o9 & Valeo Partner To Drive AI-Powered Smart Mobility

Leading automotive technology supplier and partner Valeo has announced a seven-year partnership with o9 Solutions, the pioneering AI software platform provider. 

Known for transforming decision-making and enterprise planning, o9 will assist Valeo through its innovative Digital Brain platform to streamline its master production scheduling (MPS) and sales, inventory and operations planning (SIOP).

For Valeo, which reported revenue of €22bn (US$23.32bn) in 2023, this will affect more than 170 sites across 29 countries. 

Working with o9 forms part of its drive to develop the future of smart mobility, enhancing its competitiveness and service while building a better technological future. 

Helping Valeo reach goals like reducing CO2 emissions and enhancing intuitive driving, the o9 Digital Brain platform boasts highly-scalable, flexible and future-proof digital architecture.

"It will enable Valeo to enhance and automate its MPS and SIOP processes, driving superior operational efficiency and decision-making," Alberto Fabregat, Vice President Supply & Industrial Manufacturing at o9solutions wrote on LinkedIn.

"Built by a team with deep automotive expertise, the Digital Brain Platform is set to have a profound impact on both Valeo's operations and the future of mobility." 

The Digital Brain Platform and the partnership between Valeo and o9 is set to have a profound impact on both Valeo's operations and the future of mobility.

Here's why. 

Inside the o9 Digital Brain platform

The o9 Digital Brain Platform is an AI-driven solution designed to enhance enterprise decision-making and operational efficiency for the automotive industry.

This cloud-based platform integrates machine leaning, data and analytics to provide a comprehensive overview of the supply chain, enabling manufacturers to optimise operations and performance. 

By unifying disparate, siloed data sources into a single system, automotive manufacturers can manage complex global supply chains with the o9 Digital Brain platform like never before.

Predictive and prescriptive analytics enable companies to adjust production schedules and anticipate market shifts. By leveraging AI, the platform forecasts demand based on economic indicators and consumer trends, aligning production with market needs to avoid stockouts or overproduction. 

Sustainability tools track supplier compliance and carbon footprints, aligning manufacturers' decision-making with profitability and environmental goals. 

The solution's scenario planning tools also help automotive firms model strategic decisions, including using sustainable materials and switching suppliers, assessing benefits and risks before implementation. 

There's also specific risk management modules, designed to help companies strengthen supply chain resilience by identifying vulnerabilities and providing AI-driven alerts to mitigate risks and ensure production continuity. 

Ultimately, the o9 Digital Brain Platform enhances supply chain resilience, sustainability and demand planning, empowering companies like Valeo and ensuring their future competitiveness.

 “At o9, we have extensive experience helping companies in the automotive and tech industries achieve digital transformation in their supply chains," says Chakri Gottemukkala, Co-Founder and CEO at o9. 

"Managing such complex processes requires advanced planning capabilities, especially involving multiple stakeholders and longer time horizons.

"The o9 platform is designed to be flexible, enabling companies like Valeo to connect the dots and make more informed decisions. We are excited to partner with Valeo, a company with a strong vision for innovation and sustainability.”

The partnership between o9 and Valeo is doing more than just enhancing decision-making, however.

It's demonstrating something vital about the future of automotive manufacturing and actively helping to shape it.

Shaping the future of automotive manufacturing

The partnership between o9 Solutions and Velo sets a real precedent for how automotive manufacturers can and should harness advanced technologies.

It highlights how critical data and AI are to the future of demand forecasting and adaptive planning, providing unprecedented insights and analysis. 

These technologies will be critical for those seeking to accurately anticipate the shifts of an increasingly unpredictable global automotive marketplace.

Adaptability – in both technology and decision-making – is what will define future automotive leaders, as we navigate a time of phenomenal change in manufacturing. 

The partnership also speaks to the growing importance of the supply chain, as conversations around digital transformation and sustainability expand beyond individual companies and come to encompass a diverse network of suppliers and partners. 

Together, Valeo and o9 Solutions are showcasing what a profound impact AI-powered solutions can have on holistic supply chain management, inspiring other automotive manufacturers and suppliers to invest.

All in all, the partnership sets a new standard and precedent for digital transformation, demonstrating why automotive manufacturers must overcome their tendency to pursue change and new technologies in silo. 

The future is interconnected and interdependent, and all industries must pursue holistic and collective solutions to make meaningful progress.

“As a technology-driven company in the automotive industry, it is essential for us to continuously adapt our planning and decision-making processes to stay ahead of customer expectations,” adds Didier Huet, Vice President of Supply Chain at Valeo.

“By processing critical information in real time and understanding the connections between various systems and sites globally, including our partner constraints, we can make informed decisions that benefit our business and customers. o9‘s platform will enable us to optimise our material planning of resources and leverage cutting-edge technology to achieve our strategic goals.”

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