Strategic Management Project: Tesla Motors Strategy Implementation

This project focuses on the strategic management of Tesla Motors, specifically examining strategy implementation. The assignment requires an analysis of directional, marketing, operations, and human resource strategies and their impact on the company's well-being. It includes classifying Tesla's products using the BCG matrix, describing a key partnership (Daimler), and outlining the company's organizational structure. The project utilizes information from various sources to provide a comprehensive understanding of Tesla's strategic approach. The project explores how Tesla leverages technology, innovation, and operational effectiveness to achieve its goals. The analysis covers key aspects of operation management like design of goods and services, quality management, and inventory management. The project also highlights the importance of human resource management in fostering a strong organizational culture and supporting business development. The project also provides a summary of the company's structure and how the company has used the partnership with Daimler for its overall advancement.

Project:
Strategic Management of the company ‘X’
Structure of the project
This project aims to study the strategic management of your selected company ‘X’. It
includes three main parts:
- Part 1: Assignment 1= Environmental scanning & strategy formulation.
- Part 2: Assignment 2= Strategy implementation.
- Part 3: Assignment 3= Evaluation and control.
Description of the company ‘X’
- It is a company from your choice;
- From real national or international market;
- It is publicly traded company;
- Produces and commercializes more than one product;
- Sufficient information about the strategies of the company, its functions, structures
and product lines are available;
- This company should have at least one partnership with other company (es) (alliances,
joint venture, arrangement…).
Note.
If you face any ambiguity regarding the choice of the corporation, kindly feel free to ask
more clarification from your instructor.

Assignment 2: Part 2 of the project
Strategy implementation
Learning outcomes:
1. Understand the contribution of various functional areas e.g. production,
marketing, purchasing and supply management to the overall well-being
of the organization (Lo 1.2.)
2. Gain insights into the strategy-making processes of different types of
organizations (Lo 1.7)
3. Identify appropriate strategies for different situations (Lo 3.1).
Assignment Questions (5
Marks)
Consider the same company ‘X’ that you have already used in assignment 1 and answer the
following questions
1. Describe the roles of directional, marketing, operations and human resource
strategies in the overall well-being of your selected company. (2 marks)
2. Classify the products of your selected company based on the BCG matrix. (fill out the
table in the answer sheet) (1 mark)
3. Describe at least one partnership that your selected corporation has with other
company (es). Is it successful? Justify. (1mark)
4. Describe the structure of your selected company. (1 mark)

Assignment Answers:
1. Describe the roles of directional, marketing, operations and human resource
strategies in the overall well-being of your selected company. (2 marks)
Answer:
Directional Strategy can be defined as the game plan where Tesla motors makes decision
and implements business growth. It ultimately result in overall increase in profit along with
accomplishment of certain goals and objectives (Chen & Perez, 2018). Tesla Motors come up
with own directional strategies which focus on work and scope of each business.
Tesla stand out to be an innovative organization which aims in building technology
platform. The organization does not only sell cars but also have an infrastructure which is
needed for supporting the operation. This is completely built a network of superchargers,
station for battery swapping and lastly service station (Thomas & Maine, 2019). Tesla is
completely back on track to provide complete autonomous driver capability. Tesla focused on
producing much cheaper model like S sedan which ended up being wining every big award.
Tesla focus on three major areas like driven by technology, reputation of Tesla and
diversification of business.
Tesla motors aim to implement ten major practices which address the major objectives.
These strategic decision areas need operation manager for maintaining some of the best
practices. It merely aims in ensuring complete streamline, operational effectiveness and high
production in the firm (Dibble, 2018). The technological innovation at Tesla aims comes up
with innovative goals which supports and is completely based on operation management.

