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An evaluation of supply chain stakeholder engagement in terms of customer specific requirements: a case study of an automotive supplier and the pressures around the automotive original equipment manufacturers’ (OEMs’) requirements

  • Authors: van Staden, Shelby
  • Date: 2024-04
  • Subjects: Business logistics , Materials management , Automobile industry and trade -- South Africa
  • Language: English
  • Type: Master's theses , text
  • Identifier: http://hdl.handle.net/${Handle} , vital:74160
  • Description: The central aim of this study was to assess the engagement of supply chain stakeholders, namely OEMs and an automotive supplier, in relation to customer-specific requirements. This objective was accomplished by identifying the communication methods employed by both parties for addressing customer-specific needs. Additionally, the study aimed to pinpoint the factors that promoted engagement between OEMs and automotive suppliers concerning these requirements. Conversely, it aimed to uncover the factors that hindered such engagement. Lastly, the research aimed to evaluate whether this engagement effectively alleviated the pressures faced by the automotive supplier regarding customer-specific requirements. The broader goal of the research was to comprehend how supply chain stakeholder engagement operated between OEMs and an automotive supplier with respect to customer-specific requirements. This was pursued through secondary objectives, which entailed examining how communication transpired between OEMs and an automotive supplier, the degree of participatory nature in this communication, the barriers and catalysts influencing customer-specific requirements, and whether this engagement mitigated the pressures borne by the automotive supplier. These objectives were instrumental in revealing opportunities for enhancing OEM communication, thereby positively contributing to their relationships with supply chain partners and mitigating the added burdens they faced. The research followed a qualitative case study design, utilizing semi-structured interviews to delve into the experiences of participants carefully selected from an automotive supplier. These participants were chosen based on their interactions with OEM customers, thereby providing pertinent insights into these interactions. Thematic analysis was employed for data analysis, uncovering codes, categories, and overarching themes from participants’ responses. The findings of the research highlighted certain consistent themes, shedding light on which communication methods were employed more frequently, as well as the rationale behind their usage. Notably, online platforms emerged as a popular channel, and daily communication was preferred. The research also revealed a recurring theme wherein OEMs assumed a controlling role, rather than fostering a mutually advantageous partnership in addressing issues. Additionally, communication barriers were observed in the use of online portals for communication by the automotive supplier. In these themes, variations were discerned in communication channels. These differences were rooted in participants’ responsibilities, decision-making authority, and designated roles. Consequently, the perception of communication channels varied among participants. However, similarities were also noted in the participants’ feedback regarding communication channels. The research highlighted the necessity for improved two-way communication and emphasized the need for a collaborative approach between OEMs and the automotive supplier, rather than a unilateral one. The research underscored an evident power imbalance between OEMs and the automotive supplier. In essence, the crux of a successful and mutually beneficial engagement between OEMs and the automotive supplier lies in transparent communication, adaptability, and a shared willingness to find solutions that cater to both sides. By focusing on these core principles, it is plausible to establish a scenario that benefits both parties and nurtures a robust and enduring partnership. , Thesis (MBA) -- Faculty of Business and Economic Sciences, Business School, 2024
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  • Date Issued: 2024-04

Strategies to promote skills development of technicians for the automotive retail industry

  • Authors: Sirayi, Siyabonga
  • Date: 2023-12
  • Subjects: Automobile industry and trade -- South Africa , Automobiles -- Marketing -- South Africa , South Africa0 Occupational training -- South Africa
  • Language: English
  • Type: Master's theses , text
  • Identifier: http://hdl.handle.net/10948/65968 , vital:74292
  • Description: The automotive retail industry in South Africa is a significant contributor to the country's economy, and the role of technicians in the industry is critical for the industry's growth and sustainability. However, the industry is faced with a shortage of skilled technicians, resulting in a skills gap that threatens the industry's progress. This study therefore aimed to identify the strategies that can be used to promote the skills development of technicians for the automotive retail industry. A qualitative research design was used, and data was collected through semi-structured interviews with stakeholders in the automotive retail industry. The data was analysed using thematic analysis. The findings of the study revealed that the industry faces several challenges, including the lack of funding for skills development programmes, inadequate training facilities, and an outdated curriculum. To address these challenges, the study recommends that the industry should adopt a multi-stakeholder approach that involves government, industry and training institutions. The study also recommends that the government needs to provide funding for skills development programmes and create policies that promote the training of technicians. The industry should work with institutions such as technical and non-technical high schools, TVET colleges, and universities to develop a relevant curriculum that is aligned with industry needs. The study further recommends that the industry should create partnerships with Original Equipment Manufacturers (OEMs) to provide training opportunities for technicians. In conclusion, the automotive retail industry in South Africa needs to invest in the skills development of technicians to address the skills gap and promote the industry's growth and sustainability. The adoption of a multi-stakeholder approach involving government, industry, and training institutions is essential for the success of skills development programmes in the industry. , Thesis (MCom) -- Faculty of Business and Economic Sciences, School of Management Sciences, 2023
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  • Date Issued: 2023-12

Essential employee knowledge management and re-skilling within the 4ir in the South African automotive industry towards 2030

