AMD 257 December 2020 American Motorcycle Dealer 257 Dec 2020

DEC 2020
COMMENT Herd Immunity ?



Unit Sales and Market Share Down ; Cost Savings Drive " Best Q3 Income since 2015 " as Inventory and Dealer Network Continue to be Slashed

DEC 2020

ISSUE # 257
COMMENT Herd Immunity ?
In announcing its 2020 Q3 fiscals Harley-Davidson has said that it is " sharpening its focus and reigniting its culture " as the delayed model year introduction cycle results in reduced sales and dealer inventory shortages . The company says that it has made " further progress implementing The Rewire , a critical overhaul of its business , setting a strong foundation for the company including a new operating model that realigns the organization for performance , reduces costs and sharpens focus on profitable products and markets . " The end of The Rewire will be the foundation for The Hardwire , the company ' s forthcoming 5-year strategic plan [ to be unveiled in January 2021 ], to deliver profitable growth and shareholder value based on expanding the desirability of Harley-Davidson ." In reporting its third quarter 2020 financial results it has reported " the strongest third quarter net income since 2015 ,
reflecting initial positive impacts of The Rewire efforts " - in other words by implementing cutbacks and cost savings . " We have driven significant progress across each key element of The Rewire playbook , and we believe the positive

Sclerotic corporate bureaucracy

changes we have executed are setting our course for a winning future ," said Jochen Zeitz , Chairman , President and CEO , Harley-Davidson . " We have started on our journey to become a high-performance company where business structure , leadership principles and our culture are all aligned . The platform we are creating will support the work ahead as we continue to develop and execute our
new 5-year strategic plan , The Hardwire ." Harley says it is " evolving its culture to drive a high-performing , winning organization . The company is ramping up the competitive spirit of its employees and dealers to promote the heritage and value of the Harley- Davidson brand . Earlier this year , the company revealed a new vision and mission that are guiding and defining the company ' s roadmap ." The Vision is cited as " building our legend [?!] and leading our industry through innovation , evolution and emotion "; the Mission as " more than building machines , we stand for the timeless pursuit of adventure . Freedom for the soul ." Harley claims that its ' Rewire ' efforts to date have " strengthened the company ' s focus on customers and dealers and reinforced desirability for the company ' s brand and products , setting the foundation for its 2021- 2025 strategic plan ."
Continues on page 6 >>>



The King of the Baggers - Indian Challenger by S & S Cycle ; see pages 31-36