In an email to employees, Tesla CEO Elon Musk called for “radical improvements” so that the company can reach quarterly targets.
In an email to all Tesla employees for their work on Model 3 production, CEO Elon Musk said that “radical improvements” are needed to reach quarterly targets set by the company, CNBC reports. In an annual shareholders meeting earlier this month, Musk stated that it was “quite likely” that Tesla would hit their Model 3 production rate of 5,000 cars a week “by the end of this month.” The company then underwent a “broad restructuring” and fired nine percent of its workforce.
Tesla’s harsh new approach to pushing company productivity has seemingly improved the confidence of investors, with stock trending higher following the shareholders meeting and even a 4.5 percent increase in stock price following the layoff of almost ten percent of the company’s workforce. Musk himself bought approximately 72,000 Tesla shares costing him around $25 million, which coincided with a boost in Tesla’s share price from $342.77 on Tuesday to a closing price of $358.17 on Friday.
Despite this, Tesla currently remains one of the most shorted stocks on the market with many claiming that the company will be unable to raise the billions in capital that it needs to reach its future goals.
The email that Musk sent to employees on Friday can be seen below:
From: Elon Musk
Subj. Only 8 days left to reach 700 cars/day or 5k/week
June 15, 2018
It’s getting very exciting! All parts of the Model 3 production system are now above 500 and some are almost at 700 cars already. Congratulations to all on making so much progress!
That said, radical improvements are still needed in paint shop output, GA3, bringing up the new GA4, End of Line and Module Zone 4 at Giga. We also need to achieve sustained, 700+ per week on the body line.
Wherever you are in the company, if you feel you can help out in any of those areas, please check in with Jat Dhillon on GA3, Jerome Guillen on GA4 and Omead on EoL and JB Straubel or Christ Lister on Module Zone 4.
I will be at our Fremont factory almost 24/7 for the next several days checking in with those groups to make sure they have as many resources as they can handle.