Specific Management Concepts
The operations strategy concepts of Tesla Motors, Inc. achieve the requirements in the ten strategic choices for optimal efficiency in all sectors of the automobile and electricity solutions industry. Different corporate strategy areas need management teams to adhere to quality standards in order to promote organizational efficiency, organizational effectiveness, and enhanced efficiency (Dyer, Godfrey, Jensen, Bryce, 2017). In this business research case, the point of these concepts in improving performance and productivity is critical to Tesla’s global development aspirations (Johnson, Scholes, Whittington, Regn_r, Angwin, 2017). The operations strategies performance is also supported and dependent on the company’s technology innovation ambitions.
The fundamental goal of this addresses this strategic decision area in order to meet the quality preferences of customers. This strategic point is discussed by Tesla Inc. through frequent quality inspections, quality improvement activities, and competitive analysis of the automotive and industrial solutions markets (Hitt, Ireland, Hoskisson, 2019). Furthermore, the firm is constantly improving its goods and processes in order to meet high quality and productivity criteria. For instance, Tesla’s management teams undertake quality evaluations and apply improvements to production methods on a regular basis.
The operations managerial decision area for process and capacities design contributes to business systems and associated investments, assets, and standards. Tesla, Inc. incorporates automation to address this issue. For example, the firm automates production processes while still allowing for human participation. This situation enables Tesla to attain high productivity in the automotive and industrial solutions industries through organizational effectiveness (Luthans & Doh, 2018). Furthermore, this area of business management impacts and is impacted by Tesla Inc.’s corporate culture.
The management considers logistics and proximity to markets, commodities, and suppliers. In terms of resources, Tesla’s operational managers can make use of the company’s global network. Suppliers in the United States, Europe, and Asia, for instance, offer some of the essential aspects of the industry’s electric autos and other goods. The aim of this strategic resolution area planning is the availability of an actual human resource department. Tesla, Inc. achieves this goal by employing a competitive compensation plan to recruit productive and capable employees. This strategy is critical in a market where many organizations compete for top-tier human capital.
This decision area of operations management takes into account decision making, costs, and quality assurance. Inventory choices at Tesla are based on operations management concepts that prioritize quality. Managers, for example, demand that warehouse holding not have an impact on the quality of components used in the industry’s electric cars. Tesla’s operations strategic plan, on the other hand, includes just-in-time inventories for select materials in order to maximize efficiency and decrease inventory expenses.
Background Information
Tesla, Inc. is an American automaker and sustainable energy firm. Tesla designs and produces electric vehicles, electrical energy storage systems ranging from residential to grid-scale, photovoltaic arrays and solar roof tiles, as well as other goods and services. Tesla is one of the most expensive organizations in the world, and it is still the most valued automaker (Ahmad & Khan, 2019). Tesla typically enables competitors to license its technology, claiming that it wishes to assist competitors in accelerating the world’s usage of renewable energy sources (Alghalith, 2018). This licensing method includes conditions under which the recipient agrees not to sue Tesla for patent infringement or directly copy its designs.
Tesla Organizational Structure
Tesla, Inc. has an administrative system that promotes long-term corporate success. The organizational or corporate structure of a corporation is the design and strategy that specifies the patterns of interactions among its components. In this Tesla business research example, the organizational structure is traditional, reflecting the company’s management emphasis and control, as well as its regional operational development in the worldwide market (Hettich & Müller-Stewens, 2017). Tesla Inc., for instance, employs its business structure to permit substantial organizational management as a producer of electric autos, batteries, solar panels, and associated transport and energy services. Elon Musk’s management performance can be determined by the company structure’s potential to distribute an
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