  • Authors: Hufkie, Brian
  • Date: 2021-04
  • Subjects: Knowledge management , Technological innovations -- Economic aspects , Automobile industry and trade -- South Africa
  • Language: English
  • Type: Master's theses , text
  • Identifier: http://hdl.handle.net/10948/51556 , vital:43304
  • Description: It was the purpose of the study to gain an understanding of what Essential Employee Knowledge Management and Re-Skilling is needed in the South African Automotive Industry towards 2030 with regards to the Fourth Industrial Revolution (4IR). The reason for choosing the South African automotive industry was because the automotive industry is South Africa’s most important manufacturing sector. Nearly one-third of value adding within the domestic business sector is from the contribution, directly or indirectly, of vehicle assembly and automotive component manufacturing. According to Muro and Whiton (2017), advanced automation is already disrupting job futures across the globe and the 4IR technologies will contribute to further impacts upon the labour market, as many routine and rule-based jobs that typically involving low to medium skills become automated. Omarjee (2018), further states that the skills gap and structural unemployment are at an ever-increasing pace of change, which means organisations will face more structural unemployment challenges and which, therefore, amplifies the need for a significant amount of talent development, knowledge management, reskilling and up-skilling required in South Africa towards 4IR readiness. According to Statistics South Africa (Stats SA, 2018), South Africa’s skills challenges are because of complications of socio-economic and socio-historic factors. It is undisputed that 4IR requires a highly skilled workforce, and one which South Africa, regrettably, has been struggling to produce. The report further estimates that 30% of South African workers are unskilled, 46% are semiskilled workers and 24% are skilled workers. Therefore, skilling and reskilling of workers is important in preparing for the 4IR. The study undertook a focused environmental scan of recently published and pertinent articles in the public domain media. The aim, furthermore, was to use the environmental scan to contribute meaningful recommendations to all key stakeholders involved. The environmental scan looked at the macro environment and which included the social, technological, political, economic and the environmental factors influencing the South African automotive industry. Secondly, a qualitative case study approach was used to describe the true experiences of assembly workers and their immediate supervisors in a South African automotive plant. An interpretivism paradigm was applied in line with the case study research methodology. A semi-structured interview guide was developed to obtain primary data through the interviewing process and to test the dependent and independent variables. Using convenience sampling, interviews were set up with identified company related respondents, which included supervisors and blue-collar workers at a South African automotive company. The study results revealed that although some of the respondents did not know what 4IR was, there was agreement amongst those who knew what was involved and why 4IR should happen. The shared understanding was that 4IR involves vast amounts of data that assists in improving processes, systems and services. The study results also indicated that the implementation of automation, robotics and AI within the manufacturing industry had increased the fears of employees in terms of technology application is replacing their jobs. Some of the respondents also perceived a lack of transparency with regards to a structured approach towards a reskilling plan targeting the blue-collar workers’ readiness, in line with the 4IR within the automotive industry. Furthermore, what was clear was that reskilling, training and a retraining was needed within the orgainisation. Based on the overall study results, it appears that there is currently limited observed evidence about the current state of readiness of 4IR awareness and its adoption within a South African automotive industry entity. , Thesis (MA) -- Faculty of Business and Economic Sciences, Business Administration, 2021
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  • Date Issued: 2021-04

Exploring the motivational factors of millennials in the automotive sector in South Africa

  • Authors: Walters, Ashraf
  • Date: 2020
  • Subjects: Automobile industry and trade -- South Africa , Employee motivation
  • Language: English
  • Type: Thesis , Masters , MBA
  • Identifier: http://hdl.handle.net/10948/50709 , vital:42388
  • Description: Motivation in the workplace is the willingness of employees to exert high levels of effort in achieving the organisations goals and objectives. Motivation has been studied by psychologists and organisational experts throughout the ages and was consistently found that motivated employees provide organisations with improved productivity and a competitive edge. Millennials, born between the years of 1980 and 2000, are the biggest cohort since the baby boomer to enter the workplace. A significant amount of research was done on the characteristics of millennials but there is a limited amount of empirical research done on understanding and potentially improving motivation of millennials. The automotive industry is a key player and contributor to South Africa’s gross domestic product and employs a great number of people in direct and indirect jobs throughout the value chain. Against this backdrop, research was conducted within the automotive sector in the Gauteng and Eastern Cape (Nelson Mandela Bay) regions in South Africa aimed at exploring motivation under the context of leadership, communication, social responsibility, rewards and, given the tech savvy nature of millennials, the use of technology. This study was conducted under the positivistic paradigm, which employed a quantitative approach, by means of a questionnaire survey. The study and review of the literature by the researcher found that millennials value leadership which supports, and guides as oppose to enforces. Communication, which is transparent, concise but frequent. They are willing to make personal sacrifices working for an organisation who genuinely cares about Environment.Furthermore, millennials demand using technology to improve efficiency and interestingly, regards career development more than money as the most important and rewarding aspect. By understanding the motivational factors of millennials, Leaders can be equipped to keep them engaged, motivated and highly productive, after all, they are not only the future, but are fast becoming the present.
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  • Date Issued: 2020

The impact of the Dieselgate vehicle emmissions scandal on customer equity in the South African automotive industry

