Over the years, new innovations in the automotive industry have impacted the emergence of major advancements in technology. Additionally, technology has fostered the production of quality and efficient goods and services. The automotive industry is currently experiencing tremendous changes. Autonomous vehicles, otherwise known as self-driving cars, will become the norm, as opposed to the exception in the near future. The new innovation has the capacity to redesign the competitive landscape and transportation services in the world.
The Impact of Autonomous Cars on Business Practices
One of the major impacts of autonomous vehicles is that they will make businesses more competitive. Companies that will successfully launch the self-driving cars will have an added advantage over the others who still employ the conventional car models. Autonomous cars have a great potential for crash elimination, making them highly preferable to clients worldwide. Autonomous cars will have the ability to precisely drive themselves due to their connections to the outside world, through sensors and V2X systems ( Holstein, Dodig-Crnkovic, & Pelliccione, 2018). The final outcome will be vehicles that are not susceptible to crashing, or rather, cars that cannot crash under standard operation.
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The anticipated crash less future will eradicate human injuries, as well as the high rates of mortality which result from car accidents. In addition, it will also eliminate property damage which is a common outcome of vehicle crashes. The new technology is expected to save approximately thirty thousand lives annually, which are lost as a result of car crashes ( Litman, 2017 ). Consequently, businesses would be more productive since less money will be incurred in compensation for property damage, settling lawsuits, and hospital costs. Additionally, the money that would otherwise be used to cater for the damages of car crashes would be directed to other critical business practices such as the development of new innovations to make the concerned company stand out above the rest.
Additionally, company’s would incur fewer costs in the development of their vehicles since the autonomous cars will no longer need airbags, roll cages, and structural steel, since they will be impervious to crashing. As a result, automotive companies will be able to save the money that they would have been used in funding these critical safety features and invest in other critical business aspects. Furthermore, the new innovations are expected to increase the demand for the products developed by electronic suppliers, stimulating business expansion and success, for companies which socialize in electronic supplies ( Lari, Douma, & Onyiah, 2015 ).
Nonetheless, the new development would jeopardize other businesses and result in their failure. For instance, there would be a dramatic fall in demand for the products provided by steelmakers. Moreover, the probability of business failure in vehicle repair and maintenance businesses is also very high. Consequently, the majority of the individuals who have specialized in various fields such as mechanics will lose their jobs. In addition, despite how insensitive this point may sound, hospitals would lose a vast majority of crash victims, impacting a decline in the services offered by medical practitioners in the Emergency Department.
Autonomous cars will also be designed to adhere to and observe traffic rules and regulations strictly. The rules and regulations will have undergone a transformation in the near future, to suit the new types of vehicles. As a result, this would revolutionize traffic management. Great revenues, which are acquired from traffic fines, would be lost to the state and local governments, impacting a decline in revenue. Consequently, the salaries of high way patrol officers are likely to decrease, as the demand for these types of services plummets ( Chan, 2017 ).
Moreover, self-driving cars are expected to enhance efficiency dramatically. The new advancements will not necessitate the construction of extra lanes or roadways, reducing the costs of infrastructure. The new cars will be equipped with sensor-based safety systems, as well as a connected vehicle technology, which would enable transportation agencies to manage their assets effectively. In addition, even the maintenance costs would decline. Autonomous vehicles would serve more people, leading to the maximization of profits and the dramatic expansion of various automotive companies, giving them an added advantage over others. State governments would also be able to save approximately seventy-five billion dollars in a span of ten years ( Chan, 2017 ), as opposed to the current infrastructural expenditures. The government would further be able to direct the funds that would otherwise be used to fund infrastructure, to other sectors such as the financial aid sector or the provision of financial assistance to the homeless, and the medical sector, to enhance diagnostic and treatment procedures, so that the welfare of the society can be promoted. Nonetheless, those individuals who specialize mainly in construction would lose the opportunity to make more money since they are often given infrastructure repair jobs.
Nonetheless, the emergence and use of autonomous vehicles will impact data security challenges, which will then promote inefficiency in business practices. Cybercrime has become a conventional form of crime in the technological world ( Nees, 2016 ). The introduction of these computer operated vehicles would increase cybercrime since the systems would become more susceptible to hacking. A wide range of data will become available for substitute use, which is likely to outcome challenges, as well as opportunities, with regards to data security, and confidentiality issues.
