Connect with us

World

3 fundamental pitfalls a leader can fall into if they’re not careful

Published

on

It’s likely you’ve come across the phrase “(to give) credit where credit’s due” — well keep this in mind, as it’s important for the leaders — and aspirational ones — out there.

“While it’s true the team shares in their victories and their defeats, a great leader calls out major employee contributions with their peers and superiors,” Hallberg notes, adding that “a great leader hires great employees and gets out of their way.”

To Hallberg, Richard Branson embodies what it means to be “a great leader,” as the Virgin Group co-founder puts his people in front of the likes of shareholders, clients or suppliers.

“When employees feel like they are the last to be cared for, it’s very difficult for them to give their very best. After all, if they don’t feel valued by the company, why should they value the company itself?,” said Hallberg, when explaining how Branson defies this type of behavior, by putting employees first.

Consequently, to Hallberg, an “inadequate leader” can end up taking credit for success, and placing blame on their employees for failures that emerge.

Source link

World

Here’s how the EV rivals are and aren’t alike

Published

on

Porsche, Audi, General Motors and other established automakers are trying to take on Tesla with splashy new electric vehicles, but the first real competition from an upstart may come from Lucid Motors, a company run by a former chief engineer on the Tesla Model S.

Lucid CEO Peter Rawlinson is following his former boss Elon Musk’s playbook when it comes to production, some technology, dealerships and service. But it’s charting a different path on electric-vehicle charging stations, automated driving systems and advertising.

Here’s how Lucid, which announced plans last week to go public through a SPAC deal, and Tesla compare with each other:

Manufacturing

Unlike some newer electric-vehicle companies, Lucid plans to manufacture all of its vehicles in-house, like Tesla does today.

Partners

Lucid struck a deal with LG Chem to supply battery cells, the most costly part of any electric vehicle, for its standard battery packs for its Lucid Air sedan. The company said it will announce additional suppliers in the future.

Tesla already has deals with Panasonic, Samsung, LG and CATL for cell supply for both its battery packs and energy storage products including the Powerwall.

Lucid has said it plans to manufacture energy storage products, both home batteries and utility-scale devices. But Lucid won’t have the distraction and capital burdens of running a solar business, like Tesla has done since acquiring SolarCity in the fall of 2016.

Tesla’s history with battery supply partners could prove an advantage for Tesla near-term.

Through its longstanding partnership with Panasonic, Tesla locked in undisclosed pricing terms as well as investments from the Japanese battery maker. Together, they own and operate a massive battery plant outside of Reno, Nevada.

Tesla makes the battery packs for its vehicles on one side of the factory, while Panasonic produces cells for them on the other side. However, Tesla told investors in September that it started producing its own cells at a pilot plant in Fremont, California, as well.

Lucid expects to produce more than 500,000 vehicles per year by 2030. Musk, who is known for stating ambitious plans but missing self-imposed deadlines, has said Tesla will “probably” produce 20 million electric vehicles a year before 2030.

Last year, Tesla produced 509,737 electric vehicles, with deliveries shy of half a million even amid a global slowdown in auto sales due to the Covid pandemic.

Price and battery efficiency

Rawlinson expects the Lucid Air to be the catalyst for a lineup of future all-electric vehicles, including an SUV starting production in early 2023 and more affordable vehicles down the line.

To start, Lucid plans to sell a high-end version of the Air, the Dream edition, for $169,000.

By comparison, Tesla sells its Model S sedan for $79,990 for the base model and $139,990 for the highest-end Plaid+ version, without adding Tesla’s $10,000 premium software upgrade.

By 2022, Lucid is expected to offer a version of the Air beginning at $77,400, which would directly compete with several Tesla models. The pricing excludes federal tax credits worth up to $7,500 that are available to Lucid customers but not Tesla buyers today.

It’s unclear at this time just how low Lucid pricing could go after its first two vehicles are out on the market.

Rawlinson said the company’s next planned vehicle platform will be the base for less expensive models in the $40,000 to $45,000 range. But he’s not sure the company will ever offer a vehicle for around $25,000, which Musk said Tesla intends to do.

