Question

Management Research Paper about Tesla

Background

• Stakeholders

• Social responsibility

• Ethics

• Globalization

Planning

• Goals (smart) – strategic & tactical

• Mission & vision statements

• SWOT

• Positive/negative effects of external forces

• Decision making style

• Grand strategy

• Porter’s competitive strategy

Organizing

• Culture

• Structure

• Centralization or decentralization

• HR management

• Change

Leading

• Individual differences

• Motivation

• Groups

• Leadership

• Communication

Controlling

• What is the progress towards goals...if not on-track, what corrective action is being taken or should be taken? How often is/should progress be measured?

Answer 1

RESEARCH PAPER ON TESLA

Introduction-

Tesla Motors is an american electric-automobile manufacturer. Founded in 2003 by American entrepreneurs Martin Eberhard and Marc Tarpenning and was named after Serbian American inventor Nikola Tesla.It develops electric sports cars.Elon Musk is currently Tesla’s Chairman, Product Architect and CEO. Tesla is headquartered in Palo Alto, California.

Body- The company's stakeholders are communities ,employees,shareholders,customers and government.Communities influence the social part of Tesla.Customers influence Tesla’s income and are concerned about quality of the product and justified pricing level. Tesla Motors indicates its’ employees as a crucial headway factor for the business. Employees directly impact company’s performance and productivity as a business. Tesla's investors and shareholders are concerned mostly about the profitability and business growth.  They are crucial for company’s capitalization and cash flow.As a stakeholder group,governments are concerned about the legal actions and compliance of the company.Tesla’s corporate social responsibility efforts are satisfactory in addressing the interests of most of its stakeholders. Tesla also focuses on sustainability and environmental friendliness of automotive, energy storage, and energy generation products.Tesla work ethics are that it expects to work with people driven to do the right thing and who act with integrity even when no one is looking. Obeying the law, both in letter and spirit, is the foundation on which Tesla's ethical standards are built.Globalisation has allowed Tesla to sell in many countries but in its international expansion, Tesla faces several pressures for cost reduction.

Tesla's mission is - ‘To accelerate the advent of sustainable transport by bringing compelling mass market electric cars to market as soon as possible.’ Tesla's vision is to - At the core, Tesla, Inc. believes electric cars should not be perceived as a sacrificial mode of transportation. Tesla, Inc. has brought the best of both the automotive and technological worlds together by permanently etching the image of electric cars being a step backwards in performance, efficiency and design. Tesla has produced a car that is finally beautiful, and exciting to drive along with being the most efficiently produced automobile on the planet.SWOT analysis of Tesla - Strengths of Tesla are- a top employer company, unparalled advancement in innovation and technology and best in quality electric cars.Its weaknesses are- manufacturing complications which arebecause of its high standard of innovation, complicated procedures lead to its inability to meet demand, shortage of batteries and Elon musk as the sole representative of the company.Oppurtunities are - Tesla can expand sales in the untapped market of Asia and reduce cost and thus reduce price of cars.Threats are product liability claims- despite producing well quality products, the company has faced lawsuits and claims due to the product liability, product defects and extensive competition by other car brands.Although it is a highly successful company, but its decision making is a bit sloppy as it takes long to make decisions and keep on fluctuating on them but whatsoever the process may be , the end decision and results have always been good.

The grand strategy for Tesla is not to pursue a niche market, but rather to be a mainstream player in the automobile business.It focusses on building image in the long run.In Michael Porter’s model, a generic competitive strategy represents the company’s approach to competing in the market. In Tesla, the generic strategy reflects the company’s focus on using advanced technologies in its electric vehicles and related products, as a way of competing against its competitive brands like genral motors, toyota etc.. In using the Porter's generic competitive strategy, Tesla broadly attracts all potential customers, who are now increasingly interested in environmentally friendly products. In applying the differentiation focus strategy, Tesla emphasized in the uniqueness of its products and mainly on early adopters in the high-end market for electric vehicles.Tesla’s generic strategy (Porter’s model) enables the company to maintain competitive advantage, support organizational growth and increases its operational effectiveness.

Tesla is a well organized and structured company which aimed to sustain and continually growth in innovation for producing the electric cars which meet and exceeds the customer expectations. These innovations are implemented by meeting their Vision and mission statements. Tesla has different groups of expert people working in different functions like designing, manufacturing and developments. All the employees are working in their functions meeting the levels of key functional factors and fulfilling the aim of organization. Tesla has a Global hierarchy reporting system which manages the functional responsibilities in a well-structured way with centralized decision-making authorities. It has designation titles like Chairmen and chief executive officers, Financial officers, manufacturing and technology officers etc. all reports to a centralized high-level expert who is accountable for making the decisions.Companies HR recruit the employee and encourages them to work innovatively along with their duties. HR team visits the manufacturing functions frequently and take their standing meetings to know how the work place is and takes feedback for making it more better. They set different channels to know their honest feedbacks.

HR has set thank you card system which can be filled by any employee for anybody for his extraordinary work in any field of production. HR opens the thank you cards and provides small gifts to all the persons on whose name it is written for motivation of them in all employee meetings.At plant levels they have they leadership team as functional leadership and senior leadership team. Functional leader leads the daily/routine activities of the function and ensures that all the key performance indicators are met on monthly basis, while senior leadership team guide their function for long term goals and support the function in taking special decisions.Company has set some defined frequencies of meetings for better internal communications about their company like sales, profit, demand etc. Weekly all employee meeting is called for half an hour to share the latest updates in the company lead by HR. Monthly all employee meeting by plant managers. Quarterly sales report updates by executive officers.

Conclusion- The company Tesla is making exceptionally well progress towards its goals. Its production of electric vehicles reached 1 million in 2020.It started production of its model Y which is an electric compact sports utility vehicle and even started the delivery in march.However, the problems that it is facing are its debt load is at a ongoing worry which questions its profitability. Another problem is its expensive shares which were reported by bullish analysts. Tesla have to decrease its debt burden and should either reduce the price of share or convince the market that its expensive shares are worth buying for.