...Harley-Davidson Case Analysis Harley-Davidson Case Analysis Rayzhaun Jones Mississippi Valley State University Strategic Management Dr. Jimmie S. Warren Abstract With the growing global economy, companies are looking for ways to improve their market share. Many excellent firms have learned how to beat their competitors through the implementation of new management, marketing, and manufacturing techniques. Harley-Davidson is one of those excellent companies whom have challenged traditional ideas. We intend to show through this case study that any company can follow Harley-Davidson’s techniques and lead them to excellence. Mission Statement “We fulfill dreams through the experiences of motorcycling by providing to motorcyclists and too the general public an expanding line of motorcycles, branded products, and services in selected market segments.” Vision Statement “Harley-Davidson is an action-oriented, international company, a leader in its commitment to continuously improve its mutually beneficial relationships with stakeholders. Harley-Davidson believes the key to success is to balance stakeholders’ interests through the empowerment of all employees to focus on value-added activities. Company Profile and Case Analysis Harley-Davidson Inc. is an American motorcycle manufacturer. Harley-Davidson specializes in the sales of heavyweight motorcycles that are designed for cruising on highways. Harleys have a distinct design and exhaust sound that have appealed...
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...Strategic Initiative Paper June 9, 2014 John Wetherington Strategic Initiative Paper Harley-Davidson’s strategic plan is to improve the quality, accurately forecast the associated costs of returns and allowances, and to maintain the firm’s reputation of satisfying customers. Their financial plan involves taking steps to make sure the company can grow and be profitable in the future. There are plenty initiatives that affect the organization’s financial planning and costs and revenue of the supply chain. It is important to stay ethical when trying to supplant other motorcycle companies as the world’s number-one motorcycle when taking these initiatives. Strategic Planning Initiative Harley-Davidson’s 2013 annual report discusses several strategic initiatives. Specifically, their quality control initiative will require financial planning to support successful implementation of the initiative and add value to the company. Harley’s alignment of strategic planning and financial planning will affect costs, sales, and Harley's ability to finance future capital projects. The 2013 Harley-Davidson Annual Report identifies their quality control initiative as an effort in early detection of quality issues, and improvement of manufacturing processes to avoid recalls, legal costs, and delays in introducing new products to the market. Furthermore, the company wishes to improve its methods of estimating potential costs associated with warranty claims, recalls, and class action suits...
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...HARLEY-DAVIDSON STRATEGIC PLAN Submitted by Stacey Wagner Prepared for Professor Don Looney Business Policies and Strategies Spring 2007 TABLE OF CONTENTS VISION STATEMENT .................................................................................................... 3 MISSION STATEMENT ................................................................................................. 3 EXTERNAL ASSESSMENT ........................................................................................... 3 External Audit ................................................................................................................. 3 Porter’s Five Forces Analysis ......................................................................................... 7 External Factor Matrix .................................................................................................... 8 Table 1 ................................................................................................................ 8 Competitive Profile Matrix ............................................................................................. 9 Table 2 ................................................................................................................ 9 INTERNAL ASSESSMENT .......................................................................................... 10 Key Internal Forces ........................................................................................................
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...Haley Davidson plant Analysis Abstract This paper analyses the Harley Davidson Company from a company that almost went bankrupt to a company that experiences a double increase in terms of growth yearly. Many companies are continuously looking for ways to improve their returns over and increase their scope in terms of market share. This company is one of the many that has implemented new marketing styles and improvements in its business to be able to defeat its competitors. The main focus of this paper is on analysis of the company and the strategies it has implemented to bring it success over the years. The company has up to 1800 employees and 1500 supply reserves everywhere. Their main focus is on production of heavy-weight motorcycles that is reliable and safe to use. They have been able to maintain and improve on their customer loyalty not forgetting the brand loyalty. The company has both female and male customers. It is currently focused on creating light weight, stylish motorcycles that appeal to this group. Some of the threats experienced by the company include the increase in tariffs that make it difficult for them to reach their European customers. They also keep their customers in a waiting list for very long periods and may be at a risk of losing some customers to their competitors. Appendixes created on the financial statements show that the company is doing wonderfully and is expected to increase its sales over time. Introduction started 1903 Main station...
