Jaguar Land Rover faces three main strategic challenges:
1) Land Rover has an outdated brand positioning that does not appeal to modern customers.
2) The company has unpredictable supply chain planning due to semiconductor shortages.
3) Jaguar Land Rover must innovate to develop fully electric vehicles and automation to remain competitive.
2. Table of Contents
Executive Summary ...................................................................................................................... 2
The First Section........................................................................................................................... 2
Activities of JLR......................................................................................................................... 2
Size and Structure of JLR...........................................................................................................3
History of JLR............................................................................................................................ 4
StrategyAnalysis....................................................................................................................... 4
Market Strategy and Competitors .......................................................................................... 4
PEST Analysis for Macroenvironment ..................................................................................... 5
VRIO Analysis for Microenvironment...................................................................................... 6
Strategic Challenge ................................................................................................................... 7
Outdated brand positioning for Land Rover ............................................................................ 7
Unpredictable supply chain planning for semiconductors ........................................................ 7
Innovation requirementsfor fully electric vehicles and automation..........................................8
Strategy Formulation ................................................................................................................ 8
Available Options.................................................................................................................. 8
Guiding Policy Formulation....................................................................................................9
Strategy Evaluation................................................................................................................... 9
SMART Framework................................................................................................................ 9
Strategic Actions..................................................................................................................... 10
The Second Section..................................................................................................................... 13
Reflective Group Report.......................................................................................................... 13
Appendices ................................................................................................................................ 14
Table. 1.1 VRIO analysis on resources of Jaguar Land Rover....................................................... 14
References................................................................................................................................. 15
3. Jaguar & Land Rover
Executive Summary
This report is the evaluation of the strategy of Jaguar Land Rover and potential
strategicchallenges aswell asthe guidingpolicy tThe goal of thisanalysiswasto examine qualitative
and quantitative data to determine Jaguar Land Rover (JLR) current strategic aims and policies.To
begin, we analyzed secondary data to learn about the company's existing market position, future
ambitions,andaspirations,aswell asitshistorythroughouttime.Because of the company'ssize and
scope,there was a wealthof informationavailable,aswell as numeroushighlyvaluable stakeholder
and yearlyreportsavailablestraightfromthe JaguarLandRoverwebsite.Inaddition,the groupmade
effective use of numerous news stories that offered varied perspectives. Following this study, we
gatheredasa groupand agreedon whatwe thoughtJLR's current strategicgoalswere,aswell asthe
strategicissuesthe firmwas facing,based on our analysis.Followingthe discoveryof these strategic
problems,ourobjective wasto developastrategythat wouldguide JaguarLand Rover in addressing
them.
The First Section
Activities of JLR
Jaguar Land RoverAutomotive PLC isthe holdingcompanyof JaguarLand RoverLimited,and
is a British multinationalautomobile manufacturerwhich produces luxury vehicles andsport utility
vehicles.Jaguar Land Rover is a subsidiary of Tata Motors Limited and has its head office in Whitley,
Coventry, UK. The principal activity of JLR is the development, design, manufacture, and sale of
vehicles.
The vision of JLR is to become the creator of the world’s most desirable luxury vehicles and
services, for the most discerning of customers (Rover, 2021). Their new global strategy statement is
“Reimagine our future” with the following arenas (Jaguarlandrover, 2021):
Sustainability-richreimaginationof modernluxury,uniquecustomerexperiences,andpositive
societal impact
Reimagination of Jaguar as an all-electric luxury brand from 2025 to ‘realise its unique
potential’
In the nextfive years,Land Roverwill welcome six pure electricvariantsasit continuestobe
the world leader of luxury SUVs
All Jaguar and Land Rover nameplates to be available in pure electric form by end of the
decade; first all-electric Land Rover model in 2024
Our aim is to achieve net zero carbon emissions across our supply chain, products, and
operations by 2039
There are two iconic brands of JLR: the Jaguar and the Land Rover. The Jaguar brand house
has six main portfolios: Jaguar F-pace, Jaguar E-pace, Jaguar I-pace, Jaguar F-type, Jaguar XE, and
Jaguar XF (Jaguar, 2022). The F-pace, E-pace and I-pace cars are all hybrid while the I-pace car types
are fullyelectric. The F-type isfora niche segment,mainlytargetedforsporttype.The XE and XF are
the normal car typeswhichare made availablefor typical customers. The LandRoverbrandhouse has
three main portfolios: Range Rover, Discovery, and Defender (Landrover, 2021). The Range Rover
4. portfolio istargetedforevokingnewexperienceswith refineddedicateddesigns,whilstthe Defender
family is for the durability and the Discovery cars are versatile to use in daily basis.
