3.4 VRIO framework of Maruti SuzukiThe VRIO analysis is a way to compare the specific resources of two or more companies to determine who is stronger in their respective market as well as whose future looks brighter. VRIO stands for Value, Rare, Inimitable, & Organized to Exploit. Below i will conduct a VRIO analysis for Maruti Suzuki:-Based on just-in-time production, the TPS built vehicles based on immediate market demands rather than in anticipation of future demands. This unique strategy was created to cut costs and eliminate waste.Valuable: Yes, because it has been proven to keep production costs lowRare: Yes, just-in-time production is a popular strategy used by companies in all industries; however MARUTI SUZUKIs methodology is very rare.Inimitable: Yes, many companies have tried to recreate the system; however none have been able to do it in as efficient of a manner.Organization: Yes, MARUTI SUZUKI has been using this system since the 90s and has been perfecting it along the way.Competitive Implication: This creates a sustained competitive advantage

Time-Based Competition Strategy (TBC)Process that includes both reduced cycle time and reduced costs, while increasing profits and accelerating growth.Valuable: Yes, in addition to the benefits mentioned above, TBC creates increased value differentiation, increased variety and flexibility, and strengthened relationships with customers.Rare: No, other companies use this system; however MARUTI SUZUKI and other Asian companies were one of the first ones to start using it.Inimitable: No, other companies such as Honda and Tata use TBC to improve their leading market share within their respective industriesOrganization: Yes, the company has adopted the strategy and has been very successful in doing soCompetitive Implication: This creates competitive parity

SCENARIO ANALYSIS4.1 INTRODUCTIONFuel is the heart of the automobile business. Even after manufacturing of the motor vehicle they are quiescent or hidden. They can be only used with the use of the oil or natural gas or coal. Now these all are fossil fuels which have been formed from the living organism or trees after they get perished and transformed in fossil fuel after millions of years. These are limited and insufficient resource. In the near future these resources can be useless and automotive industry needs to look one step ahead to develop other alternative source of energy to run the industry in desired speed.Introduction of two metaphors (Future) - We have chosen metaphors of Ocean and Lake, where Ocean future has no boundaries for fuel, in other words fuel is forever and in Lake future fuel will not last for long.

4.2 Scenario ONE Ocean Future: No boundaries for FuelOcean future is based on unlimited fuel availability, where the automotive industry is most profitable sector. Maruti Suzuki is one of the major automotive companies in the industry. The main problem for the business will be pollution as there will be no scarcity of fuel. And how the business will survive in the future scenario? Who are their future competitors? What strategy they should adopt to take competitive advantage? And the future PEEST analysis trends of the company.

4.2.1 Predicted Global Impacts of Ocean futureIn the Ocean future world is full of fuel. The automotive industry will never run out of fuel. In other words, company can reduce its R&D expense in alternative fuel engine research. Ocean future represent the unlimited availability of fuel, as a result fuel will be cheaper than today. In the present scenario having a car is not a big deal but what really matter is to run them. Since the fuel is unlimited there will be huge number of vehicles on the road.It has some bad impacts too. As mentioned earlier that fuel will not considered as scarcity and consume more fuel, as a result there will be more carbon emission exhausted in the environment and pollution will be more then today.

4.2.2 PEEST analysis of Ocean futurePEEST analysis is related with the environmental effects on a business.The short form stands for the Political, Environmental, Economic, Social and Technological issues that could affect the strategy of a company.It is a useful way to summarise the external environment in which a company operate. However, it must be followed by consideration of how company should respond.

Political TrendWhat will be the political rules and changes? Due to unlimited fuel stock government will not impose any strong political rule for fuel usage in the ocean future. Government will have to focus on pollution and carbon emission reduction rather. Fuel freedom will convert in to freedom of fuel usage and as a result there will be huge amount of CO2 in to the environment. Next step would be to take step forward to improve traffic system and infrastructure development to manage the increased vehicles on the road.

Economical TrendWhat will be an economical issue? Economic situation of the Ocean future will be good for the people. Today fuel is running out of stock and a major issue for the automotive industry and it affects consumers too. In the ocean future fuel is cheap, as a result cars will be cheap and lower income people can afford to buy a car. Other side Transportation will be cheaper too for those who have no car and depend on public transportation. Every coin has two sides; other side of the economic situation will be health issues. Health expenditure may raise high due to pollution.