  • Authors: Pillay, Sylvester Deenan
  • Date: 2020
  • Subjects: Automobile industry and trade -- Germany , Automobile industry and trade -- Law and legislation -- Germany , Automobile industry and trade -- South Africa , Automobiles -- Motors -- Exhaust gas , Brand choice -- South Africa , Customer preferences -- South Africa , Consumer satisfaction -- South Africa , Brand loyalty -- South Africa , Consumer behavior -- South Africa , Dieselgate
  • Language: English
  • Type: Thesis , Masters , MBA
  • Identifier: http://hdl.handle.net/10962/149304 , vital:38823
  • Description: Prominent German automotive manufacturers had been tampering with emissions for some time before it became public knowledge in September 2015. It is then that that the term ‘Dieselgate’ was coined in reference to the scandal. As the scandal became public knowledge, manufacturers accused of emissions cheating faced challenges on several fronts, including legal, financial and environmental. While the ‘backlash’ as a result of the scandal was apparent in other countries, it was not as apparent in South Africa. This research paper set out to explore the impact that the Dieselgate scandal had in South Africa in terms of customer equity. Data analysis was undertaken using a two-pronged approach. The first of these was analysis of vehicle sales data using a paired t-test. This was to understand whether sales had seen a decline pre-, as well as post-scandal. The results point to a sales decline, this highlights that Dieselgate was a factor even though other, unexamined factors, were not investigated. The second instrument used was a customer equity questionnaire, this provided insight into the real opinions of consumers in South Africa about the affected brands. The analysis revealed that the affected manufacturers operating in South Africa had seen no negative effects in terms of customer equity. Based on the results, it could be said that market factors, which was not part of the research, play a great role in consumers’ preferences or mindsets. Additionally, manufacturers can operate with a degree of latitude in certain markets. This is based on market factors in a specific market as well as the regulations imposed and enforced in that market. Lastly, customer equity is a complex theory that includes a multitude of converging theories. Based on this fact, it is currently difficult to evaluate customer equity in its entirety in a single paper. A comprehensive model is yet to be developed that can effectively measure customer equity in an all-encompassing way.
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  • Date Issued: 2020

Future scenarios in the automotive industry as a result of the social impact of industry 4.0 in the period up to 2033

  • Authors: Nongendzi, Siyabonga
  • Date: 2019
  • Subjects: Automobile industry and trade -- South Africa , Technological innovations -- Economic aspects Labor supply -- Effect of technological innovations on Information technology -- Economic aspects
  • Language: English
  • Type: Thesis , Masters , MBA
  • Identifier: http://hdl.handle.net/10948/42836 , vital:36698
  • Description: With increasing human population growth, rising GDP levels, and more affluent lifestyles, the human race is progressively consuming, leading to an ever-increasing demand for renewable and non- renewable resources. The problem of resource scarcity is, therefore, emerging because it is questionable whether economic growth in a world with finite natural resources can be sustained. One of the objectives of this work is to analyse the potential of industrial 4.0 applications to achieve a more sustainable South African automotive industry. Even if the economy is still locked up in a system that favours the linear traditional production model, stricter environmental standards, a scarcity of resources and changing consumer expectations will force entities to find alternatives. New technologies can be used to trace materials through the value chain and to track the status of the product during its life cycle. Companies are beginning to capitalize on the potential of emerging technologies to more sustainably reorganise production, services, business models or entire organizations. What is certain is that many expect that the fourth industrial revolution will have a substantial effect on jobs worldwide as advanced robotics, artificial intelligence and automation are becoming more influential. Digitisation has a full impact on both the automotive industry and society. Automation we’ve seen in the past has intensified. Digitisation has an ongoing and unprecedented effect on the operation of firms. It impacts all aspects from development to manufacturing and logistics and challenges business models and changes the place of work and the way we work. For this reason, a well- developed infrastructure and skilled workforce are key factors in transforming the industry successfully. From a South African point of view, qualification is a key challenge for industry 4.0 and requires decisive action. The challenge of skills in the manufacturing sector is growing as the industry becomes more digital. The plans of manufacturers to drive productivity improvements and capitalise on the fourth industrial revolution could be eroded because the education system is struggling to provide the right quantity and quality of skills to meet the needs of the sector. Manufacturers will need to keep investing in training current employees to keep up with new processes in line with company needs. One major challenge is to increase the digital skills of current and, in particular, older workers, by creating an offer of digital training. The research study aimed to develop insights into the future of the South African automotive industry by constructing two scenarios towards 2033: Worst case; South African automotive industry did little to change current linear traditional production mode trends in 2033; This narrative has seen the sector fall into the nightmare of its own dystonia. Best case; South African automotive is a success in 2033; The South African automotive industry finds its competitive global niche. And even with breakthroughs in robotics and artificial intelligence, there is a major disruption in employment throughout the world, South Africa has succeeded in creating a small but intelligent base for youth who can recognise and exploit opportunities on the global market. Industry 4.0 has a high potential to ensure more sustainable production methods.
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  • Date Issued: 2019

The effect of age and culture on brand loyalty in the South African motor industry

  • Authors: Hempel, Martin Johan
  • Date: 2019
  • Subjects: Brand loyalty -- South Africa , Automobile industry and trade -- South Africa , Consumer satisfaction -- South Africa , Consumer behavior -- South Africa , Older consumers -- South Africa , Consumers -- South Africa -- Cross-cultural studies
  • Language: English
  • Type: text , Thesis , Masters , MBA
  • Identifier: http://hdl.handle.net/10962/96859 , vital:31339
  • Description: It has become imperative for companies in the motor industry to study and understand the notion of brand loyalty due to the many inherent advantages that it offers. Although existing literature provides extensive information on brand loyalty, the concept of brand loyalty is not constant across all industries. Factors such as age and culture also alter the effects of brand loyalty and the degree of brand loyalty generated within a consumer. Taking these variables into account, this study sets out to establish if age and culture have an effect on brand loyalty in the South African motor industry. The method in which motor companies emit marketing signals are also explored to establish if the emitted marketing signals are able to assist in the generation of brand loyalty. A South African real estate agent group agreed to participate in the research and became the sample population for the study. 190 successfully completed questionnaires were obtained in the data collection process and data with a Cronbach Alpha Coefficient (α) of 0.7662 proved that the data had satisfactory reliability. The data was processed and analysed in the statistical analysis program Stata. The study discovered that marketing signals don't assist in the generation of brand loyalty in the South African motor industry. It is suggested that it is more plausible that marketing signals can assist to maintain brand loyalty, rather than to generate brand loyalty. The study also discovered that culture does not have an effect on brand loyalty in the South African motor industry. However, after considering that the cultural distribution of the sample was significantly skewed, the sample is regarded as an unreliable test of the effect of culture on brand loyalty. The study also discovered that age doesn't have an effect brand loyalty in the South African motor industry. The researcher noted that the previously cognitively strenuous process of obtaining information has become more simplified by the internet and could potentially have reduced the generating of brand loyalty among older consumers. A final test was conducted to ascertain if relationships exist between the four stages of loyalty. The study suggested that all four loyalty stages are connected which confirms that brand loyalty is generated by both attitudinal and behavioural dimensions.
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  • Date Issued: 2019

