The Japanese entered the US auto market by implementing quality strategies. At that time, the quality was a competitive and weaknescent in the US Automobile industry, and the Japanese strategy had successfully guaranteed the competitive advantage of Japanese cars. Assuming that Ford is seeking ways to compete with Japanese markets, but they are not willing to ask the government to strengthen the market for Japan's import commodities. How will Ford use value chain as a parsing tool to enhance its product's cognitive value? Ford understands the value is the current competitiveness of the Japanese. In the five basic activities of the value chain, which activity in the Japanese is stronger in, and the Ford should focus on which one is concentrated?
Through analysis of industrial value chains, the basic activities of the industry value chain mainly include procurement, production, supply (logistics), marketing and sales, and services. In order to enhance the cognitive value of its products,
Ford first we must understand the cost and business conditions of each value, and look for improvement pathways (local advantages);
Getting local advantages is just the initial work. More importantly, coordination between the company's department is the maximum interest of the company and customers, rather than maximizing the benefits of the department;
The way to solve the problem is to strengthen the smoothing management of the core business process of the company, with the following business procedures:
1. New product implementation process; (identification, research, development and launch of new products)
2. Inventory management process; (raw materials, intermediate products and finished stock management)
3. Order - payment process; (orders, delivery, and receipts)
4. Customer service; (including determining the target market, discover new customers, establishing relationships, and mutual understanding)
Just achieve the high management capabilities of the above process, the cognitive value of its products will naturally improve.
Case: Value Chain
In 2000, all kinds of news about car tires were full of news, the biggest news is that Van Starter's large-scale recall of its tire products. The company is not celebrating his 100-year-old birthday, but involved in a public relations disaster. The tire failure of Van Trent has died with hundreds of people, and hundreds of accidents. The number of tires called back, a series of bad news, as well as a growing lawsuit almost overwhelmed the entire company.
However, Van Starter is not the only company facing this difficulty. The same trouble is also coming to the Ford Motor, because many Qi Shitong's tires in the Quality of Quality have installed the Ford "Explorer" series. In fact, Ford Motor Company itself does not produce tires, which seems to have no direct relationship with customers with "explorer" series. However, Van Trent is actually an important part of the value chain of Ford Motors. In the summer of 2000, Fan Shitong ruined the value of Ford car customers and also destroyed the value of Ford's shareholders.
Another little thing that causes people to pay attention to the story of the car tire. This is a story that is working properly and has no crisis. Toyota Motors found a small company in Japan to produce a new technique, and began to persuade some large tire companies to follow this technology. The title of "Wall Street Journal" is "Toyota Motor Company urges tire companies to use new design and reduce cost and weight". Why do Toyota Motors pay attention to this? Because they understand: Your customers always hope to get low prices, low fuel consumption. If this means that the supplier must use new technologies to create more value for customers, then Toyota will do so. In fact, the success of Toyota Motors is essential to their ability to manage suppliers.
According to the information analysis given in the question, Japanese companies have the strongest competitiveness in the production operations of value chains, and it has absolute advantages in quality;
Case: Honda's quality strategy
The United States has always said that "the country installed on the wheel", the automotive manufacturing industry is very developed, and the Detroit is known as the auto city. However, Japan's Honda Company not only enters its own product into the US car market, but also established a car assembly plant in Ohio, the United States, and HAM, which has become the first Japanese car manufacturing of Japanese cars in the United States. Business. On the day, the cultural background of the United States is very different. How can Honda make such a huge success in the US market? This should be attributed to its quality strategy.
Benedict has been meticulously studied by the US Volkswagen Corporation in the United States before entering the US market. In the 1950s and 1960s, German Volkswagen Company was once the largest car exporter and the first German car manufacturer in the United States to make foreign cars. However, because it is not paying attention to the quality, it is not allowed to launch a "hare" brand car in the engine, which causes each of the car agent to refuse to purchase a large number of accident hidden dangers. Later, although it launched an improved "hare" car after the design and process made improvements, Americans have formed the concept of massive car quality, and the defeat cannot be recovered. In 1987, the Volkswagen Company had to close it in Pennsylvania's automobile manufacturer and slipperyly withdrew the United States.
In the middle and late 1970s, Honda received the lessons of Volkswagen, in order to prepare for the first Adode car in Honda Company in the United States, first dispatch a batch of engineers to the municipal machine area to study the US highway, and measure each parametric The width of the pavement and the entry and outlet of each fork. Then return to Japan to simulate a few miles of highways, even the seams and other details are simulated. This makes the adott sedan to fully adapt to the United States to have a road situation, and the US buyers are hard to do.
In September 1985, Honda has opened HAM, Ohio, began to manufacture Japanese cars in the United States, and continued to launch a new model car. Honda Zong Yiro always puts the guarantee quality and try to satisfy the customer first. He emphasized: "When we started to make a car in the US, the first thing to do is to make a trial operation of the production flow line, strictly inspected, once Ham produces the quality of the car, it is not manufactured in Japan, then us A good quality reputation is full. "Therefore, the HAM production car puts the focus from the beginning of the process instead of yield. Each new car has been strictly tested before the factory, including two miles of actual mileage tests. Most of the automotive manufacturers use only samples. Honda has taken this practice and has suffered some losses. However, due to the hard quality, consumers have been trustworthy, Honda Company finally got greatly.
To ensure quality, you must lead the technology new trend. Honda has dials 5% of the annual income for research and development, and general automakers use only 3.5% of the annual income. Honda Company also pays very much attention to information feedback. When they understand that women drive a car complain too much, it will launch the second-generation "prelude" car in the second generation of the electric steering wheel. In January 1985, the US "Car and Driver" magazine included Honda's Adode sedan in the top ten leaderboards, and said: "" "" A Tour Top Ten World Automobile Industry is close to the world's general Car ".
On the other hand, which link should Ford Car should concentrate?
Personally, Ford should not have a hard work of the Japanese in the production operations, and should be paid in the smoothing management of core business, especially marketing and sales, and work in consumer demand;
Case: Ford Company: Extended the value chain of the automotive industry
Henry Ford did three most amazing things in the 20th century business history:
First, he created the production line, which became the foundation of most of the mass production in the 20th century.
Second, Ford announced that he is willing to pay a factory worker $ 1 a day, much higher than the average salary level at the time. Henry Ford's business philosophy is that retaining employees are worth it.
Third, he spread the car. The "T" car launched in 1908 is the first car produced in the US middle class, which thoroughly changes the social life of the United States. Today, under the leadership of the Chief Executive Officer, Ford is planning to actively expand the car related services other than the automobile manufacturing. Although automotive manufacturing will still be the main source of Ford, it will increase business coverage, involving the entire car usage - from assembly to destruction. As part of the overall strategy, Ford has purchased many non-manufactured enterprises on both sides of the Atlantic. In addition, Ford will separate its parts suppliers and become independent divisions. These actions indicate that Ford is determined to better use the value chain of the automotive industry.
Since the beginning of 1999, CEO Yaxi Nasale tried to reshape Ford, enabling it from traditional automakers - only put car parts, and then sold-converted into a company that adapts to consumer needs. This strategy is called "consumer headphones". Ford believes that the business strategy is not decided by the Ford headquarters, but is determined by the demand of consumers. If Ford does not provide consumers with their favorite products and services, then it can't be profitable.
