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HarleyHarley Davidson preparing for theDavidson preparing for the

next centurynext century Seven Domain ModelSeven Domain Model

Abhinav Johnson F09001

Jobin Mathew F09020

ManasiAnand F09030Sayanjeet Mitra F09055

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Seven Domain ModelSeven Domain Model

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Understanding the Seven pointsUnderstanding the Seven points

y Macro Market - Market Attractiveness:

How attractive is the overall potential market foryour product/service? How attractive will it be in the future,judging by macro trends?

y Macro Industry - Industry Attractiveness:

Judging by the level of competition, the threat of new entrantsand substitutes, and buyer and supplier power, is this an industryyoud like to play in?

y Micro Market -Target Segment Benefits and Attractiveness:Does your idea offer clear, compelling benefits - which aresuperior to whats already available - to a big enough, specificmarket segment at an acceptable price?

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y Micro Industry - Sustainable Advantage:

Can you defend your position through IP or particular

organizational processes? Can you make enoughmoney out of your idea to cover start-up and ongoing

operating costs well into the future?

y Team - Mission, Aspirations, Propensity for Risk

y Team - Ability to Execute on CSFs (Critical

Success Factors)

y Team - Connectedness up and down Value Chain

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Putting the Seven Domains to WorkPutting the Seven Domains to Work

ReshapeReshape:: Turn question marks or minuses into plusesTurn question marks or minuses into pluses

y Macro Market Weaknesses

Harley differentiated itself from the Japanese by offering support to

enthusiast and social groups (Harley Davidson owners Group)

Tried to make the brand self reinforcing

In marketing it continues to target events and media where it can target

new customers

Rental programs to hook customers and entice them to buy a Harley

y

Macro Industry Weaknesses New product developments and upgraded manufacturing technology

In 2001, Harley Davidson introduced the V-Rod: companys first

motorcycle to combine fuel injection, overhead cams and liquid cooling

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y Micro Market Weaknesses (change your target market)The ladies of Harley a group that aimed to increase interest

among women ridersMajority of Harleys customer base were ageing, thus, they need

to penetrate deeper into the youth market

y Micro Industry WeaknessesStrengthened dealer network

yWeaknesses in the teamThe production process was flawed

More emphasis on quantity rather than quality and thenincreased expenditure on quality checks

Reshape:

The productivity Triad

a) Employee employment

b) Use of JIT inventory practices

c) Statistical operator control(SOC)

Organizational restructuring