Process-Product Matrix of Tesla

As Tesla is manufacturing a few EV models, i.e., Model S, Model X, Model Y, and Model 3 in
large quantities, the suitable process structure is the assembly line. Cars are manufactured inside
the Fremont Factory 24*7 without a halt, making the process a connected line flow. Tesla is
manufacturing a large number of electric cars using an assembly line system. The flow system
observed in Tesla’s Fremont factory is a Mass production assembly line. Robots inside the
factories usually perform the same operations for each production run in a regular and ideally
uninterrupted flow for which Tesla factories are highly automated. They have installed highly
automated robots who could change the tools as per the requirement. The conveyor system inside
the factory makes the process continuous without a break as it moves the workpiece from
pressing line to paint shop and then to body shop. A fixed collection of inputs and outputs,
constant throughput time, and a relatively continuous workflow are available inside the factory.
Since the product is standardized, the same procedure is followed from one operation to the next
along the same path. Tesla has used a U-shape assembly line to achieve a more efficient
continuous, and connected line flow. The factory has fewer human resources as compared to the
technology that to self-monitoring and adjusting robots.The routing process inside the factory is
fixed as the material is automatically carried from one part of the process to the next.
Process flow at Tesla Seat Factory

Process Flow at Tesla Giga Factory

Process Flow at Tesla Fremont Factory

Process characteristics affecting the operations:

1. Resource consumption: Tesla factory is more automated and less dependent on the
workforce. Therefore, the robots’ works are monitored by the engineers, and instructions
are passed according to the performance. This makes it easy for operations. Further, the
factory will shift entirely to solar and wind energy to reduce electricity consumption,
which will help them reduce the environmental impacts of transportation, electricity
production, and energy use by people, homes, businesses, and the grid.
2. Variety: As Tesla is manufacturing only four models of EV, there are only 7000 workers
in the Gigafactory where most of the work is done in an automated manner with the
utmost use of technology and safety precautions taken, because if there is any breakdown
 that will result in the stoppage of working in the factory. Automation of the work makes
it less time-consuming and more effective, helping in the production of batteries.
3. Effectiveness: The quality that is being maintained by Tesla is excellent. The time to
produce is also less since the use of automation and the u-shaped general assembly where
all the component attachments are made makes it more effective, and robots can change
their tools on their own. The database maintained within the factory also helps the
engineers make operations more efficient and efficient.
4. Volume: As the demand for Electric vehicles increases, Tesla produces high volumes of
EV, around 4 Lakhs EV per year.
5. Flow: Automation of the work makes it less time-consuming and more effective, helping
in the production of batteries. As the volume is high and the variety is less, the factory’s
flow is continuous and connected.

Operational Strategy & Process Flow :

The management of Tesla’s operations focuses on the innovation and manufacturing of electric
vehicles, such as optimizing organizational capacity for advanced electric cars and car parts. The
operations managers of Tesla periodically perform quality assessments of manufacturing
processes and introduce changes. The automation combined with human intervention helps Tesla
achieve high productivity through operational efficiency.