Use our essay title generator to get ideas and recommendations instantly
As a company, Ford has improved its sales in the past two years, after struggling during the recession. Ford's revenues in the last fiscal year (2011) were $136 billion, compared with $116 billion in FY2009 and $168 billion in FY2007. The company's profits have also fluctuated over that time period. FY2011 saw a profit of $20.2 billion, compared with $2.7 billion in FY2009 and a loss of $2.8 billion in FY2007. Thus, even though the company as a whole has seen its sales decline, cost controls and better pricing have allowed Ford to earn more profit from its sales.
The Mustang sold just over 70,000 units in 2011, giving the company a 29% market share. This was second to the Camaro, which sold over 88,000 units for a 37% share. The only other serious competitor was the Dodge Challenger with a 16% share (TopSpeed.com, 2012). Overall, Ford…
Connor, M. (2010). Scoop! Next Ford Mustang going global. Motor Trend. Retrieved April 5, 2012 from http://www.motortrend.com/future/future_vehicles/1001_next_ford_mustang_going_global/
Forbes. (2011). Ford hits $14 with China growth, fuel efficiency focus. Forbes. Retrieved April 8, 2012 from http://www.forbes.com/sites/greatspeculations/2011/11/29/ford-hits-14-with-china-growth-fuel-efficiency-focus/
Ford.com. (2012). Mustang detailed comparison. Ford.com. Retrieved April 5, 2012 from http://www.ford.com/cars/mustang/compare/
Greenberg, K. (2009). Ford uses social media to target younger buyers. Marketing Daily. Retrieved February 11, 2012 from http://www.mediapost.com/publications/article/112172/ford-uses-social-media-to-target-younger-buyers.html
However sales have dropped due in part to the financial crisis. Ford and GM therefore must be aware that consumers may be demand electric cars but may be unwilling to pay large sums of money for them. Below is an explanation why.
Brief overview of the Financial Crisis and its implications on Ford and GM
To begin, in order to understand many of the initiatives both Ford and GM took in regards to their restructuring, I believe it prudent to understand the underlying causes of such action. s many individuals realize, a massive wave of mortgage defaults was partially responsible for the collapse of Ford and GM as a whole. However the implications of these actions on Ford and GM are often overlooked. The financial crisis resulted from a mixture of both bad judgment and unethical decision making. Frank Vogel, cofounder of Transparency International, a nonprofit organization charged with ranking…
As the chart depicts, there is indeed large demand. However sales have dropped due in part to the financial crisis. Ford and GM therefore must be aware that consumers may be demand electric cars but may be unwilling to pay large sums of money for them. Below is an explanation why.
Brief overview of the Financial Crisis and its implications on Ford and GM
To begin, in order to understand many of the initiatives both Ford and GM took in regards to their restructuring, I believe it prudent to understand the underlying causes of such action. As many individuals realize, a massive wave of mortgage defaults was partially responsible for the collapse of Ford and GM as a whole. However the implications of these actions on Ford and GM are often overlooked. The financial crisis resulted from a mixture of both bad judgment and unethical decision making. Frank Vogel, cofounder of Transparency International, a nonprofit organization charged with ranking nations by degree of corruption remarked, "so many people engaged in so many aspects of finance have lost their ethical compass and put short-term personal gains above other considerations" (Francis, 2008). Logically, the more we value something the more risk we are willing to take to attain them, and unfortunately ethical decision making falls to the wayside. Continuing, although the crisis itself is rather complex, the ethical factors surrounding the crisis are far easier to understand. David DeRosa, a Finance Professor at Yale University eloquently stated the
Ford believes that the four cornerstones of competitive advantage are efficiency, quality, innovation and customer responsiveness. Ideally, the company would be able to execute on all of these at once, something that is a challenge for even the best firms. However, if that is how Ford wants to compete, then the pursuit of these advantages must be tied into the company's strategy, and for these to be a genuine competitive advantage Ford must exceed the capabilities of its competitors in these facets of the business. This paper will analyze these facets in respect of Ford's culture and how well it executes these vis-a-vis its competitors.
Unlike its major domestic competitors, Ford turned down a government bailout on the assumption that it would be better able to execute its vision for the future without the influence of government ownership. This was met with optimism in some quarters when aspects…
Forbes. (2011). Ford hits $14 with China growth, fuel efficiency focus. Forbes. Retrieved April 7, 2012 from http://www.forbes.com/sites/greatspeculations/2011/11/29/ford-hits-14-with-china-growth-fuel-efficiency-focus/
LeBeau, P. (2011). Ford quality tumbles in JD Power survey. CNBC. Retrieved April 7, 2012 from http://www.cnbc.com/id/43511239/Ford_Quality_Tumbles_in_J_D_Power_Survey
MSN Moneycentral: Ford (2012). Retrieved April 7, 2012 from http://investing.money.msn.com/investments/stock-income-statement/?symbol=F
Muller, J. (2012). Key leaders in Ford turnaround to retire; Mulally not going anywhere. Forbes. Retrieved April 7, 2012 from http://www.forbes.com/sites/joannmuller/2012/02/09/key-leaders-in-ford-turnaround-to-retire-mulally-not-going-anywhere/
Strategic Case Study: Ford Motors
Ford Motors is one of the oldest and largest auto manufacturers in the world, and despite being enormously hard-hit by the economic downturn of the recent past the company has returned to profitability and has been successful in redefining its strategy and realigning its resources to achieve its strategic ends (Ford, 2012; Hoover, 2012; euters, 2012). With internationally-based sourcing, manufacturing, distribution, and sales operations, the company is also quite large in terms of geographic spread, which comes with advantages and disadvantages (Ford, 2012; euters, 2012). The following pages present a brief overview of the company's current strategy in the light of the recent near-collapse of the company and its climb to profitability, and also gives a summary of a strategy the company could possibly pursue to further solidify its position and increase profitability.
Existing Objectives and Strategies
Many companies underwent serious…
Ford. (2012). 2011 Annual Report. Accessed 1 May 2012. http://corporate.ford.com/doc/2011_annual_report.pdf
Hoovers. (2012). Ford Motor Co. Accessed 1 May 2012. http://www.hoovers.com/company/Ford_Motor_Company/rfhski-1.html
Johnston, R. & Bates, J. (2003). The Power of Strategy Innovation. New York: AMACOM.
Reuters. (2012). Ford Motor Co. http://www.reuters.com/finance/stocks/companyProfile?symbol=F.NAccessed 1 May 2012.
I spoke to five male car owners in their 20s. Three of them had purchased a vehicle in the past two years, the other two had their cars for longer. None of them had purchased a Mustang, but one had a Camaro. The four that owned other types of cars indicated that they did not want a pony car for a number of different reasons, from gas prices to the fact that such cars did not suit their personalities. The other one chose the Camaro because it was the one that "felt right" and was unable to elaborate on that. The respondents, when asked to describe the brand's personality used terms like "fast," "muscle," and "cruising up and down the block." The consumers responded unanimously to the proposition that if the Mustang brand was attached to a different product, it would not make sense. The Mustang…
Ford.com. (2012). Compare 2012 Ford Mustang to the competition in your area. Ford.com. Retrieved March 1, 2012 from http://www.thinkfordfirst.com/Compare/2012%20Ford%20Mustang
Milkman, K. (2008). Tap consumers desire for "should." Harvard Business Review. Retrieved March 1, 2012 from http://hbr.org/2008/07/tap-consumers-desire-for-shoulds/ar/1
Ohnsman, A. (2011). Toyota, Honda lose market share in September U.S. sales rebound. Bloomberg. Retrieved March 1, 2012 from http://www.bloomberg.com/news/2011-10-04/nissan-leads-asian-carmaker-gains-in-u-s-.html
Perner, L. (2010). Information search and decision making. USC Marshall. Retrieved March 1, 2012 from http://www.consumerpsychologist.com/cb_Decision_Making.html
The strength of the Mustang brand is that it is immediately recognizable, and iconic. Anybody anywhere near the target audience will immediately recognize the brand and know what traits the vehicle will have. hile this might also stand as a weakness because the brand has distinct connotations, those connotations are not negative for those who are in the target audience. The power of the car, combined with its value, is a common feature of modern Mustang advertisements (YouTube, 2010).
