Ford Motor Case Study - 5714 Words

BLB 20058 – M – MSTRA- L MANAGING STRATEGY ASSIGNMENT FARUK SULEIMAN TP025329 WORD COUNT: 3694 WORDS UCMF1103MBAIT SCHOOL OF POSTGRADUATE TECHNOLOGY PARK MALAYSIA ASIA PACIFIC INSTITUTE OF INFORMATION TECHNOLOGY UNIVERSITY OF STAFFORDSHIRE SHARMILA A/P K. N. SETHUMADHAVAN EXECUTIVE SUMMARY Strategy is well explained as the effective use of well laid out plans to achieve success. It is no less of spectacle to attribute strategy to individual achievement, achievement from a company, a country or at the very least a non – financial institute to achieve strategic success. Ford Motor Company has in recent times lost its market share to emerging Asian companies such as Honda, Toyota, Hyundai and Nissan. As a new†¦show more content†¦Given that most companies at a maturity level face corporate level strategy issues, the author thinks Ford’s CEO Allan Mulally has proven to be a competent leader given the circumstances. The uniqueness of the strategic issues at Ford are based on the market conditions. 1. Financial 2. Sales 3. Product line 4. Competition Given how inter-related these issues are, the author decides to focus on the main underlying issues as highlighted in the case study; that is financial and competition issues. Sales and narrow product line are more on a business level as opposed to financial and competition which are more corporate in this context. Figure 1: Illustration of Ford strategic issues (sourced from Suleiman) 1. Financial Weak balanced sheet poses a huge financial problem to Ford as it brushes with near insolvency in 2008 which could have seen the company file for bankruptcy. Drop in revenue means the company has a small profitability and has to collateralize its asset to stay liquidated. This is an issue for Ford because of the size of the company and the nature of its operations depends largely to close-fit financing. As it deals with thousands of suppliers with massive overhead expenditure, Ford relies heavily on efficiencies to maintain a sustainable margin to keep its investors as wellShow MoreRelatedFord Motor Case Study1291 Words   |  6 PagesExecutive Summary: Ford wanted to adapt the idea of virtual integration to improve its supply chain. By the use of technology; it wanted to reduce its working capital and increase profits. Moreover, the company was emphasizing more and more on shareholder value and customer responsiveness so they were looking into reengineering some of their processes which can help improve their current forecasting model and reduce OTD cycle times substantially. With new business models prevailing, Ford did not want toRead MoreCase Study : Ford Motor Company Essay2498 Words   |  10 Pagesthe profit maximization. I remember a very famous case study of Ford Motor Company that says the importance of teamwork. In 2006 when Alan Mulally became the CEO of the Ford Motor Company, many senior executives thought that a big change in inevitable as mullally was the outsider. Speculation of changes in team at higher level was at high as Mulally was hired from Boeing because of his expertise in running big organization and employees of Ford Motor were suspicious about his working method. Read MoreCase Study: Ford Motor Company2447 Words   |  10 PagesCASE STUDY: FORD MOTOR COMPANY Leadership and Organizational Effectiveness of Ford Motor Company â€Å"This is everything. It’s heritage. It’s children’s future. It’s everything tied up into one. Failure is not an option.† - Jr. CEO, Ford Motor Company The global marketplace is faced with different challenges that affect its overall management and operations. Various pressures on the internal and external conditions such as the unstable world and local economies, the workforce, the customersRead MoreCase Study Ford Motor Company1461 Words   |  6 PagesCASE STUDY Ford Motor Company Ford Motor Company, one of the world’s largest automotive manufacturers, has worked with Penske on several Six Sigma initiatives. As its lead logistics provider (LLP), Penske’s quality team of associates are trained in Six Sigma practices and work closely with Ford to streamline operations and create and maintain a more centralized logistics network. Together, they uncovered several areas for real cost savings as a result of reducing inbound carrier discrepancies, eliminatingRead MoreCase Study of the Ford Motor Company1346 Words   |  5 PagesFinancial analysis of Ford Motor Company 1. Introduction The Ford Motor Company is one of the largest automakers in the world and it is notable due to its powerful position within the global market place. 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Another risk factor facing Ford MotorRead MoreCase Study : Ford Motor Company1340 Words   |  6 PagesHenry Ford opened his first factory, Ford Motor Company has been changing the automotive industry all across the world. What started out, as a small company with big ideas has become one of the largest and profitable companies in the world. Ford Motor Company, communally known as Ford stared out as a family own company and today is still run by the Ford family. Today, where companies are having to sell or partner with other companies, it is amazing to see a family company grow in the way Ford has sinceRead MoreCase Study of Ford Motor Company1147 Words   |  5 Pagesï » ¿ Tim Randall Ford Motor Company has been recognized as one of the worlds most ethical companies by the Ethisphere Institute, a leading business ethics think tank (Ford Motor Company.com. Home Page. 2012. PP. 1). This 2010 award of excellence highlights a fundamental transformation for a company that in the mid-1970s was immersed in a scandal regarding the safety of its Ford Pinto sub-compact. The issue which led to major lawsuits, inconclusive criminal charges, and a costly recall ofRead MoreCase Study : Ford Motor Company1611 Words   |  7 PagesFord Motor Co. Casey T, Blackburn Business 104 Business Organization Management Dr. Earl Murray Jr. 1 November 2015 Abstract I hope that this meets the intent of this paper and that you learn something new about the management of an organization that I have the most interest in. I wanted to discuss how the lessons that we have covered during this class are used and demonstrated in a large worldwide company such as Ford Motor Co. Ford Motor Co. Ford’s Motor Company History Ford Motor CompanyRead MoreCase Study : Ford Motor Company1220 Words   |  5 PagesThe Ford Motor Company fell into a trap of greed that resulted in the loss of many human lives. Before the disaster of the Pinto fires, Ford had a reputation as being the safety pioneer in the automobile industry with additions such as the seat belts even raising awareness of their safety. However, as the invention of small cars began to take emerge Ford began to lose market shares to the foreign market causing Ford to construct a small compact to satisfy this emerging market. Ford’s stance on â€Å"safety