Ford Motor Company was founded by Henry Ford in 1903 and from there has emerged as America's leading car maker. Ford also makes many other automobiles including trucks. The Subsidiaries of the company also operate in auto financing, thus having two sectors, Automotive and Financial Services. The Automotive segment refers to the operations of Ford at North America, and South America, Europe, Africa, Asia and the administration of Volvo. The Financial services are under the banner of the 'Ford Motor Credit Company and Other Financial Services.' ("Ford Motor Company NYSE; Cyclical Consumer Goods & Services/Auto & Truck Manufacturers," 2011) Some of the success that the company achieves now is rooted to its basic creation and maintenance of the best known production method and constantly updating the method. The famous Ford Assembly line stands the company in good stead although there have been a lot of labor and competitive issues with the method. It has been adopted by all automotive manufacturers at large.
Assembly Line
Mass production' is a method that was developed by the company and the method has basically remained unchanged over the decade, while "Ford's original industrial gradually evolved into a set of organizational canons" for the entire automobile industry. (Freyssenet; Mair; Shimizu; Volpato, 1998) Other industries also adapted the Ford industrial model. The model has been proved to be the most successful one because of its large use in the Second World War. During the war, mass production and assembly that Ford created made the company able to produce over a million plane parts and during the war Ford was turning out 540 planes a month, one being assembled every hour. Other things the company produced during the war included military trucks, Bren gun carriers, V-12 engines for airplanes and accessories. Further it can be seen that "From 1942 to 1945, Ford Motor Company concentrated on the B-24 Liberator bomber. By the war's end, Ford Motor Company had built more than 8,600 B-24s. Henry's son, Edsel Ford, and Charles Sorensen, head of production for Ford Motor Company, headed the project. At its peak, the Willow Run facility was staffed by nearly 50,000 workers." (Ford Motor Company, 2011b)
One of the chief elements that was thought to be behind the success of Ford is the Assembly line but the situation having changed from the last century, today the Ford multinational has the new power in its bargaining dynamics that always outmaneuvers its rival General Motors's is by using the triangular bargaining dynamic. Of late Ford's international operations has become the source of the company's competitive strategy. However the basis of the competitiveness still remains the assembly line or mass production. Ford is efficiently producing automobiles based on the mass production method it invented a century ago. (Studer-Noguez, 2002)
But there was also problems, and these related to labor and the labor problems were chaotic the one saving factor was that the factory managers and engineers, were quick to find the human problems that came with the assembly plants and solve it just as they would the technical problems but in the middle of the last era the paternalism failed. The control of workers which was the key part to the automation process was not achieved and there were over the years a lot of experiments with the Ford labor policies. For example, when the huge demand for the car - Model T. Ford came about the industrial practice was changed to the system of mass production. This lost the craft traditions, independent work groups, and trade union apprenticeship systems; all had been dismantled and were lost. Likewise the administrative controls were also experimented with and the gradual culture built over the years on this system is still the heritage and core of Ford Motors. (Meyer, 1981)
The company has also been very quick to learn from rivals and adapt to the production methods the beneficial methods of the rivals. Thus the...
Those five steps are: Analyze the Situation and ask the following questions: Are we making any major changes in our business process? How do those changes impact our employees job functions? What information and training will our employees need to continue being successful in their jobs? How will our employees best accept and integrate this information and training? How do our employees learn? How can we get this information and training to our employees? Are there any
Based on the data presented in the Table 2, it is revealed that Ford is a company that is good for the investment opportunity. The profitability ratios are one of the key ratios to determine the financial health of a company. Based on the data in Table 2, Ford Company demonstrates the increase in the profitability ratios between 2008 and 2011. For example, the ROA increase from the loss of
Ford Motors Company Ford Motor Company is an American Multinational company that was founded by Henry Ford in the year 1903. Ford's headquarter is in Dearborn Michigan in the United States where it specializes in the production of automobiles both commercial and luxury. Under its commercial category of vehicles, it trades under the Ford brand while its luxury cars trade under the Lincoln brand. Ford Motors is a well established company
Ford Motor Company's Current Market Position Company Overview Quality Issues at Ford Motor Company Human Resources Role Strengths Weaknesses Opportunities Threats Financial Impact of Recalls on Ford Motor Company The Ford Motor Company was founded by Henry Ford in 1903 who along with 11 other investors signed the article of incorporation for the organization. Since then, the Ford name has experienced tremendous growth and has been awarded with substantial significance in the automotive industry. It is one of the
The Taurus and Aerostar were star performers in their respective segments, as were the F-series trucks. The Explorer took advantage of the growing SUV market. The company's modern-era market share peaked in the mid-90s, and has come down steadily over the past decade and change. By the mid-00s, Ford was in financial trouble and undertook the leveraging of its assets in order to get the company through a multi-year restructuring
In October they are forced to half dividend. On the 17th October Ford posts its first consecutive quarterly loss in a decade. (BBC News Ford chief Jacques Nasser ousted). Though overwhelmed by the situation Bill Ford does his best to improve their financial situation and succeeds for a short while. But Ford's true "revitalization" would only be brought about by the CEO who came after Bill Ford, Alan Mulally (who
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