White Carbon Motors Organisational Design Audit
At a time of mass adoption of Electric Vehicles, smaller startups venturing into a lucrative market have struggled to gauge the industry. This project addresses the same for White Carbon Motors.
Overview
A design-led intervention strategy for a Gujarat-based Electric two-wheeler manufacturer, through an Audit framework to analyse the brand's current positioning and approach, in order to identify gaps and opportunities that can be resolved through a roadmap specifying areas of intervention. Benchmarking studies were also conducted as part of this project to conduct a competitor analysis and capture expected market standards.
Scanning and Sensing
To identify the gaps to address within the organization.
Sense-Making and Selecting
Identify and priorities opportunity area for the organization.
Strategizing and Transforming
To crate Strategic Road Map Blueprint to transform the organization.
Problems Area Identified
1. Unclear branding and
product positioning
4. Backwardness of
benchmarking with next
competitors such as
Store Experience, Sales
representative,
excitement factor,
onboarding, financing
2. Poor sale representative
(tangible touchpoints)
3. Hero Electric hold
bigger market share in
medium range segment
5. Overburden on core
team to work more
efficiently in their
prime areas and grow
Audit Flow: At a glance
Challenge
To study an organisation through relevant frameworks to identify opportunity areas for design intervention and to design tangible interventions that address the issues identified based on the insights generated.
Approach
We studied the current position of the organisation by the studying its functions, stakeholders, internal-external processes using a holistic design lens. The market forces and consumer behaviour was analysed in order to find new opportunities for White Carbon Motors.
Secondary Research
- Literature Review
- Case Studies
- Netnography
Primary Observation
- Shadowing
- Interviews
- Observation
Primary Interaction
- Stakeholder
Interview
- Questionnaire
- Auto- ethnography
- Survey Safari
Validation
- WHY Analysis
- Stakeholder Mapping
- Probing
Analysis
- PESTEL Analysis
- Star Fish Model
- Affinity Map
- SWOT Analysis
Secondary Research: Scanning
White Carbon is a Gandhinagar, Gujarat based electric vehicle startup, which established in the year 2020. They currently manufacture two models namely O3 and GT5.
Why White Carbon?
- EV is creating a paradigm shift in the automotive industry
- White Carbon is relevant player in the Gujarat region
- Local manufacturing in close proximity for easy access
CEO: Mr. Pratik Singh
Founding Yr: 2020
Units on-road: 300+
White Carbon Products
O3
- First product of the company
- No registration/ license required
70 km/charge
1.15 kWh
25 km/hr
250 W
BLDC
3 - 4 Hours
GT5
- Flagship product of the company
- Registration/ license required
100-150 km/charge
2.4 kWh
60 km/hr
3000 W
BLDC
3 - 4 Hours
Electric Vehicle Market Share
India is World’s 2nd largest 2W market 5th largest personal vehicle market 7th largest consumer vehicle market.
All new vehicles to be 100% pure electric by the 100th year of India's Independence.
1,16,669 UNITS
Top 25 2Wheeler-EV manufacturers in India: Jan to Nov 2021
Key Challenges of EV Market in India
Inadequate charging infrastructure
High price of EVs currently
Lack of quality maintenance and repair options
Reliance on battery imports
Range anxiety among consumers
Impact of FAME II policy
Incentives linked to local manufacturing
Lack of options for high- performance EVs
Affected by broader automobile industry downturn
Reliance on imported companies and parts
Inadequate electricity supply in parts of India
Uncertain consumer
behavior
Case Study
It was the 1st company to launch Electric two-wheeler under the brand name of Yo bykes steel/alloy steel industry ( 1983). With more than 250 YO World and the largest customer base of more than 85000 YO bykes users.
Battery Problem
Body disassemble after some time due to cracking joint eg. headlamp box, under seat etc.
Unavailability of spare parts
Poor high terrain performance (low torque)
Speed( Max 60)
Few service center
Netnography
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White Carbon has a considerable presence on Instagram and WhatsApp through regular posts and stories featuring their products and updates
Social Media Listening | Instagram and Facebook
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Affinity Mapping: Key Problems
Charging Stations
Waiting period for vehicle
Price to performance ratio
Battery safety
Charging time
Primary Research: Sensing
Organizational Function Mapping
Identified roles are:
1. Business and growth strategist
2. Human Resource Manager
3. Dedicated sales and marketing team
4. Training program head
None of the team member independently involved, they each have distributed partial indulgence to one and another roles.