Size and Structure of JLR
Basedonthe latestreportfrom2019-2020, the JLRcorporate has beengeneratingrevenueof
£22.984 billion inthe year2020 withthe total of 39,787 employees (Wikipedia,2020).The numberof
productionoutputsfor both brands till 2018 are 439,749 outputs for Land Roverfamilyand 174,560
for Jaguar family. On the report of Statistain 2021 (Statista,December2021), Jaguar realizedatotal
revenue of US$3.7 billion worldwide, while the total market revenue amounted to US$1.6 trillion in
2020. The largestpassengercarssegment,Large SUVs,accountedfor29% of Jaguar'srevenuein2020.
Jaguar Land Rover PLC also has strategic businessunits across the world in many different countries
such as the United Kingdom, Ireland, Hungary, Slovakia, North America, and China. In terms of
organisationstructure,JLR hasacentralised organisation withstandardizedapproach wherethe main
headquarter is located in Whitley, Coventry, United Kingdom. The main operations such as the
productions and manufacturingare taking place in factories of UK whilst the rest of the SBUs across
the globe has only the supporting and front-end functions such as marketing, IT and HR.
There are five main functional areas corresponding to the hierarchy of the JLR organisation
and each function is composed of different respective departments according to their own agenda.
The five maindistinctfunctionsof JLR are (functions,2022) manufacturing,engineering,technology,
design, and corporate. The manufacturing function comprises departments such as advanced
manufacturing engineering, manufacturing operatives & supervisors, manufacturing research &
innovationandskilledtrades.The engineeringfunction iscomposedof productengineering,research,
powertrainoperations&engineering,programme managementandspecial operations departments.
The technology function has only two departments: the software engineering and data science. The
designfunctionhasbeenbrokendownintothreedepartments:the creative,technicalandoperations
designdepartments. The corporate functionisthe biggestfunctionof JLR, and itis composedof nine
departments namely: the finance and accountancy, assurance, legal, property, quality, purchasing,
information technology, marketing and communications, and human resources.
The organisation culture of JLR is established on the following organisation ethos namely,
“Transparency, Dependable, Make me feel special, Personalisedand Easy to do business with”. This
organisational ethos corporate togethertosetupthe pathforresponsibilitiesof employeesand steer
the performance growth. Moreover, JLR also has different networks for diversity and inclusion and
currently there are ten networks with the vision to have a diverse, inclusive and gender-balanced
culture.
Figure 1.1. Revenue and Number of employees of Jaguar Land Rover
5. History of JLR
JaguarLand Roverisa subsidiaryof TataMotors.OnJanuary1, 2013, the operationsof Jaguar
Cars Limited and Land Rover were merged as Jaguar Land Rover Limited. Jaguar going back to the
1930s and Land Rover to the 1940s, first coming together in 1968 as part of the British
Leylandconglomerate and the original holding companyof Jaguar Land Rover Limited was renamed
as Jaguar Land Rover Automotive PLC. (Wikipedia, 2020)
Duringthe periodof the Covid-19, the JLR was hithard by the pandemic andwaslaggingway
behindrival UK carmakers inthe recovery (Jolly,Oct2020). With 3,000 workersfurloughed fromthe
production factory and the key factory had been running under the capacity. Fewer number of
production outputs was experienced during the 2020 with the limited production plans. The firm
announced effective social distancing, hygiene,and health monitoring measures in the workplace
duringthe Covid19period. InMay2020, the first Range Rovermade undersocial distancingmeasures
drove off the production line at Jaguar Land Rover’s manufacturing plant in Solihull.
Picture 1.1. The first Range Rover made under social distancing
Strategy Analysis
In this section, the analysis of Jaguar Land Rover based on their current strategy shall be
evaluated.The evaluationwillbe takenonthe microandmacroenvironments of theJLR.Before using
these frameworks for the analysis, the current strategy of JLR should be discussed first. Since there
are two iconic brands in this firm, these two brands, Jaguar and Land Rover have different value
propositions and market segments.