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...1.0 Environmental Appraisal Analysis Environment refers to factors that can affect Harley Davidson’s directly or indirectly Kotlar and Armostrong (2011). For environmental analysis, Top-Down Approach will be followed. First, Harley should consider macro factor that can influence marketing plan. These will be evaluated with PESTEL analysis. Second, the company has to take insight on motorcycle industry of UK to examine competitiveness and long-term business prospects (Elliott, and Patton,1996). Porter’s Five Forces Model will analyze the industry. Finally, a SWOT analysis will be done to determine company’s suitability and vulnerability with UK market. So, the analytical framework will be as below. Figure 1: Framework for environmental Appraisal 1.1PESTEL Analysis The following factors will be considered as influential in PESTEL analysis. More factors will be included which management consider very important to take a strategic marketing decision. 1.1.1Economic Factors Economy of UK is rebounding after recession, which is again restoring consumers’ confidence for purchasing luxury product. Trading Economics (2013) stated The economy in second quarter of 2013 is growing .3% more than in 2012. The following chart will show the recovery of UK economy from fragile situation. Figure 1.2: GDP growth rate of UK Beyond economic parameter, the duty over foreign firm’s motorcycle export to UK is 6% where in addition to that VAT will be 20% on foreign...
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...Case Study: Harley-Davidson 1. Based on your readings from the textbook and other information about Harley at Harley Davison's website and other sources, what do you think are its major strengths & weaknesses? Some of the strengths Harley-Davidson has are as follows: • Only American made heavyweight motorcycle. • Has a strong brand and is well established in the consumer’s mind with the image of “freedom and strength” (Adam, 2010). • “Promotes diversity by partnering with Habitat for Humanity, Hunger Task Force, Boys and Girls Club and YMCA Black Achievers Program & Black College Tour” (Harley-Davidson Motor Company Career Opportunities). • Solid partner-type relationship with employees. Some of the weaknesses Harley-Davidson has are as follows: • They charger high prices for their products. • Low market shares, especially in the European market. • Scooters are more agile on the European roads vs. American highways. 2. What are several of the potential opportunities and threats facing Harley? Some of the opportunities Harley-Davidson faces are as follows: • Women and young people prefer to ride a bicycle or a scooter so creating light version of a Harley could prove profitable. • The need to market more competitively in the European market. Some of the threats Harley-Davidson faces are as follows: • Environmental laws are a lot stricter than what they use to be. • Union strikes could cause a loss in production for enforcing a modification in...
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...BUSINESS STRETEGY | HARLEY DAVIDSON | | SUBMITTED BY- MANISHA YADAV(IB/05/04) | | SUBMITTED TO-MR. AMIT SAREEN | 9/14/2013 | | Table of content Chapters | Page No | Introduction | | History | | Value | | Vision,Mission | | Product Extension | | Intensive Strategies | | Organizational Chart | | Management | | İnternal & External Forces | | Micheal Porter Analysis | | Market Share | | Human Resource | | Strategic mix | | Competitive Profile Mix | | Internal Analysis Factor Mix | | SWOT & SWOT Matrix | | BCG | | Conclusion | | Possible Strategies | | Introduction Harley-Davidson is an American motorcycle manufacturer with a rich history and cultural tradition. Founded in 1903 in Milwaukee, WI, Harley just celebrated its 100th anniversary with a series of events around the world that culminated in hundreds of thousands of motorcyclists rallying last summer on the shores of Lake Michigan. In 1929, there were 241 motorcycle manufacturers in the US. After the Depression, only two remained: Harley and Indian. By 1953, Indian went out of business, leaving Harley-Davidson as the only American motorcycle manufacturer. Financial difficulties in the 1970’s led to the parent company, AMF putting the motorcycle division up for sale. Without a buyer, a group of Harley managers bought out the company and rescued it with a business turnaround that included brand extensions into licensed...
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...Executive Summary “Harley-Davidson is the iconic American motorcycle manufacturer. Founded out of a small shed in 1903 by William S. Harley and Brothers Arthur and Walter Davidson in Milwaukee, Wisconsin. The Motor Company produces traditional cruiser motorcycles utilizing air-cooled V-Twin engines. When Harley and Davidson produced and sold their first motorcycle in 1903, they were one of many small motorcycle marques springing up across the country. Flash forward more than a century and the Harley-Davidson brand is so rooted in American culture that the history of the company intertwines with the history of America itself. “ Harley- Davidson a brand that say I’m an American with its strong image they summarize what biking is and isn’t. They produce quality products that are reliable and durable. With so much more to offer Harley-Davidson cannot compete with the Japanese in terms of market share in Europe they only have 6.4% which is excruciating for a company who consider their product as a luxury item with all top of the line parts, brand image ,and all the thing they offer to the consumers. That’s why we look for alternative that could be beneficial to Harley-Davidson which is Market penetration, market development, and product development in Europe. We generated this idea ease them and with employees who know what their job is and make the necessary adjustment in their product or service need not worry of what will happen. Situational Analysis Environment The...