Operation management aims to provide high productivity and business growth. Tesla focused
on ten top areas of operation management areas like
 Design of both service and goods.
 Proper Management of Quality
 Capacity regarding process and its design.
 Location strategy
 Complete layout of both design and its strategy
 Proper management of inventory
 Scheduling
 Maintenance
Human resource management at Tesla requires the involvement of certain training
programs for employees (Hettich & Müller-Stewens, 2017). It is mainly done in order to
feature its organizational culture. Tesla aims to employ its organizational culture which is
the best tool for maintaining a mindset. It ultimately helps in supporting overall business
development.
2. Classify the products of your selected company based on the BCG matrix. (fill out the
following table) (1 mark)
Answer:
Table 1. BCG matrix of the company ‘X’
Stars Question Marks
High market share and market for overall
growth.
Doing well, great and best number of
opportunities
Low market share and high market
growth. Does not what to be done
with opportunities. There is need of
deciding of increased investment
Market Growth Rate

Cash Cow Dogs
High market share and low growth of
market. Carrying out well in the no
growth market along with limited
options.
Low market share and low market
growth
Weak in present market and issues in
profit-making.
Relative market share
3. Describe at least one partnership that your selected corporation has with other
company (es). Is it successful? Justify. (1mark)
Answer:
Daimler has around an equity stake which is around 10 percent of Tesla motors. This
particular investment has deepen its relationship in between automobile inventors and newest
members. Tesla stand out to be only automobile producer which aims in selling high capable
electric vehicle (Vynakov, Savolova & Skrynnyk, 2016). Both the organization have started
working closely for integrating Tesla lithium-ion batteries. It aims to charge around 1,000
units of Daimler electric car. In order to benefit each other, this particular investment has
enabled them to collaborate in close way on battery development. In addition, it has helped
them in drive system and individual vehicle projects. Daimler is very much focused on the
leading edge in the domain of sustainable mobility. This stand out to be lithium-ion pouch
cell-battery that has been developed. It has been specifically designed for automotive
application of interest (Rogerson, 2017). The organization is looking for strategic cooperation
in various areas which is inclusive of Daimler engineering. It merely stands out to be a
strategic cooperation in different areas which is inclusive of engineering, production and
expertise in supply chain. It merely aims in accelerating Tesla model S needed for production
and expertise in supply chain.

Long-term partnership with the Tesla complements Daimler multi-faced strategy for
its overall advancement (Chen & Perez, 2018). It has taken place as a result of developed
electrification of automobile.
4. Describe the structure of your selected company. (1 mark)
Answer:
Tesla motors come up with an organizational growth which completely support its
business growth. Organization structure can be defined as the design and system which
completely highlights patterns and interaction among the provided components of
organization (Thomas & Maine, 2019). Tesla structure takes a traditional form which takes
into account the managerial focus and its complete control. It comes up with limited amount
of operational expansion on global market.
Tesla organization structure aims to create capabilities which help in strong
managerial control on business. The organization has received this despite of the
organizational operations. Growth ultimately results in complexity and huge number of
challenges. Tesla comes up with generic strategy which creates competitive advantage and
intensive growth for organization (Dibble, 2018). The structural capabilities of corporation
has helped the manager to have information with respect to the given challenges. The
corporate structure aims to support Tesla corporate mission and its vision statement which
focus on leadership in automotive industry.
Tesla comes up with U-form organizational structure where it makes use of
organizational functions as the defining factors (Hettich & Müller-Stewens, 2017). The
organization comes up with a group of employees needed for engineering purpose.

References
Chen, Y., & Perez, Y. (2018). Business model design: lessons learned from Tesla Motors.
In Towards a Sustainable Economy (pp. 53-69). Springer, Cham.
Dibble, C. (2018). Exploring the Potential of Environmental Impact Investing for Sustainable
Development: The Cases of Dominion Energy and Tesla Motors.
Hettich, E., & Müller-Stewens, G. (2017). Tesla Motors. Business Model Configuration.
Rogerson, S. (2017). Is professional practice at risk following the Volkswagen and Tesla
motors revelations?. ORBIT Journal, 1(1).
Thomas, V. J., & Maine, E. (2019). Market entry strategies for electric vehicle start-ups in the
automotive industry–Lessons from Tesla Motors. Journal of Cleaner Production, 235, 653-
663.
Vynakov, O. F., Savolova, E. V., & Skrynnyk, A. I. (2016). Modern electric cars of Tesla
Motors company. Автоматизація технологічних і бізнес-процесів, (8,№ 2), 9-18.