Market Strategy and Competitors
The Jaguar brand is built with a purpose to pursue artistic and innovative approach of
automobiles,presentingthe finestandbreath-takingluxuriousmodel.The mainideabehinditsbrand
context is inspired by the idea that life is about feelings not figures,and hence the brand values are
created based on the extreme passion and purpose for customer satisfaction (Jaguar, 2022). On the
otherhand,the LandRoverstandsforimmensecapabilitybalancedbystyle andeffortlesscomposure,
inaprestigious,unique,anddiscerningpackage. Itsbrandcontextisbased onenablingpeople tomake
more of their world; to challenge what's possible, grow through new experiences, and surprise
themselves by what they can do and who they can be. Thus, the Jaguar family is targeted for highly
niche premiummarket of SUV formetropolitansasashow-off brandforaffluentcommunitywhilethe
Land Rover family is also targeted for premium segment but made with different purpose such as
family-oriented, and durability for countryside highway roads as off-road vehicles.
Among the competitors of Jaguar Land Rover, the BMW and Mercedes are the biggest and
directcompetitorsof JaguarLand Roversince bothcompaniesfall underthe same premiumsegment
in the market. The other competitors would be Maserati USA, AUDI India,Aston Martin, Volvo Cars,
6. andFerrari whichfall underthe samepremiumsegmentof theSUV orinnovativeautomobilesmarket,
but slightly adjacent positions compared to the JLR target market.
Pic 1.3. Jaguar (on the left) and Land Rover (on the right) brand models
PEST Analysis for Macroenvironment
The external environment of the Jaguar Land Rover PLC can be diagnosed using the PEST
framework.
Social:There hasbeenanoticeableshiftfrompurchasingusedcarstonew registeredvehiclesandthis
consumertrendiscontinuallygrowing (SMMT,2022).There has alsobeenashifttowardspurchasing
eco-friendly cars in the UK with consumer attitudes changing from ‘style to eco-conscious’ vehicles,
hence the increase in new vehicle registration. A new car purchased in 2015 is typically 18.4% more
fuel-efficient than a car purchased in 2010. CO₂ emissions on new vehicles have also reduced
significantlyinthe lastdecadeby26.4%due tothe growingpopularityof alternativelyfuelledvehicles
(AFVs). Atthe same time,the hybridcars are becomingpopular as well asthe confidence onelectric
cars are growingtogethersince the achievementof Teslaandthe initiationof the whole automobiles
industry towards the fully electric model. While the COVID-19 pandemic has caused widespread
disruptionacrossindustries,the automotivesectorisamongtheworstaffected.InApril 2020,the first
full month of lockdownin the UK, new vehicle registrations nearly disappeared,dropping 97% year-
on-year (pwc, 2019).
Figure 1.2. Purchase intent to buy a car during pandemic
Political:With manyautomotive brandsresidinginthe UK,the outcome of Brexitcouldpotentiallybe
damaging. Mike Hawes, Chief Executive of the Society of Motor Manufacturers and Traders (SMMT)
hasstatedthatBritishmanufacturersneedtobe partof the EUsinglemarkettothrive,otherwisetheir
7. successcouldbe jeopardised.ThoroughresearchhasprovedevidentthatEurope isthebiggestmarket
for Jaguar with 0.5% of market share (Statista,2021). Furthermore,the introductionof new tariffsat
the WorldTrade Organisationrate of 10% couldmake businessuncompetitive,impactmanufacturers
supply chains and will make vehicles less affordable for Europeans (Stewart, 2016).
Economic:Afterthe historiceventof Brexit,economistspredictedBritainwouldsuffermajorfinancial
consequences, but it has yet to have an adverse effect on the economy. Predictions of economic
instabilityandmarketdecline are expectedtotake effectaswe embarkinto2022(SMMT,2022). Over
1.3 millioncars,78,270 commercial vehiclesand2.5millionengineswerebuiltinthe UKin2019. Eight
out of 10 cars producedin the UK are exportedoverseasto160 differentmarketsworldwide.These
before Covid19 figures indicate that the automotive industry accounted for £15.3 billion of GDP in
2020. On top of these factors,the current inflationinpostCovid19 yearswill alsotake effectonthe
decisions of customers to buy a car especially for the premium segment. The Office for National
Statistics (ONS) said Consumer Prices Index (CPI) inflationrose to6.2% in February, up from 5.5% in
January and again reaching the highest level since March 1992, when it stood at 7.1%
Technology:Withseveral disruptivetechnologiespenetratingtheautomotiveindustry,manufacturers
are seeking ways to adapt their models to remain competitive in the market. The emergence of
connectedcars which are definedas‘those that have access to the internet,thustheycan send and
receive signals, sense the physical environment around them and interact with other vehicles.
