A Study On Technical Strategy Management For W Automotive

Till 2017,China has been continuously the first place in terms of car sales in the world in the last 9 years.Only in 2017,the production and sales has achieved 29 mio and 28.9 mio.However,China is only the car manufactory country,without design advantages,while some key technologies are still developing and controlled by foreign-owned companies.China has not yet well developed its innovation capabilities with systematic mindset,and is still far behind some European and American companies.This thesis is about a joint-venture called W Car Manufacturing Company,which wants to get the key technologies by selling its marketing share with a foreign company.However,most of the technologies are still controlled by the headquarter,the models imported to China are limited,the spare parts are not compatible with local capacity,and it is also difficult to localize the spare parts.Due to the limitation of development capability,the company has to pay a lot of design cost to the headquarter in England,which shared a lot of profit.It is too risky for the company if the key technology developed by others.W company takes actions to have its own strategy by analyzing the internal situations(Boston matrix),external environment(PEST model),and the industrial overall development(Michael Porter’s Five Forces Model),trying to highlight its own advantages,disadvantages,opportunities and threaten(SWOT).This topic will start from R&D,learn from headquarter of its technology and focus on developing new products.Moreover,W company will optimize the organization by creating new R& D department,and promote them as independent decision maker.To support the technology development,the company also invests in hiring and promoting new talents,as well as designing new performance appraise policies,which will be linked to the technologies development strategy.W company also pays attention to integrate strategic supply chain management into the technology development project,to make sure the whole chain reliable.To summarize,the strategy includes: R&D innovation,organization optimization,Human Resource Business Partner,and Supply China integration to make sure the strategy completely developing.