“In the longer and the fuller timescale, do we actually make a $25,000 car like Tesla’s planning to do with its Model 2?” Rawlinson said. “My view is, as a company, I think we’re probably seven or eight years away from being able to contemplate something like that. That’s a huge undertaking.”

Rawlinson says Lucid has industry-leading battery technology for its vehicles. His main measure is the efficiency of Lucid’s batteries by miles per kilowatt hour driven.

Lucid’s vehicles are capable of more than 4.5 miles per kWh while Tesla’s Model S Long Range is greater than 4, Lucid says.

EV charging

Lucid has no plans to build and operate its own charging network like Tesla has done with its Superchargers, according to Rawlinson. “Do we want to have the capital burden of a fast charging network? No, we can go asset light in that. That’s where we can save money,” he said.

Tesla Supercharger Station

CNBC | Andrew Evers

Instead of building its own vehicle charging infrastructure, Lucid has partnered with Volkswagen-owned Electrify America, which expects to have 800 total charging station sites with about 3,500 chargers by the end of this year.

Tesla currently operates more than 20,000 Superchargers globally, according to its website.

Lucid, like Tesla, says it will offer customers home charging devices.

Self-driving tech

When it comes to developing driverless vehicle technology, Elon Musk has famously called lidar, or light ranging and detection sensors, “a fool’s errand.” The sensors work by using pulsed lasers to create something like a live, 3D map of a vehicle’s surroundings that can be read by onboard computer systems.

Many autonomous systems engineers believe lidar is critical for making cars truly driverless. Instead of lidar, Tesla’s driver-assist systems and long-awaited self-driving features rely on a host of other onboard cameras and sensors including radar. Rawlinson believes that choice is a mistake.

“Do we think that lidar should be part of the sensor suite for (autonomous vehicles)? Yes, we do,” Rawlinson said.

Lucid has said that the Air sedan, which was delayed from this spring to the second half of this year, will use lidar in its sensor suite for advanced driver-assist systems. The company expects the technology to set “a new benchmark” for the industry.

Tesla sells a premium, advanced, automated driving system for its vehicles for $10,000 today, with plans to roll out a subscription option, too. While it is marketed as “Full Self Driving,” the system’s features do not enable a truly driverless, hands-free and unsupervised ride.

Instead, FSD enables features beyond Tesla’s standard Autopilot package. These include smart navigation, automatic lane changing and Smart Summon. With Smart Summon a driver can call their car out of a parking spot using their mobile phone like a remote control.

Tesla vehicles lack a robust driver monitoring system, which can detect whether a driver is using their systems responsibly.

Lucid has promised to include a driver monitoring system in its vehicles that will ensure drivers are using their advanced, automated driving systems as prescribed, staying attentive to the road and their surroundings, ready to manually steer at any time.

Advertising and sales

Tesla has become one of the world’s best-known automotive brands without the use of traditional advertising. It has instead generated hype and attention through splashy events, nontraditional social media engagement, Tesla online forums and owners’ clubs, and nearly constant engagement by Musk himself with fans and shareholders. Musk has cultivated a following of about 50 million on Twitter, for example.

Lucid, by contrast, ran a national television campaign from Dec. 25 through the end of January for the Air to generate awareness of the company and vehicle. Rawlinson said such a campaign wasn’t necessarily a part of Lucid’s plans until the coronavirus pandemic last year forced the company to cancel several events.

Interior of the Lucid Air show car, which is expected to be produced beginning in 2021.

Lucid

“I thought, well, dammit, we’re going to have to because we couldn’t get the message out,” Rawlinson said. “So, we had a little foray into that, and I think that’s been quite positive. So, I don’t rule that out just because Tesla doesn’t do it.”

Lucid also embraces Tesla’s direct-to-consumer sales and service models instead of selling through traditional franchise dealerships.

Lucid already has six retail locations open in California and Florida. It plans to operate 20 retail locations and service centers in North America by the end of this year in addition to selling its vehicles online. Tesla has about 160 retail locations in the U.S., according to its website.