One of the weaknesses of Mustang marketing, or publicity, is that the brand often must live up to its history. As noted in this clip from the British TV show Top Gear, Mustangs today are often measured against Mustangs of the past (Top Gear, 2009). This clip also reveals a couple of other weaknesses in the marketing of the Mustang. The price component is noted by the reviewers as…
Gorzelany, J. (2011). Cars with the most brand-loyal buyers. Yahoo! Autos/Forbes. Retrieved March 18, 2012 from http://autos.yahoo.com/news/cars-with-the-most-brand-loyal-buyers.html
TopGear. (2009). Mustang GT500 car review -- Top Gear -- BBC. YouTube. Retrieved March 18, 2012 from www.youtube.com/watch?v=O46E0gCF5os&feature=related
Wert, R. (2011). Is Ford working on a new GT? Jalopnik. Retrieved March 18, 2012 from http://jalopnik.com/5732625/is-ford-working-on-a-new-gt
YouTube. (2010). Ford Mustang 2011 V6.0 TV commercial. YouTube. Retrieved March 18, 2012 from http://www.youtube.com/watch?v=ZAX550biM7c
Ford Company has collaborated with many firms, but the most important three alliances have proven to be Percepta - a partnership with Tele Tech -, UPS Supply Chain Solutions and NewView -formerly e-Steel -. Still, the company's mission has many times proven to be difficult, especially because it has to face 22 competitors, the most important ones being DaimlerChrysler, General Motors and Toyota.Even though, the management staff has chosen to maintain the company's position on the market by designing 'smarter and more efficient models" of cars, which would be safer as well. In what the prices are concerned, many models, especially the luxury ones, can be considered quite expensive, but, on the other hand, the company provides its clients with the possibility to apply for credits, a marketing strategy which offered Ford Group the chance to register 49.39% of the market sales. Cutting prices would represent a future promotion plan…
Ford company, at http://en.wikipedia.org/wiki/Ford_Motor_Company
Ford Motor Company, at http://www.ford.com/en/company/default.htm?referrer=home
Ford's Mission's Statement, at http://manonamission.blogspot.com/2005/04/fords-f-mission-statement.html
Ford Motor Company Annual Report, at http://www.ford.com/NR/rdonlyres/emwjt42turmgvsborq7bqproy43vwvnf4cztbl56l4oos4sf545rswt6jdh3gap4juvgevydld4g43xxky6y5znoote/2005_AR_full.pdf
Ford vs. GM
The author of this report is asked to compare two companies from the same industry. For the purposes of this report, those two companies shall be Ford and General Motors. A one page treatise will be offered for each company giving the history and performance of the two firms over time. Three years of financial data will be offered for each company including financial ratio data. Finally, a verdict will be offered as to which company (if not both or neither) are worth owning at this time.
General Motors has been around in some form since 1908 when it was founded in Flint, Michigan. General Motors was the global leader in sales for nearly eight decades until 2007 when it ceded that throne to Toyota. Not long after that, General Motors filed chapter 11 bankruptcy with heavy government involvement and guidance. The involvement was heavy…
Ford. (2013, September 30). Ford -- New Cars, Trucks, SUVs, Hybrids & Crossovers |
Ford Vehicles . Ford -- New Cars, Trucks, SUVs, Hybrids & Crossovers | Ford
Vehicles . Retrieved September 30, 2013, from http://www.ford.com/
General Motors. (2013, September 30). General Motors Company | Official Global Site |
This is a process which combines both sound organizational theory and the democratic corporate governance to help a company like Ford enact all its moving parts in the face of the current crisis.
3) Explain how any additional information you propose could be of benefit to the decision making process of the organization.
Decision-making is impacted by a wide variance of concerns and conditions, many of which will be relegated in consideration behind some more dominant areas of concern such as accounting conditions or market sales. However, it is not always possible for the immediate leadership team to consider all relevant aspects of a decision given the many responsibilities and roles implied by management or administrative authority. Therefore, it will often fall upon members of the organization at other levels to add important peripheral concerns to the conversation surrounding a decision. For instance, in making decisions regarding borrowing in the…
Datta, K. (2009). The 'Ford' Test of CEO Success. Rediff Business.
McIntyre, D.A. (2009). It Was Inevitable: Ford Can't Dodge the Financial Bullet. Time. Online at http://www.time.com/time/business/article/0,8599,1883276,00.html
Shepard, G. (2005). How to Make Performance Evaluations Really Work. Wiley Publishers.
Ford in Russia
Ford and GM entered the Russian market seeking growth. Both companies have seen their market share erode over the course of the past decades as competition in the domestic market has increased significantly in that time. The Russian market is characterized by a relatively large size and a relative scarcity of strong players. For a time, Russia was the fastest-growing auto market in Europe, in part due to that country's economic resurgence following the turbulence of the 1990s (Kramer, 2007).
Ford entered Russia in 2002 with a wholly-owned production line outside of St. Petersburg. The company chose that time to enter for two key reasons. The first is that it gained first mover advantages. A number of European and Japanese auto companies such as Peugeot, Citroen, Suzuki and Volvo followed Ford into the Russian market (Kramer, 2007). The other reason why Ford chose this time to enter…
Kramer, A. (2007). Ford celebrates its growth and success in Russia. New York Times. Retrieved October 9, 2010 from http://www.nytimes.com/2007/07/17/business/worldbusiness/17ford.html
Chiodo, A. & Owyang, M. (2002). A case study of a currency crisis: The Russian default of 1998. Federal Reserve Bank of St. Louis. Retrieved October 9, 2010 from http://research.stlouisfed.org/publications/review/02/11/ChiodoOwyang.pdf
Kim, L. (2010). Russia's demographic decline in starting to go into reverse, Putin says. Bloomberg. Retrieved October 9, 2010 from http://www.bloomberg.com/news/2010-09-13/russia-s-demographic-decline-is-starting-to-go-into-reverse-putin-says.html
Bush, J. (2007). GM: Learning the ropes in Russia. Business Week. Retrieved October 9, 2010 from http://www.businessweek.com/globalbiz/content/feb2007/gb20070208_745560.htm
There is little indication in Ford's financial statements that things are going to improve any time soon. The company actually hailed the 14.2% market share in North America as "the lowest market share decline in the past ten years" (Ford Motor Company, 2009).
Ford's financial position is nothing short of awful. The company's condition has deteriorated steadily over the past five years, and its performance relative to industry peers is generally poor.
Ford Motor Company
Avg Collection Period
Fixed Asset Turn
Total Asset Turn
MSN Moneycentral. (2009). Accessed April 8, 2009 from http://moneycentral.msn.com/detail/stock_quote?Symbol=f&getquote=Get+Quote
No author. (2009). Henry Ford's $5-a-Day Revolution. Ford Motor Company. Retrieved April 8, 2009 from http://www.ford.com/about-ford/heritage/milestones/5dollaraday/677-5-dollar-a-day
No author. (2009). Ford Executive: Automaker doesn't need Bailout. NPR. Retrieved April 8, 2009 from http://www.npr.org/templates/story/story.php?storyId=102665356
No author. (2009). New Fiesta Boosts Ford of Europe Market Share. Ford Motor Company. Retrieved April 8, 2009 from http://media.ford.com/news/fordofeuropefebruary2009salesrelease.htm
This should allow Ford to innovate and make pricing decisions that are not directly replicated. Firms in monopolistic competition often behave like monopolies in the short run, something that Ford will need to do to improve its bottom line. Eventually any tactic Ford adopts will be mirrored by its competitors, but the increased competition allows for Ford to implement strategy and not receive a direct and immediate response from its competitors.
4. Outline a rough competitor analysis. Directly competing against Ford is a large number of companies both domestic and international. Firms such as General Motors and Chrysler are direct competitors with similar cost structures, although their bankruptcies last year may change the nature of competition from these two firms. Foreign competitors include Honda, Toyota, Mazda, Hyundai, Kia, Mitsubishi and others. The Japanese firms tend to be more differentiated than Ford but retaining cost structures still in the mass market…
Ford.com. (2002). Global manufacturing strategy gives Ford competitive advantage. Ford.com. Retrieved May 11, 2010 from http://media.ford.com/article_display.cfm?article_id=13633
Henry, J. (2010) Ford's high-tech strategy is bottom-up instead of top-down. BNet. Retrieved May 11, 2010 from http://industry.bnet.com/auto/10003252/ford-high-tech-strategy-is-bottom-up-instead-of-top-down/
No author. (2007). Porter's five forces. QuickMBA.com. Retrieved May 11, 2010 from http://www.quickmba.com/strategy/porter.shtml
Urbany, J. & Dickson, P. (1988). Consumer information, competitive rivalry and price setting when ignorance isn't bliss. Advances in Consumer Research. Vol. 15. 341-347.
Introduction of the company - Ford
Ford Motor Business began in 1903 by Henry Ford and it has constantly remained within family group possession ever since that period. The business created and applied assembly line manufacturing from the launch of the Model T. In the year 1909, and created planes and automobiles for U.S. Allies in The Second World War. Ford has worked globally since 1904, in the event it opened a division in Canada to acquire entry to Commonwealth marketplaces. With regard to the initial half in the Twenty-first century, Ford continued to be the prominent automobile manufacturer in the marketplace it had successfully developed. In 1956, Toyota released its initial automobile in the United States of America, and started acquiring marketplace share. In hindsight this became the turning point within the U.S. marketplace, and since the Twenty-first century came to an end Ford experienced declining marketplace…
Barry, S. (2009). Extraordinary slowdown' in sales brings pounds 10.2bn loss; But Ford 'is set to break even in 2011. Western Mail. Cardiff UK. pp31-32.
Blitterswijk, M.V. And Karadzhov, R. (2011). Financial and Strategic Analysis of Ford Motor Company and Tata Motors. CBS - M.Sc. Finance and Strategic Management.
Dornbach-Bender, R., Slade, B. And Thorpe, J. (2009). Strategic Report for Ford Motor Company. Oasis Consulting.
Solid Works. (2010). Ford Motor Company: Little things can make a huge impact on quality. Partner Case Study: Solid Works with Varatech Sigmund.
