The synopsis of Ford Motor Company: Ford Motor Company primarily develops, manufactures, distributes, and services vehicles and parts worldwide. It operates in two sectors, Automotive and Financial Services. The Automotive sector offers vehicles primarily under the Ford and Lincoln brand names. This sector markets cars, trucks, and parts through retail dealers in North America, and through distributors and dealers outside of North America. It also sells cars and trucks to dealers for sale to fleet customers, including daily rental car companies, commercial fleet customers, leasing companies, and governments. In addition, this sector provides retail customers with a range of after-sale vehicle services and products in the areas, such as maintenance and light repair, heavy repair, collision repair, vehicle accessories, and extended service contracts under the Ford Service, Lincoln Service, Ford Custom Accessories, Ford Extended Service Plan, and Motorcraft brand names. “The Financial Services sector offers various automotive financing products to and through automotive dealers” (NY 2). It offers retail financing, which includes retail installment contracts for new and used vehicles; direct financing leases; wholesale financing products that comprise loans to dealers to finance the purchase of vehicle inventory; loans to dealers to finance working capital, purchase real estate dealership, and/or make improvements to dealership facilities; and other financing products, as well as provides insurance services. Ford Motor Company was founded in 1903 and is based in Dearborn, Michigan.
Backdrop of the global crisis that affected Ford: The economic recession worldwide has redefined many a modern economy, including the bigwigs like the...
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...n to help fund a retirement healthcare trust fund by the United Auto Workers. Despite these negatives against Ford still managed to post a profit of $2.7 billion. This increase in their financials is only because of the distrust customers had with Toyota for the drastic recalls.
Works Cited
"Ford Motor Company." Wikipedia, the Free Encyclopedia. Web. 03 Dec. 2011. .
Stenquist, Paul. "Ford Motor Company (F) News - The New York Times." Times Topics - The New York Times. 03 Dec. 2011. Web. 03 Dec. 2011. .
"Auto Industry Bailout News - The New York Times." Times Topics - The New York Times. 03 Dec. 2011. Web. 03 Dec. 2011. .
Until recently, the Ford Motor Company has been one of the most dynastic of American enterprises, a factor which has both benefited the company and has brought it to the brink of disaster. Today Ford is the second largest manufacturer of automobiles and trucks in the world, and it’s operations are well diversified, both operationally and geographically. The company operates the worlds second largest finance company in the world, and is a major producer of tractors, glass and steel. It is most prominent in the US, but also has plants in Canada, Britain and Germany, and facilities in over 100 countries.
This paper will focus on the future of the U.S. Automobile industry as the United States recovers from the worst recession we have experienced in the past 75 years. I will provide information on the following topics pertaining to the U.S. automobile industry:
"Is the Auto Industry's Recovery a 'Success Story?'." Internet Wire 24 Nov. 2010. General OneFile. Web. 25 Nov. 2011.
Roth, Carol. "US Auto Bailouts Weren't a Success." CNBC 10 Dec. 2013: n. pag. Print.
A primary source referring to the financial success of the Ford Motor Company as well as the financial policies administered.
Ford Motor Company has been and till the date is known as the king of innovations in the automobile industry. Their research & development department and innovation of interchangeable parts in moving assembly lines resulted in extraordinary global extension for them. They are an old heritage who ruled and still doing impressive jobs in the global automobile market. Some prestigious motor brands are also owned by Ford.
Many economic factors exist that impact the development of Ford Motor Company's strategic plan and it’s no small task to project how some of these factors might change as the strategy is being realized. Consider the prospect of expansion into a new market like China or Mexico. Economic changes like currency devaluation will make Ford’s product more expensive to their target market potentially reducing overall sales revenue. Oil prices as we’ve seen in the U.S. economy can also play a big factor as large vehicles become less desirable and more fuel efficient compact cars gain market share.
It was at this point that crisis arose. During this time, the world was seeing large technological progress and in simple terms, Fordism was becoming obsolete. These developments included things such as “Computer Aided Design (CAD), Computer Aided Manufacturing (CAM), Computer numerical control (CNC), Computer Integrated Manufacturing (CIM) and Flexible Manufacturing Systems (FMS), the emergence of the Japanese Economy, an increase in oil and raw material prices and affluence of consumers looking for differentiated quality which contributed to a search for new organisational forms.” (From the Taylorism-Fordism to the Toyotism: Has there been an evolution in management thinking, 2007). The world had changed much since the glory days of Fordism and as Lane (1995 cited From the Taylorism-Fordism to the Toyotism: Has there been an evolution in management thinking, 2007) states, the Fordist model “became associated with rigidity and was pronounced unable to respond to the new problems and challenges.” By 1960, accumulation was grinding to a halt, and after 1966, real wages couldn’t continue to grow after the growth of social productivity was decelerating (Crisis of Fordism, no date). ‘Initially, the mark up procedures compensated for the fall in immediate profitability, however it led to a general increase of
...when the company focused on further improvements of its pickups and SUVs instead of focusing on innovations required by the changing demand. If the management had not been ignorant and would have developed sound strategy as soon as it spotted the change, the company would have avoided the crisis. However the company just recently adjusted its production plan and plans to continue realigning its manufacturing capacity, product mix and cut costs to fix the situation (“Ford Adjusts Production”).
Ford Motor Company current mission statement is “committed to provide personal mobility for people around the world”. With that in mind their vision is to become the world’s leading Consumer Company for automotive products and services. By improving everything they do, the company provide superior returns to their shareholders (Vision, Mission, Values).
This paper takes a look at the ways in which the ideas of Fordism and Taylorism helped the success of the U.S motor vehicle industry. The motor vehicle industry has changed the fundamental ideas on the process of manufacturing and probably more expressively on how humans work together to create value.
Economic conditions are known to change rapidly, either favorably or unfavorably, especially when the political environment is unstable. 2009 was a particularly hard period for the U.S. Automotive Industry with General Motors and Chlysler facing bankruptcy and Ford Motors being the only survivor among “The Big Three”. Between 2006 and 2009, the world witnessed the Iraq War. This ...
Ford- focused differentiation, medium pricing, breadth of product line is high. A strength is their pick-up truck market share, a weakness is perceived reliability and styling on some of the lines.
Henry Ford began a family automobile business in 1903; this was during the industrial revolution. This business has become the most famous automobile brand in the world. Over the years the business structure had adapted to changes in leadership, markets trends and the economic conditions. The Ford family still controls the company through multiple voting shares, even though it owns a much lower proportion of the equity
With about 187,000 employees and 62 plants worldwide, the company’s automotive brands include Ford and