Transcript Ducati Motorcycle Holdings

Ducati Motorcycle Holdings
Nick Kaiho and Mike Ulinski
About Ducati
► Based
out of Bologna, Italy
► Manufacturer
Motorcycles
► Strong
of High-Performance
Racing Heritage
About Ducati
► 1139
► 6.6
Employees
% of Motorcycle Market Share
► $522
Million in sales (2004)
Company History
► 1926
– Founded by Ducati Family and
Investors
 Manufactured radio components for the war
effort
 Moved into other electronics manufacturing
during the 1930s
 Largest manufacturing company in Bologna
during the 30s
Company History
► 1946
- First Ducati Motorcycle
The Cucciolo
(puppy) was a
48cc Motorized
bicycle
Company History
► 1958
- Developed their “Desmo”
Valve System.
► Wins Three 125cc GP races
This valve design
is unique to
Ducati, and is
still used today
Company History
► 1964
- Produced the fastest 250cc
Motorcycle Available
The Mach 1 had
24 Horsepower and
a top speed of
105 MPH
Company History
► 1985
– Purchased By Cagiva
 Was state-owned since 1954
 Deep financial problems
Company History
► 1994
- Introduced the 916
Ducati won
8 out of 10
World
Superbike
titles
Company History
► 1996
– Purchased by Texas Pacific Group
 Deep financial problems again.
 New Cash Led to Manufacturing Turnaround
►Expand
facilities
►Reduce Waste
►Introduction of IT in production
Information Technology
► Overview
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Enterprise Resource Planning
Computer Aided Design
Computational Fluid Dynamics
Ducati.com
IT Partners
Information Technology
► Enterprise
Resource Planning
 IBM Business Planning and Oracle E-Business
Suite
►Supply
Chain Management
►Customer Relationship Management
►Inventory
►Quality Control
Information Technology
► Computer
Aided Design
 Ducati 999 was their first motorcycle designed
entirely using CAD
Information Technology
► Computational
Fluid Dynamics
 Fluent CFD
 Used for the design of the 999 cooling system
Information Technology
► Ducati.com
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Current Model Lineup
Dealers, Maintenance
Apparel, Accessories
Racing Events
Community
Tech Cafè
Investment
Information Technology
► Ducati.com
 Created in July 2000
 A fully-owned subsidiary of Ducati Motor
Holdings
 13 Full-Time employees (2004)
Information Technology
► IT
Partnerships
 AMD and Ducati Corse (racing division)
Outsourcing
► In
1999, decided to focus on design,
manufacturing and R&D.
► Outsourced:
 Spare Part Management
 Motorcycle Distribution
 40% of Motorcycle components
Outsourcing Problems
► Found
that they could produce many of
their parts cheaper than outsourcing.
► Took
back much of the outsourcing of
components
Ducati Today
► Market
Share (2002)
Ducati Today
► Market
Share By Country
Ducati Today
► Revenues
(millions of Euros)
Ducati Today
► Revenues
by Product
Ducati Today
► Racing
Victories (1988-2002)
Ducati Today
► Company
Problems again?
Ducati Today
► Company
Problems Again?
 Although they have record revenues, their have
had a net loss for two straight years
Buy a Ducati!
► Questions?