project

In the latter part of 2018 and 2019 Tesla was being reviewed for employee treatment and mishandling of harassment reports filed. This began to grow due to public outcry and the possibility for future lawsuits. The CEO Elon Musk stated in an email employees had to grow thicker skin, and Musk supporters felt restraint about changing their work culture. There was hesitation due to the vision and the daily operations, which may affect the way the company is run. The change in employee treatment can benefit Tesla by motivating their employees and feeling a part of the vision put in place for the company.

The issues at Tesla that employees have are a mockery for being homosexual, needing improvement on workers health and safety, changing the workforce culture, and job security(Houser, 2018). Regarding safety, Musk said he would personally account to the seriousness of employees getting injured on the job. Musk was found to not follow through with this promise. He has been hiding some of the reported injuries from statements and releasing statements that he does not follow through (Wong,2018).

In 2019, Tesla announced one of its biggest organizational changes that would reshape the process of car sales and leave thousands unemployed. Tesla moved to a primarily online based sales tactic where consumers would build their cars on a website and then pick up their newly built Tesla from a distribution center. Completely cutting out the sale department Tesla now increased its profit margins on every vehicle sold.

· Employees treated unfairly

According to the article Carrie mansion that Tesla workers having hard time during a pandemic, and they have been giving them more than they expected. According to supply chain ethics, this action is unethical because employees' lives were put at risk due to Covid-19. Elon Musk wanted to reopen the Tesla factory prematurely after county orders were put into place. There is an argument to be made that people have to work during these times could be justified because of the lack of hours people are working and the lack of work people are putting in. But depending on the company ethics, opening up may have seemed like the right thing to do or the worst thing to do.

Towards the middle of 2020 when the pandemic was in its early stages, Elon Musk wanted to reopen the Tesla factories defying the lockdown orders put in place by some other County. This event is now in the past and behind us, but it left a bad image for Elon as well as a bad taste for consumers seeing his negligence on the orders put in place.

Based on the research we found, the main person involved was Elon Musk. He sent out a tweet on May 11 stating he is restarting production at the factory and going against the county's orders(Carrie, 2020). He also added that if anyone were to be arrested, he asked that it would only be him. Based on what I found in this analysis, it's unethical in terms of the rights ethical framework. The health of the workers was put at risk as cases were rising in Alameda county at that time. We also have no evidence on whether or not safety precautions were put in place to resume work safely in the factory.

· Employees harassment and job stability

According to the article "Tesla's employee arbitration policy comes under fire," Hull says that Tesla has more than 60,000 employees, and they need to have an arbitration policy because, in recent past years, there were more hundred cases for discriminated since 2014 no one has complained, but now their employees need to speak up. employees were discriminated against and harassed by other employees (Hull, 2020). She says that "It's the issue of our time, and it's a Civil Rights issue. Elon Musk can't be given a pass for that with the company he runs" (Hull, 2020). In terms that they found some cases multiple allegations of racial discrimination and harassment in Fremont (Hull, 2020).

Strength and Weakness in SWOT analysis

Strength: Electric Automotive Brand Leader

Tesla became a leading automotive brand for selling 367,500 vehicles in 2019. Tesla Model 3 was the most sold electric vehicle of the 2019 with a sales of 187,971. When comparing electrical vehicles’ ranges, Tesla vehicles have proven to cover the maximum distances. On a single battery charge, Tesla Model S can travel about 600 kilometers; Tesla Model 3 can travel about 580 Kilometers; Tesla model X can travel about 565 kilometers. These strengths have ensured Tesla’s long term profitability, expansion and popularity.

Weakness: Production rate

With the high standard of innovation and a lead in electric automotive brands, the company is facing an unbalanced supply and demand. Also, the company is having a huge problem with shortage of batteries. During the annual shareholder meetings, CEO Elon Musk agreed to decrease production rate which directly affects the sales of electric vehicles. These shortages have limited the company’s competitiveness and business growth.

Opportunity: Production Expansion

Despite the challenges with supply and demand, Tesla noticed the difficulties with being dependent on so many different suppliers from countries all over the world. They saw an opportunity to move production to the United States and started construction of the worlds largest lithium battery facility called the Gigafactory. Completion of this facility will ensure Tesla has a major competitive advantage in the electric vehicle industry by manufacturing lithium batteries domestically. This is an opportunity for Tesla to increase their manufacturing rate and reduce the production cost.

Threat: Material Shortage

While Tesla is having battery shortage, the company is also facing the problem with material shortage. Electric cars use twice as much cooper as internal combustion engines. The cooper industry is suffering from underinvestment, so the industry is now trying to develop new mines and bring fresh supply for the electrification trend. Tesla has to find additional plans to replace the materials for their electric vehicles, such as use less cobalt in battery cathodes.

· Anasagasti, Alden. “Tesla SWOT Analysis (2020).” Business Strategy Hub, 23 Mar. 2020, bstrategyhub.com/tesla-swot-analysis/.

· Carrie, Julia. “Elon Musk Reopens California Tesla Factory in Defiance of Lockdown Order.” The Guardian, Guardian News and Media, 11 May 2020, www.theguardian.com/technology/2020/may/11/tesla-factory-reopening-elon-musk-california-lockdown.

· Joy NwokoroResearcher / Senior Writer at Profitable Venture Magazine LtdJoy Nwokoro is a Freelance Business Journalist. “A Detailed Tesla SWOT Analysis & Competitors Analysis.” ProfitableVenture, 12 July 2020, www.profitableventure.com/tesla-swot-analysis-competitors/#:~:text=Tesla%2C%20Inc.%20is%20a%20successful%20automotive%20and%20energy,despite%20the%20threats%20and%20challenges%20in%20the%20industry.

· Hawkins, A. (2019, February 28). Tesla will close most of its stores and only sell cars online. Retrieved April 06, 2021, from https://www.theverge.com/2019/2/28/18245296/tesla-stores-closing-online-only-car-sales

· Tesla logo. (n.d.). Retrieved April 06, 2021, from https://www.tesla.com/gigafactory

· Reed, E. (2020, February 04). History of Tesla: Timeline and facts. Retrieved April 07, 2021, from https://www.thestreet.com/technology/history-of-tesla-15088992

· Hull, Kristin. “Tesla's Employee Arbitration Policy Comes under Fire.” Automotive News Europe, 9 Sept. 2020, europe.autonews.com/automakers/teslas-employee-arbitration-policy-comes-under-fire.