Throughout the few recent years, the Ford Company has ended fiscal years with negative profits. Despite this however, they remain strong and able to finance their operations without endangering organizational stability. Nonetheless, the past profits are not able to sustain long periods of time of losses. In this order of ideas then, the financial objectives of the managerial team at Ford can be summarized as follows:
"Finance our plan and improve our balance sheet" (Ford Motor Company 2008 Annual eport)
Increase sales to generate more revenues
Increase investments with the aim of generating sustainable revenues, not only in terms of actual revenues, but also in terms of prestige and position within the market
6. Target Markets
As it has been mentioned before, modifications have occurred in the way Ford segments its customer base. Once appealing to wealthy individuals who wanted to make a socio-economic statement, the marketing team…
Tippins, R., 2006, Ford's Bold New Marketing Strategy, All Business, http://www.allbusiness.com/marketing-advertising/advertising/3877648-1.html last accessed on June 29, 2009
Ford Motor Company 2008 Annual Report, Retrieved from http://www.ford.com/about-ford/investor-relations/company-reports/annual-reports on June 29, 2009
2008, Ford Rethinking Marketing Strategy for 2009 F-150, Left Lane, http://www.leftlanenews.com/ford-rethinking-marketing-strategy-for-2009-f-150.html last accessed on June 29, 2009
2009, One Ford Mission, Ford Motor Company Website, http://www.ford.com/about-ford/company-information/one-ford last accessed on June 29, 2009
Case Study Discussion & Executive Summary Objectives Identify ethical problems faced managers. Apply steps ethical moral decision-making address management issues. Use ethical perspectives make management decisions.
Ford Pinto case study discussion & executive summary
Managers must continually balance their own, personal sense of ethics with the need to render a company profitable. In the case of Ford, the pressure to create an affordable car resulted in the company making unethical decisions that hurt customers and also hurt Ford's reputation and bottom line. While setting certain benchmarks of quality and cost are vitally important, Ford's stubborn refusal to install a basic safety control device in the Pinto is an example of how a failure of diverse sources of information and unwillingness to deviate from the chosen path of an organization can result in folly.
Ethical and moral decision-making must be integrated into the managerial decision-making process. Just as Ford set…
One Ford vision and mission. (2012). Ford. Retrieved:
Sustainability report 2010/2011. (2012). Ford. Retrieved:
Ford faces many threats. In terms of operational/strategic threats, the company faces intense competition in all of its markets. There is no product or geography where Ford does not face intense competition. This drives down margins and exposes Ford to the possibility of declining sales. The competitors in the industry are innovating at a rate faster than Ford generally is. This creates new and unique competitive threats. Ford is under threat from electric cars and self-driving cars, both of which threaten to completely transform the landscape for personal transportation in the coming years. Thus, Ford's position in the marketplace is very much threatened by new technology, and whatever competitors (old or new) that master the new technologies before Ford can expect to win market share away from Ford.
Vehicle emissions standards are occasionally a threat to Ford's business. These are not a major threat today -- but they were in…
Additionally, as the economic crisis hit the company, the efforts to sustaining the development of communities have also decreased.
The customers have generally represented the centerfold of the Ford Motor strategy in the meaning that the company strived to satisfy their needs and provide them with the products and services they desired. This statement seemed however more applicable with the past, rather than today. Ford understood the Americans' need for large, safe and reliable automobiles, which not only served the mobility needs, but also made an international as well as social statement. And Ford was perfect at satisfying these needs. However, as change affected the international context, the automobile manufacturer proved unable to change its approach. The customers were being harshly impacted by the soaring prices of oil and were also becoming more environmentally responsible consumers. This basically meant that they no longer required the traditional large size…
LaGuardia, T.S., 2004, the Decommissioning Handbook, ASME Press
2009, Ford Motor Website, http://www.ford.com last accessed on November 2, 2009
2009, Ford Expands Supplier Diversity Leadership Role by Naming New Technology Innovation Partners, Reuters, http://www.reuters.com/article/pressRelease/idUS152392+09-Oct-2009+PRN20091009 last accessed on November 2, 2009
2009, T.R., Ford Takes $5.9 Billion Government Loan, the New American, http://www.thenewamerican.com/index.php/economy/markets-mainmenu-45/1290 last accessed on November 2, 2009
The many different aspects of management, leadership and all the tactics inherent within these concepts provide a wide array of selections for the many aspiring business professionals and decision-makers in the corporate world today. Understanding the key components of an organizational system are beneficial in realizing the true potential of any single agency, company or organization. The organizing function of management is perhaps the greatest tool leaders have at their disposal in conducting the operations of the business interests who guide the organization. The way an organization actually organizes itself describes its purpose and reveals the true essence beyond what is perceived superficially by those who do not understand the fine subtleties of management and leadership. The purpose of this essay is to explore the organizing function of management and apply these functions to certain aspects of organizational resources. I willl use the Ford Motor Company as the example…
Flinn, R. & Green, J. (2011). Detroit outgrows silicon valley in technology jobs as ford binges on hires. Bloomberg Mar 24, Website Retrieved from: http://www.bloomberg.com/news/2011-03-24/detroit-outgrows-silicon-valley-in-tech-as - ford-binges-on-hires.html
Ford Motor Company Website. Retrieved March 29, 2011 from: http://corporate.ford.com/about- ford/governance/board-of-directors/board-of-directors-801p
Grant, T. (2000). Ford motor company: new business leader program. Wharton Center fo Leadership and Change.Website Retrieved from http://leadership.wharton.upenn.edu/l_change/other_organizations/ford.shtml
Howes, D. (2010). Foresight leads to ford's comeback. AnneDoyle Strategies for Leaders Website Retrieved from http://www.annedoylestrategies.com/WhatsNew/Article.aspx?Con tentItemID=1748
The company makes sustained investments in the technologies it uses and incorporates to improve the final quality of the products, but also in the complementary service it offers, such as financial assistance or vehicle maintenance (The Ford Motor Company Website, 2009).
The Communities as Stakeholders
It is generally accepted than any economic agent will place a reduced emphasis on the role of communities as stakeholders, than on that of consumers. While it can be argued that Ford has implemented a similar approach and has paid increased attention to clients rather than communities, the automobile maker cannot be accused of wrongful behavior within the communities in which it operates. And this is even true despite the massive firings which shook the company throughout the past year as they were simply taken as drastic measures to help the company overcome the financial crisis, and not as direct endeavors aiming to attack the…
Svendsen, A., 1998, The Stakeholder Strategy: Profiting from Collaborative Business Relationships, Berrett-Koehler Publishers, ISBN 1576750477
2009, The Ford Motor Company Website, http://www.ford.com last accessed on November 18, 2009
Ford Motor Company 2008 Annual Report, http://www.ford.com/doc/2008_annual_report.pdf last accessed on November 18, 2009
Ford Motor Company Fund and Community Services 2008 Annual Report, http://www.ford.com/doc/ford_fund_2008_annual_report.pdf last accessed on November 18, 2009
Together with excess capacity, this will slow the company's future growth.
The fact that Ford has reduced its personnel levels, while allocating certain amounts of resources overseas and creating jobs abroad because it is cheaper, is seen as a weakness for the company.
The sports segment can be considered an opportunity for the company. Sport-utility vehicles were previously a weakness for Ford. But the company's research and development activity has managed to improve a segment ant to make it much more competitive. The demand for this segment has increased and is expected to follow this trend, given the new customer requirements that have modified because of the financial crisis (Heath, 1993).
Ford is focusing its strategy on going green and on smaller vehicles. These types of vehicles cost less to produce. This leads to reduced prices compared with other vehicles. This is an opportunity for overcoming the negative effects…
1. Annual Report (2008). Ford Motor Company. Retrieved June 14, 2009 from http://www.ford.com/doc/2008_annual_report.pdf.
2. Heath, D. (1993). Explorer Leads Ford's Sales Inroads. The Seattle Times. Retrieved June 15, 2009 from http://community.seattletimes.nwsource.com/archive/?date=19930327&slug=1692681 .
3. Small Cars: A Green, Global Strategy for Ford (2008). Global Auto Shows. Ford Motor Company. Retrieved June 15, 2009 from http://autoshows.ford.com/230/2008/03/24/small-cars-green-global-strategy/.
Price elasticity of demand
Traditionally, large ticket items do not have a great deal of elasticity in terms of price, because they are viewed as necessary goods, although they are not as elastic as a supermarket item one can 'stock up' on in bulk when it goes on sale. Car demand can be somewhat elastic in the sense that people can elect not to buy a new car, purchase a used car, or lease a model until prices decline -- there are market substitutes that can be cheaper, if the car market prices goods too high, as Ford was pricing its vehicles too high, and producing too many high-cost vehicles. Also, the price of compatible goods like gas can impact the choice of vehicle consumers chose to purchase. The Toyota Prius' popularity grew with the price of gas.
