ABSTRACT
The South African automotive industry is a key player in the economic growth of the nation. It contributes significantly to the annual GDP of the nation. This industry is facing significant pressure due to the global competitiveness. Global industries such as the automotive industry are greatly influenced by production factors, which includes operational systems, vehicle demands, total units produced among many other factors. The research approach taken was both analytical and exploratory using the multifactor productivity theory which is considered a valid tool in economics, suitable for global competitiveness measurement. After the application of the productivity tool in measuring the efficiency of the system, the research findings showed evidence of the need for more actionable plans in order for South Africa’s automotive industry to become globally competitive due to constantly changing customers demand.