A proposed service quality framework for multi-national supply logistics providers in the South African automotive industry

  • Authors: Van Aswegen, Dawid Titus
  • Date: 2017
  • Subjects: Business logistics -- South Africa -- Management , Purchasing -- South Africa -- Management , Automobile industry and trade -- South Africa , Industrial procurement -- South Africa -- Management
  • Language: English
  • Type: Thesis , Masters , MBA
  • Identifier: http://hdl.handle.net/10948/21307 , vital:29476
  • Description: Managing a sustainable service business rests on two critical customer perceptions: Firstly, the perceived sufficiency of the value of the service, and secondly the level of value differentiation between the current service provider other service providers in the market. (DeSarbo, Ebbs, Fong & Snow, 2010; Parasuraman & Grewal, 2000) The direction for this study was prompted by the limited research available around service quality for Supply Logistics within the global automotive industry. The study identified the key factors that logistics service providers need to focus on when aligning their perceptions of service quality to that of their customers. The service gaps between customer and service provider perceptions are uncovered. Particular focus was given to: The definition gaps in service quality, The perceived level of service quality, and The size of service quality differentiation between service providers. The key finding of the study is that service differentiation is influenced by the ability of the Logistics Service Provider (LSP) to deliver a quality of service in line with the level of importance the various elements hold to the customer. The causal relationships offered a step wise understanding of improving the perceptions of customers. This perception forming process is outlined as follows: Firstly, create a common understanding of the definition of service quality and establish the comparative importance of the various elements. Having an understanding of how customers’ value service quality is a critical first step in delivering superior service. A proposed Service Quality Framework for multi-national Supply Logistics providers in the South African automotive industry Secondly, align efforts to achieve in accordance to the level of importance of the service elements. If this is achieved, LSP’s will retain positive differentiation to its competitors irrespective of the actions of those competitors. Lastly, LSP’s need to regularly review if their own perception of the service level (per element) is in line with that of the customer. The study created a service quality framework of 22 different service elements grouped in four service factors. The relative importance of these elements were uncovered. This offered insight for organizing the business around key service elements. Within Supply Logistics the operational-management-tools, engineering-skills, processes-stability and management-structure are typical elements around which customers form their perceptions. The quality of the direct staff holds the key to sustained customer satisfaction, much more so than the commercial arrangements, industry innovations and the prestige of the brand behind the service. This study laid a foundation from which future research can deeper explore the unique slant that geographical, organisational designation or customer brand lines hold on the service quality perception.
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  • Date Issued: 2017

Assessing the impact of the transition from MIDP to APDP in the South African automotive industry

  • Authors: Strydom, Elwin
  • Date: 2015
  • Subjects: Automobile industry and trade -- South Africa , Sustainable development -- South Africa , Economic development -- South Africa
  • Language: English
  • Type: Thesis , Masters , MBA
  • Identifier: http://hdl.handle.net/10948/5908 , vital:21010
  • Description: The South African automotive industry is by no means a ―cut and paste‖ version of their overseas counterparts. The industry and the market are very complex. The historical background of the industry is such that companies have difficulty forming partnerships and joint ventures with bigger international conglomerates. The difficulty with this kind of mindset is that it is restricting growth and development of the nation as a whole. Globalisation is a future we cannot be avoided. Should the nation continue to reject it and embrace the mindset of countries in Africa, South Africa (SA) will continue on the path that the rest of Africa is heading, a path that leading to self-destruct and segregation. Even though SA is a developing country, it is in some areas as developed as many other first world countries. For a country to generate wealth it needs to be innovative and develop an entrepreneurial consciousness. A young country like South Africa needs creative thinkers and opportunists that can see into the future, seizing every opportunity, to grow and develop new ideas and business. In order for a country to grow it needs a leadership that is to nurture the baby of innovation. If South Africa wants to be part of the global village it need to develop a trade policy that welcomes trade and at the same time creates stable and sustainable jobs. The environment for investments needs to be cultivated in a problem-free and growth prone nation. This can only happen when the educational level of the nation is improved. The fact that so many skilled workers need to be imported creates tension in the labour market. People with talent need to have a reason to stay in the country. Their salaries should match that of their overseas counterparts. Furthermore, with the same skill level and work ethic, should have the same rewards and remuneration.
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  • Date Issued: 2015

An investigation into the organisational attributes of an employer of choice: a South African automotive industry perspective