Ford's North American operations lost $1.6 billion in 2006,…
Lassa, Todd. (2007). "Ford brass unveils rescue plan. But is it enough?" Motor
Trend. Retrieved 30 Jun 2007 at http://www.motortrend.com/future/spied_vehicles/112_0604_ford_motor_co
Webster, Sarah. (29 Jun 2007). "Ford leaders talk global warming, fuel economy in letter." The Detroit Free Press. Retrieved 30 Jun 2007 at http://www.freep.com/apps/pbcs.dll/article?AID=/20070629/Business01/70629071/1014/Business01
S.. Over a period of time, even the manufacturers, like Ford, move their manufacturing bases to China. (Chain eaction: Big Three's Outsourcing Plan: Make Parts Suppliers Do it) manufacturing company that is giving employment to a large population of a town closes its operations and shifts its operations to elsewhere; this leads to loss of jobs. The entire town gets affected. As the public are not earning, they cannot buy and cannot pay taxes. The whole economy comes to a standstill. Hence, moving manufacturing base weakens the economy. Ford closed its New Jersey plant after 55 years of its existence. This closing resulted in early retirement of about 300 workers. The balance 600 workers were transferred to other Ford plants. By this closing down, about 400 jobs were eliminated. Ford is shrinking American operations, but is investing in Asia. When American companies are moving out of U.S., foreign companies starts…
China-into the fast lane. Retrieved at http://www.ford.com/en/company/about/corporateCitizenship/report/articlesChinaMeiWeiCheng.htm. Accessed on 8 February, 2005
Company in Action: Ford invests $1 billion in China. Dragon venture Newsletter. Retrieved at http://www.dragonventure.com/En/1003/newsletter_5.shtml. Accessed on 8 February, 2005
Corporate America and Outsourcing. Retrieved at http://www.nondot.org/~kungfoomaster/me/corp.html. Accessed on 8 February, 2005
Dobbs, Lou. Exporting America: Why Corporate Greed is Shipping American Jobs Overseas. Retrieved at http://www.businessknowhow.com/manage/export1.htm . Accessed on 8 February, 2005
S. In sales and innovation and quantity will likely continue to dominate sales as consumers seek cheaper alternatives, either in fuel economy or sticker price, especially in the wake of a downturn of the U.S. economy. It is clear that in the wake of change, and especially growth of competitive systems profitably tends to decrease in all traditional markets. ("Japan's Car Giants Escape" NA)
4.hich companies are likely to be most successful over the next 5 years?
Emerging markets, i.e. foreign competitors are likely to be most profitable over the next five years and in second any existing corporation who has foreseen the massive changes in auto manufacturing and implemented effective and economical models. hen discussing emerging markets one must also consider the fact that the traditional auto industry (mainly in the U.S.) has been historically resistant to the development of ecofriendly autos, short of developing a scrap/recycling industry that…
Bidwai, Praful. INDIA: "World's Cheapest Car Environmentally Costly," Jan 16, 2008 http://www.ipsnews.net/news.asp?idnews=40805.
Brown, Lester R. "Planning for the Eco-Economy." USA Today (Society for the Advancement of Education) Mar. 2002: 31.
Ealey, Lance a., and Luis Troyano-Bermudez. "The Automotive Industry: A 30,000-Mile Checkup." The McKinsey Quarterly (2000): 72.
Japan's Car Giants Escape Domestic Woes with New Assault on U.S. Market." Sunday Business (London, England) 12 Jan. 2003: NA.
According to the site Ford's Human esource goal is " to build a team of people who possess strong consumer instincts and innovative ideas, who draw strength from diversity, and who can deliver the performance needed to compete effectively in a global marketplace." Of all these opportunities I would be most interested in learning and development because I like to teach others how to do things and this would be a fine way of demonstrating that skill and contributing to human resource strategy.
In order to improve Human esource strategic initiatives at Ford I would suggest to make the company as friendly as possible to work for. This would include listening and respecting to their many employees. Often better pay and benefits works to placate the worker into obeying and toeing the company line, but sometimes letting the workers contribute to the actual strategic planning of the business would provide…
Ford Motor Company. " Human Resources Career Paths. " Viewed on 23 April 2013. Retrieved from http://corporate.ford.com/careers/career-paths/human-resources?&ccode=U.S.
The Society of Human Resources Management (SHRM). General format. Retrieved from http://www.shrm.org
Stewart, G.L., & Brown, K.G. (2012). Human resource management (2nd ed.). Danvers, MA: John Wiley & Sons, Inc.
4 the Competition
Ford Motors Company activates in a mature and highly competitive market and threats come not only from within the United States, but also from abroad. Due to globalization and market liberalization, the automobile manufacturers from Asia are easily capable to sell their products to the American consumer. Brands play a pivotal role in competition as customers tend to make purchases based on it. The competition is also intensified by the vast offering of substitute products, often materialized in public transports or personal automobiles running on alternative combustibles. Another source of rivalry is that the products often seem to look alike, and there are few features that offer one vehicle a point of difference.
The effects of the intense competition are various and often depend on the unique characteristics of the company, its served customers and the market where it operates. There are two most common outcomes. The…
Brand, M., 2006, the Auto Industry View of Ford's Downsizing Plan, NPR, http://www.npr.org/templates/story/story.php?storyId=5168201 last accessed on October 2, 2008
Nolan, J., August 7, 1997, the Battle of the Overpass, the Detriot News
Rioux, S.M., Bernthal, P.R., Wellis, R.S., the Globalization of Human Resource Practices, Development Dimensions International, Retrieved from http://www.ddiworld.com/pdf/theglobalizationofhrpractices_es_ddi.pdf on October 2, 2008
2008, Automotive News, http://www.autonews.com / last accessed on October 2, 2008
At the same time, Ford has not shied away entirely from larger vehicles. It still offers a range of crossovers, SUVs and trucks with powerful motors and towing capacity, and has expanded its product line in the last year, now that the economy has picked up again (Ford, 2010). This allows it to compete in a market with limited competition, since companies like Toyota and Nissan do not offer many large vehicles. However, Ford is not offering as great a variety as GM or Chrysler, which have many trucks and SUVs to choose from. This is still beneficial for the company: it is able to compete in the large vehicle market, but has a reduced number of vehicles in comparison to its competitors, so it is not wasting money on developing and assembling too many different models.
Lastly, with a strong variety of vehicle options, Ford has expanded into new…
Ford Motor Co. Global Operations. Retrieved Feb 22, 2011 from: http://corporate.ford.com/about-ford/global-operations
Google Finance. Ford Motor Company quote. Retrieved Feb 14, 2011 from: http://www.google.ca/finance?q=NYSE:F
If Boca Raton, Fla. buys 32 Explorers, we need to let the entire municipal market know about it.
The key to foreign sales is understanding that the Explorer will be a luxury item in much of the rest of the world. Ford Explorers may be driven by middle-class families and soccer moms in the United States, but the $30,000 price tag is going to make the Explorer an upper-class item in countries with a lower standard of living than the United States.
Naturally, to overseas upper-class drivers, the vehicles they drive are status symbols, and we must focus on the prestige element of owning an Explorer. We should look for luxury lifestyle magazines - foreign versions of the Robb Report, for example - and purchase adverting that focuses on the luxury features and prestige factor of owning the Explorer. Ads with American celebrities, who often are even more…
But regardless of the reasons for downsizing, fact remains that it is a process which severely affects both the organization as well as its employees. The major effect upon the organization is related to the corporate culture. In this order of ideas, Ford, like most American companies, promoted the idea of a secure workplace, one in which the employee is valued, cherished and accordingly rewarded. But his firing directly contradicts this initially stated mission, forcing as such the stakeholders to question the true intentions and capabilities of the organization which led it to stepping over their promoted culture. Looking at it from a different angle, the situation presents itself with an opposite conclusion. To better explain, the corporate culture at Ford, again like in most American companies, clearly states the company's intent to register profits. And if achieving this desiderate requires the downsizing of the personnel, they will engage in…
Maynard, M., 2007, Ford Chief Sees Small as Virtue and Necessity, the New York Times
Downsizing, What Is, 2008, http://whatis.techtarget.com/definition/0,sid9_gci759501,00.htmllast accessed on March 8, 2008
Longman Dictionary of Contemporary English, 2008, http://pewebdic2.cw.idm.fr/last accessed on March 8, 2008
Ford Motor Company is facing the challenge of a changing external environment in the long-run. In the short-run, business will continue more or less as usual, but in the medium to long run the company faces technological changes that will make electric cars mainstream, and will introduce driverless cars to the roadways, which will be a transformative development for society, one that might only be a couple of years away (Hars, 2016). Further, the costs associated with burning fossil fuels are likely to escalate, in particular the potential for carbon taxes, consumer rejection of burning carbon and a gradual shift in the first half of the 21st century towards different models of transportation. Ford will need to examine the long-run impacts of these trends to its business, and seek to find the right long-run strategy to build around for the future.
Ford Motor Company is a leading producer of…
Enderle, R. (2016). How Ford's approach to innovation could help Apple. CIO Magazine. Retrieved May 20, 2016 from http://www.cio.com/article/3020263/innovation/how-ford-s-approach-to-innovation-could-help-apple.html
Ford.com (2016). Model: Focus Electric. Ford Motor Company. Retrieved May 20,2016 from http://www.ford.com/cars/focus/trim/electric/
Hars, A. (2016). Driverless car market watch. Driverless Future.com. Retrieved May 20, 2016 from http://www.driverless-future.com/
Interbrand (2015). Top Global brands: rankings. Interbrand. Retrieved May 20, 2016 from http://interbrand.com/best-brands/best-global-brands/2015/ranking/
This doesn't really turn the attention away from those companies but instead reinforce their brand image. Ford needs to stop playing a "me-too" game. (Economist, 2006)
Ford is focusing more on its weaknesses than its strengths. For one, customers have yet to be convinced that Ford vehicles have any real strength but there is a long history of manufacturing behind Ford and it can certainly develop its core strengths which must not be ignored during marketing. Second, by focusing on its weaknesses, it seems even more vulnerable and hence drives potential customers away.
First Ford needs to be very realistic about its vehicles. It must conduct an impartial survey to find out what are the real complaints against its vehicles, which vehicles are still selling better than others and where it can beat the competition. It should not insist on promoting its vehicles as just as good as anything else.…
"Shrink to Fit." The Economist, January 7th, 2006,-page 59.