Source link

Continue Reading

World

Stock futures flat in overnight trading after Tuesday’s losses

Published

on

U.S. stock futures were flat in overnight trading Tuesday after stocks dipped in the regular session.

Dow futures rose 25 points. S&P 500 futures gained 0.1% and Nasdaq 100 futures rose 0.15%.

On Tuesday, the major averages gave back some their sharp gains from Monday. The Dow Jones Industrial Average lost 143 points, pressured by a 2.6% drop in Intel. The S&P 500 registered a loss of about 0.8%.

The Nasdaq Composite was the relative underperformer, dipping about 1.7% as Facebook, Microsoft, Amazon, Apple, Netflix and Google-parent Alphabet closed lower.

The small-cap benchmark Russell 2000 dropped 1.93%.

“On a day with little major news and ahead of important news soon to come — Fed meeting and the jobs numbers— investors took the opportunity to take some profits from yesterday’s big recovery,” Jim Paulsen, chief investment strategist at the Leuthold Group, told CNBC. Tuesday’s “worst performer, technology, was yesterday’s biggest winner.”

The 10-year Treasury yield, watched closely by investors recently, fell to 1.40% on Tuesday. The yield surged to a high of 1.6% last week, raising concern among investors about higher borrowing costs and inflation.

“Overall, buy on the dip is alive and well,” added Paulsen. “Despite a turbulent couple days, the S&P 500 has risen 1.55% so far this week dominated by reopening plays including materials, industrials, financials, and energy with technology being a market performer.”

President Joe Biden said late on Tuesday that the U.S. will have a large enough supply of coronavirus vaccines to vaccinate every adult in the nation by the end of May. That would be two months ahead of schedule. The vaccine rollout is seen as key part in getting Americans back to work and for the economy to recover.

Private payroll data for February is due at 8:15 a.m. on Wednesday. This will give investors a read into the labor market. Economists polled by Dow Jones expect 225,000 private jobs were added in February, higher than the 174,000 added in January.

Brown-Forman, Dollar Tree and Wendy’s report quarterly earnings before the bell on Wednesday.

Subscribe to CNBC PRO for exclusive insights and analysis, and live business day programming from around the world.

Source link

Continue Reading

World

China prepares for a big annual meeting to chart a growth strategy

Published

on

Chinese President Xi Jinping attends the National Day reception on the eve of the 71st anniversary of the founding of the People’s Republic of China in Beijing, China September 30, 2020.

Thomas Peter | Reuters

BEIJING — The Chinese government is set to kick off an annual parliamentary meeting this week for approving national priorities for 2021.

The gathering of delegates, known as the “Two Sessions,” has overseen such changes as President Xi Jinping‘s abolition of term limits in 2018 and the proposal for a new security law for Hong Kong last year.

The otherwise generally symbolic meeting takes on particular significance this year as it marks the beginning of China’s five-year development plan — the 14th such in the country’s history — and the 100th anniversary of the ruling Communist Party.

Authorities are expected to lay out details on topics ranging from employment targets to management of the semi-autonomous region of Hong Kong.

Such comments will come as Beijing seeks to show progress on development promises made to the country of 1.4 billion people, and build up China’s competitiveness in a world shocked by the coronavirus pandemic and growing wary of the Asian giant’s rise.

No specific GDP target expected

Li-Gang Liu, managing director and chief China economist at Citi Research, said in a note that if the report lays out a GDP target directly or indirectly, the figure could top 7%. That’s according to growth goals announced by different Chinese provinces and a commitment to double GDP from its level in 2010, Liu said.

On monetary policy, although authorities have emphasized they will not abruptly reverse stimulus policies, “we expect China’s monetary policy conditions will visibly tighten this year,” Liu added.

China’s economy grew by 2.3% last year, despite the shock of the coronavirus pandemic, as authorities rushed to control the domestic spread of the virus and support businesses with tax cuts and cheaper loans. That GDP growth followed expansion of 6.0% in 2019, according to official figures.

On employment, economists generally anticipate China will aim to create more than 10 million new urban jobs this year, up from 9 million last year.

A plan for the next five years

Source link

Continue Reading

Trending