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Ducati Case Study

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Ducati Case Study
February 1, 2014 Introduction:
Being a motorcycle company that produces high performance, highly successful racing motorcycles, as well as motorcycles for the commercial market, has proven to be a winning strategy for Ducati. This case focuses on Ducati Corse, a subsidiary of Ducati Motor Holding S.p.A. that manages racing teams, bike development, promotions, and sponsorship areas of the company. Ducati Corse is a relatively small organization that encourages cross-departmental integration with its internal teams to achieve the best motorcycle design and racing outcomes as possible. Ducati started racing in the new MotoGP Circuit during the 2003 race season. With unexpected positive racing results, Ducati took the data collected from the 2003 racing season and changed too many aspects of the bike in 2004. The 2004 racing season proved to be far worse partially because Ducati failed to test all changes made. Looking forward to the 2005 season, Ducati is debating whether to switch to a modular design for their racing motorcycle that would, over time, lead to grander designs for Ducati.

Discovery:
Question 1: What is the organization trying to achieve?
Ducati is after a competitive advantage, via learnings from previous races, which has produced a new product design process that will allow modularity of their racing motorcycle. With success on-track, Ducati believes they can achieve increased commercial sales through a popularity increase, which comes from the surge of interest following a winning race or season. Ducati engineers collect and use enormous amounts data from previous races and tests along with rider feedback to build a winning combination of bike attributes that are specifically tuned to the nuances of the ride.

Question 2: How would you describe their operating environment?
The Ducati operating environment is informal and small when compared to competitors. With most departments under one roof, the company has a siloed feel to

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