A case study of Bombardier with SWOT,internal and external elements which add to the company success

Essay by smhermanUniversity, Bachelor'sA+, March 2004

download word file, 14 pages 4.7

Executive Summary:

Bombardier Inc. (BBD) has seen net profits fall 163.1% from 2000 to 2002. In an effort to regain profitability, it has embarked upon a concentration strategy to focus on its core competencies of aerospace and mass transit, which would be supported by Bombardier Capital and Bombardier International. Secondary research, from sources such as company documents, journals and other online materials have been acquired to present relevant information. This information will be categorized into the following headings: Corporate Policies, Marketing Policies, Quality Care Policies, Information Systems, Financial Position, Future Challenges, and Final Analysis and Recommendations.

The Corporate Polices section deals with organizational structure, majority shareholders, and social responsibility. BBD follows a decentralized organizational structure to maintain efficient operations and short reaction times. The Bombardier family controls the majority voting interest with 62.96% and continues their father's legacy by donating 3% of BBD's income before taxes to the J. Armand Bombardier Foundation.

The data referring to BBD's targeted industries and market segments, products, and consumer utility is detailed in the Marketing Policies section. BBD is primarily involved in the transportation industry through two of its functional groups, Bombardier Aerospace (BA) and Bombardier Transportation (BT). BA, which provides regional, business and amphibious aircraft to governments, wealthy individuals and corporations, has been loosing sales steadily since September 11th, 2001. BT's increasing income from its rail equipment, manufacturing and servicing, as well as signal, and control and propulsion system contracts with large corporations and governments compensates the downward trend in BA. Consumer utility is provided through worldwide deliveries, customizable products, timely manufacturing and long term usage.

BBD's product quality and safety is detailed in the Quality Care Policies segment of the report. Numerous test runs, as well as internationally recognized certification such as ISO 14001 and OHSAS 18001 are part of the safety...