Resource Planning For Tesla Inc.: Evaluating Current Situation And Significance - An Essay.

Introduction to the Plan

This report will particularly evaluate the current situation of Tesla Inc. in the international domain. The resources required for the company will be primarily evaluated here. Moreover, the significance of resource planning and its requirement for Tesla Inc. will be fundamentally presented in this particular report. The potential risks related to the development of resource planning will also be duly presented in this specific report, which will allow for taking appropriate steps to manage the issues. On the other hand, recommendations will also be presented for the company concerning the reduction of its risks in the process of resource planning.

The electric car manufacturer Tesla develops a large number of batteries that are required for its vehicles. The company needs to develop planning for the manufacturing of its batteries in the future (Wang, Duan & Liu, 2021). The requirement for lithium for the manufacturing of batteries is increasing for the company. The manufacturing of batteries and lithium for the batteries requires appropriate planning. The company should develop new strategies to develop an agreement with energy companies to fulfil the requirement of lithium for batteries. It will also require the HRM to implement appropriate strategies for staffing, training and development, maintenance, labour law, and workplace safety maintenance (Flyvbjerg, 2021). These aspects will help the organisation to improve its strategies and growth, which will improve the quality of vehicles and services. In addition, managing the safety of the workplace will also allow Tesla Inc. to maintain the motivation of employees.

Tesla Inc. is one of the largest electric vehicle manufacturers in the world, which was founded in the year 2003. In the year 2008, Tesla released its first fully electric vehicle, Roadster. In 2012, the company stopped manufacturing Roadsters 2012 to concentrate on its Model S Sedan (McCain, 2019). Tesla developed stations named Superchargers in the USA and Europe for the charging of cars. It has helped the company to charge the battery pack of Model S. In the year 2015, it launched the Model X, which has the maximum range of the battery. After that year, Tesla developed the Model 3 and entered the industry of solar energy. In 2017, it changed its name to Tesla Inc. as it was not operating only in the sector of the automobile (Dzialo, 2018). Another vehicle, Model Y, was released by the company in 2020, which is determined as the second model of Roadster. In addition, Tesla Inc. is focusing on the development of more factories to increase its growth and sales in the global domain. The use of technology has allowed the company to manufacture automated vehicles to improve the experience for customers.

Tesla Inc. Profile

Tesla Inc. is determined as the leading manufacturer in the automobile industry, and it is focusing on increasing growth. The firm is focusing on increasing the workforce by recruiting more individuals. Increased workforce and the number of employees of the company are helping Tesla Inc. to focus on its expansion (Almenhali et al., 2021). The contribution of the company towards its workforce growth has allowed in focusing on expansion in the global arena. Moreover, Tesla Inc. has recruited more than twenty thousand employees to improve the workforce. It has enabled the company to open stores and service centres in different locations in the international arena. The expansion has allowed the organisation to become the leading manufacturer of the EV market in the international market. The company has achieved massive growth in China and Europe. The sales of Tesla have also increased due to the expansion in different markets. The Model 3 of Tesla is the best-selling EV in the international arena, which has increased the growth of the firm. On the other hand, increased demand for electric vehicles has also allowed the company to expand its market. In addition, the e-supply chain is also being used by the company to manage relationships with the suppliers (Tosesarij, 2020). It is helping the company to maintain its flow of resources as per the demand in all the markets it is functioning. Different suppliers of the firm are helping in improving the profitability of Tesla Inc. in all the markets.

Resource Planning is determined as the identification of allocating and forecasting different types of resources for businesses at an appropriate cost and time. Moreover, resource planning is also enabling firms to utilise and use their resources in an efficient manner as per the requirement (Quyen & Nguyen, 2020). The resources which are being used by businesses are determined as equipment, assets, human resources, facilities and others. It is also determined as the development of strategic planning for businesses for the better usage of resources based on their availability and capacity. The resource managers of companies have a massive role in understanding the new requirements of resources to fulfil the demand and reduce the gap (Lakomy et al., 2022). It includes the hiring of new resources or increasing the productivity of existing resources. The ability to forecast the requirement of resources and develop plans and strategies, allocation, along with utilisation is determined as resource planning.

