Using the recommendation you provided in Milestone One, you will develop a strategy to implement the IoT innovation and move ahead in the marketplace.
Scenario
You work as a middle manager for one of the top U.S. producers of luxury and mass-market automobiles and trucks. To remain a viable competitor and meet the demands of consumers’ desire for technology, your company’s chief technology officer (CTO) has decided to implement the internet of things (IoT) in your company’s product line. You are now leading a cross-functional team to move forward with the company initiative.
In Milestone One, you and your cross-functional team looked at the risks and benefits of discontinuous and incremental innovation, competitors in the market, and your company’s internal capability for moving forward with the IoT innovation. After doing this analysis, you presented your recommendation to various stakeholders about how to proceed. You chose one of the following:
A. Design a completely new product line, based on the recent technology (discontinuous innovation)
or
B. Add recent technology features into one model and then incrementally into the broader product line (incremental innovation)
The CTO has accepted your recommendation. Now you are ready to develop a strategy for taking the innovation to market. In order to develop a strategy, you will need to look at your competitors’ relative strengths in the current marketplace, to understand how your company compares to your competitors, and to identify the total market and the market’s annual growth rate. Finally, you also need to share your thoughts on how to respond to changes in business conditions. Although no one can predict what is going to happen, it is important to think about how flexible your plan is in order to meet unexpected conditions.
Directions
Using the recommendation you provided in Milestone One, develop a strategic plan to implement the innovation and gain competitive advantage. Use Power BI to analyze the Comparative Growth Data included in the Power BI User Manual linked in the Supporting Materials section. You should also refer to the Sales Forecast, Comparative Growth Data, and Comparative Operating Statistics linked in the Module One Memo Guidelines and Rubric to complete this milestone.
1. Follow the directions in this document to create the required charts using Power BI. Analyze the
competitors’ relative strengths in the marketplace.
A. Write a short paragraph describing the growth rate of each competitor based on the data included in the comparative growth data sheet.
B. How much of the market does each competitor now own? Do you see a trend of gaining or losing market share? Present your findings using the comparative growth data sheet and Power BI.
i. Complete your pie charts and analysis for the market share percentage of cars and trucks now and in 2030.
ii. Complete your pie charts and analysis for the market share percentage of connected cars and trucks now and in 2030.
C. Determine each competitor’s financial strength by looking at their
comparative operating data.
1. Explain how your
company’s market share compares to your competitors’.
A. Is your company gaining or losing market share from 2020 to 2030? Expand on the analysis done in Task 1 above and explain the major factors behind the change in market share.
B. What is your company’s growth potential in the industry?
C. How do your company’s financials look compared to your competitors’?
2. Identify
future potential total available market (TAM) and growth for each chosen product/service and technology.
A. What is the global TAM for annual cars and light trucks in 2020, in billions?
B. What is the global TAM for IoT-connected cars and light trucks in billions?
C. What is the projected compound annual growth rate (CAGR) for cars and light trucks?
D. What is the projected CAGR for IoT-connected cars and light trucks?
3. Identify ways to adjust if
business conditions change.
A. What strategies can you implement if your customers are slow to purchase the innovation?
B. What actions can you take if one competitor is overtaking all the others, including your company?
4. Describe the steps your company needs to take from
concept outline
to launch. Consider your learnings from the previous two modules to ensure the steps are easy to understand for your team.
A. What is the size and scope of development that will be necessary to successfully launch the IoT innovation?
B. Will you require additional capital and personnel to support the development and launch?
C. How would you approach determining the timeline from the beginning of development until initial product launch?
iv. Consider key milestones, relevant metrics, project phases, and any tools or methods you would use for measuring progress.
What to Submit
Submit a 4- to 7-page Word document, devoting one page to each critical element described above, along with an introduction and a short executive summary. Include a screenshot of the charts created for competitors’ relative strengths using Power BI on page 1. Place the graphic at the top of the page with bullets underneath. Sources should be cited according to APA style
