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`Auto cos must invest in IT for better efficiency'

Our Bureau

Chennai , Sept 5

Automation in an automotive company can help reduce required manpower by up to 10 per cent in certain routine functions, according to Mr N. Mohanakrishnan, Executive Director (Internal Audit), Ashok Leyland Ltd, and Chairman, Autotech 2006.

Announcing the CII's Autotech 2006, titled `IT for Excellence in Automotive Manufacturing' and scheduled for September 12-13, he said that it is important for automotive companies to invest in IT.

It would help improve the internal business efficiency as well as improve the competence of the supply chain by making information more readily available, and would help in reaching out to customers, he added.

Sponsored jointly by HP and CII - Southern Region, the event would focus on issues relating to automation for SMEs, said Mr Pallab Talukdar, Director, Enterprise Marketing and Alliance, Technology Solutions Group, HP.

He added that a lot of IT companies have invested in providing stripped-down solutions that are affordable for SMEs, sometimes costing only 10 per cent of the corresponding solution for large companies.

The reason for the focus on SME is the 50 per cent growth rate that this segment has clocked, compared to 25-30 per cent growth recorded by the large enterprise segment.

Accordingly, both large and SME segments of the industry will be represented at the seminar, with companies such as Simpson and Co, Ashok Leyland, Hyundai Motor Company and Kia Motor Company, Sona Koyo Steering Systems, India Pistons and Hindustan Motors participating in the programme. From the IT side, HP, SAP and UGS are the three participating companies.

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