Davis and Harley Davidson, the only
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For many people, Harley-Davidson is the ultimate symbol of American
individualism, and perhaps why the company takes up space so important in the cultural history of the United States. However, in the 1980s, it almost
abandoned the business after finding that, even as a national icon, losing more and more space for the bikes imported.
Through a series of initiatives strategically coordinated,
Harley-Davidson was able to revolutionize their products and create a
new identity in the industry call "lifestyle". During the process, the
company revitalized its vision and redefined its energies, improving
quality, productivity and relationships with employees.
Extended the brand to related businesses and became leader of
the sector. When designing and pursuing a vision of enthusiastic
customers and employees, was again one of the most dynamic
organizations of the United States.
How did this happen? Simply put, the company has a vision in the
center of the strategic process, creating the momentum necessary to
overcome the limitations of the past.
She has acted on the view, also called "vision for design," a strategic tool to get rid of these restrictions and may
be a source of transformation.
Contrary to popular belief, the view is not a magical process
isolated from the realities of business. Throughout the experience with
companies of all sectors, it was discovered that the process works best
when based on knowledge of the existing teams of leaders. The most
valuable lesson was that the power of visualization, in any case, the
commitment is reflective of the leaders with a dimension of past,
present and future. Reflection is the ability to consciously distance
themselves from what is immediately to take into account the key issues
and generate alternatives through the speech. The visualization process
encourages reflection and open space for dialogue to question the
assumptions and introduce new possibilities.
It was shown more than once that visualization leads teams to develop strategic, solidly and realistically, a better future.
The main purpose of this hub is to show that vision is a practical
tool of management and is essential for the development of the
strategy. Another objective is to demonstrate that, when the display is
used reflexively, it contributes to improving the quality of strategic
decisions. Finally, I warn that it is essential that strategic leaders
develop a vision of 360 degrees, based on the present and toward the future. The visualization helps companies target time, energy and resources to initiatives aimed at transforming.
To prove the essential qualities involved, I present a model visualization in four dimensions, which facilitates the evaluation
of internal and external environments of business. Its advantage is
that the division into parts, which brings structure to the process.
Take the case of Harley-Davidson.
What is vision?
Although widely used, the term is usually defined and applied as incorrect. The vision brings together the ideology or philosophy
that drive a company, expressing the values, purpose and direction
through a mission and a set of corporate goals.
The core values and purpose should be preserved, but all other
factors may change. The basic principle is that the vision should be both
constant and flexible. The studies say little about how to
formulate, communicate and implement the vision, and are reluctant to
implement the view in depth, as a means of conducting strategic
conversations. Several aspects of visionary executives associate the
lack of reality, a synonym of high ideals and goals complicated.
I believe the best way to release the vision of negative
perceptions is through a practical demonstration. The vision is a
strategic product deliberate. The view is a communicative technique
used to create a vision. To determine an agenda for organizational
development and set the foundations for a more detailed strategic work,
the vision must meet three conditions: be fully and reach all aspects
of business, be inclusive, bringing together internal and external
areas of the company and the main stakeholders, and establish a path of
dynamic change. For this, we must tell, in fact, with two views: one
static, which shows where the company is, and other dynamics, showing
the place where it can be if given the appropriate steps.
It is easy to develop a comprehensive vision, inclusive and
dynamic. Sometimes it just comes from the hands of leaders like
Katsuaki Watanabe (Toyota) or Steve Jobs (Apple).
Vision and reflex
How to ensure that the vision is comprehensive, inclusive and
dynamic? This is achieved through the process of drafting the vision,
"which involves a critical reflection on each of the four key
dimensions of the parent organization, culture, markets, and
relationships, designed to turn its constituent parts. The culture, for
example, is defined by the values (the beliefs that guide their
relationship with the world), management style (style and behavior of
leaders) and relations with employees (quality interactions between managers and employees).
By examining each item, identify the essential characteristics
that should be reflected in the overview. Taken together, the 12
attributes of vision form a realistic picture of what the company can
be a few years.
We use the development of vision to facilitate strategic
conversations first step. You are invited to team leaders for a
critical reflection on each of the dimensions of the model. With
respect to each attribute, the question arises where the company is
currently and where you want to be in three years. This seemingly
simple process enables the expression of a variety of views and intense
debate, as the participants strive to identify the strengths and weaknesses of
the existing framework and how best to improve it in the future. In
thinking about "what", "why,"
"When", "where", "who" and "how" you can identify problems,
questioning certainties and raise aspirations. Participants fail to see
the here and now and take a static orientation towards more dynamic ideas. Reflection refreshing ideas.
The view becomes a practical tool of the strategy to describe a
set of transitions from static state to dynamic. In general, asked to
describe the team, for each dimension, the current state and prospects
for the future desired. In the case of Harley-Davidson, the static view
contemplating the manufacture of heavy motorcycles, while the dynamic
view pointed to the transformation into a brand associated with
lifestyle. The catalyst for change was strong competition from Japanese
manufacturers low cost, forcing the renewal of the brand and focus on higher profitable value chain.
New look at Harley-Davidson
The resurgence of Harley-Davidson was guided by a vision sensitive to
customer is focused on partnerships, which identified that the
company was and where it should forward its future. For many, the
revival began with the creation of the Harley Owners Group (HOG, symbol, or group of
owners of Harley-Davidson), in order to encourage loyalty and
involvement of customers. Soon, the HOG has become the largest club of
its kind in the world, bringing nearly 1 million members. The bike
rides, meetings and events sponsored by the factory generate high
visibility that can benefit both the marketing and service customer service, and position the brand as a choice associated with the lifestyle.
