Abstract
The automotive industry is poised to experience the biggest disruption in recent times as megatrends of autonomous vehicles, electric vehicles, connected vehicles and shared economy are shaping sustainable mobility for the future. To manage the disruption well, the automotive OEMs will have to respond to the disruption by radically changing their current approach to product planning, styling, product designing, product development, sourcing, manufacturing, distribution, customer service etc. Automotive OEMs should strategize their response by figuring out what are those things that are still relevant in the new scenario and needs to be continued, what new things to learn and (most importantly) what they should selectively forget or unlearn to adapt to the change (Vijay Govindarajan’s three box framework). The paper recommends certain best practices ideal for an automotive company to effectively manage disruptive innovations and become sustainable in the future.