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Smrati

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How spreadsheets are costing auto makers, and it’s time to close the traceability gap

There’s a quiet and frequent discussion that takes place on shop floors of automotive manufacturing plants around the world: A quality event pops up-a customer claim, a supplier notification, a field failure, or an audit find-and someone makes a trip over to a computer, navigates to a folder, and starts digging through a pile of spreadsheets. Cross-referencing tabs, applying filters, and sending out emails to colleagues to check local files. Time ticks away in hours.

This process, referred to as a “traceability gap,” is a risk. Not just an annoyance in day-to-day operations- a serious business liability in the modern manufacturing world.

Spreadsheets were never designed to perform the task of manufacturing traceability. They were originally conceived to facilitate the organisation of information. The distinction is vital because manufacturing traceability is about more than just organising existing data; it’s about real-time, automated data collection, and precise, accurate data capture during ongoing production processes. Since a spreadsheet requires human involvement in nearly every step, the likelihood of delays, data entry errors, omission, and a host of other data-management challenges is exponentially increased.

The implications of the IATF 16949 quality standards are extensive, in addition to meeting unique customer requirements from OEMs and a range of government regulatory mandates in key international markets. These demands all require manufacturers to establish and maintain reliable records that provide clear and comprehensive traceability throughout the product life cycle. When an auditor or customer requests evidence of a component’s complete production history, the response, “Let me check the spreadsheets”, simply doesn’t cut it. Even worse, it’s an increasingly risky practice.

When a recall is on the table, the stakes get much higher for manufacturers who are still manually documenting production records. They have to make a difficult decision: spend significant time investigating to pinpoint the exact extent of impacted production, or implement a wide-reaching recall that errs on the side of caution and adds significant expense and brand damage to the operation. And it's that wide, conservative reach where the costs of recalls can get exponentially out of control.

With automated AIoT traceability solutions, this entire scenario changes entirely. RFID checkpoint technology allows components and parts to be scanned as they travel through production with no human intervention. Production activities can be synchronised with real-time data via MES integration, and suppliers’ batch information can be automatically transmitted. Traceability information automatically accumulates and forms a reliable data trail as the manufacturing process progresses, eliminating opportunities for errors and omissions.

Manufacturers who are still running their traceability processes on spreadsheets are not simply behind on the curve in terms of technological adoption. They are operating under and accumulating a significant level of operational risk that may not surface until it's too late to avoid it.


Discover how leading automotive manufacturers are replacing manual processes with automated AIoT traceability at compentraai.com

Explore the platform and see what a closed traceability gap actually looks like.


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