AUTHORS: Srujit Biradawada & Friends (Aarti, Lucy, Laura, Sumer, Vincent & Joyce)
There is no doubt that Tesla is a disruptor of the automotive industry. The company is reinventing the way cars and technology integrate, bringing to its customers a sustainable and energy efficient transportation solution. Considering the current climate scenario in the entire world, we need to reduce emissions and start contributing to climate change. According to the Pew Research Center, 88% of all Americans own a car. Electric vehicles can be a deciding factor for the world’s global warming crisis.
Considering the importance of Tesla’s innovative technology and the impressive popularity of the brand, the company continues to see a huge demand for its product and it needs to improve its logistics and supply chain processes to start delivering its products as expected.
From a management improvement perspective, the company should focus on quality, time, costs, and customer relation measurements so it can track better its data, adjusting production to current levels of supply and demand and stop being over-ambitions. Related to its supply chain, the company could focus on establishing long lasting relationships with its suppliers, reporting properly about demand levels to avoid delays. Tesla also suffers with inventory management due to its limited warehouse space in relation to expected sales. The company should expand its warehouse space to accommodate all expected sales.
Tesla is a fascinating company with unique products and relevant impact to the environment. The company needs to start addressing its inventory and supply chain processes issues if it wants to remain the “most-loved auto brand” in the world (AutoTrader, 2019).
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