Ford Brand Value Accessed online June 28, 2009 http://finance.mapsofworld.com/brand/value/ford.html
Protecting this proprietary pricing process is critical for the future of Ford's ability to win sales into the future. Ford Motor Company must focus on how to alleviate the many potential areas of pricing itself and pricing processes being compromised. What's needed is a risk management plan aimed at the dealer channel to alleviate the many financial risks to Ford Motor Company from trimmings its dealer ranks throughout the United States.
Ford's Need for a isk Management Plan
The risks specific to the isk Management Plan will include the following key sections, highlighting the need to manage risks by the probabilities of their occurrence, according to isk Management completed by the Department of Energy as it relates to best practices in risk mitigation and disaster recovery al;so apply to Ford Motor Company's dealer channel Department of Energy (2005). While specific to another industry the applicability of these key concepts are…
Carnegie-Mellon (1996) - Definition of Software Risk Assessment Concepts and Directions: -Retrieved from the Internet on October 15, 2006 at http://www.sei.cmu.edu/pub/documents/96.reports/pdf/tr012.96.pdf
Department of Energy (2006) - From the CIO's website for the U.S. Department of Energy, Retrieved from the Internet on October 15, 2006 at http://cio.doe.gov/ITReform/sqse/index.html
Risk Management (2005) - Acquisition and Program Risk Management Guidance - Volume 2: Chapter 4 -Retrieved from the Internet on October 15, 2006 at http://nasdocs.faa.gov/nasiHTML/risk-mgmt/vol2/04_ch_v2_01.html
Ford Motor Company
Objective of this report is to use Ford Motor Company 2012 Second Quarter to carry out research on the company's production inventory levels, price and sales data and operational cost information.
Ford Motor Company (Ford) is one of the largest global automotive companies. The company manufactures and distributes automobile across six continents, and the company operates financing business through Ford Motor Credit Company. At the end of the 2011 fiscal year (FY2011), the company recorded total revenue of $136 billion, an increase of 5.7% over FY2010. Ford Motor also recorded the total net profit of $20 billion at the end of the 2011 fiscal years recording the increase of 4.3% over FY2010. The strength of Ford Motor lies with its strong brand that the company sells at premium price. Among its brands are Lincoln, and Ford which are among the strongest brand in the world. (Datamonitor, 2011).…
Datamonitor, (2011). Company Spotlight: Ford Motor Company. MarketWatch: Automotive. USA.
Ford (2012). 2012 Second Quarter Earning Review JULY 25, 2012 (Preliminary Results).
Jiambalvo, J. (2001). Managerial Accounting. Chapter 7: Capital Budgeting Decisions. John Wiley & Sons, Inc.
Mcgraw-hill (2010). Chapter 6: Elasticity, Consumer Surplus, and Producer Surplus. USA.
Ford Motor Company and its human resources management practice. The company's human resources strategy is very closely tied to its strategy. As with other automakers, Ford's labor costs can be quite high, but there are also related costs of labor, such as benefits and pensions that can result in the total labor cost today being very high, even when much of the company's production is automated. Ford also must work closely with its main unions in order to negotiate the terms of each contract, something that also influences the company. Ford seeks to compete largely as a cost leader in its industry, but needs to have relatively low labor costs in order to pursue this policy profitably.
The HR position at Ford constitutes a number of different tasks. Labor relations is listed as the foremost specialty within the HR department, and with good reason given how critical it is to…
Boxall, P. (2003). HR strategy and competitive advantage in the service sector. Human Resource Management Journal. Vol. 13 (3) 5-20.
Walker, G. & MacDonald, R. (2001). Designing and implementing an HR scorecard. Human Resource Management. Vol. 40 (4) 365-377.
Richard, O. (2000). Racial diversity, business strategy and firm performance: A resource-based view. Academy of Management Journal. Vol. 43 (2) 164-177.
Ford Motor Company (herein referred to as Ford) has grown from a somewhat obscure automaker to one of the world's most recognized motor vehicle brands. Founded in the year 1919 by Henry Ford, the company's main business remains the production of trucks and cars. However, through some of its subsidiaries, the company also concerns itself with motor vehicle financing.
The Ford Motor Company: A Brief Overview of its Vision, Mission and Primary Stakeholders
Ford's mission according to Lewis et al. (2006) is outlined as:
We are a global family with a proud heritage passionately committed to providing personal mobility for people around the world. We anticipate consumer need and deliver outstanding products and services that improve people's lives.
I am convinced that the statement above successfully captures the company's purpose. In so doing, it also succeeds in outlining the firm's overall goals going forward. On the other hand, the company's…
Carter, C., Clegg, S.R., Kornberger, M. & Schweitzer, J. (2011). Strategy: Theory and Practice. London: SAGE Publications.
Dyck, B. & Neubert, M. (2008). Management: Current Practices and New Directions. Boston, MA: Cengage Learning.
Henry, A. (2008). Understanding Strategic Management. New York: Oxford University Press.
Lewis, P.S., Goodman, S.H., Fandt, P.M. & Michlitsch, J.F. (2006). Management: Challenges for Tomorrow's Leaders (5th ed.). Mason, OH: Cengage Learning.
They clearly understand that none among them can be considered true candidates for advancement within the firm because they have an outlook that is not conducive with the company's new direction. Culture shift within marketing is driven by these outside managers and is critical to give the company the tools to establish a stronger, more integrated global marketing department.
Marketing strategy at Ford is driven now by the need to develop products that can be marketing globally, rather than regionally. The company has made several structural changes in order to implement this strategic shift. They have brought in external managers and they have made structural changes. In order to implement many of their marketing changes, they also needed to bring in the most powerful stakeholder within their marketing arm, their dealers. The dealers have been an important component to Ford's restructuring, since part of the company's malaise can…
No author. (2009). Ford Strengthens Global Marketing Function as Next Step in Implementing 'One Ford'. Reuters. Retrieved July 18, 2009 from http://www.reuters.com/article/pressRelease/idUS186381+27-Jan-2009+PRN20090127
Gardner, Greg. (2009). Rising Star Assigned New Duties at Ford. Detroit Free Press. Retrieved July 18, 2009 from http://www.freep.com/article/20090718/Business01/907180327/Rising-star-assigned-new-duties-at-Ford
Reign, Glady. (2007). Ford Dealers Urge Mulally for Plan. Street Directory. Retrieved July 18, 2009 from http://www.streetdirectory.com/travel_guide/54839/cars/ford_dealers_urge_mulally_for_plan.html
Ford Motor Company website. Retrieved July 18, 2009 from http://www.ford.com/about-ford/company-information/corporate-governance/corporate-officers/ford-officers-802p
What the accountant manager basically does is to assess the costs, inputs and processes associated with the organizational products and services. They then organize this gathered information in a way that managers know the costs per unit and the labor per unit incurred in the making of a respective product or service, as well as the number of vehicles employed in the distribution of the products or services (Williamson, 2003).
Overall, the role of accounting management is that of providing the organizational leaders with sufficient and adequate information to be used in the decision making process. This is true in all organizations, including Ford Motors Company, where managers use accounting data to reach the established desiderates, but also to assess the microenvironmental situation and establish SMAT goals (Specific, Measurable, Attainable, ealistic and Time framed).
An actual analysis of the management accounting function within Ford is quite a difficult task for…
Bhimani, A., 1996, Management Accounting: European Perspectives, Oxford University Press, ISBN 0198289669
Williamson, D., 2003, Introduction to Management Accounting, St. Martin College, Retrieved from http://www.staff.ucsm.ac.uk/mpratt/Introduction%20to%20Management%20Accounting.ppt on July 14, 2009
2009, Despite Record Losses, Ford Refuses TARP, Directorship, http://www.directorship.com/ford-won-t-take-tarp-money last accessed on July 14, 2009
2009, Ford Motor Company, Hoovers, http://hoovers.com/ford-motor/--ID__10597 -- /free-co-factsheet.xhtml last accessed on July 14, 2009
Ford Motor Company's experience with its Ford Pinto model are some of the darkest in the long history of the company. Although the company only manufactured the Pinto for a short number of years, the vehicle left a lasting impression on the company's operation (Dowie M., 1977).
The production and marketing of the Ford Pinto began in 1970 in response to the public's demand for small, economical vehicles. Over the subsequent years, the Pinto became subject to repeated complaints about its susceptibility to catching fire in low-speed, rear-end collisions. There were numerous such complaints but little was done to address the problem but Ford did little to address the problem until the summer of 1978 when three teenage mid-American girls were tragically burned alive inside a Pinto that had been struck from behind. This time the prosecutor of the county in which the young girls had been killed decided to…
Dowie, M. (1977). How Ford put two million fire traps on wheels. Business and Society Review, 51-55.
Dowie, M. (1977, September). Pinto Madness. Mother Jones, p. 18.
Schwartz, G.T. (1991). The Myth of the Ford Pinto Case. Rutgers Law Review, 1013-1015.
Wheeler, M.E. (1981, January 14). Product Liability, Civil or Criminal - The Pinto Litigation. ABA Tort and Insurance Law Journal .
Ford Rev Up?
Analysis of the Case Study, "Can Ford Rev Up?"
From the case study entitled, "Can Ford Rev Up?" It was evident that Bill Ford, as the new CEO of Ford Company, had adopted a contingency plan in order for the company to survive the changes and crises that it had been experiencing prior to Bill's appointment as CEO.
