...Questions: Ducati 1) How did Ducati become the second most profitable motorcycle maker in the world despite its small scale? What is the fundamental economic logic of Minoli’s turnaround. The operational effectiveness was the key factor to gain the second most profitable motorcyclae maker. Platform based approach to production caused more effecincy with economic of scale Standardizing of products using two crank cases and three cylinder heads creates efficiency gains in manufacturing. Play the strategy of outsourcing about 87% of production activities related to spare parts while maintaining core competencies activates like R&D, design, quality control, and key trade market component machining in house resulted in flexibility in new part productions Establishing a quality control system focused on improving reliability and overall quality. The fundamental economic logic of Minoli’s turnaround was as follow Identified the capabilities and core competencies to start the turnaround. Refresh and recapture Ducati brand and expand the customer base which used to be limited to the expert rider. Improve the production process Improve motorcycle design. 2) Can Ducati sustain its position in the sport segment? Can Honda and the other Japanese manufacturers stop its growth in this segment? Yes, Ducati can sustain its position in the sport segment of motorcycle if the management keep the current trend for theses reasons Ducati has a good...
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...Ducati Corse, a subsidiary of Ducati Motor Holding S.p.A, was responsible for managing the activities of the Ducati racing teams. Historically, Ducati had been the dominant force in the Superbike Circuit winning 13 titles since 1990. Until recently, Ducati was only part of the World Superbike series. But a recent rule by FIM (in 2001) permitting the use of 4-stroke engine in bikes as against 2-stroke engines, which was a mandate earlier (for MotoGP) prompted Ducati to get into MotoGP. Despite the fact that high costs were involved and Ducati faced the risk of being a late entrant into MotoGP, the Ducati team was highly enthusiastic about this new development. Ducati had a fairly successful first season (2003) but the 2004 campaign turned out to be disappointing. Determined to come back strongly, Filippo Preziosi, (Technical Director) and the team decided to move from an integrated design approach to a modular design for its next generation bike (GP5). Why did Ducati Corse succeed in its first year of MotoGP competition? Even though Ducati entered the MotoGP arena in 2003 as underdogs with very limited experience, they literally made their presence felt. They went on to achieve 14 front-row starts, 9 podium finishes, 3 pole positions, and even tasted one victory. One of the key reasons that I believe led to their success was the inner zeal, commitment and passion that the Ducati engineers displayed in designing the first GP bike. Few of the other important reasons for their...
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...Creative Brief Client: Ducati Motor Brand: Multistrada 1200 Date: April 2010 Description: 1st Semester Campaign – New Brand Introduction What is The Brand? The Multistrada 1200 is a motorcycle manufactured by Ducati since 2010. The engine is a retuned version of the Testastretta from the 1198 superbike, now called the Testastretta 11° for its 11° valve overlap (reduced from 41°). All models include throttle by wire, selectable engine mapping (full power with sensitive or relaxed throttle response, and reduced power with relaxed throttle response) and traction control adjustable through eight levels. S models also include ABS (optional on standard model) and electronically adjustable suspension. The S Sport model features carbon fiber air intakes, cam belt covers and rear hugger, while the S Touring model comes with heated grips, hard luggage and a center stand. Product Manufacturer Background Based in Bologna, Italy, Ducati was a radio manufacturer before entering motorcycle production after the end of the Second World War. Known at first for its sporty line of lightweight single-cylinder bikes, Ducati hit its stride in the early 1970s with its V-Twin sportbikes that were the pinnacle in their era. Following some financial instability in the 1990s, Ducati currently produces several desirable racing-inspired motorcycles. All current Ducatis are built with signature steel trellis frames and 90-degree V-Twin motors. It also has a rich racing history with particular...
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...Unit Reading Leenen, S. & Jelassi, T. 2005, 'Ducati (Italy) vs. Harley-Davidson (USA)', in Strategies for E-Business, ed.T. Jelassi & A. Enders, Pearson Education Limited, Harlow, pp. 366-398. Ievisia-1111-1311 _. .. . .. _...__...__._ . . . ..___. _. . . ll I 1..-_. .. ..._._. . ._._ _ . __.. _ ._..._ __ i"“ Ducati (Italy) vs. Harley-Davidson (USA) Innovating business processes and managing value networks In 2001, as Ducati celebrated its 75th anniversary, Group (TPG) and Deutsche Morgan Grenfell Capital some executives wondered whether the recent corporate restructuring had repositioned the company (Italy). A new management team initiated a turnaround programme aiming at increased production efficiency, net sales and profit. ‘Since 1996, we were really working against a backdrop that wasn’t so far successfully. As part of this, the Italian motorcycle manufacturer had adopted a new focus on R&D, marketing and sales, moving away from its initial manufacturing strength. In addition, the company removed from bankruptcy’, said Carlo di Biagio, Chief Executive Officer of DMH. ‘Now our situation is different. Sooner or later, we think investors will see that.’ By 2001, the company had restructured its value chain activities, outsourcing 90% of its production and, in order to decrease costs, introducing a platform strat- had embraced the Internet, deciding in Ianuary 2000 to sell its new motorcycle, apparel and accessories exclusively online...