Social TrendWhat will be social expectation and needs? Since the world will never run out of fuel, cars will be comparatively cheaper than today. So dream of having a personal car will come true for everybody. People now have access to the offices, home appliances and automobiles. Digital devices have made life easier for everybody. Things that are expensive at present will be available within budgets, and automobiles will be one of those. There are few situations that will bring sudden changes in the automotive industry. The life style of the people in ocean future is very high and trendy because this future describes of well-being of economic condition of people due to low unemployment.Environmental TrendWhat will be the environmental situation in the ocean future? On the other side it is totally a different situation in environment of ocean future. As described earlier that fuel will be cheaper so it will consume more fuel and as a result, indiscriminately use of fuel will cause more air pollution which in turn leads to more global warming and greenhouse effect. These issues will have impact on the health of people, water level in ocean, fertility of lands, crops, rain and atmosphere.

Technological TrendWhat will be the Technological advantage and changes in the Ocean future? Fuel freedom will help automotive company to invent new luxury rather than spending on R&D for fuel alternative, so MARUTI SUZUKI can come up with technology, safety and comfort innovation. Since the cars will be cheaper than today, common man can afford to have a luxury car.4.2.3 Strategy & Implications for Ocean FutureAs discussed in the PEEST analysis that pollution will be the major issue globally; MARUTI SUZUKI should invest more in R&D to invent engine that help to reduce carbon emission. Ocean means large market and if MARUTI SUZUKI wishes to reach to each and every market of the world then MARUTI SUZUKI should collaborate with other dominant players in the automotive industry such as BMW, Mercedes and Bugatti. Moreover to gain its market share and expand the business MARUTI SUZUKI should also concentrate in making the truck and other heavy loaded motors globally.

4.3 Scenario TWO Lake FutureLake future is opposite of ocean future where fuel will not last for long, in other words Will World run on carts and pedals?4.3.1 Predicted Global Impacts of Lake FutureMaruti Suzuki is A manufacturer of fuel based automobile products and fuel is basic need. According to the lake future, fuel will not last for long. Researchers says Oil will last for 40-50 years, Natural gas will last for 60-75 years and coal will last for 155 years. If it happens then there is a possibility that world will run on pedal carts. Fuel is the basic need for automotive industry. If there is no fuel then the business will also not exist. As a result unemployment will increase not only in the automotive industry but associated industries like parts and accessories industry and oil industry. Technology like mobiles and internet will be in the centre point for the purpose of communication. Since there are no cars on the road then there is no pollution and lake future will be pollution free. On other side there is a possibility that automobile manufacturer like Maruti Suzuki develop an alternative for the fuel and give a sustainable advantage to automotive industry and industry will run and grow continuously.

4.3.2 PEEST analysis of Ocean futurePEEST analysis is related with the environmental effects on a business.The short form stands for the Political, Environmental, Economic, Social and Technological issues that could affect the strategy of a company.It is a useful way to summarise the external environment in which a company operate. However, it must be followed by consideration of how company should respond.

Political TrendLake future is represented by depletion of fuel. So in such condition political factors have much more impact on the automotive industry. Since there would be no fuel in this scenario Government need to change or eliminate laws and legislation related to fossil fuel and develop new laws and legislation in concern with the Department and Bodies of Government which play important role in the development of the automotive industry. In this future, Governments responsibility towards technical advancement and development is equivalent to that of automobile companies.

Economical TrendBeing considerable contributor to the economy, automotive industry will continue to do so. In lake future economy would be affected by companies engaged in the invention and development of the new technologies. These companies will have command over economy because without these companies auto industry will be nothing and without automotive industry transportation would be so tough that people will travel once in a while

Environmental TrendLake future is represented by fuel free earth and it is also represented by new inventions and technologies. So air pollution passed on by automotive industry would be reduced to almost nil. Pollution related health problems, greenhouse effect and global warming will be reduced. Automotive industry will not need to search for the low emission engines and can instead can invest to find an alternative source which can be easily available and cheap to afford.

Social TrendIn lake future there are two possibilities - one is without fuel and the other is with MARUTI SUZUKI. Without fuel auto industry would collapse and people would suffer without any transportation vehicles. People would be depended on telephone or internet for communication with each other. This may affect the relationship of people with each other and shrinkage of relationship.Other possibility is that MARUTI SUZUKI become exclusive producer of Motor vehicles with alternative energy source and succeeds to sustain the transportation system. Then MARUTI SUZUKI would be only way of transportation and other name of life.

