Strategic Analysis
VRIO ANALYSIS
The Yamato Transport service is well known to deliver quality since its inception that has also become one of its major strengths. The company focused primarily on delivering service quality to its customers and gained a well-reputed name for itself in the market. This resource of the company is although intangible; however, it played a vital role in establishing a positive brand image of the company. Through its brand TA-Q-BIN, the company put extra emphasis on delivering service quality and used it as an armor to compete with the competitors. This resource has been quite successful in creating value for the company. Through continuous efforts the company has been able to create this value, and the major role has been played by the employees. The company used a very different technique of hiring front line managers on a permanent basis while outsourcing the rest of the employees.
The initiative to hire the frontline employees played a pivotal role as these employees ensured that the quality is maintained, and because of this the company does not lack in delivering the service quality and it meets the expectations of the customers. Besides that, the company ensured that this value stays with the company; the initiative of transmitting the precepts of the company to the hired employees was also a crucial factor. The company’s initiative to translate the values and precepts of the company to the employees through training is a significant factor that helped the company to deliver service quality consistently. This factor is important and for this reason, the delivery of service quality became one of the core values of the company through which the company gained value from the customers. This resource is partially rare because only Yamato has maintained service quality for such a long period which is why the company has grabbed a strong hold on the market.
The new companies or the existing companies can move towards delivering service quality and can also deliver; however, delivering service quality at such consistency is what makes this resource partially rare for the company. The company is focusing primarily on delivering quality service, and profits are the secondary objective which is why the company can create a strong image for itself. For this reason, this intangible resource of the company is also rare to some extent. Although imitating this resource is not impossible, however, it is somewhat difficult for other companies.
The methods used by the company to ensure service quality are unique. Injecting the value and precepts of the company into the employees and motivating them to deliver service quality is vital that enabled the company to make this resource hard to imitate. The company has made significant efforts to keep this resource for their benefit, and although they cannot patent it, they used different techniques that are hard to be imitated. For this reason, the company has been quite successful with this resource that makes this resource sustainable and for this reason; it became a major source of competitive advantage for the company.
Another resource of the company that is tangible in nature and is also a major source of value for the company is BSO style delivery. BSO style of delivery motivated team delivery and was able to tackle two major issues of ensuring safety delivery and to meet the customers’ needs on time as expected or demanded by customers. This resource is a source of creating value for the company as it is a unique concept and for the first time it is being implemented. The needs of the customers are vital and in services business the delivery on time is important.
The company promises to deliver at your doorstep and in time and also promises to maintain the quality of the service. For this reason, the safety of the products is important for which the company used teams to ensure safety and since BSO has fewer routes, therefore, delivery on time as expected by customers is also possible. The second major advantage of BSO that helped in creating value is its environmental friendliness. The route of BSO is also a significant factor that helped in creating value for the company. This resource is also partially rare. Although this concept is unique, competitors can imitate the concept and can also serve the customers through this service. Currently, the company is enjoying impeccable success through this method. For this reason, this method is a temporary source of competitive advantage for the company. The company can use this resource in other geographical boundaries as well as gain first mover advantage and to differentiate itself from the competitors..........................
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