Data will become more prone to hacking since diverse individuals will be able to access it, modify records, launch attacks on systems, recognize homes, and compromise privacy by tracking the targeted vehicles. Consequently, hackers would be able to offer false information to chauffeurs and masquerade as a different vehicle. The likelihoods of attacks are endless. Security is likely to become an issue of great concern, which will endanger the quality of services provided by automotive companies. An increase of cybercriminals is anticipated to occur due to the emergence of this innovation.
In addition, the introduction of self-driving cars would impact a decline in the purchase of vehicles. The new vehicle models have a great potential to redefine vehicle ownership. The logic behind this statement is that vehicles that can drive themselves can also be subpoenaed when a person needs, and be able to resume to other duties when the person being transported reaches their final destination ( Nees, 2016 ). The new cars will be operational twenty-four hours a day, meaning that they can be requested at any time of the day and night, making transportation convenient and cost-effective. As a result, people would no longer have the need to possess personal vehicles since this ownership comes with a lot of responsibility as well as increased spending in terms of maintenance and fuel costs. Based on the fact that individuals would incur less money and gain access to convenient and flexible transport, the demand for vehicle ownership will fall ( Lari, Douma, & Onyiah, 2015 ). As a result, vehicle selling companies are bound to fail and incur a lot of loses, since the capital that they will have used in the production of the old vehicle models will be lost, due to the fall in demand for car ownership.
Likewise, the introduction of self-driving cars would not only eradicate urban congestion and traffic jams but also allow people to make more effective use of their time. According to Litman (2017), approximately eighty-three per cent of sixteen years and above the aged staff, commute to work in their personal cars. Additionally, eighty-eight per cent of these individuals drive alone. Litman, (2017) argues that individuals lose productivity while commuting since most of their attention is directed at driving. Furthermore, in the United States, the average commute time is twenty-five minutes. Hence, approximately eighty per cent of the employees in this state loses fifty minutes of productivity on a daily basis.
The customization of the new cars for instance, as mobile offices, is anticipated to meet the needs of clients, increasing work productivity (Chan, 2017). Consequently, people would be able to use their travel time to engage in more productive work activities. For instance, individuals will be able to engage in business conversations face to face or through the phone, and engage in effective and persuasive communication, enabling them to strike business deals for the attainment of organizational goals. For instance, target music artists can be summoned by the CEO’s of various music companies, and persuaded to join the label, and produce their music in these organizations. Therefore, the new forms of transport will enable people to focus more on performing their work-related tasks, as opposed to focusing fully on driving.
Specific Projects that the New Technology could be Applied
Autonomous cars can be highly applicable and beneficial to the European Transport System 2030. The advanced automation levels in these cars would create a new opportunity for the physically different individuals. The cars are highly applicable to the project since the needs of the disabled folk in the global society can be integrated into the planning of the automated technology, and most importantly, the vehicle bonnets. According to Foldesi (2017), transport is critical in providing people with disabilities with access to a variety of things such as learning, employment, and healthcare. The new advancement has a high potential to enhance mobility freedom of those individuals who cannot procure driving licenses (Foldesi, 2017). Today, the elderly, the disabled, the weak, and feeble in mind, face a lot of challenges with regards to mobility. Despite the fact that the ageing population still drives, they are unable to access public transport effectively.
Furthermore, disabled individuals have to purchase and drive cars that are equipped with expensive adaptations, whereas others are incapable of driving at all. In addition, these people are forced to park their vehicles at a close distance to their destinations, which has become very difficult due to the vast number of cars, as well as the deficiency of adequate parking space (Foldesi, 2017). Equally important, self-driven cars would be beneficial to the blind, since they would be able to travel in cars that have the capacity to navigate without chauffeurs. The application of this technology to the European transport system 2030 would foster the development of vehicles equipped with ramps or lift systems which are incorporated into the body, to cater for the needs of disabled people, especially those who are confined to wheelchairs. In general, the application of this innovation to the transport plan would enable autonomous vehicles to be equipped with all the requirements to foster convenient, reliable, and high-quality services to all clients globally.
Moreover, the consideration of this technology in the transport plan can enable effective decision making as to what should be integrated into these cars, to promote service efficiency, as well as to cater for individual differences. For instance, the integration of an audible speaker, and braille information would be productive in catering for the needs of the blind. Similarly, in the event of decision making, the planners would be able to recognize the need for the presence of an effective illumination for lip reading. The application of these vehicles in the EU project plan would ensure that a simple and easy to comprehend communication symbols and the user interface is incorporated in the system of these cars.
