According to an internal email received by Jalopnik, Elon Musk has set a competitive new target for production of the Model 3, and to meet this target, it will operate its Fremont, California factory 24 hours. To meet a new target, the company will add 400 people every week and continue it for several weeks. Musk believes that Tesla needs to make 6,000 Model 3s per week to increase the company’s previous target of 5,000 per week by June. What is the reason for a new target? Musk says that 5,000 Model 3s per week leaves the company with ‘no margin for error’ across manufacturing process and supply chain of the company. He wants the actual production to be as fast as the least lucky and least well-executed part of the entire Tesla production and supply chain.
Tesla will hire more people to achieve the target of 6,000 Model 3s per week
Musk says that Tesla is first stopping work at the Gigafactory, and Fremont on the next day, for three to five days, to achieve this target. These three to five days will be utilized by the company to perform a comprehensive set of upgrades. These upgrades will allow the company to get the productions rates of 3,000 to 4,000 per week in May. Tesla will also hire 400 people per week and continue this for several weeks to accomplish the target. It will hire people at both the Fremont facility and the Gigafactory in Nevada. This will help the company to add an extra shift of work for general assembly, paint, and body, and produce Model 3s throughout the day. Musk also asked to refer someone who meets the Tesla bar for talent, drive, and trust.
According to Akshay Anand, an executive analyst at Kelley Blue Book, Tesla will need to struggle to reach the target of 6,000 Model 3s per week. He believes that fast pace destroys the quality, and Tesla needs to plan for the quality rather than volume. The company recently failed to achieve its own goal of producing 2,500 Model 3s per week at the end of the first quarter. Also, after the death of a driver using the semi-autonomous feature, the company had to investigate over the safety of Autopilot mode. So, will Tesla be able to achieve the target of producing 6,000 Model 3s per week until the end of June? Will hiring more people to help Tesla in the process of production?