Technological TrendLake future itself is Techno-Future, in which new ideas and technology will change the whole scenario of automobile industry. Birth of new alternative energy source will give new definition to industry and may bring sustainable advantage to industry so that for many years these sources remain the soul of the industry and run the industry. Technological advancement will be continued to eliminate the drawback of existing situation and to find solution for that.

4.3.3 Strategy & Implications for Lake future trendStrategy may be described as the model or plan that integrates an organizations major goals, policies, and action series into a cohesive whole. Ocean future strategy is based on Long-term action plan for future goals. Strategy is a political procedure and it works through culture Nature of culture in which the business is operating, structure Type of structure the business has, people people within the organization and outside the organization, expectations expected expectation from the organization.Financial markets will be unstable, rising fuel prices, and increasing taxes on fuel usage will be some of the problems faced by the automotive industry in the lake future.Reduce the cost by producing under the one roof and using long lasting material like Nano material. Automotive manufacturers must mass-produce the automobiles so that they are affordable to the consumer which is comparatively cost effective.

BCG Matrix of Maruti SuzukiThe BCG matrix method is based on the product life cycle theory that can be used to determine what priorities should be given in the product portfolio of a business unit. To ensure long-term value creation, a company should have a portfolio of products that contains both high-growth products in need of cash inputs and low-growth products that generate a lot of cash. It has 2 dimensions: market share and market growth. The basic idea behind it is that the bigger the market share a product has or the faster the product's market grows the better it is for the company.

MARUTI SUZUKI, one of Indias leading automobile manufacturer and the market leader in the Car segment, both in terms of volume of vehicles sold and revenue earned

STARThe Company has long run opportunity for growth and profitability. They have high relative market share and high growth rate. SWIFT, SWIFT DESIRE AND ZEN ESTILO is the fast growing and has potential to gain substantial profit in the market.

QUESTION MARKThere are also called as wild cats that are new products with potential for success but there cash needs are high and cash generation is low. In auto industry of MARUTI SX4, GRAND VITARA, A-STAR, there has been improvement in the organization reputation. As they want success not only in Indian market but as well as in global market.

CASH COWIt has high relative market share but compete in low growth rate as they generate cash in excess of their needs.MARUTI 800, ALTO AND WAGNOR have fallen to ladder 3 & 4 due to introduction of ZEN ESTALIO andA STAR.

DOGThe dogs have no market share and do not have potential to bring in much cash.BALENO, OMINI, VERSA There business have liquidated and trim down thus the strategies adopted can be either harvest, divest or drop.BCG matrix can serves as a simple tool for viewing a corporations business portfolio at a glance, and may serves as a starting point for discussing resource allocation among strategic business units.

GE NINE CELL MATRIXThe GE/McKinsey Matrix is a nine-cell (3 by 3) matrix used to perform business portfolio analysis as a step in the strategic planning process.The GE/McKinsey Matrix identifies the optimum business portfolio as one that fits perfectly to the company's strengths and helps to explore the most attractive industry sectors or markets.The objective of the analysis is to position each SBU on the chart depending on the SBU's Strength and the Attractiveness of the Industry Sector or Market on which it is focussed. Each axis is divided into Low, Medium and High, giving the nine-cell matrix as depicted below.Different factors can be used to define Industry Attractiveness. Like:- Market Size, Market Growth Rate, Demand variability, Industry Profitability, Competitive Rivalry, Global Opportunities, Entry and exit barriers, Capital requirement, Macro environmental Factors (PEST)Different factors can also be used to define SBU Strength. Like:-Market Share, Distribution Channel Access, Financial Resources, R&D Capability, Brand equity, Production Capacity, Knowledge of customer and market, Caliber of management. Relative cost positionThe factors and their relative weightings are selected. The rating values for each factor are entered for each SBU and Industry. Grow Business units that fall under grow attract high investment. Firms may go for product differentiation or Cost leadership. Huge cash is generated in this phase. Market leaders exist in this phase.Hold Business units that fall under hold phase attract moderate investment. Market segmentation, Market penetration, imitation strategies are adopted in this phase. Followers exist in this phase.Harvest - Business units that fall under this phase are unattractive. Low priority is given in these business units. Strategies like divestment, Diversification, mergers are adopted in this phase.

