Name- Artee Gupta (Roll No 8, Section B) EPGDIB 2019-20

Subject- HRM

Submission Date- 17th Aug’19

Topic- Balanced Scorecard for Fortune Motors

Defining

1) Vision
2) Mission
3) Strategic Priorities
4) Balanced Score Card- Defining Goals, Measures, Targets, Initiative for each- Financial/
Customer/ Internal Processes/ Learning & Development
5) Strategy Map- Interlinking of 4 perspective goals

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Vision- To regain the market share in Taiwan

Mission- To start the business of financing used car sales

Strategic Priorities-

1) To gain expertise in financing new cars

2) To establish relationship between their 1500 sales persons located in 89 sales centres
with the small and medium sized used car sellers around the country

BALANCED SCORE CARD

Objectives/ Goals Measures

Financial - To regain revenue To minimize default ratio by 1.5%
- To minimize auto loan default ratio

Customer - Selling of high Quality Used product Additional warranty for 1 year
not older than 5 years
- Fair interest rate for financing
- Optional Additional warranty
- Less Risky and less stressful

Internal - Tie-up with local and national - 3000 dealers to be appointed for used
Business financiers for loans car
- Collaboration with small & medium - Low Down payment of 4999
used car dealers under SUM venture - 1% processing fee scheme
(Serve Your Motors) - Festival schemes
- Launching of low PF/ low DP/
Promotional finance schemes

Learning & - To maintain quality and safety 1500 sales persons across 89 sales centres
Growth standards through SOP
- To maintain cleanliness standards
through training
SWOT ANALYSIS

STRENGTHS
- Quality customer Service and Satisfaction
- Exclusive supplier of small commercial vehicle
(less than 3.5 tons)
- 80% market share in small commercial vehicle
segment in 2004
- 89 Sales Centres throughout the country
- Close relationship with customers
OPPURTUNITIES
- To start financing business for user car to offbeat
the unregulated market
- To strengthen relationship with Banks and
Financial institutions
- To launch Low ROI/Low DP/ Promotional finance
schemes
- To provide secured loans for high credit risk
customers
- To maintain quality and safety standards by
training employees at dealership and sales centre
- Collaboration with small & medium sized used car
dealers
WEAKNESSES
- Auto loan default ratio is 1.3%
- No proper credit risk assessment mechanism for
customers
- No corporate tie-up in place for retail financing
THREATS
- Falling GDP per capital of 2.2% in 2003 end
- Migration of Taiwanese businesspersons to China
- Competitive pressure from Toyota
- Higher oil prices
- Auto loan default ratio is high to 3% due to
improper credit risk assessment mechanism
- Unregulated used car market to save the sales tax
of 5%
- Illegal financing market with very high rate of
interest e.g. 1% per day

STRATEGY MAP

Financial

To regain Minimizing auto

revenue loan default ratio
by 1.5%

Customer
Selling of high Fair interest Optional Less Risky
quality used rate for Additional and less
cars not less financing Warranty for stressful
than 5 years cars 1 year

Internal
Processes Tie up with local/ Collaboration Launch of low PF
national financiers with 3000 used (1%) /Low DP (4999)/
or cooperative car dealers under Promotional finance
banks SUM venture schemes

Organizational
Capacity To maintain quality and safety To maintain
standards at 89 sales centres cleanliness
covering 1500 sales persons standards across
through SOP 89 sales centres