Ford Motor Company Essays

1175 Words Apr 1st, 2013 5 Pages
torFord Motor Company Case Report

Executive Summary Ford Motor Company is based in Dearborn Michigan and was incorporated in 1903 by Henry Ford. Its core business is the design and manufacturing of automobiles. As Teri Takai, the Director of Supply Chain Systems, I will recommend Environmental and Root Cause Analysis How should Ford progress with emerging technologies and other high tech ideas Virtual integration - Ford needs to radically change its supply chain to keep up with the changing technologies. Others were more cautious Shareholder value and customer responsiveness Auto industry is increasingly competitive, especially with the introduction of foreign based manufacturers Need to improve quality and reduce cycle times while
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Ford and all its suppliers

would share information between their systems and the Internet to coordinate the flow of materials and production. All customer orders would be taken either via Ford's web site or by phone and then built. A pull system would be implemented completely. a) Advantages: Customization to clients, start of vertical integration in the supply chain. b) Disadvantages: Ford's traditional processes and production methods would have to be changed to take advantage of this new form of supply-chain management. Since it is a very costly and time consuming activity, the difference in the two industries makes it a risky option.
Recommendation and Implementation

he long term implication of the first and third option is the company going out of business. Keeping the existing supply chain would continue to deliver the same dismal results and declining profits for the company which eliminates option 1. The third option seems illogical when we take into account the fact that Ford is an automobile manufacturing company and Dell assembles customized computers for its customers via the internet, eliminating dealerships all across and relying on website for its sales will put it at a great disadvantage with other auto makers. In spite of the recent loss of trust and quality issues with Toyota we will base our recommendations and critique comparing Toyota’s usage of information technology in making their process

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