The state of Ford's financial standing when Bill became CEO had plunged, wherein sales had initially became stagnant and eventually decreased, loan payments were no longer owned by Ford but by its investors, and the increasing competition among other car companies who were also thriving to survive in an already stagnating market. Thus, given its state, Bill decided to come up with a contingency plan, which helped determine the alternative courses of action to be taken if an intended plan is unexpectedly disrupted if rendered inappropriate.
Examples of Bill's…
World's Most Ethical Companies: Analyzing Ford Motor Company
The Ford Motor Company, herein referred to as Ford, is a U.S.-based multinational manufacturer of transportation vehicles, particularly luxury cars and commercial trucks. It was formed by Henry Ford in 1903 and has its headquarters in Dearborn, Michigan. The company currently ranks second among America's largest automakers; and is fifth in Europe, and eighth in the world. Cisco Systems, one of its largest technological partners, acknowledges that the company's high-level moral consciousness in the treatment of its stakeholders has contributed to its success year after year. This text outlines the various ways through which Ford demonstrates its moral responsibility to different stakeholders and examines how these acts contribute to the company's overall success.
Ford's Moral esponsibility towards Customers
Organizations have a moral responsibility to ensure that customers receive value for their money and are kept satisfied through high-quality products. Ford goes out…
Cisco Systems. (2007). Ford's Innovative Customer Relations Programs Increase Owner Satisfaction and Promise 20% Reduction in Annual Savings. Cisco Systems Inc. Retrieved 30 August 2014 from http://www.cisco.com/web/about/ac79/docs/wp/Ford_CS_1116.pdf
Ford Motor Company. (2012). Sustainability 2012/13. Ford Motor Company. Retrieved 30 August 2014 from http://corporate.ford.com/microsites/sustainability-report-2012-13/people-workplace-health
Ford Motor Company News Center. (2014). Let the Sun In: Ford C-Max Solar Energi Concept Goes off the Grid. Gives Glimpse of Clean Vehicle Future. Ford Motor Company. Retrieved 30 August 20145 from http://corporate.ford.com/news-center/press-releases-detail/let-the-sun-in -- ford-c-max-solar-energi-concept
The Volvo Group. (2012). The Volvo Group Sustainability Report 2012. The Volvo Group. Retrieved 30 August 2014 from http://www.volvogroup.com/SiteCollectionDocuments/VGHQ/Volvo%20Group/Investors/Financial%20reports/Sustainable%20reports/sustainability_report_12_eng.pdf
Marketing Plan for Ford Motors Company
The logic is really very simple -- when a model is supposed to be for women, it has to be designed by women.
It is clear that cars are now being purchased in USA for both men and women, and many times, women have their own cars. This fact had been realized as early as 1956 when there was a model called Dodge La Femme for women to drive and probably that was the reason why it failed. (Women and SUVs) There was a difference in the thinking of men who designed the car and women who were supposed to drive it.
The market for cars among women is large and it had been 20% of the new vehicles during 1984 and this has gone up to 28% in 1990. The decisions are taken by them in 80% of the cases of purchase. (Women…
Concept cars for women. 4 March, 2004. Retrieved from http://english.aljazeera.net/NR/exeres/4B81525E-DCB6-4BBB-8B67-82DAD22E03E4.htm Accessed on 18 July, 2005
Kile, Heather. Women and SUVs. Retrieved from http://fubini.swarthmore.edu/~WS30/HKFinalProject.html Accessed on 18 July, 2005
Ten Cars Women Love. Retrieved from http://cars.msn.co.uk/CarNews/carswomenlove/?MSID=af118d01110c47c484a9a1ae4f5e590b Accessed on 18 July, 2005
Women and minority automobile buyers. Road and Travel Magazine. Retrieved from http://www.roadandtravel.com/businessandcareer/careers/minoritycarbuy.htm
Ford Motor Company's efforts to redefine strategies to address key strategic issues during the upcoming fiscal year. The essay also reviews Ford's business-level strategy, the company's value chain activities and identifies Ford positioning with respect to the five forces of competition.
Ford's current business- level strategy was developed as a result of challenges the company has faced in the last decade. Ford saw their market share in the U.S. decline from 23.7% in 2000 to 15.5% in 2006. Over the same period Ford's North American division reported billions in losses from the Ford, Lincoln and Mercury product lines. To return the North American division to profitability, Ford launched an ambitious restructuring plan, the Way Forward. (Kirtane, Shukla, Wang and Zhan, 2006).
Over the last decade, Ford's business-level strategies were ambiguous, with the result that they were neither a successful differentiator nor cost leader. Ford failed to innovate on many of…
Cisco Systems Inc. (2007). Ford's innovative customer relations programs increase owner satisfaction and promise 20% growth in annual savings. [online] Available at: [Accessed 11 September 2011].
Ford Motor Company. (2011). Our value chain and its impacts. Ford corporate website. [online] Available at: < http://corporate.ford.com/microsites/sustainability-report-2010-11/operations-value> [Accessed 11 September 2011].
Herman, C. (2007). Ford zooms past competition in quality. ABC News. [online] Available at: [Accessed 11 September 2011].
Johnson, D. (2011). Future Lincolns to be better differentiated from Ford counterparts. Left Lane. [online] Available at:< http://www.leftlanenews.com/future-lincolns-to-be-better-differentiated-from-ford-counterparts.html > [Accessed 11 September 2011].
In the early 1960s, one of the only truly "American" sports car was the Corvette. Unfortunately, for most people at the time, the price of a Corvette was simply too high. The Thunderbird, previously a sporting car, had grown into a large luxury car, and those enthusiasts who wanted a two-seater sport vehicle were forced to buy imports (Georgano). However, demographics were changing the face of the car buying experience in America, and within a few years the post-war baby boomers would be purchasing their first cars.
Ford Motor Company realized that there was a new market emerging, and 5 months prior to the typical start of the 1965 model year released the Ford Mustang. It was the automaker's most successful launch since the model A. Although it has undergone a number of transformations and is on its fifth generation, the Ford Mustang changed the way…
Boss, H. (2012). "2012 Ford Mustang Consumer Review." (12/2/11). Edmunds.com
Retrieved from: http://www.edmunds.com/ford/mustang/2012/consumer-reviews/boss-302.html?style=101369169&sub=&reviewId=961076641
Georgano, G. A History of Sports Cars. New York: Dutton, 1971.
Hinkley, J., et.al. The Big Book of Car Culture. Detroit: Motor Books, Inc., 2005.
Six different well-vetted and established measures were used to determine each subjects' personal standing in terms of their level of self-actualization or progress towards self-actualization, their perceived level of social support, their placement on a depression index, an assessment of their life experiences, and finally a test designed to measure how likely an individual is to try to present themselves positively on self-reporting measures such as those use din the study. This last test's results were used to control for self-reporting biases in the other instruments. The subjects were given instructions in person and then asked to complete all six instruments in their own homes, with recommendations that the instruments be completed in a single block of time, and respondents then mailed the completed instruments to the researchers.
The research did not yield any results that were contrary to long-held and specifically stated hypotheses, and in large part simply confirmed…
omen are often portrayed as inferior to men within Ford Maddox Ford's famous novel The Good Soldier. This inferiority is symbolized through Edward's desire for young, attractive women, the description of the minuet, and also the reference to the shuttlecocks. Further, this female inequality plays a large part in developing the women's motivations, desires, and interactions with other characters. Female inequality to men plays an important role in the outcome of Ford's classic story, in setting into play the motivating factors behind Edward's desires, and Leonora's reactions.
Ford's diction often makes us subtly aware of the inequality of women within the novel. In describing Edward, the narrator notes "He wanted only moral support at the hands of some female, because he found men difficult to talk to about ideals. Indeed, I do not believe that he had, at any time, any idea of making any one his mistress. That sounds…
Ford Maddox Ford. 1999. The Good Soldier: A Tale of Passion. Oxford University Press.
Ford vs. Dodge
This is a paper that compares Dodge and Ford trucks. There are seven references used for this paper.
There are a number of trucks available to the consumer today. It is interesting to compare the 2004 Dodge RAM 1500 quad cab and the Ford F-150 to understand their similarities as well as their differences.
The 2004 Dodge RAM 1500 quad cab comes standard with a "five-speed HD manual transmission, and Magnum ® 3.7L V6 engine which produces 215 horsepower at 5,200 RPM and 235 pounds-feet of torque at 4,000 RPM (http://www-5.dodge.com/vehiclecompare/Startup.jam)." The truck has a "Gross Vehicle eight (GV) rating of 6,350 pounds, a rear 9.25 axle, and a 3.55 axle ratio (http://www-5.dodge.com/vehiclecompare/Startup.jam)." The axle ratio number is significant because a "numerically lower axle ratio results in lower engine rpm and better fuel economy. A numerically higher ratio improves acceleration, climbing grades, carrying loads or…
Bourdon, Stuart. 2004 Tow Vehicle of the Year; more power and higher tow ratings make this the year of 1/2-tons on steroids. Trailer Boats. (2004):01 March.
Chrysler, Jeep, and Dodge 2004 cars, trucks, and minivans. (accessed 14 April 2004). www.allpar.com/history/chrysler-years/2004.html).
Dodge Ram 1500. (accessed 14 April 2004). http://www-5.dodge.com/vehiclecompare/Startup.jam).