Resource planning is a vital part of the process of project management, as it influences the success of the project (Simon, 2021). One of the benefits of resource planning is that it allows for the creation of more projects. Furthermore, creating projects without having appropriate resources causes delays in meeting deadlines. The delays regarding projects drastically influence the quality. The development of an appropriate resource plan, along with forecasting with time, helps the managers to predict the requirement of resources, which is essential to complete projects in an adequate manner (Munthe, 2022). On the other hand, managing demand by identifying the required resources is another advantage of resource planning. It also allows firms to compare their resources and the existing capacity. Resource planning is also allowing the managers of businesses to implement appropriate strategies to fulfil the gap between capacity and demand.

Current Situation of the Company

The internal factors refer to the aspects that are related to companies. Moreover, the control of the internal factors is being maintained by companies (Wardell et al., 2020). The internal factors that influence the requirement of resources are determined as value proportion, plans and policies, human resources, corporate image and brand equity, labour management, marketing, and financial resources, physical assets, organisational structure, interpersonal relationship with employees, size and quality of infrastructure, financial forecast, the decision making power of founders, along with operations (Akhmetshin et al., 2018). Firms are able to maintain their internal factors by understanding the requirement of resources. The internal factors can be controlled and managed by businesses, which influence the growth of organisations with appropriate resource planning.

Firms are unable to control the external factors, which are also influencing the requirement of resource planning. Thre external factors are divided into two parts, which are macro and micro factors. The macro factors include the suppliers, customers, public, competitors, talent, marketing and media. On the other hand, the external factors include political, economic, natural, technological and social aspects (Wang, Xu & Solangi, 2020). The economic factors include the exchange rate, tax rate, inflation, labour law, wages and others, which affect growth and profitability. The development of appropriate resource planning by companies increases the growth and profitability in the global domain by utilising and using resources appropriately. In addition, increased use of technology is helping businesses to reduce their expenditure and understand the requirement of resources for the future.

An increased number of employees is one of the required resources for Tesla, which is essential for the increased growth of the company in the international domain. Hiring more workforce will help the company to improve its services and increase profitability (Neish, Walter & Enge, 2018). On the other hand, Tesla manufactures its batteries, which increases the requirement for lithium. In addition, the manufacturing of automotive vehicles is also increasing the resource planning for the company. Improved technology is another requirement for the firm, as it is the leading manufacturer of electric automotive vehicles in the international arena.

Resource planning is determined as the development of the plan for allocating tasks to teams based on the capacity and ability that fit their job (Chofreh et al., 2020). The development of a resource plan increases the ability of individuals and teams to manage their capacity, utilisation rates, monitoring progress and tracking capacity.

Months Plan

Aim and Objectives of the Plan

Concept and Significance of Resource Plan

The fundamental aim of the plan is to develop appropriate resource planning for Tesla Inc. for the next 12 months to increase its growth and the ability to fulfil demand in the international market.

The objectives are

• To evaluate the significance of resource planning for Tesla Inc. to increase its expansion in the international arena
• To evaluate the internal and external factors that are influencing the requirement of resources for Tesla Inc.
• To identify the risks in the process of developing a resource plan for Tesla Inc. in the global arena.

Managing the Satisfaction of Employees

The satisfaction of employees is one of the effective aspects for businesses to increase growth and profitability in different markets. Employee satisfaction is one of the essential aspects for businesses to increase profitability and performance in different locations (Kenway et al., 2019). The adoption of new technology and changes in policies could affect the motivation and satisfaction of employees in Tesla Inc. Thus, it is recommended to the HR managers of Tesla Inc. that they need to maintain the satisfaction of employees during the process of resource management (Okanga & Groenewald, 2019). It will help the company to focus on the improvement of the employees for better performance in the future. It will also allow the organisation to manage its productivity in the international domain by influencing its profitability (Cooke, 2020). The engagement of employees will also increase the satisfaction and performance of the employees. Online training could also be provided to the employees to keep them satisfied during the process of resource management.

Training Employees for the Usage of New Technologies

The productivity of employees in Tesla Inc. is one of the required resources for the better growth of the firm. Training for a limited time for the usage of new technologies will improve the skills and knowledge of the employees (Ali et al., 2020). However, the adoption of appropriate trainers will help the company to provide appropriate training to the employees. It is recommended to the HR managers of Tesla Inc. that they should hire trainers from the outside to train their employees about the new and improved technologies. It will also increase the profitability and knowledge of employees (Kim, 2020). Furthermore, the employees of the company will also be able to manage the workforce after the training. It will allow Tesla Inc. to increase its productivity and reduce expenditure in the international arena, which will help in increasing its profitability.

