Analytics and data science business systems in the automotive industry in South Africa

Abstract

The research project sought to establish the use and effectiveness of analytics and data science in the automotive industry in South Africa. According to Chen, Chiang, and Storey (2012), effectiveness and competitive advantage are said to be the expected basis for the use of analytics. To experience the full benefits, the analytical tools investigated had to satisfy the requirements of leveraging efficiency; objectifying decisions; disclosing assumptions; testing strategy impacts and required the capability to see and learn from changes. The underlying and critical support towards the effectiveness of the tools is data and it was required to establish whether data and the management thereof, was freely available. Probable causes to the uptake of the tools were reviewed and this included ease of use of the tools, training and support towards daily management. The study was done using the qualitative method. Qualitative methods were found suitable for this investigation because the researcher needed to understand the reasoning behind the use or lack thereof, of analytics in the automotive industry in South Africa from a user perspective. The participants in this approach were directly sought for responses that would aid the study, which would elicit responses and ensure that deeper understanding into the operations was obtained. The research established that some of the industry, mostly the premium brands, had adopted the use of analytics. Some organisations have implemented some analytical tools and practice, but this applies to only some departments and is not widely spread across the organisation. Therefore, there is a misalignment with regard to the use of data within the organisation. Some of the industry still relied on many manual processes, and working in silos where the organisation could benefit from an integrated approach. The cross-value analytics chain that was presented proposes an approach that the participants felt would benefit all. The interpretation therefore concludes that the use of the cross-value analytics chain would need to be adopted, as a start, to building a journey towards common processes. This would drastically improve the efficiencies of operations within the organisations as there would be interdepartmental integration. A common approach would also allow for room for expansion into improving the already available tools with a quicker turnaround time for growth and expansion.