Question

HBR Case: RENAULT TRUCKS: REMANUFACTURING AS A STRATEGIC ACTIVITY

1. What are the strategic objectives of the remanufacturing initiative for Renault Trucks?

2. What should Renault do with its remanufacturing program? (Outsource, expand internally or build new plant as discussed in the case) Need financial and strategic reasons to back up the rationale.

Answer 1

1. Strategic objectives of the remanufacturing initiative for Renault trucks is to contribute in circular economy and enhance and increase the life cycle of its products. Renault trucks wants to reuse and remanufacture it's end of life heavy goods vehicle parts.

The remanufacturing parts of the vehicle will be eco friendly, economical part.

Renault truck also provide proper guarantee to its customer who will provide exchange of parts of vehicle to the company.

Like all other new parts of vehicles in the company, all items in the Renault Trucks exchange range come with an international two-year warranty.

It will be very cost reliable and cost saving for the company and help out in enhancing the profitability of the company.

2. Renault have many benefits bye it's remanufacturing program. The manufacturing program will provide an economical and high quality parts of the vehicles.

This remanufacturing program provide cost reliable manufacturing to the company and also enhance the profitability of the company.

This remanufacturing program will also provide environmental friendly production which will help out in creating less pollution to the environment.

This program also aims on implementing its network for recycling heavy goods vehicles.

In financial aspects, the remanufacturing program will provide less cost investment in the remanufacturing of vehicle's parts and enhance profitability of the company.