Mercedes-Benz New Showroom Development New York University Subject: New Product and Service Development Date: 11. 19. 2006 Name: YC
Contents • Company Introduction • Project Objective • New Showroom Development Process
Company Introduction The Class Hyosung is one Subsidiary of Hyosung, which is one of big corporations in Korea. TCH is a distributor (Dealership) of Mercedes-Benz in Korea. Since launching its business in 2004, The Class Hyosung(TCH) has established itself as an essential player in MBK(Mercedes-Benz Korea)’s operation Hyosung is a Korean conglomerate with a vast range of business and a particular focus based on the textile and synethetic fiber business The Class Hyosung
Company Overview Vision & Mission 'THE CLASS HYOSUNG' was established to ensure that all customers who purchase premium imported cars, including Mercedes-Benz, and enjoy differentiated services and products with the highest standard and lifestyle filled with the value of life and happiness. Goal • In the long term, our mission is to improve the lifestyle of our customers, enhancing their overall quality of life, while also building the best value and happiness for customers. • The first goal of The Class Hyosung is to become ‘No. 1 car dealer’ of Mercedes-Benz by 2008. • With Database of Mercedes-Benz Dealership, we expand our business to other areas(other car brands, high-end fashion brands, restaurants, etc) Brief History • Jan. , 2004 Opening of 1 st Workshop • May, 2004 Opening of 1 st Showroom • Dec. , 2005 Opening of 2 nd Workshop (Main Service center)
Contents • Company Introduction • Project Objective • New Showroom Development Process
Project Objective Company Situation • TCH sells Mercdes-Benz only in Seoul. • TCH market share is about 30% in Mercdes. Benz sales in Seoul • TCH has one showroom and two service centers in Seoul. One showroom is the biggest showroom in Asia, and two showrooms are located near the showroom. Issue • Current showroom reached the limits of its capacity to take care of customers. So, TCH needs to expand its business scope. • TCH are planning to launch new showroom & service center. Use ‘State-Gate Process’ How we successfully launch TCH when new showroom? ? implement to launch new showroom!!
Contents • Company Introduction • Project Objective • New Showroom Development Process
New Showroom Development Process Stage 1 Discovery Stage 2 Build Business Case Scoping Gate 1. Idea Screen Gate 2. Second Screen Stage 4 Development Gate 3. Go to Development Stage 5 Test & Validation Gate 4. Go to Testing Stage 3 Launch Gate 5. Go to Launch Post Launch Review
Discovery • Stage objective: Search New showroom locations Activities Generate ideas and figure out potential locations • Internal sources Research team/ sales team/ marketing team/ planning team/ service and parts team/ Hyosung corporate strategy team • External sources Customers & prospects/ competitors/ Mercedes. Benz Korea/ suppliers/ trade publications/ Car community Results Several showroom sites (For example, 3~4 sites in Seoul and 3~4 locations outside Seoul)
Gate 1. Idea Screen Criteria • • ‘Must-Meet’ criteria (required criteria) - Does the new showroom project fit the strategic direction of the Business? - Is its development technically feasible? - Do you have the resources required to undertake the venture? - Does actual market needs exist? ‘Should-Meet’ criteria (desired criteria) - Is market attractive a large and growing one? How attractive? - Is this familiar technology to us? Do we have some of the technology skills in-house? - Can the product utilize existing showroom and service center? How easily? - Will the product have sustainable competitive advantage? How much? - Does current situation of market? Size? Trend? Activities Pick some effective sites with criteria. Gatekeepers a small group of project team (members from different function areas; planning, marketing, sales) Outputs 3~4 suitable sites (For example, 2 locations in Seoul and 2 locations outside Seoul)
Stage 1. Scoping • Stage objective: Specific Location investigation Activities 1. Preliminary market assessment • Assess market attractiveness and potential Market investigation Collect the market data: Internet search, Key customers, Advertisements, Your own people, Industry experts, Trade associations, Focus group interview contact real estate agency and collect the information • Gauge possible new showroom acceptance • Sizes up the competitive situation: competitor’s situation(distribution channel, showroom locations) 1. Check the possibility of local development plan by government and public organizations and prospects of local economy, overall environment, macro market trends 2. Preliminary technical assessment • Showroom establishment requirements • Rough check of technical feasibility 3. Preliminary business and financial assessment • A sanity check: an extremely rudimentary and quick check of the business rationale and financial prospects 4. Understand MBK dealership standards 5. Consider Synergy with current facilities 6. Understand potential, legal, technical, regulatory variables 7. Start to develop marketing strategy Outputs • Most suitable location candidates and their characteristics • Recommendation and plans for stage 2
Gate 2. Second Screen Criteria • ‘Must-Meet’ criteria (required criteria) - Does the new showroom project fit the strategic - • direction of the Business? Is its development technically feasible? Do you have the resources required to undertake the venture? Does actual market needs exist? Is there any Potential, legal, technical regulatory variables? What are MBK Dealer standards and regulation? ‘Should-Meet’ criteria (desired criteria) - Is market attractive a large and growing one? How - attractive? Is this familiar technology to us? Do we have some of the technology skills in-house? Can the product utilize existing showroom and service center? How easily? Will the product have sustainable competitive advantage? How much? Does current situation of market? Size? Trend? Simple financial returns execution Sales force and customer reaction Activities Compare site candidates and make a decision to go or not. Select the most suitable location. Gatekeepers • a small group of project team (members from different function areas; marketing, planning, sales, finance) • • Executives of TCH, Hyosung Network Development department in MBK Outputs The most suitable site (For example, 1 location(Bundang) in suburban of Seoul)