Combining connected car technology with autonomy is a likely development of the future,creating
connected and autonomous vehicles (CAVs). At present, many new vehicles encompass Advanced
Driver-AssistanceSystems(ADAS) whichisjustthebeginningofautonomoustechnology;itisexpected
that CAVs will account for up to 15% of passenger vehicles worldwide by 2030 (McKinsey, 2020).
Electricvehicles(EVs)are alsobecomingadominantmarkettrend.PhilipHammond,Chancellorof the
Exchequer, believes EVs are at the heart of industrial strategy plans to ‘build the UK’s competitive
advantage’.By2030, the share of EVs isexpectedtorise to40% of new vehicle sales,withconsumers
being influenced by strict emission regulations in dense cities (McKinsey, 2020).
VRIO Analysis for Microenvironment
The internal environmentof the JaguarLandRoverPLC can be diagnosedusingthe VRIO
framework asshownin below Table. 1.1.
Resources and
Capabilities
Value Rare Imitation Organized Sustainability
Level
Brand Positioning
inComparisonto
the Competitors
Yes Yes,for Jaguar,
No forLand
Rover
Can be imitated
by competitors
but itwill
require big
marketing
budget
Yes,the firmhas
positionedits
brandsbasedon
consumer
behaviour
Temporary
Competitive
Advantage
Brand awareness
and Physical
Presence in
market
Yes Yes,Jaguar
Roverhas one
of the leading
brandsin the
industry
No Jaguar Roverhas
utilizeditsleading
brand positionin
varioussegments
Sustainable
Competitive
Advantage
Alignmentof
Activitieswith
Jaguar Rover
Yes Yes Each of the firm
has itsown
strategy
No,but company
has organizational
Unused
Competitive
Advantage
8. Resources and
Capabilities
Value Rare Imitation Organized Sustainability
Level
Corporate
Strategy
skillstoextractthe
maximumoutof it.
Opportunitiesfor
Innovation
technologysuch
as fullyelectric
models
Yes,new
nichesare
emergingin
the market
No,as most of
the
competitors
are also
targetingthose
niches
Yes,can be
imitatedbythe
competitors
Innovation will
require higherR&D
budget
Temporary
Competitive
Advantage
Highskilled
employees
Yes,high
skilled
engineers
Dependingon
the project
Yes Yes,organisation
culture isbuiltover
strongethos
Sustainable
advantage but
require
consistence
evaluation
Strongfinancial
capital for
investment
Yes No Yes,
competitorsare
alsobuilding
theirstrong
capital
Yes,since the
centralised
management
systemispart of
the structure
Competitive
Rarity
Resourceful
machineryfor
supplychain
No Yes No,strong
machinery
resources
require
contracts with
suppliers
No,the firmis still
takingimpacts
fromprevious
computerchip
shortagesduring
pandemic
Competitive
Disadvantage
Strategic Challenge
Basedon the above diagnosisandevaluationof the currentmarketstrategy,there are three
mainstrategicchallenges facedby the JaguarandLand RoverPLC accordingly.
Outdated brand positioning for Land Rover
Since the brandpositioningof LandRoverhasalwaysbeenfocusedondurabilityand capability
but recent market studies suggest that most of the customers residing even in country sides are
switchingtheirpreferenceoverstylishandmodernluxuriousmodels.The firmhasalreadyrecognized
thisgapinmarketandthe newRangeRoverfamily hasbeenadaptingtothesechanges inrecentyears,
but the Land Roverrequiresmore practical and focusedapproach to alignwiththe shiftin customer
behaviours of their chosen segment.
Unpredictable supply chain planning for semiconductors
Infact, thiscompetitive disadvantage hasbeenobservedthroughouttheautomobileindustry
during Covid19 due to the shutdown to production facilities in China and many other countries that
supply computer chips (Jolly, Sep 2021). However, the firm needsto take this lessonmore seriously
than other competitors since the vision of the Jaguar Land Rover is “Reimagine” which is also to
become fullyelectricbythe year2025 for Jaguarfamily. Anyshortcomingsinthe supplychain process
shouldbe taken accountforfuture proofingof the organisation’sstrategy.If required,thefirmshould
9. alsobeginsearchingforthe suppliersnotonly inone singleproductionfacilitysuchasChina, butalso
seek to other semiconductor factories in Singapore with a more flexible approach.
