The automotive sector, is a broad industry involving the design, manufacture, sale and maintenance of motor vehicles.
This sector encompasses a wide range of activities related to road mobility and vehicle production – ranging from cars to commercial vehicles, from electric vehicles to hybrids – and also includes the production of certain car components and accessories.
This is an evolving sector, driven by technological innovations, regulatory changes and a growing interest in increasingly efficient and sustainable vehicles.
In this article we delve into how sustainable mobility, electrics and connectivity are significantly shaping the future of this industry.
What is the automotive sector?
The automotive industry includes all those companies and activities involved in the production of motor vehicles (including components such as engines and bodies). The main products of the industry are cars and light trucks, including pick-ups, vans and sport utility vehicles.
Companies in the sector involve a diverse set of activities. Let us look at them together:
- Design and development of vehicles, engines, drive systems, electric chassis and components to improve efficiency and safety;
- Production and assembly i.e. the actual manufacture of vehicles, including assembly processes, installation of components, painting and finishing;
- Sales i.e. the marketing of vehicles. It includes marketing and customer service activities;
- After-sales services. Includes maintenance and repairs as well as the supply of spare parts and accessories;
- Research and development of advanced technologies. This sector is involved in the development of emerging technologies, such as autonomous vehicles, driver assistance systems, electric vehicles and connectivity solutions;
- Production of parts and materials. Some companies decide to specialise exclusively in the production of automotive parts and materials, such as tyres, batteries, automotive electronics, glass, metals, paints, and more.
The evolution of the automotive sector
The automotive industry is facing an unprecedented transformation, driven by technological innovations, changes in consumer preferences and an increasing focus on sustainability. These developments are redefining the way we conceive, produce and use vehicles, paving the way for a smarter, safer and more sustainable mobility future.
This sector has witnessed a constant evolution in vehicle design and performance. From the first mechanical models, there has been a move towards safer, more comfortable vehicles equipped with advanced technologies such as active and passive safety systems, connectivity and automation. The implementation of new technologies has revolutionised the industry: infotainment systems, mobile connectivity, assisted driving and electric vehicles have become increasingly common and represent the future direction of the industry.
Interest in sustainability has led to the large-scale expansion of electric and hybrid vehicles. More stringent emission regulations and growing awareness of the current environmental situation have pushed the industry to invest in zero-emission solutions.
Industry has adopted new production models such as flexible manufacturing and Industry 4.0 technologies to optimise production and reduce costs. Logistics and supply chain management are becoming increasingly sophisticated: the industry is experimenting with autonomous vehicles, which could radically transform the way we move. Innovations in advanced technologies such as artificial intelligence, machine learning and sensors are driving the development of this technology.
The emergence of new mobility concepts is influencing the traditional automotive business model, which is why car manufacturers are exploring service models, subscriptions, mobility ecosystems and other innovative solutions that can keep pace with the needs of an increasingly attentive and demanding market.
The future of the automotive sector
The future of the automotive industry is driven by technological innovation, sustainability and evolving consumer needs. Companies in the industry are facing a number of challenges and opportunities while trying to adapt to an ever-changing landscape with the aim of creating a smarter, more efficient and greener mobility future. Emissions and road safety regulations will continue to influence the industry, encouraging innovation and the adoption of greener and safer technologies.
Electric vehicles (EVs) are set to play an increasing role in the automotive landscape. The accelerated transition to electric vehicles, together with more advanced battery technologies and the expansion of charging infrastructure, promotes more sustainable mobility. Research and development of autonomous vehicles is advancing rapidly. These vehicles are expected to transform the way we get around, improving road safety and optimising transport efficiency.
The integration of Internet of Things (IoT) technologies and advanced connectivity are becoming more and more common: vehicles are interconnected, providing access to features such as advanced infotainment, over-the-air software updates and vehicle-to-vehicle (V2V) and vehicle-to-infrastructure (V2I) communication.
Automotive manufacturing is experiencing digitisation and automation. The adoption of technologies such as 3D printing, advanced robotics and data analysis is revolutionising production processes, making them more flexible and efficient.
Consumer expectations are driving automotive companies to offer an increasingly personalised experience that goes beyond driving a vehicle. As a result, after-sales services, customer care and vehicle personalisation will become increasingly important aspects for automotive companies to consider.
Skills and competences most in demand in the automotive sector
The automotive sector is constantly evolving and requires a diverse mix of technical and soft skills. The ability to adapt quickly to technological and market changes is crucial for success in this field.
The skills required continue to evolve in parallel with new technologies and market needs. We have summarised below some of the skills most in demand in the automotive sector:
- Technical knowledge – may include automotive mechanics, electronics, materials engineering, mechanical engineering and automotive electronics.
- IT and software skills – with the increase of electronics in vehicles, IT, software and programming skills are required. Knowledge of control systems, embedded software, artificial intelligence, machine learning and cybersecurity are increasingly important.
- Innovation and design – automotive design and engineering skills, including work on lightweight and sustainable materials, are crucial for the creation of modern and efficient vehicles.
- Expertise in energy and sustainable mobility – the transition to electric and sustainable vehicles requires specific expertise in energy storage technologies, renewable energy sources and charging infrastructure design.
- Automation and artificial intelligence – the automotive industry is moving towards autonomous vehicles. Therefore, skills in automation, advanced sensing, computer vision and artificial intelligence are increasingly sought after.
- Supply chain management and logistics – supply chain management, logistics and process optimisation skills are essential to ensure efficient production and optimal distribution.
- Sales and marketing skills – in the context of a highly competitive industry, skills in marketing, sales and business strategies are required.
- Communication skills and teamwork soft skills are just as important as hard skills. The ability to communicate effectively, work in a team, problem solving strategies and adaptability are differentiating elements.
- Regulatory and safety knowledge – in a highly regulated industry, knowledge of safety and homologation regulations is crucial to ensure that vehicles meet the required standards.
How to join the automotive industry
Automotive companies value versatility and mastery of specific skills, so it is important to acquire technical knowledge, software skills and soft skills simultaneously. The automotive sector is constantly evolving, so it is necessary to keep up-to-date with the latest technologies, market trends and regulations in order to be prepared and competitive.
A formal education in mechanical engineering, electrical engineering, industrial design, computer science or other related disciplines can provide the necessary skills. It is also important to consider postgraduate or master’s courses and internships in the automotive industry. Practical experience can be crucial for gaining an in-depth knowledge of the industry. Internships at automotive companies or industry suppliers can provide a comprehensive insight into day-to-day operations.
In addition to this, showing passion, determination and flexibility to improve and learn are aspects that can make the difference in embarking on a successful career in the automotive industry.
Kilpatrick, with its years of experience in the field of human resources and its global network of professionals with whom it is in constant contact, can offer support and advice in identifying the best talent in the automotive sector. Through targeted search strategies and a thorough selection process, our professionals identify qualified candidates who are a perfect fit for your company’s specific automotive needs: contact us now to find out how we can help you.