INDUSTRY ATTRACTIVENESSBUSINESS UNIT STRENGTH

STRONGAVERAGEWEAK

HIGHINVESTMENT AND GROWTHINDICAINVESTMENT AND GROWTHSAFARISELECTIVEARIA

MEDIUMINVESTMENT AND GROWTHHEAVY TRUCKSSELECTIVITY/EARNINGSMARUTI SUZUKI LUVsHARVESTNANO

LOWSELECTIVITY/EARNINGSMARUTI SUZUKI ACEHARVESTINDIGOHARVEST--------

MARUTI SUZUKI GE NINE CELL MATRIX

Market Attractiveness: - The attributes of market attractiveness areAnnual market growth rateOverall market sizeHistorical profit marginCurrent size of marketMarket structureBusiness Strength: - The attributes of business strength are Current market shareBrand imageProduction capacityCorporate imageProfit margins relative to competitors

ANSOFF Matrix of Maruti Suzuki

For any decision to be taken at corporate level, you need the right strategic tools. Ansoff matrix is one of them. Ansoff matrix helps a firm decide their market growth as well as product growth strategies. The 2 questions which the Ansoff Matrix can answer is How can we grow in the existing markets and What amends can be made in the product portfolio to have better growth.From the above two questions, it is clear that Ansoff matrix deals with the companies external market scenario as well as the product portfolio which the firm has. The matrix is divided in two quadrants The product quadrant and the market quadrant. The Product quadrant on the X axis is further divided into Existing products and new products. The market scenario on the Y axis is divided into existing markets and new markets. Thus the Ansoff matrix divides a firm on the basis of the products it has existing products or new products, as well as the markets it is in existing markets or new markets.Depending on the characteristic of each, Maruti Suzuki decides its marketing strategy. These marketing strategies are as follows.Market PenetrationThe company is trying to reach the existing market with product that has existed too. This is the safest step because it has lesser risk than any other strategies. Usually, companies use this strategy to attract their competitors customers. Maruti Suzuki used this strategy when they reached UK market by take over Jaguar-Land Rover, Maruti Suzuki did not just concentrate on the new products line that they can produce from the two companies above but instead, Maruti Suzuki still producing Maruti Suzuki Indica in the market (Maruti Suzuki, 2003).Product DevelopmentThe company offer new product to the present market. This is an important strategy to give fresh breath to the market. The new product will attract more customers from the existing market. The first product development of Maruti Suzuki was Maruti Suzuki Sierra, their first passengers vehicle. Maruti Suzuki Sierra was marketed in 1991. And that was the first step of Maruti Suzuki to develop their product and future strategy (Maruti Suzuki, 2010).Maruti Suzuki also did product development when they started to produce Maruti Suzuki Nano in 2008, Ratan Maruti Suzuki thought about making the world cheapest car and produced it in the domestic market first, India (Maruti Suzuki, 2009). The strategy was to sell affordable car to the people in the same time, expanding their market.Before that, Maruti Suzuki developed the first mini-truck in India called Maruti Suzuki Ace. Maruti Suzuki Ace came to the market in 2005 and in 2 years time, they have sold 96,000 units of Maruti Suzuki Ace (Maruti Suzuki, 2007). By marketing this product, Maruti Suzuki expand their market to mini-truck segment and become market leader.Market DevelopmentUse the present product that belong to the company and offer it to a new market. Many MNE usually use this strategy to reach wider market domestically and internationally. Some examples of market development are: expanding to another country, selling the product to a different market segment, and using the product for different function (Graham and Allan, 2008). Maruti Suzuki has developed their market overseas; they reached South Korea market in 2004, Spain market in 2005, Thailand market in 2006, UK market in 2008, and many more. Maruti Suzuki sells their existing product like buses, trucks, and cars in those markets. Maruti Suzuki is planning to make their market even wider by opening new companies in developing countries such as: Indonesia, Philippines, and Turkey.DiversificationThis is a strategy whereby the company makes a new product and offers it to the new market. Diversification has higher risk than another strategies because the market and the product is new, but in the other side it could bring more profit to the company as it will bring new customers.Maruti Suzuki diversified their product when they entered UK market and took over Jaguar-Land Rover in 2008. It allowed Maruti Suzuki to produced new products line, for example: Jaguar X-Type and Land Rover LRX.

