Harley-Davidson Forecast of Revenues and Timelines
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Background
Harley Company has been in existence since first decade of twentieth century. At that valuable time in history, Hearly and company were able to come up with the first kind of motorcycles and as with any other new product in market, initial stages of their venture had many difficulties (Gingerelli, 2011). One such shortcoming was inability of their primary motorbikes to climb a hill without additional human effort. All the same, later developments have been important in addressing these challenges (Scott, 2008). This far their products meet the desired taste of population.
The first products from this company were simple engine driven bikes with no capacity to ascend small hills. This kind of engine was one designed to function alongside pedal if need be. It marked a good beginning with all its shortcomings giving a hint to what may benefit the society if improved (Scott, 2008). In every endeavor, there is always a starting point and for them; this was it. At the time, workstation of this company was a small wooden one with minimal machinery to assist in production (Stanfield, 2005). It was not sophisticated enough to meet desired quality production. With all that, the young Hearly and other group members took their first challenges as fruitful learning experiences and forged a head.
New generation design were smartly planned to deliver machines with larger capacity. A repeat of the first time failures was their biggest worry and both effort and strategies were put in place to address predictable troubles (Gingerelli, 2011). With assistance of other interested parties, this became a success and paved way for what is now the famous motorbike industry of Hearly and Davidson. Documentation of completely assembled and functional unit of their second-generation motorbikes was first made in 1904 (Scott, 2008). This is also recorded as the first public appearance of their motorbikes taking part in a race competition in which it emerged fourth.
Generally, Hearly-Davidson Company made remarkable developments and was ever on the rising state regarding quality of their products. Even so, there were numerous problems to overcome along its development path. One such setback was the cutthroat competition arising from other worldwide motor engine producers (Dess, 2011). Collectively, major issues to address were the Japanese competition, a period of poor quality control and the American great depression period. The great depression was a time of extreme economic difficulty for the entire world and America formed part of it. All the same, the company thrived.
Since early times of their production, this company has been significant in supplying motorbikes to both police and public. Indeed the police form a major market for their products even in present times. With ever advancing skills in the industry, knowledgeable producers and quality control persons have been able to keep pace and remain relevant in the dynamic market. It is worth noting that the founders too were hard working and taught personnel who acquired university degree in engineering (Dess, 2011). This was a necessary step in aiding success of the primary production years.
Among factors that keep this company strong are its mission and vision. Vision is designed to eliminate or to the list, minimize short time thinking and focus on the better future (Stanfield, 2005). This provides a sustainable growth. It has been the secret of success for this company. A service provider in this company has the mental orientation of satisfying the clients first and then other necessities follow (Dess, 2011; Scott, 2008) Quality is paramount and must never be compromised for any intention of additional monetary gain. The driving goal is to surpass expectation of customers and the company boasts of achieving this so far. The feedback mechanisms provide it with a means of self-assessment.
Actions Harley-Davidson’s managers could take to reduce expenses
In the modern day world, motorcycle producing companies have gone up a situation that has heightened competition amongst them. Motorcycle from China have many companies to go back to the drawing board and strategize on how the can counter such companies. Therefore, one way Harley-Davidson’s manager should do is to focus on outsourcing for the supplies of cheap but high quality parts. Gingerelli (2011) says that some of the parts used in the assemblage of the motorcycles are very expensive which makes the price of the finished product go up and hence uncompetitive in the market. Secondly the company needs to invest on modern technology because modern technology is cheap, convenient and efficient.
How Harley-Davidson can achieve economies of scope
Dess (2011) argues that achieving economies of scope by leveraging assets requires a company to reduce cycle time and develop expense via technology recycling. Secondly, Harley-Davidson needs to be more effective in monitoring development efforts by way of countering threats and opportunities. In addition, it is required to make a wise selection of products that are in line with the market needs.
References
Dess, G. (2011). Strategic Management: Text and Cases (6th ed). McGraw-Hill Learning
Gingerelli, D. (2011). Art of the Harley-Davidson Motorcycle. Michigan: MotorBooks International.
Scott, M. (2008). Harley-Davidson Motor Company. Westport, Conn: Greenwood Press.
Solutions
Stanfield, P. (2005). Heritage Design: The Harley-Davidson Motor Company. Journal of Design History, 5(2), 100-105.
Jermaine Byrant
Nicole Johnson
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