Manish tripathi-innovation-5 august2016
- 1. Innovation @ Tesla Motors Thakur Institute of Management Studies and Research (Friday , 5th August, 2016) Presented by Mr. Manish Tripathi ( I – 15-18-19)
- 2. Tesla Motors: An Introduction • Ranked #3 on the 2015 Most innovative companies by BCG 10th annual listing • Electric Automotive, Renewable Energy Storage Systems • Founded July 2003 • Headquarters: Palo Alto, California, US • Number of employees: 13,058 (2015) • Key person: Elon Musk (Chairman and CEO)
- 3. Tesla Motors: Financial overview • Revenue: US$4.04 billion (2015) • Operating income: US$-716 million (2015) • Net income: US$-888 million (2015) • Total assets: US$8.09 billion (2015) • Market valuation exceeds $30 billion
- 4. Elon Musk • Born June 28, 1971, is a South African-born Canadian-American business magnate, engineer and inventor • The founder, CEO and CTO of SpaceX; co-founder, CEO and product architect of Tesla Motors; co- founder and chairman of SolarCity, co-chairman of OpenAI; co-founder of Zip2; and founder of X.com • As of June 2016, estimated net worth of US$12.7 billion, the 83rd wealthiest person in the world
- 5. • States that the goals of SolarCity, Tesla Motors, and SpaceX revolve around his vision to change the world and humanity • Goals include reducing global warming through sustainable energy production and consumption, and reducing the "risk of human extinction" by "making life multiplanetary" by setting up a human colony on Mars • Envisioned a high-speed transportation system known as the Hyperloop, and has proposed a VTOL supersonic jet aircraft with electric fan propulsion, known as the Musk electric jet
- 7. 1 • Tesla figured out how to bring an 85kWh battery pack to market at an affordable price point • The Tesla Roadster has standard range of 393km for one time charge • Model S standard range varies from 335km to 426km for one time charge • It innovatively equipped Tesla Roaster with thousands of laptop Lithium-ion cells and assembles them into a performance and cost optimized battery pack • Most other OEMs choose a 16-24 kWh battery pack allowing a small range from 100 km to 160 km
- 8. 2 • Direct to Consumer Distribution Model • Tesla feels as though there is a “fundamental conflict of interest” for dealers trying to sell both traditional gasoline vehicles and electric cars • Sell cars online • Save time and money by skipping the middleman • Customers require a great deal of information and education before making a purchase, and Tesla entrust the responsibilities of “electric car education” to their own employees • Also has Apple-like retail outlets
- 9. 3 • Customer deposits up front—a year, two years, three years in advance of production and delivery • They are essentially no-interest loans, or free money • With 325,000 people signing up and paying $1,000 each for Model 3 reservations, the company just hoovered up another $325 million—without paying a dime in Wall Street underwriting fees
- 10. 4 • Building a mass-market vehicle with an aluminium structure, and doing so profitably • Aluminum does not corrode as easily • Its lighter, Steel is about three times heavier per volume than aluminum
- 11. 5 • Simple application updates – Customers can treat a Tesla car as an App that can be upgraded on the fly when bug or better algorithms are found • Updated over the air • Car can determine the distance to be covered and the location and distance of nearest charging station • Screen offers advance features to control most aspect of the car
- 12. 6 • Personalization – Customized experience for different drivers with car seat, climate control, and other features etc.
- 13. 7 • The Tesla Gigafactory 1 is a lithium-ion battery production factory in Nevada • Would enable Tesla to produce 1,500,000 cars per year • Earthquake resistant • Highly automatic production using robots • Solar and wind power generated for plant use
- 15. The End Result
- 16. Appreciation rather than Depreciation • Old adage that “a new car loses value as soon as you drive it off the lot” • Tesla continues to innovate by making cars that are energy efficient AND extremely cool looking • Cars are loaded with software. And because software can be updated frequently and seamlessly, a Tesla’s capabilities could potentially improve over time • The longer you own your Tesla, the more features and capabilities the car will offer you