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...Final Research Paper Harley Davidson Company Name: Institution: Table of Contents Executive summary 1 1.0 Introduction 1 1.1 Background 1 Situation Analysis 2 2.1 Strategic pillars to ensure continued success and growth 2 2.1.1Producing environmentally suitable products 2 2.1.2Making new models and modifying existing models 3 2.1.3 Employing competent and robust leadership 3 2.1.4Ensuring sustainability in maintaining future success 3 2.2 Internal performance 4 2.3 Performance indicators 5 2.4 Industry perspectives 6 2.5 External factors 8 Problem Analysis and Description 9 Solutions, evaluations and recommendation 11 4.1 Diversify their products 11 4.2 Aggressive advertisement locally and internationally 12 4.3 Improve plant efficiency 12 4.4 Recommendations 13 Implementation Plan 13 Success Metrics 14 Bibliography 16 Appendix 18 Executive summary 1.0 Introduction Harley-Davidson Company is an American automotive company that specialises in producing motorbikes founded in 1903. It is located in Milwaukee, Wisconsin in the United States. Harley Davidson is one of the most robust and financially strong companies with over 5900 employees and sales reaching $6.23 billion (Forbes, 2015). The company manufactures and sells heavyweight motorcycles and motorcycle parts, accessories, general merchandise. They also offer other related services like financing retailers and insurance. 1.1 Background ...
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...STRATEGIC AUDIT HARLEY DAVIDSON Inc Audit Team: Graeme Eldridge Enya Gu Areeya Ongmongkonkun John Gao CONTENTS |Case Abstract |3 | |History |4 | |Current Situation | | |Performance |5 | |Strategic Position | | |Mission |5 | |Objectives |5 | |Strategy |6 | |Policies |6 | |Corporate Governance | ...
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...Harley-Davidson Case Analysis MGMT 4290 Professor McGowan Keiven Cosgriff I. CORE PROBLEM Harley-Davidson has a strategy problem; the company’s core problem is its need to reexamine and alter its strategy to ensure continued success in the changing global environment. Harley-Davidson has a solid foundation and the potential for continued success and industry leading performance, however, times are changing and Harley must adapt. II. S.W.O.T. ANALYSIS Strengths Harley-Davidson is a strong company with several core strengths. First, Harley has unprecedented brand recognition and customer loyalty. For example, in 2004 42% of new Harley-Davidson purchasers owned a Harley previously. Richard Teerlink, retired Harley CEO stated, “There are very few products that are so exciting that people are willing to tattoo your logo on their body.”[1] Moreover, Harley-Davidson’s guiding concept is that its brand is more than a brand; it is an iconic image with an accompanying lifestyle and culture. Second, Harley differentiates itself from the Japanese by offering support to various enthusiasts and social groups. For example, the Harley-Davidson Owners Group (HOG), which has worldwide membership in excess of 900,000, helps cultivate a hard-core loyal customer base. Essentially, by owning a Harley you become a member of a special community of people who all share an interest in one product. Third, Harley derives strength from its strong market position, in 2004, Harley controlled...
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...9-600-006 REV: JANUARY 22, 2003 ROBERT D. AUSTIN DEBORAH SOLE MARK J. COTTELEER Harley Davidson Motor Company: Enterprise Software Selection We were in McDonald’s having our initial SiL’K planning meeting when a gunfight erupted in the parking lot. Bullets started flying through the restaurant. Someone said, ‘Everyone down, lock the doors’. We all hid under the table. I’m lying on the floor looking at Dave and Pat—I’m thinking, Holy Smokes, this is unreal. It was just incredible—a real bonding experience! —Garry Berryman, Vice President, Materials Management David Cotteleer, Information Systems (IS) Manager of the Supplier Information Link (SiL’K) project, smiled as he recalled the terror and subsequent camaraderie that had grown out of that unusual beginning. It had set the tone for the partnership that developed between Berryman, Pat Davidson, Manager of Purchasing, Planning and Control, and himself, as they worked collaboratively to develop the specifications for an integrated procurement system to support the new Supply Management Strategy (SMS). Now he and the SiL’K project team were gathered in their “war room” on the top floor of the Harley-Davidson Corporate Headquarters to face another critical moment in the project’s history. After three hectic months of meeting potential software suppliers, reviewing documentation, and evaluating software packages, the SiL’K team had to make a decision. Who should they choose as their supplier and partner in implementing an...
