How has electrification affected OEMs?
When you say the words ‘electric car’ chances are you probably think of Tesla, right? Well there’s a good reason for that. No other company can be credited with pushing the electrification revolution quite like Tesla and their impact has, naturally, had a knock-on effect on other OEMs who wanted to get in on the action and create their own piece of the electrified future.
When Tesla began developing electric cars, no one had expected the level of success they achieved in such a short space of time. They positioned themselves quickly as market leader, ahead of the game. This left other OEMs behind the curve when it came to technology and playing catch-up.
A race against time
It’s fair to say that time wasn’t, and isn’t, on the side of OEMs when it comes to electrification. The main problem is that typically development lifecycles for automotive OEMs is 10 years. Technologies go from the initial concept all the way to being featured in the vehicles we see on our roads in this space of time. It was a timeframe that worked well for OEMs. Until it didn’t.
OEMs know that they simply don’t have ten years when it comes to releasing their own EVs. With countries across the globe committing to electrification targets, road car OEMs had to push to develop new technologies in an incredibly short period of time compared to the typical lifecycle.
Electrification has arrived, and it’s arrived quickly.
A break from tradition
The OEMs have found themselves in a situation where their traditional methods can’t keep up with such a fast-paced period of development. Traditional ICE motors are vastly different to electric motors (find out more about this in our latest insight report) and suddenly the methods they had been using to manufacture technologies weren’t enough.
ICE vehicles are full of traditional, very established technologies that have been developed over many years, and this sits in stark contrast to the brand new, emerging technologies that we see in electric vehicles.
Electrification and the Skills Impact Part 2
To find out more about how electrification has impacted skills, technology and salaries in the OEM space, download our FREE insight report, Electrification and the Skills Impact | Part 2 | OEMs.