Grand Strategy of Maruti Suzuki

Grand Strategy Matrix is very useful instrument for creating different and alternative strategies for an organization. Grand matrix has four quadrants; each quadrant contains different sets of strategies and the entire firms along with their respective divisions must fall in one of the quadrant. This matrix has two dimensions (competitive position and market growth). Suitable set of strategies for each quadrant are given below:To test the appropriateness of the diversification strategy and to draw more strategic options for Maruti Suzuki the Grand Strategy Matrix is used. As Maruti Suzuki has a strong competitive position and the market growth is slow in the automobile industry, Maruti Suzuki is placed in Quadrant IV confirming that diversification or a joint venture can be a good strategy for Maruti Suzuki.Quadrant IV provides four options for Maruti Suzuki: 1) Concentric Diversification Maruti Suzuki has already diversified its product mix and includes: Sedans, SUV, MPV, minivans, trucks and heavy machinery. Maruti Suzuki also covering other customer segment, using Land Rover and Jaguar line for high income group. Concentric diversification has been taken care of by Maruti Suzuki. 2) Conglomerate Diversification - Maruti Suzuki has diversified its business portfolio into financing, housing, communication and other business. Conglomerate diversification also has been taken as an option by Maruti Suzuki previously. 3) Horizontal Diversification - In horizontal diversification Maruti Suzuki has acquired Daewoos Truck Division and has acquired Hispano automobile company of Spain for achieving a better position in the passenger car market.4) Joint Venture Last two options offer fast increase in market share. Maruti Suzuki can consider both options for its further growth.

Functional StrategiesMaruti Suzuki believe that they have established a strong position in the Indian automobile industry by launching new products, investing in research and development and maintaining financial strength. They are also benefited from the expansion of their manufacturing and distribution network. Their goal is to position themselves as a major international automotive company by offering products across various markets by combining engineering and other strengths and through strategic acquisitions. Their functional strategy to achieve these goals consists of the following elements:Leveraging our capabilities: They have an extensive range of products in commercial vehicles (for both goods and passenger transport) as well as passenger vehicles. They have plans to leverage this broad product base further with their strong brand recognition in India, their understanding of local consumer preferences, well developed in-house engineering capabilities and extensive distribution network.Mitigating cyclicality: The automobile industry is impacted by cyclicality. To mitigate the impact of cyclicality, they plan to continue to strengthen their operations through significant presence across different segments, wide range of products and geographies. They also plan to continue to strengthen their non-vehicle business, such as spare part sales, annual maintenance contracts, sales of aggregates for non-vehicle businesses, reconditioning of aggregates, sale of castings, production aids and tooling and fixtures to reduce the impact of cyclicality.Expanding our international business: They have a two-fold strategy of expanding their operations into other geographic areas, through strategic acquisitions and by expanding their product range into select geographies where they have an opportunity to grow in markets with similar characteristics to the Indian market. Their international business strategy has already resulted in the continuous growth of their international operations over the past three fiscal years. For example, they have consolidated their position in the Ukraine to become the largest competitor in the light bus market under seven meters and the third largest competitor in the seven ton GVW light truck segment, in terms of unit sales. TDCV continues to be the largest exporter of heavy commercial vehicles from South Korea. Additionally acquisition of Jaguar Land Rover has significantly expanded their geographical presenceReducing costs and breakeven points: They believe that their scale of operations provides them with a significant advantage in reducing costs and they plan to continue to sustain and enhance their cost advantage. While they believe that their commercial vehicle business has scale that is competitive in relation to global standards, with the launch of the Maruti Suzuki Zest, we will be able to benefit from global economies of scale in the passenger vehicle business as well.Enhancing capabilities through the adoption of superior processes: Maruti Suzuki Sons Limited, or Maruti Suzuki Sons, and the entities promoted by Maruti Suzuki Sons, including Maruti Suzuki, aim at improving the quality of life through leadership in various sectors of national economic significance. In pursuit of this goal, Maruti Suzuki Sons and the Maruti Suzuki Sons promoted entities have institutionalized an approach, called the Maruti Suzuki Business Excellence Model or TBEM, which has been formulated on the lines of the Malcolm Baldridge National Quality Award to enable them to drive performance and attain higher levels of efficiency in their businesses and in discharging social responsibility.Continuing to invest in technology and technical skills: They believe, they are one of the most technologically advanced indigenous vehicle manufacturers in India. Over the years, they have enhanced their technological strengths through extensive internal research and development activities. Their research and development resources, which include those at their subsidiaries, like TMETC, TDCV, TTL and Hispano together with the two advanced engineering and design centres of Jaguar Land Rover recently acquired, further increase their capabilities in product design, manufacturing and quality control.

