business

Topics: Lamborghini, Pagani Zonda, Mercedes-AMG Pages: 9 (2170 words) Published: March 3, 2014
Business report
Global business operations - Lamborghini Aventador

Executive summary

This report addresses the operational processes, influences on the business and operations strategies in relation to Lamborghini, and the Lamborghini Aventador. Section 1 of the report outlines the operations processes Lamborghini implement in order to create the Lamborghini Aventador. This section goes into detail about the inputs (materials used, human resources and machinery), the transformation process (volume, variety, variation) and out puts (customer service and warranties). Section 2 identifies three key influences on the business, including quality expectations, cost based competition and technology and describes how each individual one effects the operations of the business. Section 3 outlines two operational strategies including inventory methods and technology, which Lamborghini uses to maximise sales, profits and increase market share. This report also includes a recommendations section, where the main business recommendations are outlined and discussed.

Section 1: Operations processes
Inputs

Materials

The Lamborghini Aventador is a very unique sports car as Lamborghini strived to develop the vehicle into one of the best during its time period of 2011 compared to a new breed in super car manufacturers Koenigsegg and Pagani. Lamborghini strived in making the Aventador unique, fast, light and strong, this meant using the following materials to achieve the above.

Carbon fibre
Aluminium
Airbags
Spoilers
Side air inlets
SMC rear fender
Rocker cover
Dry double plate clutch
Hydraulic brakes
Mirrors
Pirelli 255/35 ZR19 tyres

Human resources

Employees are said to be the single most important input into a business. Staff that are well qualified, hard working and disciplined can bring great productivity and efficiency to business operations. Lamborghini realises this fact and divides its workers into separate tasks and only hires the most skilful employees suited to each individual job. This is because cars such as the Aventador require a lot of time, skill and preparation to construct. Most parts of the Lamborghini Aventador cannot be made or finished by machine, only by human hands which can be seen during the process of the paint job where 1 of 13 colours are hand sprayed onto over 27 individual pieces with over 8 litres of paint. The Aventador with its extreme lines requires more man-hours than any other Lamborghini in the past, every phase is of course carried out manually as only human analysis and dexterity can ensure that each surface is covered with exactly the right amount of paint.

Machinery
Machinery and technology are necessary to enable the transformation processes, which are characteristic of operations. Machinery is used to process raw materials such as carbon fibre and aluminium, as well as to design and make products like the Lamborghini Aventador. Machinery integrated with technologies can perform very complex tasks very quickly. Lamborghini uses many machines to create different sections of the Aventador, these include:

Laminator
Vacuum
Autoclave (pressurised oven)
Precision lazers
Robotic arms with 3D lazers
Light tunnels
Robotic paint arms

Transformation

Volume

There is only a very specific target market who can afford to buy super cars such as the Aventador due to the car being too expensive for the average consumer. The Lamborghini Aventador is $750,000 AUS new, which is very pricy for most car buyers who purchase vehicles at the $50,000 mark. As a result only a few are made. At the moment Lamborghini produces 20 Aventador’s per week (1,040 per annum).

Variety

The Lamborghini Aventador is available in 13 colours, these include:

Arancio Argos Peal
Arancio Atlas Pearl
Bianco Canopus Matt
Bianco Isis
Blu Hera Metallic
Giallo Evros
Giallo Orion Pearl Effect...
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