Innovation requirements for fully electric vehicles and automation
According to the latest updates from UKVI, all new road vehicles in the UK set to be zero
emissionwithinthe next2decades.The governmentconfirmspledgeforzeroemissionHGVsby 2040
andhad unveilednewchargepointdesign (Transport,Nov2021).The new research alsoshowedhuge
growth in the zero emissionvehicles market since the start of the UK’sCOP26 zero emission vehicle
campaign, as industry leaders commit to go further and faster. By reflecting on the above macro
environmentanalysisusingPESTframework,the goal to produce fullyelectriccarmodelsisalsofitting
the technological arena of the analysis. Although it will become a temporary competitive advantage
forthe firm, the JLRneedstotake adifferentpointof viewonthisinnovationasastrategicdriftof the
whole market. By taking example of the Nokia in the smart phone industry, JLR should alsonot stay
behind while the competitors are launching their fully electric vehicles.
Figure.1.3. UKVI tax rates for different car models
Strategy Formulation
In order to tackle the strategic challenges, Jaguar Land Rover PLC should start evaluating
available options to identify the roadmap and this process will be discussed in the below section.
Available Options
Since there are three mainstrategicchallenges forJaguarLandRover:Outdatedbrand
positioningforLandRover,Unpredictable supplychainplanning forsemiconductorsandthe
Innovationrequirementsforfullyelectric andautomation,the available optionsforthe respective
challengeswill be addressedaccordingly.
StrategicChallenges Range of options
Outdatedbrandpositioningfor
Land Rover
Positioningtowardsthe moderndesignwithsustainability
embeddedonbrandvalue asan off-roadvehicle
Positioningforaffirmative premiumsegmentby offering
affordable price range andreductionoverproductioncost
Unpredictable supplychain
planningforsemiconductors
Empoweringprocurementfunctionuponpurchasingauthority
and makingdealswithAgile approach
Lookingformore sustainable dealers acrossthe US, Taiwan,
China,andSouth Koreabyparticipatingintrade delegations
10. Innovationrequirementsfor
fullyelectricandautomation
InvestinginR&Dand enforcingcollaborationacrossrelative
departmentsof the SBUsfor R&D projects
Outsourcingtechnical engineerstocomplete the project
accordingto the timeline
The fiststrategicchallengeregardingthebrandpositioningof LandRoverisbasedontheshifts
of customer behaviours.Since the perspective of consumers have been drifted towardsthe affluent
designsandmodernity,choosingthe firstoptionisthe suitable choicetotackle the brandpositioning
challenge for Land Rover.
Shortage of semiconductors has been a global problem which is not only related to the
automobile industry (Forum, 2021). The decisions that semiconductor companies make could have
enormouseconomicsignificance,bothfortheirindustryand the economyas a whole. On the other
hand,the industrial buyerssuchasJLRand the otherelectroniccompaniesfinddifficulttoswitchtoa
differentmanufacturerbecause ittypicallyaddsanotheryearor more to change the chip’sdesign to
match the specific manufacturing processes. Therefore, the second option to solve this strategic
challenge might not be suitable and the option of empowering procurement must be chosen.
Innovation is the key to survive while one of the major strategic challenges faced by JLR is
meetinginnovationrequirementsastheyare focusingon fullyelectricvehiclesinthe comingperiod.
The market trendisalsomovingtowardsautomatedvehicles. The organizationcancome againstthis
challenge by investing in Research and Development projects by enforcing collaboration across
relative departments oversea.Thischoice can ensure differentsecurity measures of R&D, as well as
formulatingdesignsbasedonthe guidelinesof JLRthat will supportforfurthergrowth.Thiscan help
to meetdesiredrequirementindividuallyaccordingtocustomer segmentandneedsof that country.
There can also be secondchoice by outsourcingtechnical engineersorteamto complete the desired
projectaccordingtothe timeline,butthiscanlackinsecurityastheycanevensell thesametechnology
to other brand in this competitive market.
Guiding Policy Formulation
Basedon the above options,the guidingpolicyof JaguarLand RoverPLC forupcoming
businessyearsshall be formulatedasbelow.