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...HBS Europe Research Center (ERC) Update July - December 2013 In this update: - New publications on EADS, Investindustrial, D'O, Siemens, Hg Capital, and Visma. - New completed research project on the transformation of European energy markets. - Ongoing research in General Management, Organizational Behavior, Technology and Operations Management, and Entrepreneurial Management. - ERC case interviews and field research in Austria, Belgium, Denmark, France, Spain, Sweden, and Switzerland, Selected events: Glocoll Program on campus; MBA events in Munich, Frankfurt, Paris and London; the European Area Conference; CSR Conference in Brussels; EAB meeting in Milan; L'Etudiant Conference in Paris; ELC Meeting in Geneva. It is with mixed feelings that we say farewell to our Research Associate, Mr. Karol Misztal. Karol first joined the ERC in 2010, and quickly became a valuable member of our team. We are thankful for his contributions to our organization and, undeniably, he will be deeply missed. Please join us in wishing Karol the very best of luck and success in all his future endeavors. We were also very fortunate to welcome two outstanding Harvard College students to the ERC team for a two-month internship: Ms. Nina Chen and Mr. Roland Yang. We would like to thank them for their great work and we wish them all the best for their future careers! br> And to all of you, Happy Holidays and best wishes for 2014! Newly Released Cases Case study "FX Risk Hedging at...
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...Hi-Res Case Study: Ducati Motor Holding HIGH ROAD TO WORK ORGANISATION CASE STUDY Ducati Motor Holding (Bologna, ITALY) Alessandra Pistani & Matteo Boemi Nomisma December 2001 Abstract Ducati is a world leader in the production of high-powered sport motorcycles. Since 1996, following acquisition by the Texas Pacific Group, an American investment fund, the company has undergone an intense relaunch process involving several aspects of its organisation. This case aims to describe the change that has occurred in the reorganisation of production and the benefits that the new system has brought to the company. Hi-Res Project 2001. Page 1 Hi-Res Case Study: Ducati Motor Holding Hi-Res Case Study: Ducati Motor holding Sector Nace Code , high powered sport motorcycles. Key Words Interaction with suppliers; Outsourcing; leaning organisation. Table of Contents Abstract Keywords Sector 1. Background Information 2 Drivers for change 3 Characteristics and Process of change 4 Obstacles to change 5 Risk analysis 6 Benefits of change Conclusions 3 3 4 5 5 6 2 © Nomisma 2001 Hi-Res Project 2001. Page 2 Hi-Res Case Study: Ducati Motor Holding 1. Background Information The history of Ducati began in 1926 when the Ducati family and other investors in Bologna founded the ‘Società Scientifica Radio Brevetti Ducati’. The company initially produced industrial components for the growing field of radio transmissions, based on Adriano Ducati’s patents....
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...of any offer to sell or issue, or invitation to purchase or subscribe for, or any solicitation or any offer to purchase or subscribe for any Ducati Securities, nor shall they form the basis of, or be relied on in connection with any contract or commitment to purchase Ducati Securities. Any recipient of this document considering a purchase of Ducati Securities in a rights issue following publication of an Italian prospectus in connection therewith is hereby reminded that any such purchase should be made solely on the basis of the information contained in such Italian prospectus. The information in these materials includes forward-looking statements, concerning in particular economic and financial trends, which have been made by the management and are based on current expectations and projections about future events. These forward-looking statements are subject to risks, uncertainties and assumptions. In light of this, the events described in the forward-looking statements may not occur. These materials are not being issued in the United States of America and should not be distributed to United States persons or publications with a general circulation in the United States. These materials are not an offer to sell or issue Ducati Securities in the United States. No public offering of Ducati Securities will be made in the United States. Ducati Securities have not been registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”), and may not be sold or issued...
