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Innovative Optimization

Automotive industry: growth and news

For years, Cisco has been a major player in the automotive industry. It is about this IT revolu-tion that E-3 spoke with Michael Klemen, Busi-

ness Development Lead for the Automotive Industry in EMEAR at Cisco Systems.

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Innovative OptimizationThe automotive industry , which is beginning to exhibit strong growth, is also experiencing dramatic changes. When dealing with diverse challenges, innovative technology is essential. For years, Cisco has been a major player in the automotive industry. It is about this IT revolution that E-3 spoke with Michael Klemen, Business Development Lead for the Automotive Industry in EMEAR at Cisco Systems.

E-3: For all the key players in infor-mation and communication technology, the automotive sector represents a key industry. To what extent can the automo-tive industry absorb all the various new features, which are off ered by the IT in-dustry?

Klemen: The need for optimization

in the automotive industry is steadily growing. Virtually all car manufacturers and their suppliers – use advanced tech-nology to continuously optimize their business, mainly to accelerate innova-tion in both internal and external pro-cesses while improving cost structures. Without up-to-date networking, compu-ting and communications systems, brin-ging 30 new car models to market in a two year period is nearly impossible. It is

essential to ensure that the automotive industry has access to innovative tools and technologies that support collabora-tion internally and externally, especially if they are to manage business processes seamlessly, adapt organizational structu-re changes and avoid untimely incidents within their business.

E-3: What does this mean? Do you

have any real-world examples? Klemen: The automotive industry

operates on a worldwide basis, and Sup-ply Chains and resources are linked inter-nationally. How can an error in a produc-tion unit be fi xed quickly and accurately, so that business continues without inter-ruption? A specialist can operate from a site in Europe while solving a problem in Asia. Or they might participate in solving an error at a U.S. production facility in real time. Powerful TelePresence systems and online Webex conferencing tools manufactured by Cisco, eliminate unne-cessary delays and accelerate collabora-tion, thus solving problems more quickly and in real time. Time-consuming and costly travel is becoming obsolete. The problem can be discussed immediately by the tiger team, and remedied instan-taneously. Another example: the rapid deployment of SAP-Services/SAP appli-cations, or HANA-enabled data, from a European data center, perhaps for a new location in South America. The classic roll-out of server resources consumes an inordinate amount of time. Using Cisco’s UCS blade servers, a collaboration-ena-bled business transformation, can be executed faster and with considerable cost savings. Further improvements can be achieved in borderless networks, in clean air and collaborative usage of LAN

iPad Plus

Without up-to-date networking, compu-ting and communications systems, brin-ging 30 new car models to market in a two year period is nearly impossible. It is

they are to manage business processes seamlessly, adapt organizational structu-re changes and avoid untimely incidents within their business.

Michael Klemen, Business Development Lead for the Automotive Industry in EMEA at Cisco.

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or WAN, as well as in shorter product li-fecycle management times for new vehic-le development. Transparency is brought into production through digital media systems, leading to the indoor and out-door facility management at dealerships, and bringing the Internet usage into the car itself.

E-3: Are companies using such in-

struments for the collaborative optimiza-tion of their business today?

Klemen: Yes, an Italian automotive

company is a good example. The compa-ny currently has 29 TelePresence systems in operation, including 15 Librestream cameras with further expansion already planned. Top management and engi-neers or project offi cers from diff erent organizational units communicate via video- or web-sessions. Travel, especial-ly between the HQ s of the Italian auto-motive company and its US operations, has been reduced or simply eliminated. The utilization of this technology is high, with approximately seven hours of daily TP room usage.

E-3: For professional video-or tele-

conferencing, special studios are often required, which makes users reluctant to use such solutions...

Klemen: Of course technology needs

to be aff ordable. Cisco TelePresence so-lutions are not only “in room” or work-place technology, but extend to mobile e.g. with our Cisco Cius Business Tablet. The CIUS goes where you go, regardless of the location. You might use it on the production line, in a design center or in a showroom. Cisco intentionally deve-loped the CIUS with open, standards-

based connectivity that allows content-enriched collaboration at an aff ordable price.

E-3: Who will install the various col-

laboration solutions or tools on site at a company in the automotive industry?

Klemen: Installations are usually de-

livered and implemented by Cisco Chan-nel partners. Cisco made the decision early in its history to work closely with partners around the world – which servi-ces the global automotive environment. However, it is important to know that Cisco maintains centers of excellence for various industries, including the automo-tive industry. The Automotive Innovation Center for the EMEAR region was opened

in 2011 in Stuttgart. There, customers can experience innovation personally, gather further information and discuss architectural designs in depth with global automotive specialists via Tele Presence. In addition focus areas, such as UCS for SAP or HANA, as it pertains to the Auto-motive Industry, are covered by Cisco’s SAP Competence Center in Walldorf.

E-3: What does Cisco want to achie-

ve, especially in the automotive sector in the short term?

Klemen: The current growth – espe-

cially outside of Europe – calls for the on-going expansion. In addition to Cisco s proven networking solutions, Cisco is fo-cusing its attendtion on using innovative approaches, such as high-performance virtualization and cloud and in-memory computing, to provide the basis for col-laboration-enabled business transfor-mation. Employees no longer deal with only one system or just one offi ce, but are mobile in the use of tools and ap-plications regardless of location. These specialist are quickly becoming the stan-dard. Systems today operate 24 hours a day. Business events to trigger adjust-ments and corrective action in global processes receive greater attention with a keener focus. For example, how and by whom can a SAP escalation be executed more precisely than in the past? And last but not least virtualization resides on a much higher level than in the past. Ten years ago, Daimler operated two planes daily to shuttle experts, engineers and managers between Stuttgart and the U.S. Today those same engineers resolve problems immediately using collaborati-on tools making TelePresence a must. Ci-sco has helped to make daily life simpler through Cisco solutions which ultimately benefi ts the automotive companies.

www.cisco.com

» The need for optimization in the automotive industry is steadily growing. «

Michael Klemen, Business Development Lead for Automotive, EMEAR Region at Cisco Systems.

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