Preview

Power of One Ford

Good Essays
Open Document
Open Document
293 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Power of One Ford
One World, One Plan “One Ford” covers the whole global enterprise, from product quality and fuel efficiency to manufacturing plants, corporate culture and the company balance sheet. Mulally has been preaching and promoting the plan as Job One since the day he arrived as something less than the first choice of then-Ford CEO and family scion Bill Ford. In many ways, “One Ford” is simply Mulally’s Boeing strategy transferred to a related transportation industry. When Boeing was reeling from a $2.6 billion annual loss in 1997, Mulally pinpointed the problem as inefficiencies in production, bad relationships with suppliers, unrealistic delivery dates—and management that deflected blame. That’s a classic parallel to what led Detroit to its nadir in 2008, and the solution Mulally applied corralled and focused management in very much the same way as his tough medicine at Ford. Mulally tends to make it all look easy, and his self-effacing manner is part of his charm. “We haven’t had to change a thing, that’s the real easy part,” he told us, reaching into his pocket and handing over a “One Ford” business card—it was even autographed. The card handoff is a ritual with everyone Mulally meets, because the plan is at heart so simple that its essence fits on a tiny square of cardboard—and it has his name on it. At its most basic level, “One Ford” is shorthand for reining in Ford’s global operations and getting them all working on the same agenda. Before Mulally, Ford’s overseas subsidiaries were semi-independent kingdoms that frequently duplicated effort. For example, Ford of Europe and Ford North America traditionally developed separate versions of the compact Ford Focus—aimed at similar customer needs and wants, but with almost no common components.

You May Also Find These Documents Helpful

  • Good Essays

    Like many business Ford Motor company has its dilemmas as well. Facing Ford Motor’s was a shut down their exiting ling of the Mercury vehicle. The Mercury line tried to be revamped into a model of vehicles people wanted. In May 2010 Ford reported double digit sales (Hirsch, 2010). This was not strong enough to save the Mercury line which accounts for five percent of the total company sales. By shutting down this line, Ford would be able to focus on other lines that were becoming more popular. The major characters are Ford Motor Company, General Motors, and the Government.…

    • 1512 Words
    • 7 Pages
    Good Essays
  • Powerful Essays

    Mgt 521 Final Analysis Paper

    • 2903 Words
    • 12 Pages

    The final part of the business analysis will cover the strategic initiatives of Ford Motor Company (Ford), their reaction to the economic trends, company strategies for adapting to changing markets, and tactics to achieve strategic goals. It will also review the operations of their human resources department in helping to achieve business goals as well as give rationale whether or not to invest in Ford. Some of the best practices of Ford are centered on their manufacturing techniques, technology, and environmental awareness. Ford manufactures cost effective, fuel efficient, and environmental…

    • 2903 Words
    • 12 Pages
    Powerful Essays
  • Satisfactory Essays

    Haiii

    • 717 Words
    • 3 Pages

    | Case for AnalysisNew United Motors Manufacturing , Inc. (NUMMI) Stanford GSB HR-11Discussion Questions: * How does the NUMMI system differ from Fordist strategies and structures * Why was the Fremont plant so much more effective than other GM plants in 1986? * What factors might limit the transfer of the NUMMI system to other GM plants? * What are the wider implications of this case for competitive strategies and organisational design?Lecture Topics * The Development of Goals and Strategies * Official and Operative Goals * Strategy-Structure Archetypes: defenders, prospectors and analysers…

    • 717 Words
    • 3 Pages
    Satisfactory Essays
  • Good Essays

    Issue Analysis Paper

    • 587 Words
    • 3 Pages

    Ford Motors is currently facing unfavorable business conditions and in order to survive, it is remodeling itself as a smaller, more flexible and competitive firm. For this the company is slashing 10,000 jobs and closing 2 plants. The company is at present not making a profit and it is hoped that, by taking these actions, the company will once again become profitable by 2009. It is hoping that there will be huge cost savings after layoffs and plant closings. For instance, by offering buyout packages, it aims to reduce $5 billion in operating costs. The company is also looking to make its production more strategic by concentrating on core products and expected best setters.…

    • 587 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    Ford Motor Company multinational cooperation that uses outsourcing to lower costs and boost productivity. Until the 1980’s Ford had a supply chain that allowed them to control every aspect of the making and distributing of their automobiles. From the steel and rubber plants that make the parts, to building the vehicles, storage and shipping. Though this was a good way for the companies to promote local made in America vehicles it was not however time or cost effective. As a result of competition from other automotive companies Ford made the drastic changes of outsourcing the making of parts and manufacturing to other countries to speed productivity and lower costs.…

    • 572 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Ford has strived to meet the demands of the world for the perfect vehicle to fit their needs. Ford has proven that they are truly innovative leaders. Ford Motor Company has fought their way up through the automobile industry from the great depression to the almost collapse of the automobile industry. Henry Ford and Ford Motor Company have played a vital role in history and America’s economy. They have managed to build a company based on value, customers, and tradition that is still going strong. Ford has made their supply chain a critical aspect of their company by promoting long-term relationships with their suppliers and seek alignment with them on sustainability-related issues such as human rights, working conditions and environmental responsibility.…

