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Products, Competencies and financial status

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Emma Hartley

on 14 May 2014

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Transcript of Products, Competencies and financial status


Jaguar Land Rover will enhance its
research
and
product development
on future vehicle infotainment technologies through a new collaboration with Intel and the opening of a new Technology R&D centre in Portland, Oregon.
Product Development
Market research
focused, for most
user
appropriate designs
Supply
Manufacture takes
30.8 hours
start to finish
Management
and Human Factors

Quality, Inspection and Performance
Sheet metal workers are the
most skilled
in the factory preliminary inspections - marked with pen to
save steel workers time

Jaguar Land Rover
Products, Competencies and financial status




Global Company with
25,000
employees
Products
Core Competencies
RP

Financial Status
F-Type
(Roadster)
Only company with
3 Royal Warrants
9000
new jobs in recent years.
Allow
internal
prototype production from CAD models
Bought Object500 RP machine in 2008 to produce models from
multiple materials
The Cave
Virtual reality
testing facility using Sony projectors

XF
(Family)
XJ
(Executive)
Locates user in the 'car' to
visualise
model and evaluate
ergonomics
XK
(Sports)
£2m installation cost
, recouped in the first year due to
material saving
in physical prototypes
Creates
stereoscopic perspective
required for 3d imaging
JLR leading virtual simulation technology research with
EPSRC
and four leading UK universities
Multiple material addition available for the same part
20%
of Jaguar workforce dedicated to product development
Staff check each
previous
part

CX-75: Five produced to show potential to compete in the super car market

Manufacturing and
Assembly
Processes and Methods
Designing for
5-6 years
ahead
Layout
Sustainable Manufacturing Practices
Levels of Inventory
Workforce
Inspection
Key Performance Indicators
Designers use inspiration to produce initial drawings before translating to
CAD
for finer detail
Analysis
of the Industry

Manufacturing Supply
SWOT
• Uses
KANBAN
system. Press button and DHL have
30 minutes
to go to the market place, find the loading deck and deliver part to the assembly line.

All departments
consulted on changes before implementation
S
trengths

Aluminium benefits over steel.
What is made?
W
eaknesses
O
pportunities
Prototyping
1/10
size initial models made for visual comparison and physical concept interpretation
• Growing Markets
Abroad
: India. China, Brazil
Keeps design and manufacturing processes
confidential

T
hreats

Full size clay model
produced for the gauging of scale - clay can be
remoulded
to allow adjustments
Main
competitors
Porsche
BMW
Mercedes-Benz
Audi

Limited
number
of models

One
target market

Dependent on people
purchasing
luxury cars.
PESTEL

Model taken outside and tested in
natural light
- resin used to simulate painted body. This is far
cheaper
than a real prototype
P
olitical

What is bought in?
E
conomic
Design of
every feature
needs to be considered - Jaguar is a
luxury
brand and only the best quality is acceptable for their clientele

2000
part suppliers from all over the world eg. Interior panels from Romania.
• AJ-V8 is manufactured in Jaguar plant in Bridgend, Wales.
• Engines from USA and Mexico.
• Making new engine manufacturing plant in Wolverhampton as an investment so they don’t have to buy in.

Labour
is expensive in UK, investment in plants for each part would be extremely expensive so
buy in
parts.

Paint samples take
4 years
to be developed - tested in natural light around the world to check fade and deterioration
S
ocial

T
echnological
Introduction of the cave reduced development time from
5 years to 4

• Car manufacturing
capital intensive
"Environmentally friendly"
car design

Community education

BITC education award
2013
Once
final concept
has been decided it can be
revealed
at a motor show
E
nvironmental
Consumer focus on
green
brands.