1. In the nextfive years, the LandRoverwill be seenasthe part of the affluentmodernluxury
brand inthe handsof the high-endcelebrities
2. AchievingAgile approachwithinall procurementfunctionsacrossdifferentSBUswithinone
yearand givingauthoritytopurchase semiconductorsintheirrespective regions
3. In the nextsix years, bothJaguarand Land Roverbrandswill welcome threefull-electric
variantswithparkingmode andIoT automation
Strategy Evaluation
The above strategyguidelinesshouldbe evaluatedwiththe followingSMARTframeworkto
measure the efficiencyandeffectivenessregardingtheirobjectives.
SMART Framework
Specific: In termsof specificity,boththree strategystatementsdefine theirobjectivesclearly.Inthe
firststatement,the LandRoverwill change itsbrandimage,becomingamodernizedluxurySUV.The
11. secondstatementalsohasclearexplanationaboutthe purpose of procurementfunctionsaswell as
whatto be expectedasanAgile approach.The thirdstatementalsoclarifiesthe goalsof Jaguarand
Land Roverwhichisto become fullyelectricandautomatedIoTfunctions.
Measurable: All threeguidelinesare measurable intermsof theirgoalsandpurposes.The first
statementaccuratelydefinesthe brandimage of LandRoverinthe handsof celebrities.The second
statementalsosuggestthe authorisationof procurementfunctionstobuysemiconductorsandthe
laststatementsignifiesthe exactquantityof the variantsforbothJaguar andLand Rover.
Achievable: Basedonthe currentstrategyand resourcesof JLR,all three strategystatementsare
achievable.Someof themhasbeenalreadyinitiatedsuchasintroducingelectricmodelsand
utilizationof Agile methodologyduringpandemictotrack purchase ordersof computerchips.
Relevant:The guidelinesprovidedare alsorelevantwiththe currentpolicyof JLRwhichisto
“Reimagine ourfuture”.
Time-bound:The time frame forall the guidingpoliciesisstatedclearlyandtheyare alsowithin
achievable time frame.
Strategic Actions
Since the guidingpoliciesforstrategicchallengeshave beenidentified, the setof coherent
strategicactionsto carry out these policiesshall be formulated accordingtothe missionstatement.
The brand positioningof the LandRovercouldtake a longtime and significantmarketing
budget.The JLR alsoneedsto initiate productionof anew variantof Land Roverwithmodernityand
artisticdesignsforthe affluentcommunity. The integratedactionforrevampingthisLandRover
brand image acrossthe functionswill be discussed.
RequiredActions Responsible
Functions
Responsible
Departments
Functional Actions
Introduce brand
guidelinesto
formulate that
moderniseddesign
followingthe brand
contextof Land
Rover
Corporate Marketingand
communications,
Legal
The marketingdepartmentwill
formulate the revampplanforthe
brand repositioningunderthe
givencompliance of legal team,
assuringethical marketing
practices.
Designinga
modernisedand
sustainable
conceptfor the
newvariantof
Land Rover
Manufacturing,
Engineering,
Design
Manufacturing
research&
innovation,
Programme
Management,
Research, Special
operations,andall
three departments
of Designfunction
Collaborationamong
manufacturing,engineering,and
designfunctionstoimplementthe
new model of LandRover with
modernisedfeaturesand high-end
capabilities
Providing
machinery and
integrating
software required
for automation
Corporate,
Technology
Procurement,
Software
engineeringand
data science
Supportingproductionlinesby
deliveringrequiredmaterials from
respective suppliers, Embedding
relevantsoftware fordifferent
utilitiesof SUV
12. Budgetand
resource allocation
for the project
Corporate Finance and
accountancy
Allocatingresources,calculate
incurringcostsfor productionlines
and marketingcampaigns
Executing
marketing
campaignsfor
brand launchand
awareness
Corporate Marketingand
communications
Marketingcampaignsforthe new
variantof Land Rovershall be
executedacrossrelevantchannels
and touchpoints for customers in
bothdigital andoffline media
Ensuringthe
prototype is
meetingthe
standard
requirements
Corporate,
Manufacturing
Quality,
manufacturing
operatives&
supervisors
Assuringfinal productismeeting
the desiredstandards, anydefect
or requiredneedtobe improved
by the manufacturingteam
According to JLR's latest financial results, the company has a "solidbasis" to expand on, and
the Reimagine plan will enable it to "right-size, repurpose, and restructure" itself into a more agile
operation.
