Manufacturing can be a formidable competitive tool if properly managed and equipped. Improvement in the manufacturing of the automotive industry is crucial in facing arising challenges and changes in the environment. The survival of automotive companies depends on quick and ingenious products, time conscious technologies and improved ways of management, decision making and finance. This calls for utilization of right decisions at the right time. The problem is multidimensional for it involves utilization of information, agility and right decision making in achieving the set objectives. It is crucial to understand industrial environment and, making appropriate strategies for aiding competitiveness in the long run.
Methodology
With the problem at hand, qualitative research method is the best definition of this research. This is because it allows innovation and adaptation. The methodological technique supports explanations for it involves social sciences in the structure of leadership and management through questions. A questionnaire was the tool used in the collection of data. The questionnaire was then distributed to different sectors supplying organizations. The questionnaire aimed at the collecting information from the managers in the organization about the strategies they adopt in their management. The selected samples were General Motors (www.gm.com), Chrystal and Ford Motors. The objective is to obtain completed questionnaire from the sample companies. Each question has a label for simplicity. Many of these questions will be closed meaning they would be requiring Yes or No response. There is repetition of some questions in different structures aiming at testing consistency in the answers provided.
There was a statistical analysis of the data obtained for analysis rationale. There was exceptional concentration to ranges in samples to ensure accurate interpretation and consistency. The weakness of this method is that it consumes a lot time. However, it is the best method because a large amount of data can be collected using a single questionnaire. Additionally, it provides lengthy understanding of the data provided by the sample population.
Research question, aim and objective
The question investigated by this paper is; does the automotive industry make use of management strategies to assist them to be world of class suppliers? The aim of performing this study is to examine these strategies fit for the automotive industry. The objective of this study is to investigate flexibility in manufacturing of automotive. How managers can effectively increase production is also another objective.
Theory concept and conceptual framework
This starts by comparing existing industrial sector investigation (manufacturing competences, capacity and technology) and current market environment. Objectives should be set correctly by each of the manufacturers. Low cost, innovation, flexibility or quality determination is some of the objectives that a manufacturer management can set. Theoretical framework has four phase; competitive identification phase, model development and evaluation phase, strategy formulation phase, and validation phase.
Competitive identification phase- here, there is market analysis and industrial environmental assessed to recognize the competitive facilitators. In existing resources breakdown: technology, human and capacity resources are highly reviewed. There is an analysis of market future trend, competition, and market situation in an industrial environment investigation. This is highly significant in understanding the dynamic change in the market of automotives. Moreover, it helps in the accomplishment of objectives taking into consideration the necessities of the market like low cost, time based competition and high quality features.
Strategy Formulation phase-Manufacturing strategy formulation helps in choosing competitive advantages. These advantages strengthen the company to adopt a certain strategy that demands certain manufacturing system. The strategies developed are the protector strategies, innovative strategies and offensive strategies. An offensive strategy defines a flexible, customer oriented, and highly quality producer. Protector strategy is the strategy adopted by a least cost producer focusing on capacity utilization and internal issues. An innovative strategy corresponds to a manufacturer who adds more value at a reduced cost.
Model development and evaluation- This is a phase where there is the utilization of simulation as an instrument to develop a model. Simulation models will help in monitoring the utilization of resources, product customer high quality, and value flow time to outperform competitor. It also integrates the effect of uncertainty in case of a new product development. Experimentation performance is by contrasting the input constraints and investigating ifs effect on production variables. There has been performance of two kinds of analysis; the change in maximum statistical cost of perimeters in question and time dependent effect in terms of pattern. Slopes of functions show the results. A large slope shows a considerable effect, reasonably less slope shows moderate effect, and a remarkably little slope signifies nominal or incredibly small effect.
Validation- There is validation of results with a similar analysis practiced in spreadsheet and shared with case corporation administration. There is authentication of the prioritized outcomes against previous studies and with the case firm management.
Literature review
Automotive development came from different people from different countries. Development began in 1769 in France (http://youtu.be/BnOWv18WNdU), where there was development of a three-wheeler powered by steam. Introduction of other developments makes this industry extremely competitive. There is development of different products of automotive leading to development in many countries.
The automotive industry has an enormous impact on the United States Economy (Gross, 2010). Centre for Automotive Research and University of Michigan pointed out that this industry is the leading consumer of textiles, computer chips, copper, aluminum, iron, steel, plastics, lead, vinyl and rubber (Gale, 2003). In addition, the study stated that, for each autoworker, there are seven other job opportunities created in other industries. In 2001, the gross sales of automotive products were 3.7% of the United States gross domestic product. When worked out into dollars, it amounts into $375 billion dollars in sales. The government ensures that there is effectiveness in this industry by rules and regulations (Cooney & Yacobucci, 2007).
Conclusion
Managers’ decisions are highly crucial in any company set up. However, managers should leave room for discussion for employees. Management should use the strategies that are effective in improving the firm’s performances. The managers should always investigate the strengths, weaknesses, opportunities and threat found in any strategy. In this case, they will be able to establish the most profitable strategy to apply in a certain situation.
Company Release (2003). General Motors. Retrieved from http://www.gm.com
Cooney, S. & Yacobucci, B. (2007). U.S. Automotive Industry: policy overview and recent history.
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Gale, J. (2003). Greenhouse gas control technologies. Elsevier Publishers.
Gross, D. (2010). The U.S. auto industry is smaller but healthier. Retrieved from
www.thedailybeast.com/newsweek/2010/09//a-successful-turn.html
The steamCarClub (2011). Joseph Cugnot Steam Engine 3. Retrieved from youtube.com
