Hyundai Motor Group Transforms R&D Center Structure To Streamline Vehicle Development Process

Hyundai Motor Group has started making a series of sweeping changes to its R&D organizations and development processes, enabling greater responsiveness to future mobility technology. The new approach will also streamline the decision-making and development processes to achieve efficiencies and cost optimisation. Through reorganization under Architecture-Driven System-Based Organization (SBO), technology units at the Group’s R&D Division in Korea will align their operational processes to transform the group. Architecture-Driven structure conveys vehicle concept planning which takes numerous factors into account from the initial stage of development, including vehicle performance, parts sharing, standardization and even up to procurement, production and suppliers. Under this SBO, system technology units of chassis, body, automotive electronics and powertrain are empowered to integrate engineering design, computer aided engineering and testing as part of their development efforts.

Albert Biermann, Head of R&D Division at Hyundai Motor Group, said, “The reorganisation will allow agile decision-making and more efficient communication, enabling us to expedite our response to changing global markets and swiftly adopt emerging technologies. This change will help us further develop products as we intensify our focus on our customers.”

The newly established Architecture Development Centre will apply current market demands to the vehicle concept development phase, while reviewing parts sharing and modularization among models to secure advances in performance, quality and profitability through intense collaboration with system technology units.

The engineering design, computer aided engineering and testing technology units – previously grouped by functionality – will be organised by the Groups’ vehicle system of chassis, body, automotive electronics, and powertrain technology units. The integration will streamline the development process by accelerating the communication and decision-making process.

A new Virtual Vehicle Development Group will implement virtual processes to speed up the overall vehicle development by utilising various virtual models and simulation methodologies. This will enable the Group to lower initial investment hurdles and open up opportunities to enhance future mobility technology integrations with its products.

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