  • Authors: Poonoosamy, Sareesha
  • Date: 2013
  • Subjects: Corporate image -- South Africa , Employee motivation -- South Africa , Automobile industry and trade -- South Africa , Personnel management -- South Africa , Branding (Marketing) -- South Africa
  • Language: English
  • Type: Thesis , Masters , MBA
  • Identifier: http://hdl.handle.net/10948/21615 , vital:29717
  • Description: The automotive industry in South Africa is now more than ever before, facing a new era of intense international competition and as a means to survive; organisations are continuously searching for ways to increase their competitiveness. To this end, recent approaches have focussed on the role that people perform in bringing about competitive advantage and has resulted in greater emphasis being placed on the attraction as well as retention of the right people to achieve organisational success. However, developing trends such as changes in the supply of workers, expectations of new generations and a more diverse population have pressurised organisations to institutionalise a dynamic solution. This has placed greater imperative on becoming an employer of choice - those organisations that can differentiate their human resource practices from the competition in order to attract, develop and retain the people they need. The research problem that was addressed in this study is to identify and investigate the organisational attributes of an employer of choice. A comprehensive literature review was executed to review the various definitions, trends impacting as well as the significance of the status - employer of choice. Furthermore strategies for becoming an employer of choice were evaluated and prominent employer of choice attributes identified from the literature. The researcher has also found that a significant number of authors have suggested employer branding as a key strategy in the effort to become an employer of choice. The concept of employer branding was therefore extensively explored in this study. An empirical study was conducted after the appropriate measuring instrument was developed. The purpose of the measuring instrument was to validate the literature findings, identify the rank importance of the identified attributes and to evaluate the extent to which these factors are provided for in the organisation. A sample consisting of 110 employees were selected to participate in the survey via a random sampling method and a response rate of 89% or 98 employees was obtained. The major findings indicated that the sample group agreed that the prominent attributes in literature are important attributes of an employer of choice. Overall the majority of the sample group does not regard the organisation as an employer of choice and while some of the attributes were present in the organisation, others had serious shortcomings. The literature findings together with the empirical study findings resulted in the development of a strategic model to serve as a guide in determining the initiatives the organisation should embark upon to become an employer of choice.
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  • Date Issued: 2013

Development of a co-operative stakeholder framework for employment growth in the South African automotive sector

  • Authors: Smith, Owen Christo
  • Date: 2013
  • Subjects: Cooperative societies -- South Africa , Job creation -- South Africa , Automobile industry and trade -- South Africa
  • Language: English
  • Type: Thesis , Masters , MBA
  • Identifier: vital:8884 , http://hdl.handle.net/10948/d1020799
  • Description: Manufacturing has been identified by the Department of Trade and Industry as an important sector to drive economic growth in South Africa. The automotive manufacturing sector in particular has seen significant support from the DTI in the form of incentives to produce motor vehicles and components. South Africa is faced with a high unemployment rate and one of the strategies of the Government is to drive economic growth by supporting the automotive manufacturing sector. One of the spill-over targets is to increase employment creation in the industry. The automotive manufacturing sector consists of a diverse list of stakeholders representing motor vehicle manufacturers, component manufacturers, labour unions, government departments and industry associations. The Motor Industry Development Programme delivered significant progress in the number of vehicles produced in South Africa and the biggest growth was in the export of vehicles. Employment creation on the other hand did not see the same levels of growth as motor vehicle and component production. The purpose of this study was to identify and clarify what the variables are that influence employment creation and to develop a co-operation framework that would guide the automotive cluster stakeholders to work on employment creation initiatives as a collective. The survey questionnaire results representing the perception of managers showed that: - DTI Incentives schemes linked to employment creation; - Productivity, Technology and employment; - The role of competitiveness in the auto cluster; - Labour Union Collective bargaining; - Investment climate and infrastructure; - Education and skills development; does have an influence on employment creation in the automotive cluster.
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  • Date Issued: 2013

Factors affecting customer retention at an automative manufacturing organisation

  • Authors: Yam, Bonga Sherperd Elvis
  • Date: 2013
  • Subjects: Consumer satisfaction , Customer relations , Automobile industry and trade -- South Africa
  • Language: English
  • Type: Thesis , Masters , MBA
  • Identifier: vital:8809 , http://hdl.handle.net/10948/d1018573
  • Description: South African vehicle manufacturers are under immense competition from vehicle manufactures from India and China. The global financial crises also put these organisations under intense pressure and this resulted in these organisations having to start seeing the need to focus on issues that affect customer retention. The way that business is done in the 21st Century is forcing organisations to implement strategies that are geared towards increasing customer retention and growing the business. Organisations need to build relationships with their customers with the hope that these customers will in turn extend their stay with the organisation when an opportunity to replace their vehicles arises or keep on servicing with them. In order to establish a good relationship with customers, organisations need to understand customer expectations by being customer orientated and by providing customers with value. The primary objective of this study is to improve customer retention for a selected vehicle manufacturer after the warranty and service plans have expired, by investigating the relationship between customer service quality, customer loyalty, and customer retention. The results obtained from the 64 respondents who participated in the survey revealed that although all the above-mentioned variables play a role in increasing customer retention, customer service quality exerts the most influence. The study also highlights areas that should be improved, as well as recommendations on how to improve them. Recommendations for future research are also provided.
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  • Date Issued: 2013

Factors that influence warranty costs at Volkswagen South Africa

  • Authors: Blignaut, Bevan Hyron
  • Date: 2013
  • Subjects: Warranty , Automobile industry and trade -- South Africa , Total quality management , Quality assurance
  • Language: English
  • Type: Thesis , Masters , MTech
  • Identifier: vital:8944 , http://hdl.handle.net/10948/d1013088
  • Description: Driving a vehicle while it is within the warranty period provide customers with assurance that should a failure occur on the vehicle, there would be no financial obligation for the customer to repair the vehicle. For the manufacturer, it is a huge financial obligation to repair or replace components that fail on the vehicle. The research conducted in this study explores and identifies the main reasons for high warranty costs as well as the reasons that do not influence high warranty costs at VWSA. The purpose of this research is to provide VWSA with a potential starting point to reduce warranty costs and increase profits. The study revealed that the main cause of high warranty costs at VWSA was related to the quality of vehicles. By improving the quality of vehicles produced, VWSA could reduce a significant portion of the warranty costs it spends each year. With reduced warranty costs, VWSA could increase the warranty period and thereby attract more customers to purchase VW products. In a cutthroat automotive industry, this would ensure a competitive advantage over rivals; maintain longevity, increase profits and continued success.
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  • Date Issued: 2013