Influencing Employees to Participate in the Manufacturing Process

The engagement of employees in the manufacturing process is also essential for firms to increase job satisfaction and knowledge among the employees. The lack of participation in training sessions will affect the company’s performance (ŽIVANOVIC et al., 2018). Thus, it is recommended to the HR managers of Tesla Inc. that they need to engage the employees in the process of manufacturing, along with research and development. It will help them in gaining more knowledge about the vehicles and technologies (Shafi et al., 2019). The employees will be able to communicate with the customer in an appropriate manner by increasing their participation in the process of manufacturing. It will also increase their knowledge about the manufactured vehicles, along with the technology. They will be able to guide customers with the knowledge gathered from the process of research ad development, along with manufacturing.

Internal and External Factors increasing the Requirement of Resources

Conclusion

It was concluded from the paper that resource planning is one of the vital requirements for firms in the international domain. Resource planning is able to help companies identify their required resources for increasing growth in the future. The growth of companies depends on the ability of the management for the development of an appropriate plan regarding resources. It was also concluded from this report that Tesla Inc. is focused on expansion to increase its profitability and growth. The resource planning for the company includes the development of planning for the required employees, technology, and lithium for batteries. The operations of the company will improve in the different markets by the training for the employees, which will increase their productivity and knowledge. On the other hand, the company will be able to manage the workforce and its employees with the implementation of technologies, which will also increase the growth of the firm in the international market.

Reference

AIHR, 2022. 5 Human Resources Models Every HR Practitioner Should Know. [online] AIHR. Available at: https://www.aihr.com/blog/human-resources-models/ [Accessed 7 April 2022].

Akhmetshin, E. M., Vasilev, V. L., Mironov, D. S., Zatsarinnaya, ?. I., Romanova, M. V., & Yumashev, A. V. (2018). Internal control system in enterprise management: Analysis and interaction matrices. https://www.um.edu.mt/library/oar/handle/123456789/33811

Ali, I., van Groenendaal, W. J. H., & Weigand, H. (2020). Enterprise Resource Planning Systems Implementation and Firm Performance: An Empirical Study. Journal of Information Systems Engineering and Management, 5(1), em0109. https://www.jisem-journal.com/article/enterprise-resource-planning-systems-implementation-and-firm-performance-an-empirical-study-7822

Almenhali, A., Alhajeri, H., Almansoori, H., Aljneibi, N., Almansoori, N., Alsulaity, N., ... & Nobanee, H. (2021). Financial Analysis of Tesla. Available at SSRN 3896901. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3896901

Chofreh, A. G., Goni, F. A., Klemeš, J. J., Malik, M. N., & Khan, H. H. (2020). Development of guidelines for the implementation of sustainable enterprise resource planning systems. Journal of Cleaner Production, 244, 118655. https://www.sciencedirect.com/science/article/pii/S0959652619335255

Cooke, P. (2020). Gigafactory logistics in space and time: Tesla’s fourth gigafactory and its rivals. Sustainability, 12(5), 2044. https://www.mdpi.com/658892 

Dzialo, B. (2018). Charging down the Road: A Historical Analysis of the American Auto Industry and Tesla Inc. https://scholarworks.uvm.edu/hcoltheses/228/ 

Flyvbjerg, B. (2021). Make Megaprojects More Modular. Harvard Business Review, 99(6), 50-54. https://www.researchgate.net/profile/Bent-Flyvbjerg/publication/355444633_Make_Megaprojects_More_Modular/links/61712504435dab3b758aaa96/Make-Megaprojects-More-Modular.pdf 

Kenway, S., Conrad, S., Jawad, M. P., Gledhill, J., Bravo, R., McCall, J., ... & Howe, C. (2019). Opportunities and barriers for renewable and distributed energy resource development at drinking water and wastewater utilities. Denver, CO, United States: Water Research Foundation. https://www.researchgate.net/profile/Steven-Conrad-4/publication/341508117_Visual_Overview_of_Regulatory_Drivers_for_Distributed_Energy_Resource_Recovery_and_Renewable_Energy_applicable_to_water_and_wastewater_utilities/data/5ec4ad5e299bf1c09acbf3c9/ES4-RegulatoryDrivers-LinkedOverview.pdf

Kim, H. (2020). Analysis of How Tesla Creates Core Innovation Capability. International Journal of Business and Management, 15(6), 42-61. https://pdfs.semanticscholar.org/1424/81e9a7f04faa376cad9ea5cc583a97e35742.pdf 

