Tesla: Building an Electric Vehicle Global Supply Chain

Name: Tesla: Building an Electric Vehicle Global Supply Chain (English version)
SKU: W34521

P. Fraser Johnson

Product #:W34521

Supplier:Ivey

Discipline:Operations Management, Strategy

Setting:United States, 2023

Details:Case (PDF) • 16 pages • 2023-07-14

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In 2023, Tesla, Inc. (Tesla), was the most valuable automotive company in the world. Over 20 years, it had developed revolutionary products and a large, complex, global supply chain network. After announcing plans to spend nearly $150 billion to achieve the strategic goal of selling 20 million vehicles per year, it needed to dramatically expand its capacity. Chief executive officer Elon Musk was facing a key challenge: deciding what changes needed to be made to Tesla’s global supply chain to support its strategic objectives. What supply chain capabilities would Tesla need to support these plans?

Learning Objectives

This case can be used in undergraduate- or graduate-level courses in operations management, supply chain management, logistics, strategy, or marketing. It provides an opportunity to analyze the operations and supply chain strategy of a rapidly growing global manufacturing company. After completing the case and assignment questions, students will be able to

evaluate the evolution of Tesla’s supply chain and related capabilities;
assess Tesla’s supply chain and identify its key competitive advantages;
quantify Tesla’s ability to generate value from its supply chain;
identify potential opportunities and challenges for Tesla in improving its supply chain; and
analyze the effects of the opportunities and challenges Tesla faces in its growth strategy.

Tesla: Building an Electric Vehicle Global Supply Chain

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Learning Objectives