Ford Motor Company
torFord Motor Company Case Report
Executive Summary Ford Motor Company is based in Dearborn Michigan and was incorporated in 1903 by Henry Ford. Its core business is the design and manufacturing of automobiles. As Teri Takai, the Director of Supply Chain Systems, I will recommend Environmental and Root Cause Analysis How should Ford progress with emerging technologies and other high tech ideas Virtual integration - Ford needs to radically change its supply chain to keep up with the changing technologies. Others were more cautious Shareholder value and customer responsiveness Auto industry is increasingly competitive, especially with the introduction of foreign based manufacturers Need to improve quality and reduce cycle times while lowering the costs of developing and building cars Take advantage of size and global presence Technology has been employed to connect teams that may be on different continents to interact as if they are in the same room. A public internet site has been established Extranet is possible , potentially connecting Ford with its suppliers business is good...record profit sharing Extremely large supplier base Efforts are being made to reduce this supplier base The top tier suppliers had a reasonably developed it systems and were communicating with Ford electronically The concern came from lower tier suppliers who did not have the knowledge of modern technology systems Ford - Purchasing was involved very closely in nearly every product decision Price negotiation was solely in the hands of the purchasers. The engineers were not to discuss pricing with the suppliers How would this work in a virtually integrated system Ford Production System
1) Synchronous Material Flow - a continuous flow of material and products driven by a fixed sequenced and leveled vehicle schedule utilizing flexibility and lean manufacturing process - one key is In Line Vehicle Sequencing - uses vehicle in process storage devices & computer software to ensure vehicles are
Executive Summary Ford Motor Company is based in Dearborn Michigan and was incorporated in 1903 by Henry Ford. Its core business is the design and manufacturing of automobiles. As Teri Takai, the Director of Supply Chain Systems, I will recommend Environmental and Root Cause Analysis How should Ford progress with emerging technologies and other high tech ideas Virtual integration - Ford needs to radically change its supply chain to keep up with the changing technologies. Others were more cautious Shareholder value and customer responsiveness Auto industry is increasingly competitive, especially with the introduction of foreign based manufacturers Need to improve quality and reduce cycle times while lowering the costs of developing and building cars Take advantage of size and global presence Technology has been employed to connect teams that may be on different continents to interact as if they are in the same room. A public internet site has been established Extranet is possible , potentially connecting Ford with its suppliers business is good...record profit sharing Extremely large supplier base Efforts are being made to reduce this supplier base The top tier suppliers had a reasonably developed it systems and were communicating with Ford electronically The concern came from lower tier suppliers who did not have the knowledge of modern technology systems Ford - Purchasing was involved very closely in nearly every product decision Price negotiation was solely in the hands of the purchasers. The engineers were not to discuss pricing with the suppliers How would this work in a virtually integrated system Ford Production System
1) Synchronous Material Flow - a continuous flow of material and products driven by a fixed sequenced and leveled vehicle schedule utilizing flexibility and lean manufacturing process - one key is In Line Vehicle Sequencing - uses vehicle in process storage devices & computer software to ensure vehicles are