering with [Hinduja Tech](https://hindujatech.com) brings OEMs the benefit of multiple supplier relationships to manage the growing demands of the automotive industry in an efficient way. With its 700+ auto-specific supplier ecosystem, Hinduja Tech can help mitigate risk & losses due to supplier breaches and noncompliance. This also involves developing contingency plans to manage disruptions in the supply chain.




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Supplier Risk Management 

Supplier Risk Management – How well are OEMs Managing Disruptions?

## The Need for Cost-Effective Automotive Development

EV startups and traditional OEMs in North America face rising costs in developing and commercializing electric vehicles. These costs include R&D for Electric powertrains, Battery systems, Vehicle platforms, and Unique features. Other cost pressures include Raw Materials, Talent Shortages, Engineering, Manufacturing, and Operational Costs. To manage these costs, many companies are using nearshoring to Mexico.


### Nearshoring vs. Offshoring

Nearshoring involves moving operations to a nearby country, such as Mexico. This offers several advantages over offshoring, including:

•	Reduced time zone differences

•	Improved communication and collaboration

•	Lower labor costs

•	Access to a skilled talent pool

•	Reduced risk from geopolitical unrest


### Why Nearshore to Mexico?

Mexico is an attractive nearshoring destination for the automotive industry due to several factors:

•	**Large, skilled workforce:** Mexico has a large and growing pool of engineers and technical professionals. The government is also investing heavily in education and training programs

•	**Proximity to the US market:** Mexico's proximity to the US makes it an ideal location for nearshoring operations. This reduces transportation costs and lead times

•	**Supportive government:** The Mexican government is actively supporting the growth of the automotive industry with initiatives such as scholarship programs and investment in higher education


### How Hinduja Tech Can Help? 

Hinduja Tech is a leading provider of Product Engineering Solutions for the automotive industry. We have a proven track record of helping companies nearshore their operations to Mexico. We offer a unique blend of nearshoring and offshoring services, with 70% of engineering work executed in Mexico and the rest supported by technical experts from India.


### Benefits of Nearshoring with Hinduja Tech

•	**Cost optimization:** We can help you save money on engineering costs by leveraging Mexico's lower labor rates

•	**Improved communication and collaboration:** Our nearshore teams work closely with the US-based teams to ensure seamless communication and collaboration

•	**Access to a skilled talent pool:** We can help you tap into Mexico's large pool of skilled engineers and technical professionals

•	**Reduced risk:** Nearshoring to Mexico can help you reduce your risk from geopolitical unrest


Download an entire blog to learn more about how we can help you nearshore your automotive engineering operations.


Blogs

5 Ways Nearshoring Drives Success in Automotive Engineering

Supplier Risk Management – How well are OEMs Managing Disruptions?

Software Defined Vehicle demands R&D overhauling

EVs and Range – The long untold story

How Hinduja Tech’s SAP can improve efficiency in the Automotive Industry?

Lightweighting and Frugal Engineering go hand-in-hand

The Hidden Costs of Electrification

Our People Stories: When our Heroes went an Extra Mile Beyond the Call of Duty

Thank you! You have seen it all

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