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Structure of problem: problem and structure

1. Growth in company is steady but isn’t fast enough. COVID-19 has started to affect the
industry supply chain which is already inefficient.
2. There are cultural differences between complementary companies-acquirer Briyan and
acquired company Jamie Motors.
3. Supply chain analysis of automobile industry with individual and joint value propositions
with along with SWOT analysis along value chain.
4. 4V analysis and porter’s 5 force analysis.

Analysis: Critical success factor are SCM and cost reduction with innovation.
Briyan+ JAMIE

Briyan+ JAMIE
Raw materials like Seat Briyan+ JAMIE

etc Employes Manufacturing


/workers,Infrastructure Service BRIYAN
Marketing Sales (outbound
Joint resources logistics)
JAMIE

I/P Operations Marketing sales


Strengths
More New Plants + manufacturing Build up portfolio Leverage
suppliers hubs, JIT is possible. regional offices
Source inputs at Enhanced capacity Added Good will Strong sales
cheaper costs utilization and lend capacity of Jamie motors. network
(Geo-spread) to earn extra income
Low bargaining Sharing Know how of Closeness to
power-supplier improvises processes, quality markets.
Low economic policy shocks
to hubs due to geo-spread
Weakness: Cultural integration
Opportunity: Acquisitions time of COVID COVID sensitive ads Govt./ stable Staff
Threat Environment regulations
Supply issues R&D costs Falling stock price Policy changes

4V analysis: volume=High; variety =medium; variability= medium- high (COVID);visibility=


(18-34yrs)-High; (35-49 yrs )- medium; (50+ yrs)-Low[exhibit-5]

Porter’s 5 forces: high bargaining power of buyer: offer discount; Low bargaining power of
suppliers- ensure long term contracts and loyalty; high threat to substitutes (2wheelers,
Nano); High rivalry among existing firms- Focus on SCM efficiency, acquisitions, and cost
reductions with innovation. Threat of new entrant is low in year2020.
Recommendations: Cost per unit=4013$;SP per unit=4052$.therefore if costs are reduced by
1000$,even if sale is reduced by 5Billion at 7.5% discount offered , profits of 12,655.12 +other
finance value will be gained. Therefore focus on supply chain efficiency and cost reduction
with innovation. Ex: detachable middle seat in middle segment cars (COVID compatible).
Reduce Inventory, eliminate waiting times .Use pricing strategy to balance supply-demand.
Give a non binding forecast to Jamie motors. Single supplier, outsourcing and long term
contracts for I/Ps. Intangible like information of safe drive, Corona safety drive, fuel save, end
of life processes be communicated. Link dealers and customers on interactive website .Assured
employment during rough times enhance loyalty and motivation.
-Team INDIGENOUS 2020; IIMK-Kavya, Ajay, Ajit(PGP -23 batch) .2019-2021;2years course

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