Additionally, a simple user interface would ensure that that the clients receive frequent information on the progress of the drive. Additionally, equipping the vehicles with video cameras and GPS systems would be highly beneficial for the family and friends of autistic individuals, since they would be able to track the whereabouts of their loved ones easily. The application of this new technology to the transportation system of EU would be beneficial in catering for the transport needs of every individual.
The Newness to Products and Processes
The introduction of autonomous cars will enhance the quality of transport processes. The new innovations will promote service efficiency due to the improved traffic flow. Additionally, transportation processes will be more efficient since the cars are anticipated to eradicate car accidents and reduce traffic congestion. According to Chan (2017), the introduction of these vehicles will reduce the total number of vehicles on the roads, alleviating traffic jams. Consequently, people will be able to reach their destinations at the required time. Most importantly the process of loading and offloading of disabled people, or other people who are confined to wheelchairs will be easy since these cars will be equipped with the necessary requirements to cater for the needs of these special individuals. Generally, autonomous cars will enhance the quality of transportation services.
Lessons Learnt
One of the primary lessons learnt from this analysis is that technological innovations will increase, and the demand for human labour will decline. The introduction of the autonomous vehicles will increase productivity and profits. Additionally, companies will be spared the vast amounts of money that they spend in paying for human labour. From the analysis, it is clear that technological advancements are far more effective in terms of labour as opposed to a man. Furthermore, individuals learn that unemployment will be more prevalent in the future due to new innovations in various fields. Additionally, the fact that the current transportation system is inadequate since it fails to cater for the special needs of various groups of people such as the blind, those with autism, and the deaf, among others, is also a lesson learnt. As a result, the introduction of these innovative cars would enhance service delivery by prioritizing the needs of different categories of people in the global society.
Another lesson that has been learnt is that everything has its pros and cons. Every beneficial aspect has its corresponding drawbacks. For instance, despite the numerous benefits associated with the development of these new cars, cybercrime is anticipated to increase, and the security and safety of individuals in the society jeopardized. From this analysis, people learn that it is crucial for effective analysis to be made with regards to new innovations so that the potential problems that may arise as a result can be identified, and effective solutions to these problems determined before the products are launched. Consequently, such actions would result in the production of effective goods and services which fully gratify the needs of diverse individuals in the global society.
Recommendations
Automotive companies that aspire to develop and introduce these vehicles should devise strategies to strengthen the automation systems so that they are not susceptible to hackers. Additionally, automotive companies should consider the needs of the less fortunate individuals in the society, and integrate features that cater to the necessities of these people in the cars. Consequently, the services rendered by these new forms of transport would be exemplary.
Conclusion
New technological advancements have become common in the modern day. The new innovations not only make the production process easier and fast, but they also promote the quality of products and services provided to consumers. Autonomous vehicles are a good example of emerging technology. The introduction of these cars will promote efficiency in transportation globally. Furthermore, these vehicles have the capacity to meet the needs of diverse individuals in the global society, making them highly competitive as compared to ordinary cars. Nonetheless, despite the beneficial impacts of these innovations, the decline of human labour will be the end result of the new transformations in the automotive industry. Consequently, the rates of unemployment will definitely augment.
References
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Foldesi, E., (2017). Disabled People Spoke About Their Benefits and Requirements on Autonomous Cars. Mobility. EU Project Establishing a Future Vision of a Transport System in 2030 in Europe. Retrieved from:
https://medium.com/@mobility4eu/disabled-people-spoke-about-their-benefits-and- requirements-on-autonomous-cars-232cdb73f197
Holstein, T., Dodig-Crnkovic, G., & Pelliccione, P. (2018). Ethical and Social Aspects of Self- Driving Cars. arXiv preprint arXiv:1802.04103 . Hörl, S., Ciari, F., & Axhausen, K. W. (2016). The Recent perspectives on the impact of autonomous vehicles. Arbeitsberichte Verkehrs- und Raumplanung , 1216 .
Lari, A., Douma, F., & Onyiah, I. (2015). Self-driving vehicles and policy implications:
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Litman, T. (2017). Autonomous vehicle implementation predictions . Victoria, Canada: Victoria Transport Policy Institute.
Nees, M. A. (2016, September). Acceptance of self-driving cars: an examination of idealized versus realistic portrayals with a self-driving car acceptance scale. In Proceedings of the Human Factors and Ergonomics Society Annual Meeting (Vol. 60, No. 1, pp. 1449-1453). Sage CA: Los Angeles, CA: SAGE Publications.