The second essential component of the Renaissance was the product launch further, that increased the emphasis on lifestyle. Extensions
mark included upgrades and accessories: clothing for motorcyclists
and apparel common household items and a series of badges played by
"harleymanĂacs. In 2006, sales of items such as accessories and other
totaled $ 862 million, and general marketing accounted for an
additional $ 277.5 million (total sales were U.S. $ 5.8 billion).
At the same time, Harley-Davidson began to diversify into activities
next. The purchase of Eaglemark, renamed Harley-Davidson Financial
Services (HDFS), allowed the company to offer insurance for motorcycles
and extend lines of credit. The business unit is growing at a
double-digit increasingly contributing to operating profits of the parent.
Today customers can, for example, learning to ride a bike at a dealer's
mark or rent a vehicle during a test period. The promotional activities
include sponsorship from
Race to the supply of vehicles to escort the official policies of the ceremonies.
The transformation of the vision and the business can be
understood through pictures. The organization before, and based on the
hierarchical system of command and control, was replaced by a flatter
structure and integrated with practices and procedures more flexible
and inclusive. Harley-Davidson also renewed its corporate culture, but
without the need to change everything. The values promoted by it, as
truth, accuracy, integrity and respect for the individual, always
worked, it was necessary to improve the management style
Four dimensions of a company
The company abandoned its focus on short-term goals and management
vertical, with an eye on continuous improvement and commitment of
employees with quality, productivity and innovation. Instead of
occupying the role of antagonists, unions have agreed to act as
partners and not missing at Harley-Davidson was room for improving
relations. Since the early 1980s, the company was placed in a
protective relationship with the regulators, taking advantage of his
position as a national icon to contain, through obstacles, the advance
of foreign competitors, especially Japanese. Two decades later, the
world had changed and was very difficult to justify protectionist
stance.
What's more, the World Trade Organization has condemned such
tariffs and for the Harley-Davidson, it was appropriate to enter into
more open and more fair. For this, it was necessary to have standards
higher across the value chain. In order to reduce costs and improve its
responsiveness, the company deployed just-in-time and began to act
cooperatively with partners in the supply chain. At the same time, free
competition was replaced by an approach that recognized the potential
benefits of cooperation for all competitors.
As regards markets, Harley-Davidson became aware that his
customer base was very limited, it was restricted to male viewers aged
between 30 and 50. The launch of the Harley Owners Group (HOG) has to
increase its offer and the brand is bringing in women and younger
consumers, through items such as perfumes and clothing. Another
important measure was the abandonment of the image exclusively
American, seeking a more global presence.
But how all this happened?
It is not easy to change the culture of a company or change the
behavior of officials, especially when people do not accept that the
behavior
the company could be better. This was the situation of
Harley-Davidson in early 1980, and the transformation required several
years of constant effort.
The brain of recovery was Richard Teerlink, director of finance
(1981), Operations (1987) and president (1989). After solving various
problems, he realized that the difficulties of organization, culture,
markets and relations of the company were closely linked and that would
be difficult to untie that knot.
Teerlink really believed that human resources were the most
important asset and expanded opportunities for participation of
employees. With the support of a consultant in organizational
development Ozley Lee, the executive set a process of change, guided by
what was later called "joint view. The central idea was that employees
could feel "own" the vision to participate in its creation.
A comprehensive visualization enabled us to integrate the
contributions of employees previously excluded, as the workers. To
facilitate their access to top management, were eliminated hierarchical
levels. These efforts have resulted in rapidly increased employee
commitment and advances in productivity and quality.
The impact of recovery of Harley-Davidson and this broader view was considerable.
In late 2000, the average annual growth of the company was 15%. In
2003, the centenary of its founding, it sold 291,147 motorcycles,
almost double the total submitted five years earlier, and the HDFS
operating income increased 61%. Harley-Davidson returned to lead the
production of heavy bikes, with 50% stake in the U.S. market and 25% in
the world. Its main divisions (motorcycles and related products, and
financial services) outperform the results of almost all large
companies and automobile accessories. More than 21% of total sales were
international.
The company continues to grow at a double-digit rate in Europe and maintains
leadership in the Japanese market for large motorcycles.
Currently, pointed his sights to emerging markets of China and India,
where the vision of lifestyle is highly attractive to many fanatics
bikes.
Show must
Harley's case illustrates the role of vision and view the recovery
of a company. The direction and vision has brought new meaning to the
objectives of the organization and various stakeholders were inspired
and renewed their confidence in it. The view looked both individual and
collective interests and provided strategic conversations that would
not have dawned otherwise.
What happened at Harley-Davidson is a magnificent example of how to get the most
possible use of vision and visualization. It is important to highlight three aspects:
- The vision that emerged in the process was absolutely realistic and linked to the trajectory and the circumstances of the Harley-Davidson.
- The visualization process was transformative, because it gave rise to strategic talks with the participation of employees, customers, partners and investors.
- The company recognized the need for a vision of 360 degrees which was the samefull-time, inclusive and dynamic. In doing so, set an agenda for organizational improvements that functioned as a platform for sustainable growth.
The power of visualization as a practical tool for organizational development is in fact leading the teams leading to a reflective thinking and asking questions about the organization, culture, markets and relationships, which can occur only contemplate the dimensions of past, present and future. The result is a deep understanding of the problems and prospects of the company. This process, naturally arise different solutions and ambition.
Finally leave the link for one of the greatest representatives of this great brand:
Davis Harley Davidson: http://www.davishd.com/
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sabrebIade says:
3 weeks ago
Ahhhh...the only motorcycle!