The Agile method is extremely iterative and emphasises small batch deliveries. The key
emphasisisondeliveringclientvalueonaregularbasisandrespondingquicklytochangingsituations.
It's no surprise, therefore, that Agile is increasingly being used in the automobile sector in the new
age of vehicle manufacture.
(Source: Wikispeed)
Agile referstoasetof ideasthatinfluenceaperson'scompletemannerof workingrather than
a dogmatic prescription of particular structures and procedures. Agile offers various benefits as the
automobile sector becomes more driven by innovation and software, including the following:
Better Product: With customer expectations at an all-time high, JLR must understand and react
quickly to what influences buyer’s purchase choices. Agile teams communicate with clients on a
regular basis and are quick to spot emerging market factors.
Reduced Risk: With so much innovation in car design, JLR can't afford to be stymied by late-stage
adjustments and rework. To avoid confusion and delays, cross-functional, specialised teams have
complete insight into goods and processes.
13. Accelerated Time to Market: JLR must developnew methodstokeeptheirgoodsfresh.Traditional
hardware-driven product cycles must be handled with software-driven innovation in order for new
functionalities and services to be upgraded throughout the life of a vehicle.
Cost-cutting: The transition to electric vehicles and self-driving cars necessitates a significant
investmentonthe partof JLR,and cost-cuttingisa topfocus.Agile workingmethodsenableteamsto
enhance efficiency, productivity, and do more with less.
Innovation
The firstsetof the electriccar'scomplicatedelectronicsisinstalledatthe firstproductionsite.
Thiscontainsthe PowerElectronicsBay'sbodywiringandseats,whichhousesthe PropulsionControl
Module,integrateddriveunit,andatiny radiator.The alternatingcurrentinductionmotor,aswell as
a two-stage gear reductionand differential,make up the integrateddrive unit. These devices are all
pre-assembledin their own enclosure, with the control console component fitted as well. The air
conditioning, heating, and circulation system is fitted and filled at the third workstation.
The battery pack will be installed. Before being deliveredto the next team, the system is
poweredonandtested. The alignmentisverifiedandmodifiedatthe lastworkstation,andtheunder-
bodypanel isfastenedinplace.The procedure endswithalast,thoroughqualitycontrol inspection.
Total word countfor first section– 4191
14. The Second Section
Reflective Group Report
Compatibility of analytical and modelling frameworks
The PEST Analysismodelwasthe firstanalytical andmodellingtool we used.Thisenabled the
strategic decision makers to map out the political, economic, social, and technological elementsof
Jaguar Land Rover, which is a management strategy for assessing important external variables that
impactthe company'soperationstobecome more competitiveinthe market.ItalsohighlightedJLR's
present strengths, which might be a benefit as the firm pivots to a cleaner, more autonomous car
sector,as well aspossibilities.The approachwasalso designedtohelpyoudevelopabettergrasp of
the "big picture"causesof change youare dealingwithand,as a result,capitalize on the possibilities
they bring. Furthermore, most of the electric vehicle business faces strategic issues comparable to
JLR's.Asa result,we believePESTAnalysisisagoodfitforthissituation.Nevertheless,the groupthinks
that the modelling tool is most useful when combined with a large amount of quantitative and
qualitative data.
The VRIO analysis, which is an internal analysis that helps firms identify the advantages and
resourcesthatgive themacompetitiveedge,wasthesecondtoolwe used.This analyzedJLR'svarious
productsintermsof theirpotentialformarketgrowthandmarketshare.Thisallowedustodetermine
which products had reached maturity or were nearing the end of their lifecycle (such as JLR Diesel
Vehicles), as well as which products could be further developed and invested in for the sake of
increased profitsand sustained growthfor JLR as they try to pivot toward cleaner, more sustainable
workingpracticesandEV solutions.Again,we supplementedthistoolwithathoroughexaminationof
secondary data, both qualitative and quantitative, to ensure maximum effectiveness and to offer a
factual and theoretical foundation for our suggestions and guiding policies.
We then divided JLR's issues into three groups: Outdated Brand Positioning, Unpredictable
Semiconductor Shortages, and Innovation Requirements for Electric Vehicles. Using the SMART
framework,we determinedthe guidingpolicyeffectivenessandefficiencies.Thistool was incredibly
easytoevaluate contextof the objectivesormissionstatement. The groupfinditasauseful modelto
strategize bothshorttermandlong-termstrategicactionsinplanningprocess. The toolprovidesmore
clarity in defining goals and structures of the organization as well as further improvement ideas to
initiate in some areas.
