Strategic Management

Strategic Management

Project description
Critique the two templates listed below separately. Do you agree with their assessment of that company’s environmental policy? Argue for or against based on this company’s car/truck production.
In October 1946, Soichiro Honda established the Honda Technical Research Institute in Hamamatsu, Japan (About Honda, 2014). Honda began with just six industrious employees. Honda’s legacy of innovation is unmatched in the automotive industry. Honda’s commitment to the environment begins with California drivers that are now driving the FCX Clarity Fuel Cell Electric vehicle. This is only the beginning. Another highlight would be the innovation of the Civic natural Gas vehicle and the Civic Hybrid. The Civic Natural Gas runs on Compressed Natural Gas (CNG), for near-zero emissions. The hybrid vehicles combine performance and convenience of gas with the efficiency of electricity.

In 2012, Honda was named America’s greenest automaker. In 2012, Honda launched the 9th Civic lineup which included the 41 mpg, Civic HF, a new Civic Natural Gas and the new 44 mpg Civic Hybrid, the most fuel efficient Sedan in America. These environment commitments are universal and not just U.S. based. Honda plants are located in the United Kingdom, Turkey, Japan, and Brazil. All of which will be making a 30% reduction in CO2 emissions from Honda products (Auto Channel, 2014).
With the new regulations the auto industry faces 40% increase in fuel economy for the new cars. It will take more effort to work and reach environmental goals. Due to the failing economy it will be hard to do. I don’t think that there are any links between the government bailouts and the new environmental leanings by the auto industry. The auto industry has improved in creating vehicles for the market and selling them at an affordable price. Some industries benefit from the bailouts while others were able to improve on their own.

Honda Corporation. (2014). About Honda. Retrieved from http://corporate.honda.com/environment/vehicles.aspx
Template Two
Global warming has been the epicenter of worldwide debates; it actually pertains to the unequivocal and continuing changes that affect the earth’s temperature and its overall climate system. Some experts have argued that we may have passed the point of no return; however we are still able to remediate its effects. Thus collectively we can commit to be environmentally conscious for a better tomorrow. Consequently Cadillac, the prestigious American Automaker has pledged to do their part to make sure the world is a safer place to live.

 

1-What are the highlights of their commitment to the environment?

 

Under the sole guidance and care of General Motors, Cadillac is highly committed to sustainability; in fact it is viewed as a value proposition, which extends to a variety of environmental, social, and economic issues and opportunities to foster long-term success. Sustainability is at the very core of everything that Cadillac does; to start it off, all cars are conceptualized to have little impact on the environment. The firm’s ultimate commitment to the environment is highlighted in their guide to greener driving, which states the how, why, and what must be done to ensure less gas consumption for minimal impact on the environment. Furthermore GM’s sustainability efforts extend to energy management, solar usage, landfill-free facilities, and clean energy. These efforts go far beyond the national boundaries; from Africa to China, they have invested in education, health, road-building, infrastructure and numerous other projects to make sure that we are well-aware of what to, and more importantly why we need to be cautious and environmentally conscious.

 

2-What steps has this company taken to date to show that it is on track with its new environmental policies?

 

General Motors have a number of measures to not only making sure that they adhere to the stated policies, but also they further conduct two very distinct monthly forums, whereas they gathered information on how they are progressing on specific issues related to the environment. They make any necessary adjustment as needed. More importantly this is shown through their supply chain operational processes. They chose to work with local suppliers not only to help revive local economies, but certainly because of the overall environmental benefits, such as minimizing shipping; hence reducing fossil fuel use, carbon emissions and material use. General Motors understand that it is essentially more crucial to ensure that they are held accountable for their commitment; hence why they have chosen to work with locals so that they can micromanage and track every step towards reaching stated objectives. Furthermore they have an ongoing training program, which aim at making sure that everyone stays abreast of current and upcoming environmental changes.

 

3

Are these commitments universal or they are solely US based

 

General Motors is certainly a multinational company, and as such everything they do tend to have a global impact; thus their environmental policies extend far beyond the US soil because they are well-aware of the fact that the effect of global warming can only be remediated collectively. In fact, it is stated on their website that General Motors’ intent is to be a partner of choice for surrounding communities by encouraging economic development, helping to protect the natural environs as well as contributing to the social well-being of humanity. Moreover they indicate that strong communities relationships help improve competitiveness.

Government around the world should ultimately play a vital in making sure that automakers are adhering to these policies; but more importantly there should be serious consequences for failing to follow established regulations. Whenever a particular automaker needs a government bailout, it provides rather an exclusive and rare opportunity for government authorities to reinforce certain rules and regulations. Therefore at the expense of being bailed out, commitment to social, economic, and political issues must be affirmed and reaffirmed.
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