F-150 Detailed Comparison. (accessed 14 April 2004). http://www.fordvehicles.com/index.asp?bhcp=1 ).
Ford Motor Company is headquartered in Detroit and operates globally. The company competes primarily in cars and light trucks. The company was founded in 1903 and today is one of the Big Three of U.S. automakers. The industry has globalized rapidly over the past few decades, and Ford now operates plants around the world. The company rose to prominence not only as an early automobile maker but the developer of the assembly line, and a leader in industrial production techniques. These allowed Ford to sell more cars than its competitors early, allowing it to establish itself as a market leader. The company today sells two main lines -- Ford and Lincoln (Ford.com, 2015). The industry is also in a state of flux with respect to technological change. Electric cars, and greater fuel efficiency are driving one segment of the market, while other segments still rely on light trucks and larger…
Ford.com (2015) Company History. Ford Motor Company. Retrieved April 8, 2015 from https://corporate.ford.com/company/history.html
Ford Form 10-K 2014. Retrieved April 8, 2015 from http://corporate.ford.com/content/dam/corporate/en/investors/reports-and-filings/Annual%20Reports/2014-ford-annual-report.pdf
MSN Moneycentral. (2015). Ford. MSN Moneycentral. Retrieved April 8, 2015 from http://www.msn.com/en-us/money/stockdetails?symbol=F&ocid=qbeb
GM 2013 Annual Report. Retrieved April 11, 2015 from http://www.gm.com /content/dam/gmcom/COMPANY/Investors/Stockholder_Information/PDFs/2013_GM_Annual_Report.pdf
Ford Motors: Strategy to Beat Competitors Using Operations and Supply Chain
Ford Motor Company is the second largest automobile manufacturer in the United States apart from General Motors. The Ford Company is credited for the production of trucks and cars for mass markets. The company also produces car accessories such as cars' electronic components, vehicles' plastic, and replacement parts. Moreover, Ford Motor owns approximately 8% stakes in Aston Martin, a 2.1% stake in Mazda, and 49% stake in Jiangling. Ford Motor also develops joint ventures with several companies around the world. The company has also diversified their business operations into financial services such as American oad Insurance and Ford Motor Credit. However, Lincoln and Ford's models accounted for the approximately 10.5% of the company sales in the United States. A rise in prosperity of emerging markets has made Ford focusing their business attention in China. At the end…
Kearney, A.T. (2013). Creating Competitive Advantages through Supply Chain: Insights on India. Council of Supply Chain Management Professional.
Bozarth, C. & Handfield, R.B. (2012). Introduction to Operations and Supply Chain Management. Pearson Education.
Ned Davis Research (2016). NYSE:F Ford Motor Company. USA.
Morningstar (2016).Ford Motor Co F (XNYS). USA.
I would ensure that Ford's H is in alignment with the company's business strategy by identifying the aims of the firm and evaluating how well the H's objectives, methods, and outcomes match the goals of the overall business. The is the responsibility of the H Business Operations division (Human esources, 2016).
The H job positions listed for Ford's H department consist of the following categories: Global Occupational Health Services, Compensation & Benefits, Corporate Travel, Global Security & Fire, H Business Operations, H Labor Affairs, Learning & Organizational Development, and Occupational Safety. Current job openings include Applicant Tracking System Administrator, Occupational Health Nurse, Worker's Comp Litigation Attorney, and Plant Physician. In the Global Occupational Health Services department of the H, the work centers on strategically enhancing the health/safety of employees through the improvement of health standards in the workplace. In the Compensation and Benefits department, H employees are tasked…
Human Resources. (2016). Ford. Retrieved from http://corporate.ford.com/careers/departments/human-resources.html
Kissack, H., Callahan, J. (2010). The reciprocal influence of organizational culture and training and development programs: Building the case for a culture analysis within program planning. Journal of European Industrial Training, 34(4): 365-380.
Ratnam, V., & Chandra, V, (1996). Sources of diversity and the challenge before human resource management in India. International Journal of Manpower, 17, (4/5), 76-96.
Rogers, S., Jiang, K., Rogers, C., Intindola, M. (2015). Strategic Human Resource
Multi-National Report on Ford Motor Company:
Ford Motor Company is a worldwide company that operates in both the Automotive and Financial Services sectors with its major operations being to build up, devise, produce and service cars and trucks. hile Ford's automotive sector basically sells vehicles under various brand names such as Ford, Volvo, Mercury and Lincoln, the financial services sector provide several automotive financing products both through and to automotive dealers. Ford's automotive sector is responsible for marketing trucks, cars and vehicle parts through the retail dealers, distributors and dealers in North America. Additionally, this sector offers a series of after-sale vehicle products and services in several segments like car accessories, maintenance, repairs and extended service. On the contrary, the financial services sector provides retail financing, wholesale financing and financing to profit-making customers.
Ford's financial services sector also provides other financing services incorporating loans to dealers for operational capital, developments…
Dornbach-Bender, Rhett, Bill Slade, and Joe Thorpe. "Strategic Report for Ford Motor Company." Oasis Consulting. Oasis Consulting, 20 Apr. 2009. Web. 20 Nov. 2010. .
"Ford Motor Company -- Case Study." Business Organizational. Business Organizational, Feb. 2005. Web. 20 Nov. 2010. .
Linn, Allison. "For Ford's Mulally, Big Bets Are Paying Off: Company Lauded for Avoiding Bankruptcy, Government Aid in Recession." Msnbc. Msnbc.com, 26 Oct. 2010. Web. 20 Nov. 2010. .
Thomaselli, Rich. "Marketer of the Year: Ford Motor Co." Advertising Age. Crain Communications, 18 Oct. 2010. Web. 20 Nov. 2010. .
Individual eport style Case Analysis: - Ford Motor Company - IN TEXT CASE 18 Case Objectives 1. To examine external internal forces affect competitive strategy. 2. To investigate choices business corporate-level strategies a highly turbulent industry.
Ford Motor Company
The modern day society is still striving to overcome the impediments of the economic crisis that commenced in 2007 in the United States real estate sector. The crisis left people unemployed, losing their life savings, and the economic agents in hurdle. Still, in these difficult times, the leading American manufacturer of automobiles reemerges as a strong and stable organization.
Ford Motor Company has not used federal funds to overcome the crisis, but has focused on reconsolidating itself in order to restore its balance and financial stability. Today, the organization is revealing the first signs of this stability, yet challenges still remain.
General information about Ford Motor Company
Ford Motor Company was…
Mehta, S., 2011, Oligopoly characteristics, Buzzle, http://www.buzzle.com/articles/oligopoly-characteristics.html last accessed on March 27, 2012
Ford Motor Company 2010 Annual Report, http://corporate.ford.com/doc/ir_2010_annual_report.pdf last accessed on March 27, 2012
2011 Form 10K, Ford Motor Company, http://www.sec.gov/Archives/edgar/data/37996/000003799612000007/f12312011-10k.htm#sDD440BBF35C4A708914089ECB28A45F8 last accessed on March 27, 2012
2012, Industry handbook, Investopedia, http://www.investopedia.com/features/industryhandbook/automobile.asp#axzz1qJiZoOSR last accessed on March 27, 2012
Now "battered by soaring gas prices and plummeting sales" Ford has been "forced to slash production of the trucks that have been its lifeblood -- from half of its vehicles today (and 70% in 2005) to a projected "one-third by 2012" (arner 2008). Congress is calling for Ford along with the other American car companies demanding a bailout to show a real commitment to raising fuel economy standards and creating a leaner, meaner production machine.
Ford must point to its previous good-faith attempts to raise fuel standards to support its calls for government assistance. Many point to previous CEO Bill Ford's inability to sell his vision to other members of the company: "no matter his personal convictions, Bill Ford had neither the operational skills nor the management talent to make his green aspirations a reality. Instead, the chairman tried to tack environmental changes onto a business model focused obsessively on…
Bray, Jim. (2008, October 28). Ford flexes its marketing muscles with new crossover. The Post
Chronicle. Retrieved 19 Nov 2008 at http://www.postchronicle.com/cgi-bin/artman/exec/view.cgi?archive=102&num=181770
Currie, Alan. (2008). Ford, GM, Chrysler chiefs should have gone by fuel-efficient car to bailout.
Telegraph. Retrieved 19 Nov 2008 at http://www.telegraph.co.uk/finance/breakingviewscom/3488678/GM-Ford-and-Chrysler-chiefs-should-have-gone-by-fuel-efficient-car-to-bail-out.html
.. pronounce it invalid," which is not the case in the investment contract signed by Wolf. The contract was standard, and gave authority to the broker to invest and manage the original sum of money. Although it could be argued that, given Wolf's expressed desire that the funds be invested conservatively, that the actions of the defendant were not optimal, that does not make it patently offensive to the point that the entire community would consider the contract invalid.
What does the outcome of this case mean for the affected industry? Customers of that industry?
This frees the investment banking industry from the concern that an angry investor will be able to sue a broker or the entire firm if he or she does not like the performance of his or her portfolio. It also means that a wary investor must not invest his or her funds and sign a…
Normally, the designer's direct involvement into the user-research process is noted to be limited. There is however a need for a close collaboration between the researchers and the designers so that the quality attributes that are desired by the clients are adequately included into the final product (Donnelly, 2000).