    • 333 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    Ford vs. Gm

    • 4858 Words
    • 20 Pages

    Dornbach-Bender, Rhett, Bill Slade & Joe Thorpe. “Strategic Report for Ford Motor Company.” Oasis Consulting. 20 April 2009. Web. 11 April 2012. http://economics-files.pomona.edu/jlikens/SeniorSeminars/oasis/reports/F.pdf…

    • 4858 Words
    • 20 Pages
    Powerful Essays
  • Satisfactory Essays

    Alan Mulally has been CEO of Ford Motor Company since September 2006. Upon his arrival, Mulally took over "The Way Forward" restructuring plan (Wilson 2006) at Ford to move the company in a more competitive performance nationally and globally. Alan continues to lead through communication, openness, and the drive to succeed as he did at Boeing Company. Mulally is an effective leader and he knew that it would take everyone reestablishing “One Ford” for the company to achieve the goal of becoming the best automotive brand possible.…

    • 790 Words
    • 4 Pages
    Satisfactory Essays
  • Powerful Essays

    Wagoner, R. Lecture given February 2004. General Motors Stays Limber by Being Global. Stanford Graduate School of Business. Available at http://www.gsb.stanford.edu/news/audiovideo.html. Accessed November 10, 2004.…

    • 4953 Words
    • 20 Pages
    Powerful Essays
  • Better Essays

    Efficiency ratio measures an organization’s ability to turn resources into revenue. Note, it is best the organization have a lower ratio. Below are efficiency ratios for Ford Motor ("Morning Star", 2014). Their ratios over the past were steady accept for 2010 where the days outstanding were significantly higher than 2011-2013.…

    • 774 Words
    • 6 Pages
    Better Essays
  • Powerful Essays

    Secondly we focus more on a case study of ford motor company which covers a brief background of Ford, then i consider the challenges of competing globally and end with product differentiation as an appropriate competitive strategy for the Ford Motor company.…

    • 3683 Words
    • 15 Pages
    Powerful Essays
  • Better Essays

    Mulally exhibited the vision and courage to lead Ford Motor Company to its highest standing in the automaker industry using basic leadership principles. “Ford Motor Company has been able to record a net profit of $2.7 billion for 2009, despite the fact that the company had a loss of $12.7 billion three years earlier in 2006 when Mulally assumed leadership and had to deal with the consequences of global financial crisis in between” (Dudovskiy, 2013). What is most interesting about the way in which he transformed the products and culture of Ford is that he had very little experience in the auto industry. Instead, Mulally capitalized on his management and leadership skills and brought to the table a clear vision, creativity, and communication that encouraged trust, all characteristics of the transformational leadership skills he possessed which allowed him to…

    • 1527 Words
    • 5 Pages
    Better Essays
  • Powerful Essays

    In 2008, the automotive market in the United States crashed; The United States Government used a portion of the ‘$700 billion bailout fund’ to bail out General Motors and Chrysler. Ford, however, turned down the bailout funds and chose to use a government loan program instead. This decision buried Ford Motor Company under billions of dollars in debt. This paper explores the turmoil that Ford Motor Company faced, and the innovation that has allowed them to overcome their endeavors. This paper will also cover some of the innovation and vision that Ford has developed to create a future of sustainable success.…

    • 3894 Words
    • 16 Pages
    Powerful Essays
  • Powerful Essays

    The Ford Motor Company, founded in 1903 by Henry Ford, is synonymous with American innovation and capitalism. With iconic branding and revolutionary manufacturing processes, Ford was the world’s No. 2 automaker for decades, second only to General Motors (“Ford Motor Company”, 2012). But the winds changed for the American automakers, the combinations of poor leadership, complacently, high manufacturing costs, poor customer satisfaction, labor disputes and ever stronger foreign competition from Toyota, Hyundai, Honda and others cost them valuable global market share and customer loyalty. By 2006 Ford did something that many thought was a desperate move by an ailing giant; they borrowed $23.6 billion. The loan became Ford’s lifeline when the global financial crisis of 2008 hit and the auto industry tanked with it. By 2009, Ford was the only American automaker that did not receive a government bailout, and by 2010 Ford’s US sales surpassed GM’s, a feat that hadn’t happened in over 50 years (“Ford Motor Company”, 2012). During this time of financial crisis, Ford has adopted a new strategy that it calls “ONE Ford” which has dramatically restructured the company’s mission and goals. By using the Balanced Scorecard approach Ford’s business unit leaders can translate the ONE Ford’s “lofty vision and strategy statements” into actionable “objectives and measures” at the local level (Kaplan…

    • 4099 Words
    • 17 Pages
    Powerful Essays
  • Powerful Essays

    Value Paper

    • 799 Words
    • 4 Pages

    The Ford Motor Company abides and thrives on their current mission and vision statement which is “One Ford,…

    • 799 Words
    • 4 Pages
    Powerful Essays

Related Topics