Interview with Team
Pratik
- Tech Development
- Training program
execution
- Design + R&D
Development
- Plant operations
- Production management
- Inventory management
- Logistics management
- HR, Sales, Dealerships
Management, Promotional
& Outreach
Ashwin
- Tech Development
- Training program
execution
- Design + R&D
Development
- Plant operations
- Production management
- Inventory management
- Logistics management
- HR, Sales, Dealerships
Management, Promotional
& Outreach
Dhawal
- Tech Development
- Training program
execution
- Design + R&D
Development
- Plant operations
- Production management
- Inventory management
- Logistics management
- HR, Sales, Dealerships
Management, Promotional
& Outreach
Vasundhara
- Tech Development
- Training program
execution
- Design + R&D
Development
- Plant operations
- Production management
- Inventory management
- Logistics management
- HR, Sales, Dealerships
Management, Promotional
& Outreach
Rushav
- Tech Development
- Training program
execution
- Design + R&D
Development
- Plant operations
- Production management
- Inventory management
- Logistics management
- HR, Sales, Dealerships
Management, Promotional
& Outreach
Assembly Unit Visit
Production capacity of maximum 30 vehicles during peak
Total 20 staff can work during peak time
Battery is not a part on this plant's inventory
Battery pack is outsourced in batches of 10 units as per demand
Inventory for 100 vehicles and 250 in stock(ready for dispatch)
Mr. Rushav operates and administers plant operations along with Mr. Pratik
Dealership Visit
As a Customer
1. Both dealerships are located in well known areas of the city.
2. User experience and ambience of the showrooms were different. No common design language.
3. Potential buyers expressed concerns about the battery life, range and after sales services.
4. Both the sales executive had a very different approach towards explaining, one at Gandhinagar used technical jargons which buyers were unable to understand on the other hand, Ahmedabad executive used a much a simpler way of explaining.
5. Buyers also expresses concerns towards absence of metallic guards for vehicle protection.
6. Sales representative were unable to justify the lack of FAME 2 subsidy on the GT5 (High Speed) model.
As a Researcher
1. Both dealers have personal connections with the founder(Pratik)
2. The dealers has to invest on the infrastructure from their own. Company provides guidance for location, brochure/manual, design guidelines for interiors, training etc.
3. Ahmadabad dealer made his own accessory modifications on O3 model, which was catering to multiple needs.
4. Ahmedabad dealer has prior experience in EV business.
5. Ahmadabad dealership is owned by Mr.Dhawal's (core team member white carbon) Family.
6. Ahmedabad dealer showed inconvenience over dealership model and absence of dealer's opinion over sales and product.
Service Safari
Ather Energy
Key Observation:
1. Welcoming ambience
2. Ather charging station at front of showroom
3. Located in prime
4. Multiple sales representative to handle customers
5. Honda Activa used for comparisons
6. Uses of simple language and digital brochures
7. Brand tone was visible in store experience like salesman, artifacts, ambience etc.
8. Govt. Subsidy Schemes was present
9. Financing Facilities under same roof
10. Public charging facility free for Ather users outside showroom
Revolt Motors
Key Observation:
1. Welcoming ambience
2. Brand Presence was visible in small details, eg. Logo as handle
3. Located in prime
4. Sales person was polite and explained about vehicle in simple manner
5. FAME II subsidy was present
6. Removeable battery swapping
7. Two Bikes for test drive were active
8. Additional accessories were also sold in the store
9. Financing Facilities under same roof
10. 3-4 Months waiting period
11. Buy-back facility was there
Analysis: Sens- making
On the basis of Service Safari tool and service experience chart, a score from 0 to 5 have been assigned based on mutual comparison to gauge the position of White Carbon with respect to Ather and Revolt, which are leading brands in the EV segments for now.
Attribute Comparative Scorecard
EXCEPTIONAL
GOOD
MEDIUM
BASIC
NACENT
Ather Energy
Revolt Motors
White Carbon
EV Perception Survey Insight
72.2% of the respondents expressed concerns for the range of the electric vehicle
76% of the respondents would advice an electric vehicle to a fresh college going student
68% of the respondents will not prefer speed over battery performance
56% of the respondents felt Electric Vehicle makes them feel smart
84% of the respondents strongly felt the need for Government subsidy on EVs
All existing EV users admitted that they didn't made the purchase decision, their parents did
Battery Quality and Safety
Cost of the vehicle compared to IC
After sales service
Battery Charging Time and range
Government Subsidy
Charging Infrastructure
Technological Features (GPS, Iot)
Top Speed
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User Interaction Insights
at NID Campus
Security guards enjoyed the vehicle and felt it very useful in an institution like setup where they have to walk a longer distance for duty shifts and also it noise and pollution free
Staff members who are also parents admired the vehicle and showed an immediate interest in purchasing it for their wards, since it was a license-free, low-speed vehicle which assured them of safety and they also mentioned that they were not aware about the existence such products in the market
Students whom have used an EV before were impressed with the pick up and speed but they we're equally concerned over battery performance and service aspects.