Lakomy, D. S., Yang, J., Vedam, S., Wang, J., Lee, B., Sobremonte, A., ... & Lin, L. L. (2022). Clinical implementation and initial experience with a 1.5 Tesla MR-linac for MR-guided radiotherapy for gynecologic cancer: An R-IDEAL stage 1/2a first in humans/feasibility study of new technology implementation. Practical Radiation Oncology. https://www.sciencedirect.com/science/article/pii/S1879850022000790

McCain, C. (2019). A Strategic Audit of Tesla, Inc. https://digitalcommons.unl.edu/honorstheses/132/

Mqadi, L., Musango, J. K., & Brent, A. C. (2018). Challenges facing South Africa’s electricity sector’s integrated resource plan: a qualitative system dynamics approach. https://scholar.sun.ac.za/handle/10019.1/106271 

Munthe, R. A. (2022). Benefits of Company Management Systems with Combination of ERP (Enterprise Resource Planning). Journal Research of Social, Science, Economics, and Management, 1(6), 610-620. https://jrssem.publikasiindonesia.id/index.php/jrssem/article/view/74 

Neish, A., Walter, T., & Enge, P. (2018, September). Parameter selection for the TESLA keychain. In Proceedings of the 31^st International Technical Meeting of the Satellite Division of The Institute of Navigation (ION GNSS+ 2018) (pp. 2155-2171). https://www.ion.org/publications/abstract.cfm?articleID=15852 

Okanga, B., & Groenewald, D. (2019). Optimising enterprise resource planning system to leverage a firm’s absorptive and adaptive capabilities. South African Journal of Information Management, 21(1), 1-15. https://journals.co.za/doi/abs/10.4102/sajim.v21i1.962 

Quyen, P. T. B., & Nguyen, N. P. (2020). The impact of perceived accounting benefits on the enterprise resource planning success: The mediating role of effective system use. Journal of Intelligence Studies in Business, 10(3). https://journal.hh.se/index.php/JISIB/article/view/639

Shafi, K., Ahmad, U. S., Nawab, S., Bhatti, W. K., Shad, S. A., Hameed, Z., ... & Shoaib, F. (2019). Measuring performance through enterprise resource planning system implementation. IEEE Access, 7, 6691-6702. https://link.springer.com/chapter/10.1007/978-3-319-99007-1_33

Simon, S. M. (2021). Evaluating the challenges and benefits associated with resource planning and leveling in the Kenyan Construction Industry. Global Journal of Engineering and Technology Advances, 6(2), 151-158. https://gjeta.com/content/evaluating-challenges-and-benefits-associated-resource-planning-and-leveling-kenyan 

Tosesarij, C. (2020). Discounted Cash Flow Valuation Of Tesla Incorporated (Tsla) (Doctoral Dissertation, Mahidol University). Https://Archive.Cm.Mahidol.Ac.Th/Handle/123456789/4049 

Wang, J., Duan, Y., & Liu, G. (2021). A study of specific open innovation issues from perspectives of open source and resources—The series cases of Tesla. Sustainability, 14(1), 142. https://www.mdpi.com/2071-1050/14/1/142

Wang, Y., Xu, L., & Solangi, Y. A. (2020). Strategic renewable energy resources selection for Pakistan: Based on SWOT-Fuzzy AHP approach. Sustainable Cities and Society, 52, 101861. https://www.sciencedirect.com/science/article/pii/S2210670719312211 

Wardell, J. D., Kempe, T., Rapinda, K. K., Single, A., Bilevicius, E., Frohlich, J. R., ... & Keough, M. T. (2020). Drinking to cope during COVID?19 pandemic: The role of external and internal factors in coping motive pathways to alcohol use, solitary drinking, and alcohol problems. Alcoholism: Clinical and Experimental Research, 44(10), 2073-2083. https://onlinelibrary.wiley.com/doi/abs/10.1111/acer.14425

Wen, J. (2022, March). Is Rivian the Next Tesla?. In 2022 7th International Conference on Financial Innovation and Economic Development (ICFIED 2022) (pp. 2781-2785). Atlantis Press. https://www.atlantis-press.com/proceedings/icfied-22/125971883

Živanovic, N., Živanovi?, V., Flifel, F. A., & Ihmedat, D. (2018). Modern Access To Management Of Human Resources. Ekonomika I Upravlenie: Problemy, Resheniya, 3(4), 36. Http://Unec.Edu.Az/Application/Uploads/2015/05/Islamskaya-Bankovskaya-Sistema-Novy-e-Vy-Zovy-Problemy-i-Perspektivy-Razvitiya.Pdf#Page=36