Improving service quality at automotive dealerships

  • Authors: Lekhelebana, Vuyokazi Anneline
  • Date: 2013
  • Subjects: SERVQUAL (Service quality framework) , Automobile industry and trade -- South Africa , Customer services -- South Africa
  • Language: English
  • Type: Thesis , Masters , MBA
  • Identifier: vital:8804 , http://hdl.handle.net/10948/d1017204
  • Description: The highly competitive landscape of the automotive industry places increasing pressure on automotive dealerships to continually improve the quality of services rendered to customers. Understanding customer expectations and customer perceptions is key to making improvements in areas that matter most to the customer. It is against this background that this study was conducted. The aim of this research was to measure service quality at automotive dealerships. The literature review focused on the gaps model which resulted in the SERVQUAL measuring tool. The SERVQUAL instrument is supported by literature as the optimal instrument for measuring service quality. The 22-item questionnaire was adapted and used to solicit feedback from customers on their expectations and perceptions of the service rendered by dealerships across the five SERVQUAL dimensions; namely, tangibles, reliability, responsiveness, empathy and assurance. Gaps between customer expectations and perceptions were calculated as an indication of areas where customer expectations were met, unmet or exceeded. In order to identify priorities for improvement, each of the SERVQUAL dimensions was ranked in order of importance by the customer. Convenience sampling was used as a sampling technique. A total of 142 Volkswagen owners who had their vehicles serviced or repaired at a franchised dealership were surveyed. The reliability of the SERVQUAL questionnaire was tested by calculating the Cronbach’s Alpha coefficient for each of the five dimensions. The calculation yielded an average coefficient of 0.83, indicating a high reliability of the measuring instrument and the data collected. The overall gap score of -0.7 indicates that customer expectations exceeded customer perceptions. The lowest customer perceptions and the largest gaps were reported in the reliability and responsiveness dimensions. These two dimensions were also rated as the most important dimensions customers use for evaluating service quality. This formed the basis for recommending that dealership employees and management focus most of their efforts on improving the reliability and responsiveness dimensions.
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  • Date Issued: 2013

Investigating the impact of supply chain technologies within automative supplier clusters

  • Authors: Schultz, Lance Craig
  • Date: 2013
  • Subjects: Business logistics -- Technological innovations , Inventory control , Production management , Automobile industry and trade -- South Africa
  • Language: English
  • Type: Thesis , Masters , MBA
  • Identifier: vital:8918 , http://hdl.handle.net/10948/d1021093
  • Description: Organisations are constantly expected to be more competitive while working in an environment in which time and cost are limited, thereby preventing such organisations from taking the time required to be responsive. The supply chain provides a critical linkage between various organisations which should seek collective opportunities to improve performance. It is, therefore, important that organisations understand that conventional knowledge and methods will not serve unless there is a concerted focus on improvement of organisational performance toward fulfilling increased expectations, not just maintaining that which is comfortable. A more sustainable approach may be the introduction of supply chain best practice. An optimal supply chain is one that continuously strives to reduce unnecessary cost and eliminate waste, thereby increasing the percentage of time that may be devoted to value-adding activities. Supply chain technology principles were assessed and the application thereof, sought to understand its efficiency and effectiveness. This study was intended to identify supply chain cost dimensions with a focus on the optimal use of supply chain technology. Within the current supply chain context, the use of Information and Communication Technology (ICT) was explored to identify opportunities. A supply chain audit tool (SCAT) was developed which had proven to be an effective tool to analyse it’s logistics functions. Implementation of remedial tools through the SCAT could result in a leaner, cost optimal and more value-adding process. The result of conducting individual organisational improvements is expected to result in an overall improvement in the total supply chain. These supply chain cost drivers were rooted in cost, quality, safety and product performance. Recommendations on further improvements were also offered.
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  • Date Issued: 2013

The influence of inbound and outbound logistics on the competitiveness of the South African automobile industry

  • Authors: Fourie, Quinton
  • Date: 2013
  • Subjects: Business logistics -- South Africa -- Costs , Competition -- South Africa , Automobile industry and trade -- South Africa
  • Language: English
  • Type: Thesis , Masters , MBA
  • Identifier: vital:8863 , http://hdl.handle.net/10948/d1020217
  • Description: The South African automotive industry has been identified as an important influence on the economy of South Africa. In particular, it plays a role in job creation in a country with high unemployment rates. However, being linked to a global industry, its competitive position and future relevance have come into question on numerous occasions. After a period of isolation and protection, the local industry had to enter global competition. The competitive playing field had suddenly widened from companies competing locally amongst each other for local market share, to competing globally for international sales. In addition it was found that competition was not only limited to opposing brands but also existed within the subsidiaries of the same brand. The reason for this was the existence of overcapacity in the manufacturing facilities internationally. Coupled with this, most of the dominant vehicle manufacturers were creating more capacity in developing markets to support demand as well as to benefit from cheaper resources. There are of course many influencing factors on the competitive position of such an important industry. The value chain has been identified as a tool to analyse and compare the activities within rival businesses or industry role players. Two primary activities within the value chain are inbound logistics and outbound logistics. The objective of the research was to investigate the influence of inbound and outbound logistics on the competitiveness of the South African automotive industry. A literature review created the conceptual framework for the research. It was necessary to discuss the automotive industry in a global sense to understand the history and trends of the development within the industry. It was also necessary to understand the South African automotive industry within this context to identify its place and relevance in global terms. It was found that, although important to the local economy, the local industry was not a dominant force to be reckoned with and was in fact being over taken by many of its competitors. Part of this investigation was spent on the development of the local industry in a protected environment and what it meant for the growth of local content and exports. This was also important as the component manufacturers based in South Africa need critical mass to create an efficient platform to be globally competitive. It was found that historic development programmes did not do much to improve this aspect but there is optimism about the latest programme which promotes an increase in production volumes. The state of logistics in South Africa was critically analysed to understand the influence it has on the automotive industry. It was found that although the logistics infrastructure within South Africa is the best in Africa, it is behind the standards of its competitors. This is influencing the automotive industry as a result of inadequate rail infrastructure. The reason for this was that most of the freight which was being transported by road would be more efficiently transported by rail. The cost of logistics was also found to be high in South Africa and skills were also a concern to improve the current situation. A research questionnaire was created from the findings of the literature review. The questionnaire formed the primary research tool for this study. The sample was identified as respondents from vehicle assemblers and component manufacturers who would have sufficient knowledge of this topic. It was found that inbound and outbound logistics costs formed a relatively large component of total costs. The high levels of imported parts being used as well as export levels added to the logistics costs. This also caused uneconomical inventory levels as stock needed to be kept for longer periods before being replenished. The respondents were also aware of the fact that rail would improve the situation if the infrastructure was sufficient. The respondents seemed to be of the opinion that the skills of the employees responsible for logistics were not a major influencing factor and that logistics service providers were in addition, not creating an overwhelming cost improvement. The incentive programmes were also not seen to be doing much to address the influence of logistics on the automotive industry.
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  • Date Issued: 2013

