Ford Case Analysis

The customers (drivers of Ford) are the number one stakeholders that lost the most. They might not have lost much money or reputations, but they lost the one thing that you can never get back, their life.

Ford Motor Company, American automotive corporation founded in 1903 by Henry Ford and 11 associate investors. (htt28) It is the multinational corporation and the world's third largest automaker based on worldwide vehicle sales. The Company operates in two segments: Automotive and Financial Services. Automotive includes Ford North America, Ford South America, Ford Europe, and Ford Asia Pacific Africa region. Financial services include Ford Motor Credit Company and Other Financial Service. The Company manufactures or distributes automobiles across six continents. Its automotive brands include Ford and Lincoln. Other Financial Services includes a range of businesses, including holding companies and real

Milton Friedman believed a free-market system, in which goods and services are exchanged and controlled by individuals and privately-owned businesses without government authority, was the only way to achieve personal freedom. Adam Smith, a 18th century philosopher and economist, held the belief that in a free society, the role of government should be limited to the protection of the people, the administration of justice through the court system, and the maintenance of all public resources. Adam Smith developed the concept of the “invisible hand” theory, which says within a society that is free of government interference, individuals can pursue actions out of their own self-interest, and the collective result of this

In the study with Ford and Sutphen, when they discussed the characteristics of the juvenile offenders, they were mainly male and white. A disparity exists when it came to the offenders who were African American. “Thirty percent of the offenders were African American compared to 18.3% of the juvenile population in the city; African American youths were over-represented in the population of offenders” (Ford, 2001, p. 63).

In this world of technology and innovation even Ford Motor Company is investing in new technologies in order to improvised their supply chain management, build an environment with interaction between each department as well as suppliers in order to reduce the bridging gap between them. As it is a leader in auto market segment, needs to update and coop with time and technology periodically but due to huge competition from the Japanese auto makers like Toyota, Honda, and Nissan, Suzuki etc., who are strong and powerful with references to the supply chain process management due to which Ford market share dip compared to others as well as the sales also declined. During this time, Ford analysed the situation and thought positively and started improvement in the supply chain management.

Even though the Ford Motor Company is currently doing extremely well in the automotive industry, they are currently emerging opportunities to be a leader in electrification, autonomy, and mobility. The Ford Motor Company recently purchased SAIPS and Chariot. “SAIPS is a world-class provider of customized algorithmic solutions in the fields of computer vision and machine learning” (Crunchbase, na, nd). Chariot is a company that offers shuttle service and commuter mobility programs in larger cities. The purchase of these two companies will help the Ford Motor Company as they expand as a mobility company as well as the leader in the automotive industry. According to the article, Ford Outlines Growth Plan, “Ford is evolving its business in three ways:

Supply Chain Management : The vertical integration in the supply chain led them to achieve shorter time frame of release and also helped them to

Alan Mulally’s Restructuring of Ford Motor Company Case Study Alan Mulally received an opportunity to turn around one of the most famous brand names in the United States. Ford was struggling; losing more than 12.7 million in 2006 (Nelson p558) and desperately needed a change. Alan Mulally took the challenge, and stated he would do what many thought was impossible at the time – make Ford profitable. He did just that.

Ford Motor Company is considered a global automotive industry leader. Ford was able to reinvent themselves to be able to stay ahead of the economic downturns. Ford has continually improved their overall profit and recently started paying

Ford in 2011 is on the rebound, having recovered from the darkest hours in the late 2000s. The company for the company is that many of its competitors are also rebounding, and there are significant long-run changes in the automobile industry. Ford needs to determine a strategy that will take the company through the next decade, and improve the company's competitive position. The company has four of the top fifteen best-selling cars in America, but also needs to set strategy globally, as many of the best automobile growth markets are overseas. Another strategic consideration is that CEO Alan Mulally remains in the process of changing the organizational culture at Ford, which had become stagnant and unresponsive to the changes in the industry environment.

With the implementation of Ford’s restructuring plan, Ford 2000, the company has set forth goals to compete with the expansion of foreign-based auto manufacturers globally. The goal of Ford 2000 is to continue to improve quality and reduce cycle times by finding ways to improve processes involving all stakeholders within the supply chain and the company itself.

As director of Supply Chain Systems, Teri Takai recommends implementing virtual integration strategies from companies like Dell to portions of Ford’s supply chain strategy. Although there are several key differences between the companies, the restructuring plans of Ford 2000 have set a viable foundation to implement Dell’s virtual integration strategy in inventory management, customer service and support and suppliers’ management. The redesign of the process must include design not only of the supply chain but also of fulfillment, forecasting, purchasing, and a variety of other functions that historically been considered independently within the Ford hierarchy. Teri

Although the direct business model of Dell is most attractive, there are several key differences between the computer and auto industries which serve as barriers to Ford‘s implementation of uniform, supply chain virtual integration. Ford must tackle many diverse obstacles that were, simply, not a factor with Dell‘s implementation. These obstacles range down the delivery chain from the supplier to the manufacturer to the dealer and, ultimately, to the customer. Overall, the intricate and historic process of manufacturing and selling automobiles contradicts the technological innovation necessary for a true virtually integrated system to exist.

4. In a service supply chain, the (explicit) cost of information is higher than in a product

This case details the position of Carol Sullivan-Diaz, the 28-year-old daughter of Walter Sullivan who died at the age of 56. Walter had bought a Ford dealership in 1983 that eventually grew into what is now Sullivan Ford Auto World. The business sells cars but also services them. Carol is disappointed by current turnover in car sales and sees that the service revenues are below average for this size of dealership. Carol’s now has to decide what way to tackle the future. She can sell the business but will probably only return a value below what it might be worth if profitable or she can look at the operation and see if she can turn it around herself. While she has a bachelor’s degree in economics, an MBA degree and a