L
egal
• Must change concept cars to meet different
legislations
around the world.
A
perceptron
is used to document part information using
lasers
Quality
KAIZEN
for each production line
Environment
People
Cost
Delivery
Quality
Safety
Display boards
show information about quality control and efficiency
Currently
manual processes
such as the welding and some riveting of steel
Always striving for cars to be
lighter
, yet just as
safe
In the past, car manufacturers would
"pay per piece"
, workers do not care about quality
Jaguar do not manufacture cars unless they have
already been sold
12 week
lead time
• Parts are delivered on a
4 hourly basis
to the
market place
in Jaguar
• Copied the way aeroplanes are made.
• Charges
£10,000 per minute
if parts are late

Points table
of suppliers, if part is wrong or damages they go down the table, ones at the bottom get eliminated

DHL
work inside Jaguar for the
logistics.
• High
Oil Prices
encourage moving overseas
Body panels and base plates.
Ensures quality of each car
individually
Reduce
transportation.

Reduce risk of damaging panels in transportation
Main body
is done first, doors added after and
specifically fitted
to each individual car
Doors then taken off for
non-value added time
Using rivets instead of welding
reduces
the amount of
water
in the production process.
4 minutes
for electrical fittings, followed by
2 minutes
for the seats

Building new plant in
Brazil
as a result
Failsafe
systems, different tooling for different tyres
Painting
takes the longest - requiring charging, 3 coats and heating
Glass roof panels
heated
to 30 degrees allowing quicker bonding
Tested
before leaving the factory
Dispatch area holds
200
cars
References
Display Boards show efficiency, manufacturing aims and quality control
British Company with a history spanning over
90 years
Bought by
TATA Motors
in 2008
Premium,
World Class
Products with Emotional Appeal

5
sites in UK
Jaguar Land Rover has been named
Responsible Business of the Year 2013
by Business in the Community (BITC). [1]

£1.7 billion
annual profit =
£4.5 million
a day
For the
second quarter
of Financial Year
2013/14:
Retail Sales
up 21%
year on year
Revenues
up 40%
on the same period last year
Re-melt
scrap aluminium generated in stamping presses with those of principle suppliers into a high-grade sheet metal alloy
In the first
half
of Financial Year
2013/14
:
They are the
largest investor
in automotive research and development and engineering in the UK
(£2.75 billion
in 2013/14)
Invested in
renewable technologies
including a £4 million investment in 1.1MW solar PV, saving 540 tonnes of CO2 per annum.
Retail sales
up 16%
Profit before tax
up 42%
Revenue
up 26%
Use virtual engineering
Work with
REAL CAR
initiative to incorporate more
recycled
Aluminium into their products
Replacing synthetics and plastics with
organic materials
closed loop
waste
recovery and recycling
system at Castle Bromwich Jaguar production centre
6 minute cycle time
Worker Welfare
- Ensure job satisfaction through rewards and recognition.
Ergonomic Issues
- Job rotation and work on every other car so get to walk.
Quality Issues
- Pull the line to play a tune and alert supervisor
Part Tracking
- barcode so know where every product is and need to know when to order with
Just In Time approach.
Management need to
educate
the workforce
Inventory Management is strong.
All inventory
stacked neatly
and
barcoded
The more skilled the job, the older the worker eg. sheet metal workers. Takes years of
training
Variety
of ages
Generally younger workers performed less skilled tasks
Both men and women but mainly men. Women in quality control and checks
Customisation
- Batch Sheet details each vehicles specifications and goes round the assembly line with the car.
Parts are brought
to the product
saving non value added time
The product goes from
process to process
, like an aeroplane
The Castle Bromwich Plant is split into
blocks
, each with a different function
C Block
F Block
Constantly moving
assembly line
Good,
continuous production flow
Broadening
Range
: Hatchback, new crossover markets
.
Low level
on the shop floor due to
4 hour delivery
slots
Making more stages of manufacture
automatic

30 minutes
Increasing
Manufacture - new i54 engine centre in Wolverhampton [7]
4 hours
£10,000 per minute late charge
Conclusion
Being taken over by TATA changed JLR around, was
making losses
with Ford.
Objective
sources
Greenwashing
Independent
sources
Fully covered key features of the company, its products, and the market.

