Environmental Scanning

For the automotive manufacture ring industry (or any organization USA) to compete it is crucial to have a competitive advantage. This means the product or services requirements to be better-looking and more appealing than the competitors to influence customer traffic.

Porter (1985 pp2) suggests that "If your product is not cheaper than anyone else's or doesn't serve me better or more conveniently than anyone else's, why on earth should I use them?" Company’s should develop and implement a competitive strategic plan of action to gain an advantage. To begin, the process starts with the ongoing process of evaluating both the inside (internal) and outside (external) environment. BMW competitive advantage strategy is quite simple and works well for The BMW Group.

The group competitive advantage offers “No-Worry Maintenance” programs in addition to a 10-year warranty for new buyers. Toyota competitive advantage strategy is carried out by the Toyota Philosophy and measured by customer retention. The company’s competitive advantage is founded on the Toyota philosophy branded as the Toyota Production System. The structure hinges partly on the human resources management (HRM) policies which encourage staff members creativeness and devotion. Most important a highly effective network of suppliers and manufacturers are the desired result.

* Sustaining value and competitive advantage through business strategy. BMW and Toyota uses the environmental scanning strategy by evaluating, and monitoring their external (economic, environmental, and social resources) data more skillfully and thoroughly than their global competitors. General Motors trailed significantly behind the industry leaders. Research from Berlin's Institute for Futures Studies and Technology Assessment (IZT), measures the sustainable production of global automobile makers as of 1999 near 2007, using effective resources and production aimed at issues involving automotive emissions, waste accumulation, water use, and work-related accidents. Research indicates that the challenge to establish a value-based, and sustainability connection between corporate company’s strategic analysis and auto makers in terms of sustainable value. To achieve some sort of linkage as corporate organizations, an environmental scan strategy plan is constructed and training provided to implement it. The more efficient the three automakers use the above-mentioned resources in their environmental scan strategy, the more sustainable value they generate. BMW surpassed the European auto manufacturers in creating sustainable value, although the performance of the remaining auto manufacturers received mixed reviews. * Measurement guidelines

General Motors (GM) - measurement analyses are performed using validated software, using standard input data and checked using corresponding projected output results. Toyota – uses website flexibility that fit well with measurement performance in promotional activities. Noted marketing strategist, Belowski, embraced measurement in promotional activities.

He was quoted as saying, “Anyone can look at analytics and say ‘That's what we've got,’ but when you look at results and do something with them, that's when you're marketing,” Toyota realigned its strategy by reinvented how they approach measuring keyword searches in search engines instead will focus more on heighten their web-site presence. Toyota also employed Dealer.com to assist in reshaping its online operations. Subsequently, the company growth from 40% increased (out of 1,000 leads per month) with gradual increased earnings of 60%. The BMW Group definition of premium measurement is leadership in the growth of sustainability value.

BMW offers efficient resource-friendly manufacturing and visionary solutions for eco-friendly mobility will have a competitive edge. Strategic Mapping is a measurement tool also used by BMW for target mapping guidance, and direction. A roadmap ensuring the company attains growth, profitability, outlines its future and presents new innovative technologies to accomplish its objective of zero-emission vehicles reducing carbon waste in the atmosphere.

Strategic mapping is also a good tool for managing accountants who also partake in developing mapping. Another tool BMW make good use of is their marketing measurement strategy by reinventing and transforming the BMW Group value. As mentioned at the beginning of this environmental scan research, for the automotive manufacturing industry (or any industry USA) to compete in business it is crucial to have a competitive advantage plan. This means the product or services is visually stimulating and appealing to influence customer circulation.

References: * http://www.iatfglobaloversight.org/docs/Ford_Customer_Specfics_for_PPAP_March%2006.pdf

* http://chiefmarketer.com/marketing-roi/0401-toyota-uses-marketing-measurments/

* http://beyondthekm.com/2008/04/27/competitive-advantage-no-worry-maintenance-programs/

* M. Reza Vaghefi is Professor of Strategic Management and International Business, and Louis Woods