The relationship between exports and economic growth: an empirical case study of the South African automobile industry

  • Authors: Taylor, Nina-Mari
  • Date: 2012-03
  • Subjects: Exports , Automobile industry and trade -- South Africa
  • Language: English
  • Type: Master's theses , text
  • Identifier: http://hdl.handle.net/10353/26313 , vital:65237
  • Description: The dissertation investigates the relationship between automobile exports and economic growth in South Africa. Given the amount of investment and government assistance that has gone into assisting and developing the South African automobile industry via the Motor Industry Development Programme, this study examines whether the increase in automobile exports has impacted on economic growth. A demand-side model of the Export-Led Growth hypothesis is estimated in order to analyse the magnitude of the impact of automobile exports on growth. The results of the VECM and Dynamic Granger Causality test reveal that vehicle exports have a long-run positive impact on economic growth and that a uni-directional causal relationship is found to run from vehicle exports to economic growth. Even though vehicle exports are found to have a relatively significant impact on economic growth, domestic demand factors are concluded as being the key contributor of economic growth in South Africa. , Thesis (MCom) -- Faculty of Management and Commerce, 2012
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  • Date Issued: 2012-03

An analysis of the sustainability of the lean manufacturing implementation at Volkswagen Group South Africa

  • Authors: Williams, Anand
  • Date: 2012
  • Subjects: Automobile industry and trade -- South Africa , Lean manufacturing -- South Africa
  • Language: English
  • Type: Thesis , Masters , MBA
  • Identifier: vital:8901 , http://hdl.handle.net/10948/d1020992
  • Description: This research report examines the changing nature of the organisation of work, in particular, the production methods in the South African automotive industry. The competition in the local and global markets has increased significantly in recent years. The increased complexity of products and individuality of customers pose strong challenges for the automotive manufacturers, (OEM – Original Equipment Manufacturers), with regard to product Quality, Cost and Delivery. For these challenges, Volkswagen Group South Africa, has defined objectives that, when met, will contribute towards establishing it as a leading automotive brand. It is aligned to the Volkswagen Group AG, Strategy Mach18, increased vehicle production and the creation of long-term delighted customer base. To achieve these objectives, the Volkswagen Production System (VPS) is an imperative component of the Volkswagen Group South Africa (VWGSA) production strategy. The core elements consist of, “Cycle”, “Flow”, “Pull” and “Perfection”. These are the four fundamentals on which Lean Manufacturing is built, as first introduced and described by the Toyota Production System. Lean manufacturing is a whole-systems approach that creates a culture in which everyone in the organisation continuously improves the process and production. Volkswagen Group South Africa is facing increased competition in the South African and global marketplace. A search of the internet revealed that extensive research has been conducted into Lean manufacturing in South Africa. However, no research is noted with regard to the sustainability of Lean manufacturing at Volkswagen Group South Africa. The aim of this study is to analyse the sustainability of the lean manufacturing implementation at VWGSA.
  • Full Text:
  • Date Issued: 2012

An evaluation of changes in capital investment by automotive companies in preparation for the Automotive Production and Development Programme (APDP)

  • Authors: Bacela, Bandile Sakhekile
  • Date: 2012
  • Subjects: Automobile industry and trade -- South Africa , Capital investments -- South Africa
  • Language: English
  • Type: Thesis , Masters , MBA
  • Identifier: vital:8797 , http://hdl.handle.net/10948/d1016075
  • Description: To thrive, developing countries depend on high levels of protection being given to key industries such as manufacturing; specifically the automotive and textile industries. South Africa, as a developing country and especially under the emergence of globalisation, has followed suit in terms of developing policies and structures to protect certain critical industries. During an era (1980 to 1989) of high political instability, South Africa experienced isolation from the rest of the world, which resulted in declines in industrial revenues as well as the country’s automotive industry undergoing a stage of perilous stagnation. It was through a protection regime that the automotive industry realised growth, a regime which started slowly in 1989 and accelerated in 1995 with the introduction of the Motor Industry Development Programme (MIDP) (Black, 2001). Through this regime the South African government sought to integrate the South African automotive industry into the global market by improving the competitiveness of this industry (The DTI, 2010). This led to the automotive industry becoming one of the most successful export sectors in South African manufacturing and a large net consumer of foreign currency, totalling R20 billion and R10 billion in imports and exports respectively by 1998 (Damoense and Simon, 2004). Reviews of the government legislation called the MIDP were held in year 1999 and 2002 and in 2008, a successor to the MIDP was named, the Automotive Production Development Programme (APDP) and is set to commence in year 2013 until 2020. Unlike its predecessor, the APDP policy promises to bring greater and more inclusive benefits to the automotive industry as a whole, provided organisations have prepared well to receive it. This study investigated whether organisations have prepared for the upcoming 2013 - 2020 APDP, with specific reference to capital investment in equipment. It determined whether automotive organisations have spent and are going to spend resources in securing equipment and technology in preparation for the introduction of the APDP.
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  • Date Issued: 2012

