The automotive industry is one of the booming business in United States. The industry has
shown tremendous growth rate in recent years with latest innovation in design process, supply
chain, manufacturing process, and value being offered. The leading company in automotive
industries are GM, Toyota, Honda, Ford, BMW, and Porsche. However, due to increasing
demand, unpredictable customer desires, and expectations has triggered automotive industry in
designing and manufacturing process. This report analyses the operations and manufacturing
process of GM in the United States automotive industry. In this report we will compare
competitive advantage of operation strategy for GM against his two rivals Toyota Motors and
Honda Motors. TM has revolutionized the manufacturing processes with the development of just
being-in-time. Where HM has recognition through its product quality and ingenuity in
manufacturing design.
Operation strategy:
General Motors Company is primarily in automotive business originating in US and sells
automotive products globally. GM designs, manufactures, and sells cars, trucks, and
SUV’s/crossovers. GM manufactures and sells automotive parts, the GM financing company is a
subsidiary that also provides automotive financing services to clients and end-users. The US is a
part of subsidiaries of General Motors Company, which is known as a General Motors North
America (GMNA). The General Motors South America is not reported along with the international operations under the subsidiary General Motors International (GMI).

Process Design:
In process designing GM have product focus rather than functional focus. GM designed vehicles
makes an emotional connection with their customers, that’s what they believe while designing it.
The exterior and interior part of a vehicle is designed in such a way that customer starts
growing relationship with their vehicles and it grows further and further. GM’s most of the
global passenger car brand is different from one another and from other brands available in the
marketplace. GM’s global vision is look ahead and believe that the design is in forefront of
global change and if this trend continues, then 70% of vehicle portfolio will be replaced within
the next three years. GM’s global structure allows the design team to make new vehicles with the
help of dedicated people who are focused to use new technology and tools to bring them into the
market. Our diversity is unmatched which helps in fueling creativity process. Their mission is
every new product they develop it has to be home run, so each one is a great vehicle. GM was
the first global automobile manufacturing company to single out automobile design. GM and
GM design have balance in between practical and design principles, adapting to latest technology
trends and needs while maintaining a preserving an architectural masterpiece. GM design is the
first and largest global automotive original equipment manufacturers (OEM) design function.

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GM have Something call Tree to create in designing. From challenges come great opportunities
and great discoveries.

Capacity Planning:
In automotive industries, power enjoyed by company plays an important role in the
whole supply chain settings and agreements. Despite extraordinarily complexity, GM believes
that working with suppliers improve mutual performance which has edge over significant
progress and in overall results. Today’s complex, competitive, and dynamic automotive market
trends require automotive original equipment manufacturers (OEMs) to balance their demand-
supply equation.GM manufactures, assembles, sell and service products at various facilities
around the world These facilities are typically designed to produce particular models for
particular geographical markets. No single facility is designed to manufacture our full range of
vehicles. GM’s automotive operations are dependent upon continued ability of suppliers to
deliver the systems that GM need to manufacture the product the use of JUST-IN-TIME
manufacturing process allows GM to maintain minimal inventory quantities of systems. The
global automotive industry is highly competitive and overall manufacturing capacity in the
industry far exceeds demand. GM maintains 300 facilities, including 150 manufacturing plants
operations in 30 countries. GM supply/Demand totally depends on suppliers on time efficiency.
GM supplier business council consist of 12 suppliers and they meet on monthly basis with GPSC
leadership team. Localization play an important factor in GM’s supply strategy as, when we
build where we sell and buy where we build. GM vehicles are more competitive because of
pricing benefits and built to suit local unique requirements that drives customer enthusiasm and
brand loyalty with minimal inventories.