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Ford Motor Company. Tim Morris. Brief History. Incorporated on June 16, 1903 in Dearborn, Michigan First to implement the assembly line “Model T” Today, Ford is the 2 nd largest U.S. car manufacturer and the 5 th largest in the world

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Ford Motor Company

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    Presentation Transcript
    brief history
    Brief History
    • Incorporated on June 16, 1903 in Dearborn, Michigan
    • First to implement the assembly line
    • “Model T”
    • Today, Ford is the 2nd largest U.S. car manufacturer and the 5th largest in the world
    • Lincoln, Mercury, Volvo, Jaguar, Land Rover, Mazda, Aston Martin, Jiangling Motors
    international operations
    International Operations
    • 77 plants and offices in 23 countries
    • 166,000 employees around the world
    • Argentina, Australia, Belgium, Brazil, Canada, China, France, Germany, India, Japan, Mexico, Romania, Russia, Slovakia, South Africa, Spain, Taiwan, Thailand, Turkey, United Kingdom, United States, Venezuela, Vietnam
    political issues
    Political Issues
    • By the outbreak of WWII Ford was doing business around the world
    • Germany and Japan
    • From 1942-1945 civilian production halts
    • Ypsilanti, Michigan, B-24 Liberator
    economic issues
    Economic Issues
    • 2008 financial crisis, narrowly avoids bankruptcy
    • Inefficiencies in segments
    • Sell/Discontinue 4 brands
    • Increased demand for smaller, more fuel-efficient vehicles
    • 54.5mpg standard mandated by 2025 in U.S.
    • Growing Markets in China and India
    one ford
    One Ford
    • Alan Mulally “One Ford”
    • Common parts and platforms
    • 15 new global models
    • Identical factories
    • Reduced costs lead to larger profit margins, and the ability to be competitive in developing countries.
    struggles in european market
    Struggles in European Market
    • 2013 Net Income of 7.2 billion
    • Record Sales in North America and Asia Pacific
    • Over 3 billion in European losses from 2012-2013
    • Stronger Euro –foreign exchange risk
    • Pension Expense, Manufacturing Costs
    • High labor wages in Germany
    • Economy still recovering from recession
    • Closes 3 facilities in Belgium and U.K.
    • Cuts production by 18%
    • Eliminated 6,200 jobs
    • Save 500 million a year
    • Streamlined production
    • “Using the same One Ford plan that led to strong profitability in North America, we will address the crisis in Europe with a laser focus on new products, a stronger brand and increased cost efficiency.” -Alan Mulally, Ford president and chief executive.
    what could ve ford done differently
    What Could’ve Ford done differently?
    • Ford could have better managed the financial crisis and changing global economy by using common platforms and parts sold or discontinuing unprofitable segments sooner, focusing on it’s core brands, and limited it’s exposure in the U.S. and European markets by focusing on it’s global sales. strategy.
    sources cited
    Sources Cited
    •  "Operations Worldwide." Ford Motor Company. N.p., n.d. Web. 02 Apr. 2014.
    • Hill, Charles W. L. Global Business Today: Eighth Edition. New York, NY: McGraw-Hill/Irwin, 2014. Print.
    • The Editors of Encyclopædia Britannica. "Ford Motor Company (American Corporation)."Encyclopedia Britannica Online. Encyclopedia Britannica, n.d. Web. 02 Apr. 2014.
    • Washington Post. The Washington Post, n.d. Web. 16 Apr. 2014.
    • "Ford Motor Car Company Factories." Ford's System of Branch Assembly Plants. N.p., n.d. Web. 16 Apr. 2014.