Students whom have never used an EV before, were more inclined towards the look and feel of the vehicle. Battery range was a concern.
Competitors Mapping Mapping Captured by Segment
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White carbon has placed both of their products in a highly competitive segment. According to our analysis White carbon could position a new product in medium speed segment where there are less and worthy competitors.
Hero electric holds the biggest market share in EV industry. The graph clearly depicts that majority of their products are placed in medium speed segment, through which we can infer that the presence of EV buyer are majorly seen in this region. This signifies majority of customer who show interest in buying EV end up buying a medium speed vehicle since they are neither too heavy on pockets nor are they low in speed.
SWOT Analysis
Positive
-
They follow Business to Dealer model
-
Less liability on infrastructure
-
Just in time production
-
Experienced team (previously worked in EV industry)
-
Operating without external investment
-
OEM and ODM of O3 and GT5
-
Synchronized team
-
CEO is aware of every small decisions taken by the team.
-
Careful and stringent dealer selection
-
Agile organization, quick to adapt
-
Quick delivery of vehicles (1-2 week buffer)
-
No add on or reoccurring cost for the end user (4G/ IOT services)
Internal
Strength
-
New product,market segments and targeting new customer segments
-
Faster expansion of Charging/ Swapping stations
-
Faster adoption of newer technology
-
Harnessing the power of IOT/ AI for better product calibration
-
Universal charging infrastructure policy/ benchmark
-
Government subsidy on imported EV parts
-
Breaking the status-quo of EV perception by focusing on utility and convenience factor in new markets for O3 model.
-
Corporate showroom/ experience center (White Carbon owned)
-
Startup framework for turbulent times
External
Opportunities
Negative
-
Overburdened core team
-
12 KGs of battery swappable pack (GT5)
-
Limited product offerings
-
Excessive reliance on imported parts/foreign manufacturers
-
Slow expansion of charging/ swapping infrastructure
-
No charging/ centers
-
No consistent brand tone/ image
-
No/minimal direct interaction with end users for feedback
-
Higher cost of production
-
No FAME2 subsidy
-
Mostly imported parts
-
Heavily depended on dealers for expansion
-
Insufficient funds/ cash flow
-
Less investment on R&DD
-
Lack of target user understanding
-
Compromise on user experience under dealer pressure.
-
Unstructured approach for product research
-
GT5 registered only in 3 states
Weakness
-
Ease of entry in EV market could create potential startups offering similar product with reduced cost.
-
Established Automotive manufactures entering into EV market with superior product and charging infrastructure.
-
Theft and vandalism of Electronics parts/ charging stations.
-
Power outage/ fluctuations
-
Lack of EV awareness in the market
-
Lowering of petrol/ diesel prices
-
Alternative fuel technology eg. Efficient CNG or Hydrogen fuel vehicles.
-
Fleet mobility with last mile connectivity
-
Increased import cost on Li-Ion/ Li-Po batteries parts
Threat
Retrospective Model
Start
Less
Keep
Less
Stop
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Innovation
Culture
Brand
PESTEL Analysis
Political
-
India entering into an armed/unarmed conflict with a neighboring country.
-
International Trade & Other Treaties
Economic
-
Consumer Disposable Income - The household income of the country has increased constantly in the last decade and half
-
Employment Rate
-
Level of Household Income and Savings Rate- White carbon needs to be careful about building marketing strategy that is dependent on “Purchase on Credit” consumer behavior.
-
Price Fluctuations in both Local and International Markets
Sociological
-
Demographic Trend
-
Level of Social Concerns & Awareness in Society
Technological
-
Cost of Production and Trends
Environmental
-
Influence of Climate Change
-
Level of Consumer Activism Regarding Environmental Concerns
Legal
-
Independence of Judiciary and Relative Influence of Government
-
Transparency in Judiciary System & Processes
Insights
Insight 1: Generated from Attribute Analysis
Considering Ather's in-store service experience as an industry benchmark, White Carbon needs to improvise in areas such as Store Experience, Sales representative, excitement factor, onboarding, financing and helping customers take informed decisions.
Insight 2: Generated from Attribute Analysis
Sales executive is an important pillar for White Carbon's success. A sales executive acts as a touchpoint for onboarding, product experience, test drive, excitement factor, informed decision making and overall in-store experience of a customer.
Just by improving the interactions between a sales executive and customers, White Carbon can leverage these mentioned attributes to a greater extent and create a drastic impact which are at par with industry leaders.
