Silos Must Come Down to Advance SDVs, Panel Says

Key points

Many automotive companies are currently unprepared for the transition to software-defined vehicles.

Successful development requires involving software engineers and legal departments early in the design process.

Software-defined vehicles allow manufacturers to deploy upgrades and fix issues after delivery.

June 16, 2026

Chris Clonts

PTC’s Scott Davies, Subaru of America’s Amy Sgrignoli (center) and Rivian & Volkswagen Group’s Harini Ganesan at AutoTech 2026 in Novi, Michigan. (Chris Clonts)

Change is hard.

Anybody in the mobility industry has experienced that for at least 20 years. Perhaps no one understands that more than executives and engineering leaders who are trying to restructure organizations for efficiency and innovation around the goal of software defined vehicles (SDV).

At the AutoTech 2026 expo in Novi, Michigan, a panel of engineering leaders talked about the biggest hurdles to and best practices of structuring teams and whole organizations around the goal of producing SDVs, products with features that can be fixed, upgraded and even introduced well after a customer takes the hardware (the vehicle) home. Before any of the panelists weighed in though, moderator Steve Bell, Omdia Automotive’s chief analyst for digital mobility said something that many are reticent to say in the industry’s rush to SDVs. “Not many companies are ready for SDV,” he said. “A few are, but not many.” And it’s the “why” they aren’t and the “how” to change that the panel was ready to discuss.

One sentiment was universal: Software developers must be included in almost all aspects of a vehicle’s design from the start – not just brought in at the last minute. Harini Ganesan, Rivian’s chief of staff to the co-CEO and COO of strategic operations, called the necessary change “a huge mindset shift.” “It’s solvable. It’s truly a new approach to how tech is developed. But this new approach needs to be applied to everything,” she said, adding that it’s like asking “if you could take a clean sheet, how would you design [the organization]?”

Amy Sgrignoli, VP of connected vehicle business at Subaru of America, said that the ROI for organizational optimization is there. “When you start with a connected landscape, you can put things in the car that create revenue far behind delivery,” she said.

Moderator Steve Bell, from Omdia Automotive, and Stellantis engineer Mahadevan Vanchiswaran at AutoTech 2026. (Chris Clonts)

Scott Davies, principal automotive business development manager with software maker PTC, said getting to software defined vehicles requires discipline and hard choices when it comes to personnel. “Part of my role is to ask, ‘does that person need to be here,’” he said. He also said automakers could learn from other industries. “The aerospace operational model is something we aspire to,” he said, referring to the relationship with the end customer that extends for the whole product lifecycle.

Subaru’s Sgrignoli said that while embracing the speed of change software can enable is important, “there’s a nice balance to be found between ‘failing fast’ and moving too slowly.” “After all,” she said, “this is a vehicle that someone is driving – that they are putting their families in.” That means some decisions could be life or death. “I mean, that’s not your phone, right?” she said.

Sgrignoli also said that while many are getting on board with having software people at all points of the development cycle, that it is critical to include legal in that same broad-spectrum application. “Legal is such an important stakeholder on our team,” she said, adding that including them early means being able to work on issues early, “before a ‘no’ blows up a whole development cycle.”

“Our attorneys are really good about being in industry groups that know what’s brewing” from a regulations standpoint, not just what’s imminent. “The more you know what’s coming, the faster your developers can work,” she said.

All the panelists agreed that one of the biggest benefits of a truly software defined vehicle is that things that would slow down a vehicle’s launch can be easily rolled out later. Being able to ship and fix or ship and upgrade is a luxury that the automotive industry has never really had before.

As the topic turned to management tactics to help reformulated teams transition to the SDV era, PTC’s Davies said a softer touch can pay off. “Encourage that change,” he said. “Nobody likes to be told to change. When you have that moment to draw them out, it’s infectious.”

Rivian’s Ganesan urged managers to be patient as the process unfolds. “Some conversations will take place multiple times,” she said. “But it will speed your process in the end.”