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EXPERIENCEBUSINESS - Harley-Davidson

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The shifting of gears may seem like a relatively<br />

isolated moment, however, in reality, it is a point<br />

in time that has taken years to create. From styling<br />

and manufacturing, to the dealer who adjusts the<br />

clutch tension, each customer experience relies on a<br />

finely tuned collaboration. It is this teamwork that<br />

helps drive us into the future; a future our customers<br />

are just now beginning to dream about.<br />

Product Development<br />

The ride actually begins years earlier at the Willie G. <strong>Davidson</strong> Product Development<br />

Center (PDC) in Milwaukee. There, Willie G. and his team of styling masters begin to turn<br />

dreams into reality by drawing on a lifetime of experience. At the PDC, a concurrent<br />

development process pulls styling, engineering, marketing, manufacturing and purchasing<br />

together as new motorcycle and accessory ideas work their way through to fruition. 1<br />

1<br />

2<br />

Engineering & Product Innovation<br />

Engineering designs take form as rough conceptual<br />

drawings, which are reviewed and elaborated<br />

upon. Then, sophisticated computer equipment<br />

guided by experienced hands helps render the<br />

drawings into three dimensions.<strong>Harley</strong>-<strong>Davidson</strong><br />

employs some of the most advanced technology<br />

in the industry including computer design modeling,<br />

finite element analysis, electro magnetic<br />

compatibility and radiated immunity testing as<br />

our engineering and design teams take projects<br />

forward. 2, 3<br />

Manufacturing<br />

During the past five years, we have invested<br />

more than $800 million in new and upgraded<br />

information systems, R&D technology, manufacturing<br />

facilities and more, but we’ve also<br />

invested in our people. By empowering our<br />

employees and working in a Partnering relationship<br />

with our unions, all our employees are<br />

able to grow both personally and professionally<br />

right along with the Company. 4<br />

The Motorcycle<br />

Since 1903, <strong>Harley</strong>-<strong>Davidson</strong> has produced the<br />

world’s best heavyweight motorcycles and our<br />

bikes lead the cruiser and touring segments<br />

everywhere they are sold. In 2000, we surpassed<br />

our production target for 2003, by producing<br />

and selling 204,592 units. Current demand has<br />

given us the confidence to raise <strong>Harley</strong>-<strong>Davidson</strong><br />

production targets to 227,000 units in 2001.<br />

In North America, our retail sales reached<br />

163,984 units during 2000, in Europe, 19,870;<br />

and in the Asia/Pacific Region, 12,213 units.<br />

<strong>Harley</strong>-<strong>Davidson</strong> ® motorcycles continue to win<br />

worldwide acclaim. For example, one of the<br />

leading motorcycle magazines in North America<br />

selected the Softail ®<br />

TM<br />

Deuce as Cruiser of the<br />

Year and named the Electra Glide ®<br />

the Touring<br />

Bike of the Millennium. In Australia, the Buell ®<br />

Lightning ®<br />

X1 was named Best Naked Sport<br />

Bike for the second year in a row. 5<br />

Supplier Network<br />

Experience has taught us that our relationships<br />

with suppliers should focus on mutual success.<br />

Today, we are jointly committed to developing<br />

strategies for sustained growth, while at the<br />

same time improving delivery, raising quality<br />

and reducing costs. From the custom seats<br />

that adorn our motorcycles to the complex<br />

mechanical components formed from hot<br />

wax and molten steel, our suppliers provide an<br />

extension of our design and manufacturing<br />

capabilities. 6, 7<br />

Dealer Network<br />

Our dealers are the envy of the industry and in<br />

their stores they deliver an experience beyond<br />

motorcycle sales and service. Today, there are<br />

more than 1,300 <strong>Harley</strong>-<strong>Davidson</strong> dealerships<br />

around the world. From Japan to Jamaica, from<br />

Italy to Indonesia, <strong>Harley</strong>-<strong>Davidson</strong> dealers set<br />

the standard for motorcycle retailing. 8, 9<br />

3

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