Stage 2. Build the Business Case Build Business Case • Stage objective: Develop effective business plan Activities • User needs-and-wants study: Understand Target customer • Competitive analysis: competitors’ locations • Market analysis - Market investigation - Related industry(high-end brands, luxury residence, restaurants) situations and prospects/ Boom-up effects of clustering - Customer lifestyle, flow of movement, etc • Develop business plan - Positioning determination: Develop specific positioning strategy - new showroom concept development - Target market definition - Construction Plan - Human resource allocation Plan - Operation and Marketing plan - Financial plan - Plans of action • Detailed technical assessment: Technical feasibility • Financial/ business assessment: detailed business plan and financial analysis Outputs • Business case for the project - New showroom definition: new showroom concept, Showroom features, attributes, performance, requirements, high-level specs - Thorough project justification - Detailed Project Plan: project scope, The plan of action from development to launch, in forms of a time line including required resources, a launch date - Business Plan - Target market definition - Benefits to be delivered including the value proposition - Strategic rationale, competitive advantage, leverage, market attractiveness • Review of business, financial, profitability, and risk considerations • The plan for the next stage in some detail
Gate 3. Go to development Gate 3. Go to Development Criteria • ‘Must-Meet’ criteria (required criteria) - Same as Gate 2. • ‘Should-Meet’ criteria (desired criteria) - Strategic: degree of fitness with business strategy/ strategic importance - New showroom advantage: unique benefit to customers/ meets customer needs - Market attractiveness: market size/ market growth rate/ competitive situation - Synergies: leverages our business’s marketing, distribution, technical know-how, expertise, experience, operations capabilities, facilities - Technical feasibility: complexity of project - Risk versus return: expected returns/ payback period/ certainty of return, profit, sales estimates/ costs - Standards and opinions of MBK Activities Review the Business plan and revise and confirm the plan. Check the possibility of financial returns! Gatekeepers • project team (members from different function areas; planning, marketing, sales, finance, HR) • Senior managers from each department in the company • Executives in a company, Hyosung, MBK • MBK network development manager Outputs Refined and practical business plan
Stage 3. Development • Stage objective: Develop new showroom Activities • Physical development of the showroom • Revise and review plans; operation plan, marketing plan, financial plan • Seek customer input and feedback: ensure that the new showroom is right and also to speed development toward a correctly defined target/ Seek of continued customer feedback during development • Monitor and research the market and the competitive situation. Understand the fluid market change • Regulatory issues: Check local law and practical detail • Operation process: Organize team to operate new showroom practically/ Allocate R&R to staffs • Update your financial analysis. Business case plans are translated into concrete deliverables • Develop Action plans Outputs • Establishment of new showroom • Updated business plans (Financial, Marketing and operation plan, etc) • Action plans
Gate 4. Go to Testing Criteria • Gatekeepers • a small group of project team including project manager. (members are from different function areas; marketing, planning, sales) • Senior managers from each department in the company • • Revised ‘Must-Meet’ criteria: required criteria and ‘Should. Meet’ criteria: desired criteria Existing gate 3 definition Existing business plan and action plan Market changes and Market growth prospects Executives in a company, Hyosung Activities • • Check on the progress and continued attractiveness of showroom and project Review Development work Ensure the work fit to a quality of fashion Check Developed showroom’s consistency with the original definition specified at gate 3 Revisit economic questions through a revised financial analysis based on new and more accurate data Approve test, validate plan for immediate implementation Review detailed marketing, operation plan for probable future execution Outputs • • • Development of new showroom Test, validation plan Refined marketing, operation, action plan
Stage 4. Test & Validation/ Gate 5. Go to Launch Test & Validation Gate 5. Go to Launch • Stage objective: revise new showroom project Activities • Check the schedule • Simulate operation of showroom and check it Technically • MBK specialists’ review of the Mercedes-Benz standards and guideline • Check on an establishment process • Reflect Customer acceptance • Revise business financial analysis Outputs New Showroom reflected to results of test and validation. Criteria • Expected financial returns and appropriates of the launch and operations starts-up plans Activities Make estimates of establishment and marketing costs, sales volumes, final prices, and profit margins with a high degree of confidence Gatekeepers • • • project team including project manager (members from different function areas; marketing, planning, sales) Senior managers from each department in the company Executives in a company, Hyosung Outputs Showroom and refined launch plan
Stage 5. Launch/ Post Launch Review Launch • Stage objective: Launch new showroom! Activities • Launch the new showroom and starts its operation • Implement both the marketing and operation plan Criteria • • Marketing objectives/ Project objective Showroom positioning strategy Activities • Review latest data on revenues, costs, expenditures, profits, timing compared to projection to gauge performance • Carry out post audit Results Successful operation of showroom Outputs • A reform measure to improve the performance
Thank you
Скачать презентацию Mercedes-Benz New Showroom Development New York University Subject
82e215f19ffbd1b0e7df9d49666fb7b1.ppt