It is therefore clear that for the user's perceptions of quality to be adequately captured and incorporated into the design and production stages of a given product, usability research must be thoroughly conducted and the results clearly communicated by the researchers to the design team. Ford Motors's application of a user-centric approach to the production of its products makes it very crucial for the company to actively be connected to the latest thoughts and perceptions that its clients may harbor.
The successful the initiative
It is important that the success of the TQM initiative to be gauged so as to highlight…
Ahire, S.L. 1997. Management Science- Total Quality Management interfaces: An integrative framework. Interfaces 27 (6) 91-105.
Abbott, Lawrence (1955), Quality and Competition, New York, NY: Columbia University Press.
Abraham, M., Crawford, J., & Fisher, T. (1999). Key factors predicting eff ectiveness of cultural change and improved productivity in implementing total quality management. International Journal of Quality and Reliability Management, 16(2), 112-132.
Ackoff, R. (1993, March). Beyond TQM. Journal for Quality and Participation. 66-78.
Stakeholder Analysis Ford Motor Company
Key Stakeholders Ranked by Level of importance
Corporate officers -- Responsible for establishing the goals and mission of the company and ensuring that managers and employees at all levels are properly carrying out the strategy of the company. (Luca, 2007)
Customers/Car owners -- customers make an investment when purchasing a vehicle and they expect the vehicle to be safe and reliable. Customers depend on their vehicles for work, school and general transportation. As such they have an interest in Ford's ability to develop good dependable vehicles.
Managers -- Managers carry the information received from corporate officers to employees and make certain that the goals established are realized.
The General Public -- Everyday people are killed or injured in car accidents. Because Ford cars are popular and a mainstay on roads throughout the world, the general public is interested in knowing the…
Ford and World Safety Leaders Work to Launch Intelligent Vehicles Quicker, More Affordably. http://corporate.ford.com/news-center/news/press-releases/press-releases-detail/pr-ford-and-world-safety-leaders-work-34762
Luca, Anastasia. 2007. Organizational Stakeholders
MSNBC (2007). "Home Depot CEO Nardelli quits"
McNamara, Carter (2008). Boards of Directors
Indeed, the choices in terms of portfolio diversification through the introduction of newer car models on the market, in an attempt not only to retain existing customers, but to bring forth new ones, are obvious for both Ford and GM.
As such, in the automobile industry, the method of distribution (or rather the distribution network in this case) is quite important. Ford's CEO was willing to travel across the U.S. In order to meet the dealers, evaluate their performances and decide on future action in this area. Ford's approach was to encourage dealers in their activities through the direct presence of the company's CEO.
In terms of differences between the two companies on the road to recovery, probably the most important example is given by Tom Krisher. He points out towards the fact that "the essential difference between Ford and GM, according to some industry analysts, is that GM went…
1. Fields, Mark. Mark Fields Lays Out Ford Strategy. Automotive News, May 14, 2007. On the Internet at http://www.automotivedigest.com/view_art.asp?articlesID=22289.Last retrieved on June 4, 2007
2. Ford vs. GM: Who's Ahead?. January 2007. On the Internet at http://www.evolvingexcellence.com/blog/2007/01/ford_vs_gm_whos.html
Ford vs. GM: Who's Ahead?. January 2007. On the Internet at
Leadership Development Practice at Ford Motor Company
Given the enormous effect of an informed and effective leadership team on a company's profitability, it is not surprising that leadership development has become an important part of the practices of many Fortune 100 companies. By identifying potential leaders today and providing them with the training and education they will need to become effective leaders in the future, these companies are making an investment in their futures. The costs that are associated with providing these leadership development programs are significant, though, making the need for informed and effective practices essential. To determine how one Fortune 100 company is approaching the need for such leadership development programs, this paper provides a review of the relevant literature concerning Ford Motor Company, followed by a summary of the research and important findings in the conclusion.
eview and Discussion
One Fortune 100 company that has clearly embraced…
Egodigwe, L. (2009, June). In perfect alignment: An HR auto exec understands the importance of synchronizing the team. Black Enterprise, 39(11), 48-49.
Extending reach and ensuring effectiveness of leadership development. (2009, June 22).
Workforce Management, 88(7), 13.
Krivokapic-Skoko, B., Dowell, D., O'Neill, G. & Kleinschafer, J. (2009). Research note:
Privileging the rights and needs of people with financial stakes in the American auto industry runs counter to American ideals of equality and Rawlsian justice.
Should we try to restrain, in this and other product liability situations, the litigiousness that seems to characterize American life? How might we do this?
Litigation that is blatantly foolish against corporations, such as a recent lawsuit against Quaker Oats for false advertising because Crunchberry cereal did not contain real fruit, usually fails, or is reversed upon appeal (inter 2009). The appeals process is the constitutional 'check' to juror's tendency to award too much to aggrieved plaintiffs. ithout the ability to sue corporations, the corporate lack of concern at Ford for the safety of the Pinto can occur once again. Litigation can be a powerful tool of consumers against large corporations.
Ford Pinto. Engineering.com. Retrieved June 17, 2009 at http://www.engineering.com/Library/ArticlesPage/tabid/85/articleType/ArticleView/articleId/166/Ford-Pinto.aspx
Shaw, .H. &…
Ford Pinto. Engineering.com. Retrieved June 17, 2009 at http://www.engineering.com/Library/ArticlesPage/tabid/85/articleType/ArticleView/articleId/166/Ford-Pinto.aspx
Shaw, W.H. & Barry, V. (2007). Moral issues in business. (10th ed.). USA: Thomson
Winter, Michael. (2009, June 8). Judge kills suit claiming crunchberries aren't real fruit.
The government estimates that quality improvements in light trucks have an estimated retail value of $361.76 (Robb and Schroeder, 2006). Improvements included many high demand items such as tire monitoring systems, better air bags, improved power trains, reduced emissions, and a number of other changed to standard option packages (Robb and Schroeder, 2006). The Bureau of labor Statistics reports that similar changes have been made to passenger cars, totaling $139.96 for the average 2007 model (Foster, 2006).
Drops in prices, combined with rising costs means that many other manufacturers like Ford will have to do some drastic restructuring. Ford's lay offs will add to national unemployment levels in the future. Ford has a solid plan for recovery, although it may not be fast enough for many analysts. Ford estimates that it will be in the black again by the end of 2009 (Gharib, 2006). The immediate future does not bode…
AmosWeb. (2006). State of the ECONOMY. Retrieved December 9, 2006 at http://www.amosweb.com/cgi-bin/awb_nav.pl?s=awb&c=stp .
Foster, T. (2006). News. Bureau of Labor Statistics. November 14, 2006. Retrieved December 9, 2006 at http://www.bls.gov/ppiNOVEMBER 14, 2006.
Gharib, S. (2006). NBR Complete Transcripts: 09-15-2006. Retrieved December 9, 2006 at http://www.pbs.org/nbr/site/onair/transcripts/060915f/.
Peters, J. (2006). Prices Fell Sharply In October. November 15, 2006. New York Times. Section C, Page 1, Column 6. Retrieved December 9, 2006 at http://select.nytimes.com/gst/abstract.html?res=F50B17F83C5A0C768DDDA80994DE404482&n=Top%2fReference%2fTimes%20Topics%2fSubjects%2fU%2fUtility%20Vehicles%20and%20Other%20Light%20Trucks
CEO as Leader of Ford Motor Company
The leadership of any large, diverse multinational corporation needs to concentrate on a unifying vision coupled with transformational leadership skills to keep the company moving forward over the long-term (Wang, Oh, Courtright, Colbert, 2011). At the Ford Motor Company, the challenge is to not only manage these core aspects of effective leadership, the CEO must also initiate and continually improve innovation over time as the auto industry is going through significant transformation (Luca, McNamara, 2010). The intent of this analysis is to evaluate how effective leaders are in the auto industry in synchronizing these many tasks, in conjunction with serving as a catalyst of effective innovation and transformational growth over time.
Analysis of the CEO ole at Ford
Alan Mulally is currently CEO of Ford Motor Company, and his background is heavily based on aerospace, defense and commercial airline industries. In these industries,…
M. Birasnav, S. Rangnekar, & A. Dalpati. (2011). Transformational leadership and human capital benefits: the role of knowledge management. Leadership & Organization Development Journal, 32(2), 106-126
Blair, Gerard M. (1993). Becoming a great manager. Management Development Review, 6(4), 3.
Ann Gilley, Pamela Dixon, Jerry W. Gilley. (2008). Characteristics of leadership effectiveness: Implementing change and driving innovation in organizations. Human Resource Development Quarterly, 19(2), 153.
House, R.J., & Shamir, B. (1993). Toward the Integration of Transformational, Charismatic, and Visionary Theories. In M.M. Chemers and R. Ayman (Eds.), Leadership Theory and Research: Perspectives and Directions, p. 81 -- 107. San Diego: Academic Press.
The company is now considered the second largest automaker in the world. Within one year after its inception, the company brought well-known brands under its name such as Cadillac, Cartercar and Pontiac. The company was originally owned by William Durant but excessive debt cost him the ownership in 1910 when the bank took it over. Durant then started the Chevrolet Motor company. In 1920s, the company sales surpassed those of Ford Motor Company due to brilliant leadership of Alfred Sloan. In the next decade, the company expanded and started Greyhound bus service. During the Second World War, the company faced threat of nationalization from Nazi government. But due to personal and business contacts, the company abandoned its German operations in return for a complete tax write-off. Its post war growth was impressive as General Motors became the first ever U.S. company to pay $1 billion in taxes. It was also…