Documenti di Didattica
Documenti di Professioni
Documenti di Cultura
Prepared By:
Arman Kulchmanov
Veronika Yerembessova
Rasha Zohour Adi
Adeline Gan Hwee Ling
2/19/16
FACTS
Name
Year Founded
1983
Profile of theMahathir
company
Founder
Mohamad
Subsidiaries
11 Subsidiaries
and 11 associated companies
Year-founder-size
of productionmanufacturing, research and development,
revenue
sales and service activities.
Adopted Technology
First Car
First Plant
Shah Alam
Actual Size Of
Production
8227 million RM
Average Revenue
From 2006 Till 2010
6571 million RM
International Market
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COLLABORATION/PARTNERS
HIP
PROTONPROTON SEPARATE
PROTON + (?)
MISSED
OPPORTUNITIES
MITSUBISHI
19
85
SAGA: 1.3 or
1.5 litre
engines.
Simpler model
of the Lancer, a
well-established
and popular
Mitsubishi
model for the
mass market
200
1
200
4
2004-2007
Discussions with
global automotive
original
equipment
EFFECT:
Deteriorating quality of proton products. manufacturers
Customers perceived the quality of proton (OEMs), including
vehicles to be better when they were still General Motors
(GM), Peugeot and,
produced in partnership
with Mitsubishi
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PROTON Annual Reports 2012
more recently,
Eventually, Mitsubishi agreed to form another
INDUSTRY OVERVIEW
PROTON was
Malaysia's dominant
auto manufacturer
until the
establishment of
PERODUA, in the
year 1993.
Now the Malaysian
auto market is
dominated by
Malaysia's national
cars, PROTON and
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PERODUA which
INDUSTRY OVERVIEW-Local
Market
Competitors
Market share
2/19/16
Malaysia
NUMBER
3,500,000
%
92%
United Kingdom
151,421
4%
China
Australia
Singapore
TOTAL
85,922
32,936
23,950
3,794,229
2%
1%
1%
100%
Summary : only 8% of all sold cars were exported and 92% were
purchased in internal market
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PROTON STRATEGY
As per its Official Website and Annual Reports,
PROTON
listed the following values as its core strategy values:
1.
2.
3.
4.
5.
6.
7.
Quality
Customer Focus
Innovation
Team Work
Speed
Caring
Honesty
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High
Quality
and
Low
Price!
4-Supplier Power
-few dominant suppliers
-Since established, proton does not face serious
problems from suppliers and moreover, it has
secured channels by the government and
supported very well.
-because the industry is directly connected to
safety and quality of life of the customers. The
most important factor which add up to the
influence of the suppliers is the high cost of
switching.
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5-Buyer Power
The buyer will always choose the lower price car
PORTER
S Five
Forces
2/19/16
Cont.
3-Threat of Substitutes
There is a high threat from the competitor Perdoua, as prices are more
affordable. Motorcycles are also highly considered as a substitute
4-Supplier Power
PORTER
S Five
Forces
5-Buyer Power
The buyer will always choose the lower price car.
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ECONOMICAL
AFTA *(Asian Free
Highly competitive
Trade Area)
Automotive Market
(eradication of tax
Effect of financial
barriers (+&-))
crisis
National Automobile
Pure consumer
PolicySOCIAL
(NAP)
segmentation
Growing concern
TECHNOLOGICAL
toward the
Poor introduction of
environmental
new technologies
issues
Intellectual property
Growing Population
Potential for
Customer loyaltydevelopment
Proton is National
LEGAL
Brand
Commitment for
safety and
ENVIRONMENTAL
Growing concern
environmental
friendly cars
toward the
Government
environmental issues
2/19/16 protection
Janetariffs
Terpstra Tong, Robert H. Terpstra, and Ngat Chin Lim, (2012)
New
INTERNAL STRATEGIC
ANALYSIS
VALUE CHAIN
Firm Infrastructure
Human Resource Management
Support
Activities Technology Development
Procurement
Inbound
Logistic
s
MARGIN
Operations
Outbound
Logistics
Marketin
g And
Sales
Primary Activities
2/19/16
Service
in business environment
Government protection
Technology
Developmen
t
Task - timely preparation and risk mitigation of technology acquisition based on the
information given by the panels.
Purpose -advise and provide recommendation to PROTON on current, future technologies
and global automotive directions.
PTR - PROTON Technology Roadmap
Serves as a blueprint for the Company in shaping PROTONs car of the future. It forms an
integral part of the decision making process of the technologies that should be acquired so
as to remain competitive and profitable in the domestic and global market within a ten
year time frame.
Technology Transfer
Protons engineers were attracted in Saudi Arabias project - Develop the plan of totally
automotive development and manufacturing capability. That project was run by King
Abdulaziz City for Science and Technology (KACST), an independent scientific organisation
in Saudi Arabia.
Result :
the prototype car was successfully completed by 22 October 2010 and was showcased
during the Riyadh Motor Show from 4 9 December 2010.
Operations
Outbound
Logistics
Marketing
and Sales
Service
In 2005:
In 2010:
In 2012
1 ) ENGINEERING
SERVICES*
2 CLASS-es
In 2005
special category of
dealers the
Approved Permit
(AP) holders.
