How automakers can take control of their software development–with lessons for others

A wave of new models and technologies have triggered complex R&D challenges for automakers—specifically around software development. Despite efforts to innovate, R&D productivity and efficiency have worsened. But they can still take control over their software (SW) development.

At a glance

• Automakers will likely face even tougher challenges down the road, as connectivity, autonomous driving, shared mobility, and electrification (CASE) apply pressure.
• They can move five levers to prepare for what’s next: decoupling SW/HW development, integrating an advanced SW development tool, attracting top talent acquisition, pursuing subcontractors partnerships, and mastering digitization.
• Taking stock of what’s happening to automakers can help other sectors—including machinery, home appliances, and heavy equipment—face future challenges.