Difficulties in applying analytical and modelling tools
In determining Jaguar Land Rover's guiding policy,one of the most difficult aspects of using
analytical and modelling tools like PEST and VRIO Framework is that their efficacy is primarily
determined on the quality of inputs as well as the user's ability to use them effectively.For some
issues,dataand knowledge aboutthe subjectmaybe scarce or difficulttogetby.For example,there
wasa lack of informationonhowtodeal withthe semiconductorshortage.Thiscouldbe due toalack
of research on the topic or the fact that the topic is still in its initial stages and fresh. Conducting
primary research is one method of overcoming this challenge. A large global corporation like Jaguar
LandRoverhasthe capacitytoundertake researchinternallyoroutsourceittootherresearchfacilities
and organizations. This would close the gap and provide JLR a competitive advantage, as other
companies may not be aware of the latest information obtained.
Anotheralternative toovercome these difficulties,whichislessdesirable butstill successful,
isto justwaituntil the topicisfurtherstudiedandexaminedbythe publicandother businessesinthe
hopes that the data will become more sufficient, obviating the necessity for one's own original
research.Thisstrategyislessideal because acompanymaylose the "first-moveradvantage."Whena
15. companyhasa competitiveadvantagebecauseitisthe first,orone of the first,tohave aconsiderable
marketshare ina newmarket,itisknownas the firstmoveradvantage.Waitingfordatamaydeprive
a firmof thisdistinctedge,andcompetitorsmayinsteadcementthemselvesinthe market, makingit
more difficult for the waiting firm to enter.
Moreover,atool canonlydosomuchonitsown;itisreliantonthe user'scorrectandsuitable
use. For a company the size of JLR, the resources are more than sufficient to ensure proper
recruitment and selection of senior staff and other employees, ensuring that the organizationhas a
prominentlevel of skill andtalenttomaximize the effectivenessof strategicdecision-makingandthe
implementation of any potential guiding policy.Outsourcing could alsobe an effective way to fill up
any talent gaps or get around specific roadblocks that cannot be addressed within.
In addition to these tools, the strategic decision makers should also conduct qualitative
research suchas focus groups,orscenario thinkingsessionsto overcome the drawbacksof the above
analysis frameworks so that the whole hypothesisof these analytical tools will alsobe supported by
the localized ideas of each department.
Appendices
Table. 1.1 VRIO analysis on resources of Jaguar Land Rover
Resources and
Capabilities
Value Rare Imitation Organized Sustainability
Level
Brand Positioning
inComparisonto
the Competitors
Yes Yes, for Jaguar,
No forLand
Rover
Can be imitated
by competitors
but itwill
require big
marketing
budget
Yes,the firmhas
positionedits
brandsbasedon
consumer
behaviour
Temporary
Competitive
Advantage
Brand awareness
and Physical
Presence in
market
Yes Yes,Jaguar
Roverhas one
of the leading
brandsin the
industry
No Jaguar Roverhas
utilizedits leading
brand positionin
varioussegments
Sustainable
Competitive
Advantage
Alignmentof
Activitieswith
Jaguar Rover
Corporate
Strategy
Yes Yes Each of the firm
has itsown
strategy
No,but company
has organizational
skillstoextractthe
maximumoutof it.
Unused
Competitive
Advantage
Opportunitiesfor
Innovation
technology such
as fullyelectric
models
Yes,new
nichesare
emergingin
the market
No,as most of
the
competitors
are also
targetingthose
niches
Yes,can be
imitatedbythe
competitors
Innovation will
require higherR&D
budget
Temporary
Competitive
Advantage
Highskilled
employees
Yes,high
skilled
engineers
Dependingon
the project
Yes Yes, organisation
culture isbuiltover
strongethos
Sustainable
advantage but
require
consistence
evaluation
Strongfinancial
capital for
investment
Yes No Yes,
competitorsare
alsobuilding
Yes,since the
centralised
management
Competitive
Rarity
16. Resources and
Capabilities
Value Rare Imitation Organized Sustainability
Level
theirstrong
capital
systemispart of
the structure
Resourceful
machineryfor
supplychain
No Yes No,strong
machinery
resources
require
contracts with
suppliers
No,the firmis still
takingimpacts
fromprevious
computerchip
shortagesduring
pandemic
Competitive
Disadvantage
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