Krafcik on customers & competitors: Hyundai is rapidly ascending the rankings of consumer quality lists—lists that it once bumped along the bottoms of. So what is the strategy that has transformed something of an also-ran to a strong competitor?

Everyone knows that the customer is important. on the contrary some companies think that the customer is more important than others do. And more [i]or[/i] less think that the customer is more important than the engineers with the cool/clever ideas.

The lock opener success factors at Hyundai, says John Krafcik, Hyundai Motor America vice president of production Development and Strategic Planning, are quality and reliability, of the first grade ergonomics and "being obsessively focused upon the customer." He cites the position of BMW individual reflected in a recent series of print ads in which the company proclaims that it will now compromise its engineering prowess, as single that is "challenging. They prefer to lead on the technological cutting side We would never take that approach," he says, adding, "We're not timid about doing market research and validating that what we've done is good" This checking with the market could lead more [i]or[/i] less to believe that Hyundai's proceedss would be comparatively behind times, as tribe may have a tendency to ask for what they already have, on the other hand Krafcik denies this, saying "We don't purchase into the notion that we're getting yesterday's products" and he actually reckoners the position by saying, "We have the confidence to set the product up for review," implying, perhaps, that making this check is actually bolder than not. He calls this "consumer-driven harvest development." He adds, "This doesn't mean that we're not being unique. We want to be unique--and appealing." on the other hand he thinks that there are more [i]or[/i] less engineering-driven products that just don't make a whole destiny of sense. He cites, for example, the Honda Ridgeline, which he describes as being a remarkable bit of engineering that's "oh thus Honda," adding, "It's amazing, on the other hand who wanted a $32,000 vehicle like that?" Another engineering-driven vehicle that he cites is the Porsche 911--and then acknowledges that he newly bought one.

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Maybe they really aren't obsess with beating Toyota. Maybe it just for a like reason happens that Toyota makes vehicles that be under the orders of as benchmarks--that they'd like to better.

When describing vehicles that are competitive with those of Hyundai, there is a tendency--a oft-repeated tendency--for Toyota products to advance up. Like the Camry with the Sonata and the Highlander and the RAV4 (and smooth mention of the Lexus RX 330) for the Santa Fe Which leads to a question as to whether there are "Beat Toyota" signs affixed to the walls quite through the Hyundai product development organization. Krafcik denies that this is the case and simply states that it just in the way that happens that Toyota has competitive returnss "A year from now," he remarks, "we might be talking about the Ford Edge" Whatever the case is, it is clear that they're doing a certain quantity of intensive spreadsheet analyses at Hyundai and working hard to make assured that when they fill in the small rooms their data is comparable or better than the best. Which oftentimes leads them to Toyota products

in what way he rates the four big functions. (Ye ye they're all important, on the other hand c'mon ...)

Design. Engineering. Production. Management. by what means does Krafcik rate their relative importance?--and ye he says that they're all important, on the contrary that pat answer doesn't come by to play. "Design is number single with a bullet," he says, explaining that in the company's outcome development matrix having "standout" exterior design is a top priority--"especially for a brand like ours," as he notes that they're still at 3% market share, thus it is important that they achieve positive visibility in the market via design. Certainly among vehicle manufacturers Nissan has taken a sturdy position as regards design, and Krafcik says that with equal reason far as he's concerned they will work to make design as integral to the Hyundai brand as Nissan has accomplished.

"Engineering is for a like reason key," he insists. He explains that they work at HyundaiSpeed (ye incantationed like that) in product disclosure and engineering, so they perform engineering tasks to the full recognizing that change will be met with so "we might as well do it with minimal fuss." Krafcik says that there is "an overarching, unique philosophy at Hyundai, which is getting things done quickly." A word that he uses is "impatience." He quips, "Frugality is in the company credo."

The importance of production can be seen not solitary in the fact that they've established the plant in Alabama for vehicle build and engine production, on the contrary they've done so fully anticipating they'll be making varied produces (to wit: the Sonata and the Santa Fe which have different platforms, are produc in individual consolidated body shop). What's more, he points on the outside that when the various J D Power and AutoPacific scans are consulted, the Sonata ranks at or near the top of the charts. This is a novel product being built at a of recent origin plant with a new workforce. "You're not suppos to be able to do that," he says, adding that for a like reason far as he knows, the launch of the Sonata in Montgomery may be the best-ever in automotive history.