[13] Fox Business - Latest News - Jaguar Land Rover Labor Union Vote in Favor of New 2-Year Pay Deal. 2013. Fox Business - Latest News - Jaguar Land Rover Labor Union Vote in Favor of New 2-Year Pay Deal. [ONLINE] Available at: http://m.foxbusiness.com/quickPage.html?page=32811&content=81369354&pageNum=-1. [Accessed 11 December 2013].
Economic Climate: Just coming out of a
recession
but surprisingly doing well
Media Coverage and Awareness on cutting

CO2 Footprint
Relatively few competitors that uphold a
luxurious
brand image whilst being
sustainable
Motor Industry were the first to give a sector
wide sustainability report
, showing the importance of it for Jaguar.
Key environmental policies:
Tailpipe
CO2 emissions
End of Life
Vehicle Directive
• Jaguar Land Rover was one of the first UK vehicle manufacturers to complete an officially recognised study of the
overall environmental impact of a vehicle
, the Life Cycle Assessment (LCA).
Importance
[2]
[1] BITC. (2013). Jaguar Land Rover - Sustainability Excellence. Available: http://www.bitc.org.uk/our-resources/case-studies/jaguar-land-rover-sustainability-excellence. Last accessed 11/12/13.
Aluminium obtained from bauxite by electrolysis at a yield of 80 percent -
financially sound
Aluminium gives car
quality
and is still above minimum
safety standards
[3]
Robots used in production and assembly for high quality
repeatability
and
consistency
[3] Jaguar Land Rover. (2013). Jaguar Land Rover Reports Second Quarter Earnings For 2013/14 Fiscal Year. Available: http://newsroom.jaguarlandrover.com/en-in/jlr-corp/news/2013/11/jlr_second_quarter_earnings_20132014_081113/. Last accessed 11/12/13.


£40m+ installation cost
for 110 robots in block C
Financially viable
for Jaguar
[4]
[4] Boeing 777 Family. (2013). 777 Moving Production Line. Available: http://www.boeing.com/boeing/commercial/777family/777movingline.page. Last accessed 11/12/13.
Kawasaki ABB robots used for good

precision

and
low tolerance
[5]
[5]
[5] Khan Sultan. (2012). PICS : Jaguar's Castle Bromwich (UK) Factory. Detailed report on the making of the XJ. Available: http://www.team-bhp.com/forum/technical-stuff/120422-pics-jaguars-castle-bromwich-uk-factory-detailed-report-making-xj.html. Last accessed 11/12/13.
[5]
[5]
Air pressure
in the factory is higher than outside so that when doors are open, air goes out rather than come in.
[6]
[6] BBC news business sector. (2013). Jaguar Land Rover confirms Brazil car factory plans. Available: http://www.bbc.co.uk/news/business-25247483. Last accessed 11/12/13.
2012 in 'Car Magazine', the overall market share was
0.69% of all cars
sold
Went down from
0.71% in 2011
[7] Peter Plisner. (2013). Jaguar Land Rover to create 700 new jobs at i54 plant. Available: http://www.bbc.co.uk/news/uk-england-21662673. Last accessed 11/12/13.
Main competitors
: Porsche, Mercedes Benz, Audi, Aston Martin, BMW and Bentley.
An example of F-type equivalents are the BMW Z4, a few of the Porsche range and the Mercedes SLK
[9]
[9] Jaguar Land Rover. (2013). JAGUAR LAND ROVER ANNOUNCES PLANS TO WORK WITH INTEL TO DELIVER NEXT GENERATION IN-VEHICLE TECHNOLOGIES. Available: http://www.jaguarlandrover.com/gl/en/about-us/news/2013/11/20/jaguar-land-rover-announces-plans-to-work-with-intel-to-deliver-next-generation-in-vehicle-technologies/. Last accessed 11/12/13.
Generates in the region of
85%
of its revenue from
exports
122%
sales increase in
China
in 2012
[10] http://newsroom.jaguarlandrover.com/en-in/jlr-corp/news/2013/10/jlr_record_sept_performance_101013/

