Daily CSR
Daily CSR

Daily CSR
Daily news about corporate social responsibility, ethics and sustainability

Electric Vehicles sales surge ahead despite supply chain disruptions



08/21/2022

EVs are steering the entire automotive ecosystem towards an innovative, technology-driven business model.


Electric Vehicles sales surge ahead despite supply chain disruptions
Across the globe, sale of electric vehicles saw brisk sales in 2022, with 2 million EVs being sold in the first quarter of this year, up by 75% compared to the same quarter last year. Demand for eco-friendly mobility options are steadily increasing despite supply chain disruptions. Ecologically conscious consumers and increasing government regulations on EV are shaping the future of a green transportation industry.

The U.S. Infrastructure Investment and Jobs Act (IIJA) is expected to fund significant spending on electric vehicle charging stations. Manufacturers worldwide, including startups, are racing full speed, bolstered by recent investments totaling to $72 billion in the US and $50 billion in Asia, according to IDC.

EVs are steering the entire automotive ecosystem towards an innovative, technology-driven business model. 

EV startups are jumping on advanced technologies and are reinventing internal and external supply chains. One shining example is ElectraMeccanica Vehicles Corp, a North American EV manufacturer that’s digitalizing operations from finance through services to drive the company’s aggressive growth plans. 

The company’s flagship vehicle, a single-seater. 3-wheeled EV SOLO that offers a unique driving experience.

“The unique two-door, single-passenger design offers drivers agility and safety, as they can enter and exit from either door, making it ideal for activities like pizza deliveries, security, and parking enforcement,” said Jim Gwynn, director of Information Systems at ElectraMeccanica. “To meet current strong demand for our SOLO vehicles, and manage our rapid growth for years to come, we needed an enterprise-class ERP system that connects information company-wide for a digital-first experience that’s highly scalable, functional, and regulatory compliant.”

No one is more thrilled with ElectraMeccanica’s transformation from startup to fully operational OEM than the company’s retail and fleet customers now taking EV deliveries. Digitalization has been central to this important transition. 

Headquartered in Vancouver, British Columbia, with international production, assembly, and testing facilities, ElectraMeccanica selected RISE with SAP to build its digital-first foundation. Its vision is to connect everything from product design, supply chain planning, and production, to sales and after-market care.

“We needed an ERP system that would grow with our business,” said Gwynn. “We selected SAP because it’s a complete solution that will allow customers to reserve and procure vehicles online and help us directly connect market demand with strategic planning, bringing that into the ERP system with SAP S/4HANA and SAP Commerce Cloud. The vehicle management system means we will have full traceability of our EVs and the components inside throughout the product life cycle. Equally important, SAP solutions have broad acceptance in the automotive OEM market.”

The company has already started building an assembly and engineering center in the U.S.
Gwynn expects further cloud-based digitalization including warehouse management that will include vehicle inspection facilities at the new plant and beyond. As far as he’s concerned, there’s no time to lose.

“Speed is critical in bringing these innovations across our business so that we can anticipate and respond to what our customers want,” said Gwynn. “Having digital representation for all our core business processes allows us to share valuable data between sales and operations, making us more informed for stronger decision-making and business resilience.”

Digital-first operations have already generated business results. Automating mundane processes has eliminated repetitive work, allowing employees to spend more time on value-add activities such as order intake and vehicle allocation. With a simplified employee experience, people can collaborate more easily across the company’s expanding geographical locations for increased productivity.