AI Case Study

Tesla falls more than 15% short of Model 3 production goal due to over-automation of the production line

Elon Musk, CEO of Tesla, has blamed an overly automated production process for not being able to meet the production goal he had set for Model 3, as well as its demand.

Industry

Consumer Goods And Services

Automobiles And Parts

Project Overview

"Tesla has increasingly relied on streamlining its assembly process, and has ended up with one of the most robotics-reliant car production lines in the world. As more robots rolled out on to the factory floor, fewer humans were involved — and they’re hurting, spurned on by Musk’s ambitious goals. (futurism)

"'Human are underrated,' tweeted Musk, as the company struggles to ramp up production of its Model 3 sedan. Musk has blamed an overly automated production process. “We had this crazy, complex network of conveyor belts… And it was not working, so we got rid of that whole thing,” he told CBS. (qz)

"Musk previously confirmed that Tesla’s Gigafactory 1 in Nevada was the source for the production bottlenecks slowing Model 3 deliveries. Panasonic, Tesla’s battery cell manufacturing partner at the factory, has also confirmed this." (theverge)

Reported Results

Q1 numbers of Model 3s were less than 10,000 while the goal was to produce 5,000 Model 3s a week.

Technology

Function

Operations

General Operations

Background

Elon Musk is under a lot of pressure right now – Model 3 production over at the Tesla factory isn’t exactly going according to plan. First, Q1 numbers looked grim: less than 10,000 Model 3s rolled off the assembly line — a far shot from his promise of producing 5,000 Model 3s a week. (futurism)

Benefits

Data