[8]
[8] Jaguar Land Rover. (2013). Responsible Business. Available: http://www.jaguarlandrover.com/gl/en/responsible-business/. Last accessed 11/12/13.
[8]
[10]
[10]
[12] Jaguar Land Rover Sales Momentum Continues With Record September Performance. 2013. Jaguar Land Rover Sales Momentum Continues With Record September Performance. [ONLINE] Available at: http://newsroom.jaguarlandrover.com/en-in/jlr-corp/news/2013/10/jlr_record_sept_performance_101013/. [Accessed 11 December 2013].
Current
lack of range
in their cars in comparison to main competitors
Potential risk of
brand image
not being maintained with such a long development time
Despite cars being popular in their market,
design
of them is frequently
criticised
Tata acquisition cost cutting lead to
labour union
issues
[2] Roland Gribbon. (2013). Jaguar Land Rover: £1.3bn Tata gamble pays off as big cat purrs at last. Available: http://www.telegraph.co.uk/finance/newsbysector/transport/10310725/Jaguar-Land-Rover-1.3bn-Tata-gamble-pays-off-as-big-cat-purrs-at-last.html. Last accessed 11/12/13.
[11] SMMT. (2013). Environment. Available: http://www.smmt.co.uk/industry-topics/environment/intro/. Last accessed 11/12/13.
In 2001, government changed the vehicle
taxation
system aligning it to tailpipe CO2 emissions [14]
[14] SMMT. (2013). Economy. Available: http://www.smmt.co.uk/industry-topics/economy/. Last accessed 11/12/13.
[11]
[8]
The cave is the only of its kind in the UK and is a
huge advancement
in the automotive industry
Information
stored permanently
by Jaguar, to be accessed by user
Can also detect
defects
and alert workers via an alarm
At the end of manufacture, each car is run through testing - rolling roads, electrical component operation and water sealant testing
87% pass
, the remaining 13% needed to be transferred for relevant repair
Calibration
supplied by Zurich - testing every 3 months to validate any
insurance
claims from major malfunction
Ask suppliers to deliver in
reusable packaging
TQM
- Total Quality Management.

Ensures quality in each process
Then assemble the next part
Safety aspects of cars are governed by
legal requirement
, which can affect a cars aesthetic
Companies are attempting to make cars
as light as possible
without exceeding these requirements
No
jewellery
Grey panels for
protection.

Lasers
follow car around as part of
control system
- management know where car is.
[15]
[15]
[15] Jonathan Burn. (2013). UK 2012 car sales analysis: winners and losers. Available: http://www.carmagazine.co.uk/News/Search-Results/Industry-News/UK-2012-car-sales-analysis-winners-and-losers/. Last accessed 11/12/13.
77.9%
of
all vehicles produced
in the UK were destined for export
[14]
Sustainability
aims
Global
image
Robot assembly advantages
The company, products and market
Whole Automotive Industry has recovered after recession, adding
£10m
to UK Economy in 2010
[14]
Pictures [16]
[16] Wikipedia. (2013). Jaguar Cars. Available: http://en.wikipedia.org/wiki/Jaguar_Cars. Last accessed 11/12/13.
Pictures [17]
[17] AutoMoto TV. (2012). Jaguar XJ production line B-roll. Available: Last accessed 11/12/13.
[18]
[18] ValeMail. (2008). Ford prepares to say Ta ta to Jaguar. Available: http://valemail.wordpress.com/2008/01/03/ford-prepares-to-say-ta-ta-to-jaguar/. Last accessed 11th Dec 2013.
Undesirable as Jaguar is a proud British company, but in the words of our guide it was 'too financially attractive'
Full transcript