In 2009
National
Automotive Policy
(open APs would be
phased out by
2015 and
franchise APs by
2020)
Pre-purchasing
customer
Financial
service
( agreement
between Proton
and CIMB) [5]
Government
support (loans in
2010 were
available for less
than 23% per
annum)
EXPECTATION
Without open APs,
most used car
dealers would not
be able to operate
A genuine Proton
service
guarantees
287 vendors
3000 subsuppliers
5000
components
Only 10% of
them hold
Grade A
ranking
RESULT:
60% defects
because of
poor quality
of suppliers
CHANGE
STRATEGY:
Reduce
number of
vendors to
180
Increase
inbound
control
2/19/16
* (comments
slide)
in
next
2) MANUFACTURING
PROTON Shah Alam
Capacity is 150,000 units
MVFs capacity is 50,000
Total capacity of
200,000 units per year.
PROTON
Tanjung
Malim
Annual
capacity
of
150,000 units.
PROSPECTS
plan
to
deliver
189,900units up to 91%.
3)
QUALITY
CONTROL**
Strategy vision:
Quality Improvement
as a cost reduction
** (see comments next
to
eng.
services
comments)
(The
Centre
for
Logistics,
Allocation,
Storage and Services )
ACCOMODATION
CAPACITY
Sijangkang 7.000
cars
Tanjung
Malim 6.000 cars
service
internal
market and preparing
cars for shipment to
the export
RESULT
The CLASS process
enables to reduce a
host
of
problems,
including
multiple
handling
by
40%,
unnecessary
waiting
time to a maximum of
three days, secondary
defects and excess
inventory at staging
points
(Service,
design,consulta
ncy, and
maintenance
centres which
located in
Kuala Lumpur,
Selangor, Kedah
, Perlis,
Kelantan,
Penang,
Terengganu,
Perak, Pahang,
Melaka,
Sembilan, Johor,
STYLING &
TECHNOLOGY
DEVELOPMENT
In 2010
Global Styling Pahlawan
Series Show Car
PROCESS
IMPROVEMENTS
Product Lifecycle
Management
An aggressive process
improvement initiative for
managing product
developing (build the
platform for collaboration
and integration of business
processes which help
PROTON improve
operational efficiency, refine
product management and
eliminate redundant
processes.)
2/19/16
The Aim:
Convince that Company
able to produce high quality
cars for internal and
external markets as well
Towards Quality
Culture:
InnovativeDriven Quality:
Quality
Improvement
Team
Quality
Improvement
Committee
All Innovation
Matters (AIM)
The Committee
every week discuss,
recommend and
resolve Issues. are
attended by all
operational units
Engineering, Group
Procurement,
Manufacturing,
Quality and After
Sales Division and
chaired by Director
of quality for
achieve Companys
2/19/16
Total Quality
Ownership
(TQO)
PROTON Tanjung
Malim Sdn
PROTON City
Distribution Service
Centre ???? [3]
speciallizing in Automotive
Tooling Engineering, Design and
Manufacturing services
consultancy services
Grow or DISAPPEAR?
Place
where they
HAVE TO
BE
Place
where they
COULD BE
CURRENT
POSITION
RECOMMENDATIONS
Conqueror external markets (AFTA members Brunei, Indonesia, Malaysia, Philippines, Singapore,
Thailand, Cambodia, Myanmar, Laos and Vietnam).
increase export of manufactured cars!
Option1
Option 2
Option 3
2/19/16
CONCLUSION
After analyzing Protons strategy vision
which is increasing quality along with
decreasing cost, they will not be able
to implement it because they still
depend on acquiring external
technologies which is too costly for
them. However, their efforts for
getting engaged with Global
Automotive Original Equipment
Manufacturers (OEMs) is one of the
2/19/16
REFERENCES
[1] Malaysia
http://paultan.org/2008/08/03/proton-produced-3000000-cars-since-1985/
UK
http
://www.thestar.com.my/story.aspx?file=%2f2009%2f10%2f1%2fbusiness%2f20091001141452&sec=
business
http://a4rzero.wordpress.com/2012/11/29/proton-intl-sales/
http://bestsellingcarsblog.com/2013/02/01/uk-full-year-2012-now-with-top-350-all-models-ranking/
China
https
://commons.wikimedia.org/wiki/File:Sales_of_Proton_Gen-2_and_Persona_%28EuropeStar_L3%29_and
_EuropeStar_L5_in_China,_2010_-_
mid_2013.png
Australia
New straits time- banks team up in money changing business 26/8/1996 Newspaper
http://news.google.com/newspapers?id=lQhPAAAAIBAJ&sjid=WRUEAAAAIBAJ&pg=4135,582145&dq=
proton+australia&hl=en
http://www.bernama.com.my/bernama/v3/news_lite.php?id=256973
http://bestsellingcarsblog.com/2013/01/05/australia-full-year-2012-mazda3-leads-again-in-record-mar
ket-no-local-model-on-podium-for-the-first-time-since-1930s
/
Singapore
http://a4rzero.wordpress.com/2012/11/29/proton-intl-sales/
http://media.straitstimes.com/coe1/annual_registration.html
2/19/16
REFERENCES Cont.
1. Ir.chartnexus.com. 2013. Proton Holdings Berhad - Annual Reports 2011. [online] Available at:
http://ir.chartnexus.com/proton/flash/ar_2011/index.html [Accessed: 13 Nov 2013]
2. Careers-proton.com. 2013. Careers at PROTON. [online] Available at: http://www.careersproton.com/workingforproton.html [Accessed: 13 Nov 2013]
3. http://www.servicecenter.com.my/proton-service-centre-list
4. http://alpha-auto-service.com/service/
5. http://www.proton.com.au/about-proton/aftersales/service/
6.
http://www.freemalaysiatoday.com/category/business/2013/09/23/sales-down-for-perodua-proton-inaugust/
7. 1st sustainable conference (pdf)
2/19/16