Key Takeaways from the Southern Automotive Conference

True to its name, this year’s Southern Automotive Conference brought together professionals from across the automotive manufacturing ecosystem, including OEMs, suppliers, equipment providers, and service partners. The event highlighted the growing importance of the southern U.S. as a hub for automotive production and emphasized the challenges of expanding operations amid ongoing workforce shortages.

While the event drew a diverse audience and offered solid representation from leading automakers, the focus was less on digital transformation and technology and more on the human and operational factors shaping the industry’s future.

Labor and Workforce Realities

The dominant theme throughout the event was clear: the automotive sector continues to struggle with labor challenges. Discussions centered on attracting, retaining, and developing skilled labor to support the industry’s ongoing expansion across the southern U.S.

Many OEMs acknowledged that, while automation and digital tools are on their radar, their current priority remains building and sustaining production capacity. The tone of the conference reflected a practical mindset, which focused on people, processes, and production rather than on software or AI-led innovation.

AI Took the Back Seat

In contrast to most manufacturing and supply chain events we’ve attended this year, AI was almost absent from the conversation at SAC. This omission stood out to us, given the broader industry trend toward AI-driven optimization. Instead, the agenda emphasized immediate, tangible challenges such as workforce development, supply chain continuity, and production scalability.

A notable session on automotive cybersecurity underscored the growing importance of connected vehicle security; a topic that, while not directly relevant to all manufacturing operations, highlights the increasing overlap between technology, safety, and production.

Trends and Industry Direction

One key takeaway from the OEM leadership panel was the shift in strategy regarding vehicle production. Major automakers, including Toyota, Mazda, Hyundai, Honda, and Mercedes-Benz, signaled a move away from an “all-electric” future. Instead, the focus is on flexibility and maintaining a balanced investment in internal combustion engine (ICE), hybrid, and electric vehicles to be able to respond quickly to changing market demand.

An example of this new approach is Hyundai’s Metaplant America in Georgia, a large-scale manufacturing campus designed to pivot between EV and hybrid production based on market conditions. This reinforces a key message heard across the event: manufacturers need systems and processes that support adaptability.

Reflections and Opportunities

For solution providers, the most relevant theme was this growing demand for flexibility and responsiveness in production systems. As OEMs seek to dynamically shift between product lines and powertrain types, the need for connected, real-time planning and execution tools becomes even more critical.

Several potential partnership opportunities also emerged, including interest from shop floor technology providers looking to collaborate with MES platforms to strengthen their manufacturing offerings. These discussions hint at a growing recognition that digital alignment, even in a labor-centric environment, remains key to achieving operational agility.

Final Thoughts

This year’s Southern Automotive Conference reflected an industry in transition, not just toward electrification, but toward a more balanced and flexible approach to manufacturing. The conversations were grounded in reality: labor, capacity, and adaptability came before AI and automation.

For those charting the next phase of digital transformation in automotive manufacturing, the message was clear: flexibility is the new differentiator. As the industry navigates this hybrid future, the ability to adapt plans, processes, and systems in real time will separate the leaders from the stragglers.