Porters model of competitive AdvantageA firm's relative position within its industry determines whether a firm's profitability is above or below the industry average. The fundamental basis of above average profitability in the long run is sustainable competitive advantage. There are two basic types of competitive advantage a firm can possess: low cost or differentiation. The two basic types of competitive advantage combined with the scope of activities for which a firm seeks to achieve them, lead to three generic strategies for achieving above average performance in an industry: cost leadership, differentiation, and focus. The focus strategy has two variants, cost focus and differentiation focus.

Maruti Suzukis uses both differentiation and low cost as generic strategies to try and gain a competitive advantage over their competitors in the automotive industry. The market scope that Maruti Suzuki uses is a broad one that encompasses nearly every type of customer that is in the market to purchase an automobile. Maruti Suzuki is able to target such a large market because they have something for everyone. Maruti Suzuki has four wheel drive trucks and SUVs for the outdoor types or those who live in areas that face severe weather conditions, hybrid models like the Manza for the eco-friendly customers that are interested in saving the environment, along with the standard cars for general, everyday use. Additionally, Maruti Suzuki provides vehicles for all price ranges. From the low price Maruti Suzuki Zest line of cars to the high priced luxury line of cars and SUVs with Land Rovers, Maruti Suzuki has something for everyone.Maruti Suzuki differentiates on several levels form their competitors. First of all, Maruti Suzuki has been very successful in differentiating on the basis of superior design and quality. This has led to Maruti Suzuki being able to create a brand image that is very strong and one that brings to mind quality, long lasting cars when a potential customer sees it. The strength of Maruti Suzukis brand image has been seen in recent years with the recalls and problems Maruti Suzuki faced in dealing with these recalls. Maruti Suzuki was able to survive these problems because they had such a long and proven track record of quality and superior. Another, area that Maruti Suzuki differentiates is in technology. Maruti Suzuki was one of the first Indian successful automobile company to produce the hybrid car on the market when it released the e-REV. Being the first to get their hybrid on the market allowed Maruti Suzuki to gain a large portion of the market share in the area of hybrid cars.Along with differentiation Maruti Suzuki also uses low cost to try and gain a competitive advantage in the automotive industry. Maruti Suzuki is (or was at the time) the low cost producer in the industry. Maruti Suzuki achieves its cost leadership strategy by adopting lean production, careful choice and control of suppliers, efficient distribution, and low servicing costs from a quality product. Through research, it is evident that Maruti Suzuki is still the low cost leader in the automotive industry.

Balance Score Card of Maruti SuzukiDr David Norton and Dr Robert Kaplan introduced the Balanced Scorecard (BSC) as an integrated measurement framework that enables the organisation to align its performance with strategic objectives. It retains the traditional financial parameters to measure the firms current performance, but supplements it with learning and growth, customer and business process metrics that evaluate its long-term improvement measures.In BSC implementation, quantifiable metrics are developed based on key business drivers identified from the strategic plan. Data relevant to these metrics are collected and made available to various levels of decision-making for analysis. Norton and Kaplan suggested a step-by-step process for developing the BSC: Define the scope of measurement: The first step is to identify processes and structures for measurement - should the scorecard be applied at the business unit level or the larger corporate level? Define strategic objectives: The strategic plan is analysed to identify objectives from each perspective. Develop strategic measures: Metrics are derived from the objectives, to evaluate progress in attaining them.Develop action plan: Systems are designed for linking the strategic measures to lower-level operational measures, and the BSC is integrated into the organisations management structure.The commercial vehicles business unit (CVBU) of Maruti Suzuki was among the first Asian organisations to be inducted into the prestigious Balanced Scorecard Hall of Fame, in recognition of its exemplary success with the model. The company is one of the worlds top 10 truck manufacturers and the CVBU began deployment of Balanced Scorecard in 2000, in an attempt to remedy years of poor financial performance. The focus was on achieving a turnaround, and then progressing to sustainable growth. Within 2 years of implementation, the company began to show tangible improvement in performance including a 40% growth in revenue.