Entrepreneurship : key to organisational performance a case of Volkswagen Group of South Africa

  • Authors: Lechaba, Junior
  • Date: 2012
  • Subjects: Automobile industry and trade -- South Africa , Bureaucracy -- South Africa , Entrepreneurship -- South Africa , Organizational sociology
  • Language: English
  • Type: Thesis , Masters , MBA
  • Identifier: vital:8832 , http://hdl.handle.net/10948/d1019791
  • Description: Intrapreneurship expresses organisational activities aimed at increasing quality of products, reducing production cost, capture or creates new product markets, and/or improving processes and services. This research study covers the investigation of potential influences on the intrapreneurial activity within an established organisation, and the possible outcome on financial performance. In the rapidly changing business environment of today, it has become necessary for the organisations to move from boundary-oriented thinking to continuous improvement in order to provide the disruptive competitive advantages necessary to survive and thrive in an environment where the ‘rules of the game’ change quickly in almost all companies and industries (Voelpel, Leibold and Tekie, 2005). Moreover, the automotive industry is no exception to this rule. In general, established companies deal with two significant challenges. First, they have to adapt to the external challenges of constantly changing and developing markets to keep pace with rapid technological evolution, globalisation, and progressively sophisticated competitors (Kemelgor, 2002; Kuratko, Hornsby and Goldsby, 2004). Second, they must deal with the internal challenges of modernising bureaucratic structures and processes, which can lead to slow development, decision-making and an inability to adapt easily to new situations (Hammer and Champy, 1994). In today's context of increasing market globalisation, companies wishing to maintain their competitiveness must innovate constantly (Carrier, 2001). Recognising the importance of meeting these challenges, organisational leaders must create high performance organisations in order to compete in a global mega-economic world. The old ways of doing business as usual and overwhelmed policies and procedures must be rooted out in order for the organisation to compete by identifying and sustaining diversified employees within a global economy (Kennedy, 2010). Companies generally engage in innovation for achieving an increase in quality of products, a reduction in production cost, capture or create new product markets, and reduce the firm’s reliance upon unreliable factors of production (Webster, 2004). There is a growing consensus that established companies must nurture intrapreneurial activity throughout their operations to continue to compete successfully (Sathe, 2003). Numerous authors have suggested intrapreneurship as a method of stimulating innovation and using the creative energy of employees by giving them the resources and independence they need to innovate within the firm (Carrier, 2001; Amo and Kolvereid, 2005). However, there is a certain amount of ambiguity around the concept of intrapreneurship, and this may lead to questions about the difference between intrapreneurship and intrapreneurship (Carrier, 2001). It is therefore important, before introducing the object of this research, to look more closely at the concept on which intrapreneurship is based, and to examine the trends in the research on intrapreneurship. The research conducted by Eesley and Longenecker (2006) suggest that intrapreneurship is a practice of creating new business products and opportunities in an organisation through proactive empowerment and risk-taking. This is considered a key component to organisational success; especially in organisations that operate in rapidly changing industries (Eesley and Longenecker, 2006). Intrapreneurship can manifest itself at every level of the company and regardless of the nature of the position held. Hence, we could have intrapreneurs in technical or non-technical functions; senior, middle or junior management levels; line or staff functions, and manufacturing or service related roles. Beyond this wide perspective, other authors have suggested that intrapreneurship requires a culture built around emotional commitment, autonomy, empowerment, earned respect, and a strong work ethic (Axtell, Holman, Unsworth, Wall, Waterson and Harrington, 2000). They believed intrapreneurship is inseparably connected with leadership, since it involves mobilising teams of people towards a cause much greater than the individuals involved often in the face of significant resistance from status quo preserving forces within and outside the organisation (Seshadri and Tripathy, 2006). Therefore, the failure of organisations to take members inputs on organisational improvement; sanction, promote and encourage risk-taking, empowerment, and improvement actions; give clear organisational direction, priorities, and objectives; and lack of top management support in risk-taking and improvement initiatives, could stifle intrapreneurship (Eesley and Longenecker, 2006). In light of the scope and the group target, intrapreneurship can be considered beneficial for the revitalisation and performance of companies, both large corporations and small and medium-sized enterprises. Previous research conceptualised intrapreneurship in terms of four dimensions that were somewhat distinct in terms of their activities and orientations (Antoncic and Hisrich, 2001): New business venturing; Innovativeness; Self-renewal; and, Proactiveness. The intended contribution of this study is to make use of a self-constructed measuring instrument to demonstrate that intrapreneurship has had a positive influence on corporate performance within an established organisation, in the automotive industry of South Africa. This study can be viewed as a reciprocal contribution to companies seeking to create an intrapreneurial climate aimed, on the other hand at creating high performance organisation and on the other hand to motivate professionals in these companies requiring a wider portfolio of significant knowledge and skills development.
  • Full Text:
  • Date Issued: 2012
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