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...9-600-006 REV: JANUARY 22, 2003 ROBERT D. AUSTIN DEBORAH SOLE MARK J. COTTELEER Harley Davidson Motor Company: Enterprise Software Selection We were in McDonald’s having our initial SiL’K planning meeting when a gunfight erupted in the parking lot. Bullets started flying through the restaurant. Someone said, ‘Everyone down, lock the doors’. We all hid under the table. I’m lying on the floor looking at Dave and Pat—I’m thinking, Holy Smokes, this is unreal. It was just incredible—a real bonding experience! —Garry Berryman, Vice President, Materials Management David Cotteleer, Information Systems (IS) Manager of the Supplier Information Link (SiL’K) project, smiled as he recalled the terror and subsequent camaraderie that had grown out of that unusual beginning. It had set the tone for the partnership that developed between Berryman, Pat Davidson, Manager of Purchasing, Planning and Control, and himself, as they worked collaboratively to develop the specifications for an integrated procurement system to support the new Supply Management Strategy (SMS). Now he and the SiL’K project team were gathered in their “war room” on the top floor of the Harley-Davidson Corporate Headquarters to face another critical moment in the project’s history. After three hectic months of meeting potential software suppliers, reviewing documentation, and evaluating software packages, the SiL’K team had to make a decision. Who should they choose as their supplier and partner...
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...Table of Contents Executive Summary …..….…………………………………………………………………………………………………………………………1 Harley-Davidson’s Competitive Advantages ..………………………………………………………………………………………….2 Symbol of Innovation and Toughness ……………………………………………………………………………………….…2 Uniqueness and Distinction …………………………………………………………………………………………………………2 Facing Challenges ………………………………………………………………………………………….…….……………………..3 Future Sustainability ……………………………………………………………………………………………………………………3 Vulnerability ……………………………………………………………………………………………………………………………….4 Challenges of the 21st Century ………………………………………………………………………………………………………………….4 Strategies to Address the Challenges ………………………………………………………………………………………….5 Short-Term Strategies as Harley Matures ……………………………………………………………………………………6 Long-Term Survival ……………………………………………………………………………………………………………………..7 DaimlerChrysler Automotive Group …………………………………………………………………………………………………………8 Business Strategies ……………………………………………………………………………………………………………………..8 Production Issues ………………………………………………………………………………………………………………………..9 Harley-Davidson’s Transformation ……………………………………………………………………………………………10 Why DaimlerChrysler Fell ………………………………………………………………………………………………………….11 Ford Motorcycles ………………………..…………………………………………………………………………………………………………12 Strategies ……….…………………………………………………………………………………………………………………………12 Customer-Perceived Value …..…………………………………………………………………………………………………..13 Extension of the...
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...DUCATI CASE 1. How did Ducati become the second most profitable motorcycle maker in the world despite its small scale? Through out what we call a “Turnaround program” leaded by the Italian Federico Minoli. I believe his experience in turnaround management during his stay in Bain & Co. and his previous jobs in Procter & Gamble and McKinsey gave him a tremendous background to manage a company such as Ducati. However, as we have seen in the case, the Italian firm has nothing to do with other motorcycle companies. Ducati is unique because of its culture and huge potential that was hidden before Federico’s arrival. As he said, “I accepted [the chance] to run Ducati because I saw a company that, beyond its liquidity crisis, needed to be radically changed in order to fully exploit its enormous potential.” In this sense, it had to be an Italian CEO the one in charge of a strategy that ended up in what “The World of Ducati” is today. Minoli stablished from a good mission statement an even better vision statement. He had clear ideas of what his goals were and started from the very basis. This was by putting together a talented group of engineers that felt the companies as theirs. These people were “the Ducati’s soul” (as Minoli used to call them). In my opinion, this principle is something that every person who runs a business should take into account. A good manager is one who is surrounded by others better than him, and if these people perform in a company...
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