INDUSTRY WATCH
Shifting gears to realize a software-defined culture
More than two-thirds ( 68 %) of auto executives say their SDV transformation is on track , which IBM says is ‘ interesting ’ given the culture and talent challenges they face .
The reports says for decades , automakers have fine-tuned their craft around precision-engineered mechanical components and systems . But this mindset is fundamentally at odds with the agile , iterative , and data-driven approach that brings SDVs to life .
The transition to a software-driven culture is , the report says , proving to be a significant setback , with 74 % of executives maintaining their mechanical-driven culture is strong and difficult to change .
The impact of the transition on the workforce ’ s skillsets is also identified in the report as a major obstacle – particularly given the increased complexity of vehicle integration .
SDVs require the integration of software-driven approaches into both computing hardware and mechanical hardware , such as body parts , motors , batteries , brakes , and sensors .
This level of integration is , the report says , far more intricate and less understood than traditional mechanical and electrical component integration . The survey saw several executives note the conundrum : automakers employ a lot of people who have strong software skills and they also employ people who have traditional vehicle development expertise . But they lack employees who have a strong understanding of both sides .
Nearly three-quarters ( 69 %) of executives told the survey it was important to have strong SDV capabilities in-house – but many admit they don ’ t .
Sixty-nine per cent report a lack of software skills as one of their top challenges . In fact , they don ’ t expect to have developed or acquired sufficient talent to achieve their goals for software-defined products and services until 2034 .
The report identifies collaboration with the supplier ecosystem can help automakers bridge the gaps , but looking toward 2035 , executives aren ’ t intending to change course when it comes to their ecosystems .
Instead , the report says , they plan to increase inhouse capabilities by 18 % for in-vehicle technology areas , such as automated driving assistance systems . For out-of-car areas , such as vehicle security operations , executives plan to increase outsourcing by 17 % by 2035 .
IBM ’ s analysis revealed certain factors that influence automakers ’ decisions to outsource SDV capabilities . For example , a lack of software development tools and methodologies is identified as tending to lead to more outsourcing decisions for electronics and electric requirements and architecture .
The survey shows automakers see promise in augmenting their workforce with GenAI solutions , which can help fill the talent gap sooner .
Fifty-seven per cent expect GenAI to support developers with testing and validation and 52 % see potential in code generation .
The report says they GenAI to boost SDV software development productivity by almost 40 % in the next three years . .”
Separating the software and hardware layer is seen as the top technical challenge with 77 % of the senior executives saying they face a lack of software development tools and methodologies .
Of equal concern , 74 % of respondents say a strong mechanical-driven culture is making it difficult to switch to a software-driven product development .
Schlageter said : " By harnessing the power of cloud combined with AI , automakers can explore new ideas , test different software configurations and gather valuable insights to inform the development of innovative SDV features . Using AI to analyze vast volumes of data , identify patterns and make predictions , automakers can accelerate SDV enhancements . p
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