Value Chain Analysis of Mercedes Co
Value Chain Analysis of Mercedes Co
Value Chain Analysis of Mercedes Co
-: INTRODUCTION :VISION AND MISSION: "IMCs Vision is to be the most respected and successful enterprise, delighting customers with a wide range of products and solutions in the automobile industry with the best people and the best technology".
The most respected. The most successful. Delighting customers. Wide range of products. The best people. The best technology.
Mission of Mercedes is to provide safe & sound journey. Mercedes is developing various new technologies from the perspective of energy saving and diversifying energy sources. Environment has been first and most important issue in priorities of Toyota and working toward creating a prosperous society and clean world. HISTORY: Mercedes-Benz (German pronunciation) is a German manufacturer of automobiles, buses, coaches and trucks. Mercedes-Benz is a division of its parent company,Daimler AG. The name first appeared in 1926 but traces its origins to Daimler's 1901 Mercedes and to Karl Benz's 1886 Benz Patent Motorwager,widely regarded as the first automobile. Main articles: Karl Benz, Bertha Benz, Gottlieb Daimler, Emil Jellinek, Wilhelm Maybach, and Daimler-Motoren-Gesellschaft Mercedes-Benz S-class Mercedes-Benz traces its origins to Karl Benz's creation of the first petrol-powered car, the Benz Patent Motorwagen, patented in January 1886[1] and Gottlieb Daimler and engineer Wilhelm Maybach's conversion of a stagecoach by the addition of a petrol engine later that year. The Mercedes automobile was first marketed in 1901 by Daimler Motoren Gesellschaft. The first Mercedes-Benz brand name vehicles were produced in 1926, following the merger of Karl Benz's and Gottlieb Daimler's companies into the Daimler-Benz company.[1] Mercedes-Benz has introduced many technological and safety innovations that later became common in other vehicles.[2] Mercedes-Benz is one of the most well-known and established automotive brands in the world, and is also the world's
oldest automotive brand still in existence today. For information relating to the famous three-pointed star, see u into Daimler-Benz nder the title Daimler Motoren Gesellschaft including the merger. MANAGEMENT TEAM:
Bla Barnyicar safety pioneer (rigid passenger safety shell), joined DaimlerBenz in 1937 Wilhelm Maybachautomotive pioneer, first met Gottlieb Daimler in 1865 Ferdinand Porschefounder of Porsche, joined Mercedes in 1923 and developed the Kompressor Bruno Saccojoined Daimler-Benz as a designer in 1958. Head of Design in 1975, retired in 1999 Rudolf Uhlenhautjoined Daimler-Benz in 1931, his designs included the Silver Arrows, the 300 SL and 300SLR Adolf EichmannFormer Nazi criminal. Worked in Argentina's factory after WWII
The value chain is a systematic approach to examining the development of competitive advantage. It was created by M. E. Porter in his book, Competitive Advantage (1980). The chain consists of a series of activities that create and build value. They culminate in the total value delivered by an organization. The 'margin' depicted in the diagram is the same as added value. The organization is split into 'primary activities' and 'support activities.'
Primary Activities Inbound Logistics: Here goods are received from a company's suppliers. They are stored until they are needed on the production/assembly line. Goods are moved around the organization. Mercedes motors purchase their raw material from all around the world. In order to maximize their availability of raw material Mercedes motors maintain good relationship with their suppliers. Mercedes use JIT (Just In Time) approach for handling of raw material.
Operations: This is where goods are manufactured or assembled. Individual operations could include organizing the parts to make new cars & the final tune for a new car's engine. Mercedes motors are known for their reliability which comes from efficient operations. Outbound Logistics:
The goods are now finished, and they need to be sent along the supply chain to wholesalers, retailers or the final consumer. Mercedes motors manage their own Show rooms in different countries. Mercedes motors make their product easily assessable. Marketing and Sales: In true customer orientated fashion, at this stage the Mercedes motors prepares the offering to meet the needs of targeted customers. This area focuses strongly upon marketing communications and the promotions mix. Service: This includes all areas of service such as final checking, after-sales service, complaints handling, training and so on. Mercedes value their customers. Support Activities Procurement: This function is responsible for all purchasing of goods, services and materials. The aim is to secure the lowest possible price for purchases of the highest possible quality. Mercedes motors will be responsible for outsourcing (components or operations that would normally be done in-house are done by other organizations), and e-Purchasing (using IT and web-based technologies to achieve procurement aims). Technology Development: Technology is an important source of competitive advantage. Companies need to innovate to reduce costs and to protect and sustain competitive advantage. Mercedes motors implemented production technology, Internet marketing activities, lean manufacturing, Customer Relationship Management (CRM), and many other technological developments.
Human Resource Management (HRM): Employees are an expensive and vital resource. Mercedes motors manage recruitment and s election, training and development, and rewards and remuneration. Mercedes motors consider their employees as HUMAN CAPITAL. The mission and objectives of the Mercedes motor is the driving force behind the HRM strategy. Mercedes motors uses following techniques to retain their employes: Recruitment Selection Training and development Compensation
Maintenance
Firm Infrastructure: This activity includes and is driven by corporate or strategic planning. Mercedes motors implemented Management Information System (MIS), and other mechanisms for planning and control in different departments. SUGESSIONS & RECMENDATIONS 1. Mercedes motors should use Value Coalitions for better use of their under utilized recourses. Mercedes develops synergies among their recourses.
Marketing
Production
R&D
CUSTOMERS
2. Mercedes should use design to maximize the performance of their operations. Using the value chain approach, processes that provide direct value to the customer are modeled first. Derivative processes that support the value chain processes are modeled to support the value chain. Mercedes Company Functional and Process Based Designs
Functional Design
Marketing
Finance
Sales
Engineering
Manufacturing
Distribution
Process Design
Design Car
Build Car
Market Car
Deliver Cars