4 S ão Paulo – Sindipeças ordered a market survey about the level of implementation of technology in the associated companies, and findings show a universe of small and medium companies, placed between tier 2 and 3, far from industry 4.0, which is a concept increasingly present within the automakers. These are bad news because, at the end of the day, these are the companies at the foundation of the supply chain in the country and this could mean a bottleneck in the future. The entity representing the manufacturers of auto components interviewed 61 companies, or 13% of the associates, both national and of foreign capital, and found out that the utilization of software and advanced production systems is increasingly becoming a tool in the management of PMEs (small and middle-sized outfits). However, there is still a lot of ground to be covered before they reach the standards that can be seen in the companies to which they supply parts. The ERP system, which brings together all of the company data, from production to admin, is a reality inside of the companies interviewed by Sindipeças survey. The Lean Manufacturing system, in turn, was adopted by 66% of the companies participating in the survey. Ninety percent of the companies do not possess digital production processes and 81% do not have a budget for the digital equipment needed to reach the 4.0 level. According to George Rugitsky, president of Freudenberg do Brasil and a member of the Counsel board of Sindipeças, the sector has been adversely affected by the crisis that acutely cut down sales of vehicles in the last couple of years and is still to come back to the point of elevating its technological capabilities to the level that systemists are at. “Whoever made it through the lowvolume and debt today is focused on keeping its contracts. There are fewwho have the resources to invest in innovation”. Tier 2 and 3 are far away from innovation SUPPLIERS By Bruno de Oliveira