Insight 3: Generated from Organizational function mapping
Scope for newer designation which would reduce the burden on core team and enable them to work more efficiently in their prime areas and grow.
Identified roles are as follows:
Business & Growth Strategist
Human Resource Manager
Dedicated Sales & Marketing Team
Training Program Head
Insight 4: Generated from Competitors mapping
Hero electric holds the biggest market share in EV industry. The graph clearly depicts that majority of their products are placed in medium speed segment, through which we can infer that the presence of EV buyer are majorly seen in this region. This signifies majority of customer who show interest in buying EV end up buying a medium speed vehicle since they are neither too heavy on pockets nor are they low in speed.
White carbon has placed both of their products in a highly competitive segment. According to our analysis White carbon could position a new product in medium speed segment where there are less and worthy
Insight 5: Generated from Netnography affinity mapping
Major problem areas identified through secondary research are as follows:
Charging stations
Price to performance ratio
Battery weight
Battery safety
Charging time
Waiting period for vehicle
Insight 6: Generated from PESTEL analysis
There is a heavy dependency on neighboring countries for lithium and other electronic components, so any political dispute could lead into an acute shortage of these essential resources leading to a heavy surge in prices or EV industries failure. Hence it would be wise for organization to maintain multiple vendor contacts and slowly reduce dependency and focus on make in India to the maximum extent.
Direction
Things WC should do to make things right
1. More Design led approach towards new EV segments
2. Battery power/ range enhancements through timely
updates.
3. Instead expanding in terms of dealership, work on
robust products and services.
4. Designing prospect dealer scanning and on
boarding process.
5. Vehicle servicing effectiveness and service on
call.
6. Increased involvement of other core members and
effective communication between teams.
7. More team meetups to discuss future strategy.
8. create a resale value for their product
9. train salesmen to have a similar standard and
satisfying experience
Things WC should not do to make things right
1. Creating new products just to compete with other
EV companies.
2. Relying on technology alone.
3. Designing EV without considering user centric
design aspects.
4. Create dependency on CEO to start future
innovation and company culture discussion topics.
5. Working in silos, unaware of other team's
developments.
6. Innovation being Tech division's job only.
7. Targeting generic customers
8. Dealers from making changes in brand image/
showroom modifications, Inconsistent brand
Design an interactive brochure which not just gives information about the product but also doubles up as a checklist to what all information to be known or asked for, this transparency boosts trust and confidence in customer.
This also acts as a benchmark for sales executive in terms of what all aspects to be covered and in what sequence, thus setting up a standard across the showrooms.
Solutions
1. Strengthen WC's weak areas in in-store service experience
Vision:
To catchup with market leader in terms of Service Experience
How to do it?
By taking more direct customer feedbacks, investing to improvise the intangible attributes of the service
Short Term (Insert Key)
1y
Train sales representative to be more empathetic towards customer and facilitate their decision making process.
Mid Term (Ignition)
3y
Long Term (Accelerate)
5y
Invest in prime locations with visible store front and develop brand tone which resonates with WC's vision.
Define a brand guideline in terms of store experience and adhere to it.
Design and develop an entire service experience and touchpoint which would create an everlasting memory/experience to the customer.
2. Position O3 as first preference vehicle for youth transitioning from bicycle to motorized vehicle
Vision:
Develop a niche market for White Carbon O3 EV.
How to do it?
By developing a niche market for White Carbon O3 EV.
Short Term (Insert Key)
1y
Product publicity and reach out in offices and schools.
Mid Term (Ignition)
3y
Long Term (Accelerate)
5y
Develop more EV models based on O3 platform after mid-term sales conversion analysis.
Product Display at College fests/ event sponsorships.
3. Make o3 a preferred vehicle to close range delivery agents by adding modular accessories as a feature
Vision:
Commercial mobility go to brand.
How to do it?
Design and develop range of utility accessories for O3 to maximize the use cases.
Short Term (Insert Key)
1y
Identify all the close range delivery agents and organization and offer O3 financing services.
Mid Term (Ignition)
3y
Long Term (Accelerate)
5y
Introduce multiple variants/modification according to the need of the user segment.
Publicize and demonstrate how the Electric vehicle is better than the existing mode of transportation
4. Introduce a medium speed vehicle.
Vision:
Capturing medium speed segment/blue ocean area.
How to do it?
Design an inclusive medium speed vehicle which could appeal the customers in all basic aspects.
Short Term (Insert Key)
1y
Study medium speed vehicle users and their requirements.
Mid Term (Ignition)
3y
Long Term (Accelerate)
5y
Identify and develop more products on the basis of demand and study of blue ocean areas.
Develop designs which satisfies user needs and is cost effective.