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...Kevin Cota Business 109 1/28/16 Case 3: Ducati 1. Product - > Desmodromic valve distribution system, Ducati 750 Super Sport, L-shape desmo engine, Formula Uno-derived tubular trestle frame. Operation - > Purchased by Cagiva, due to financial problems was sold to the Texas Pacific Group. Strategy - > Bring market share to 10%, invest heavily in the products and rationalize production processes, develop a global brand that would appeal a broader spectrum of customers. Distribution - > New strategy to take control of distribution and marketing in strategic markets by establishing totally owned sales and marketing subsidiaries, re-organization of the network of dealers, creation of “Ducati Stores” 2. Ducati can sustain its position in the sport segment, with its new business strategy it an remain an important part of the market. Other companies like Honda cannot stop its growth in the segment, however they can compete with them by imitating their strategies and improving their own companies. As long as Ducati maintains their recent success, they will be an important part of the market. 3. Minoli considered entering the cruiser market which was dominated by Harley Davison. This segment of the industry was highly profitable. In order to enter, Ducati would have to invest up to 43 million Euros. 4. Like Harley did with their brand, I would recommend Ducati to establish their brand as a lifestyle rather than a simple motorcycle bike. A lifestyle...
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...Motorbike Motorbike Ducati Multistrada 1200 The only bike you ever need to own Words by Govind It was Marcel Bode, the GM at Ducati Dubai, who introduced us to the Multistrada (MTS). We could have forever remained ignorant of this gem of a machine if not for his insistence to try it out. This might be the only bike you ever need to own. To make a comparison, the MTS is like a 12400mm f/2.8 SLR lens. And that’s a lens that doesn’t exist. The MTS is a safe bet if you are looking to get back on two wheels. It is multitalented, adequately powerful, seats two very comfortably and rewards the novice as well as experienced riders well with its ability to please beyond boundaries. The name itself means the bike is meant to be ridden over multiple types of roads. In fact, Ducati has engineered the MTS to be 4 bikes in 1. And boy, disappoint it does not! A gadget geek will be head-overheels with the MTS. The key fob can be forgotten in your jeans pocket. Keyless really is the way to go. Slide a switch downwards near the throttle to release the handle lock, flick it back up to reveal the starter button, and the very clear and informative main and sub LCD display lights up colorfully with a system check. The top end model we tried had all juicy acronyms standard with it. The most interesting ones being the Ducati Electronic Suspension (DES) developed with Ohlins, Bosch Brembo ABS and Ducati Traction Control (DTC). These three are interlinked to allow the rider to customize the...
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...Case Study | Ducati: | | | | | Content 1. Summary 1 2. The Problem 1 3. Cast of Characters 2 3.1. People 2 3.2. Institutions 2 4. Chronology 3 5. Issues 5 5.1. SWOT analysis 5 5.2. Porter’s generic strategies analysis 8 6. Options 9 6.1. Focus on their core business 9 6.1.1. Advantages 9 6.1.2. Disadvantages 10 6.2. Expand to the leisure market 10 6.2.1. Advantages 10 6.2.2. Disadvantages 10 7. Recommendation 11 7.1. Focusing on their core business 11 7.2. Reasoning and Rationale 11 8. Plan of Actions 12 8.1. Invest in technology 12 8.2. Focus on their design 12 8.3. Make the sport a culture 12 8.4. Invest in the brand 12 8.5. Branding towards children 13 Summary Ducati is an Italian racing-motorcycle manufacturer whose products are characterized by unique engine features, innovative design, advanced engineering and overall technical excellence. In its 80 years of history, the company has won eleven of the last thirteen World Superbike Championship titles and many more individual victories. Ducati produces motorcycles in four market segments which vary in their technical and design features and intended customers: Superbike, Supersport; Monster and Sport Touring. The motorcycles are sold in more than 40 countries worldwide, with a primary focus in the Western European and North American markets. Despite its success in racing and products, the company went almost bankrupt in 1996 when it was taken...
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...luxury segment of the motorcycle market Luxury good market: • US 25% • Europe 38% • Japan 12% • China 3% • India ? • Russia 5% Harley trades on its image and nostalgia to sell its traditional bikes Harley is seen as a symbol of the freedom of the open road and has a loyal and passionate following Harley lags behind its competitors but is intentional. Harley relies on traditional styling in its status and image, not technology. Heavyweight bikes constituted 55% of the US motorcycle market in 2008 Harley has led the mc industry in domestic unit sales of heavy weight bikes for 20 straight years. In 2008, Harley manufactured 46% of the heavyweight mcs sold in the US European market is comprised of performance bikes such as the Ducati at 70%. So the V-Rod competes in this market segment. COMPETITORS Price is the competitive issue, and joint ventures between domestic companies and international motorcycle manufacturers like Honda and Kawasaki product affordable motorcycles of good quality. Australia and New Zealand are strong markets for Harley Competition in heavy weight is based on price, quality, reliability, styling, product features, customer preference, and warranties The company emphasizes quality, reliability,...
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...Ducati was a company that was on the verge of going bankrupt in 1996 but took a turn for the better when it was acquired by Texas Pacific Group, driven by Abel Halpern, who then appointed his close friend, Federico Minoli, as CEO of Ducati. When Federico took over, he made it clear that the fundamental economic logic was “the idea that everything should be continuously re-discussed is still the way I look at things.” Ducati had the qualities of a profitable company but was lacking the right management. Minoli made it clear that he had two goals in mind: double-digit growth, and equaling Harley-Davidson’s profit level. If these goals were accomplished, Minoli believe he could “turnaround” the near demise of Ducati and look for continued growth and profitability. Minoli’s “Turnaround Program” would be seen as a successful plan in reinventing Ducati as a global brand and broadening its spectrum of customers. By looking at exhibits 1 and 3 in the casebook, we can see how Ducati’s market share (in its relevant market) nearly doubled from 1996 to 2001. Despite its small scale, Ducati was able to effectively create a strong global brand. We also see a steady growth of sales in every product line Ducati offers in exhibit 8. This was the road Ducati took to become the second most profitable motorcycle maker in the world. But in 2001, Minoli was at the end of the turnaround and needed to make a decision on how to keep expanding Ducati’s growth and profitability. To keep...
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...Pan’s Labyrinth is set in Spain, during 1944 at the time of the Resistance. The setting takes place at a house, known in the movie as a mill, surrounded by the forest. The movie shows two worlds; the real world and the fairy tale world of a little girl, Ofelia. The music in this movie is mesmerizing, as it comes around mainly when Ofelia is present and has to do a task assigned to her that the book reveals that is given to her by the faun, known as Pan. Ofelia is the developing character, because the movie surrounds her in the world of fantasy. Ofelia is traveling with her mother, to go live with her stepfather, when the car has to stop. Ofelia gets out of the car and wanders off, when she come across a stone and picks it up. The stone is a piece of the stone statue, and then Ofelia places it in the statue and a bug appears. The bug later appears in the mother’s room, and reveals that she is a fairy, and there is a close-up of the bug crawling out of the statue. This scene revealed the importance of the fairy as well as the part she plays in the movie. The Captain is a stock character, because he is portrayed as being mean, even to Ofelia. The only reason Ofelia is there at the mill is to be with her mother, who is pregnant with Ofelia’s brother. In one scene, you can see the Captain’s hand on Carmen’s belly, which is an indirective/subjective point of view. In another scene, there is the Captain with his men questioning an old man and his son about what they are doing out in...
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...the wither, sports, and watch live, those areas are a sensitive information's and must be updated as soon as an information is received to the network responsible employees, looking at the website Aljazeera didn’t miss that point at all, the information's are being updated frequently. At first the audience of Aljazeera was just Arab world, but at November 2006 Aljazeera English has been lunched the target audience after that is all the world with its deferent Taste and backgrounds Aljazeera nowadays gives almost all the news that each one around the world would need, it's almost nothing there you are not interested in. Aljazeera has no any obvious bias or slant to the information it has been always with the truth and human rights and it's taking it as a lead to its perfection, actually Aljazeera has an awards proofing that, and it's giving both sides Opinions which is fair enough. There are allot of information's are available in the websites and it could satisfy almost all the videos of the website, actually the website is sectioned in to the type of the news are provided there, and they are news(internationally with section of regions of the world to be more specified), programs( the programs that are being showed in the channel and there are allot of things to read about), videos,...
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...of Sports Athletes The world of sports is a multimillion dollar industry. Around the globe, people flock to sporting events or watch their favourite teams faithfully each week on television. As a result, professional sports athletes receive huge salaries – well above, for example, those of doctors, lawyers, teachers or social workers. There is some debate about whether such outrageously high salaries are justified. On the one hand, sport is viewed as a professional career, in which the top players should rightly earn high salaries. Athletes train rigorously from an early age to become peak performers in their field. They face tremendous pressure in each and every game, match or competition. Their personal lives are compromised and they lose all privacy. At the same time, their strong achievements bring honour and attention, not only to themselves, but also to their teams, schools, cities or countries. On the other hand, various professions contribute to making our world run smoothly. Doctors put in at least ten years of grueling study and internship; their work saves lives. Teachers educate and inspire young people to be responsible citizens: their efforts produce the citizens of tomorrow. Social workers rescue individuals facing physical, mental and psychological challenges: their intervention creates safer societies. Yet, professionals in the fields above usually struggle to get by, despite their meaningful and critical contribution to the world. In my view, paying enormous...
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