BBS MISCFORD MOTORS COMPANY ANALYSIS

Table of Contents
1 Introduction.........................................................................................................................2
1.1 Company Overview.....................................................................................................2
2 Business Strategy................................................................................................................2
2.1 Business Mission and Values.......................................................................................2
2.2 Competitive Advantage...............................................................................................3
2.3 Evaluation of Business Strategy..................................................................................4
2 Organizational Structure.....................................................................................................5
3 Literature Review...............................................................................................................8
4 Performance Measurement System and rewards system....................................................9
5 Recommendations and Conclusions...................................................................................9
List of Figures
Figure 1. Organizational Structure of Ford Motors....................................................................7
Figure 2. Ford’s % of Revenues by Region...............................................................................9
List of Tables
Table 1. Porter's Five Forces of Model......................................................................................5
 

1 Introduction
1.1 Company Overview
Ford Motor Company is one of the world’s largest automakers with products in a variety of
segments including small cars, medium cars, large cars, premium vehicles, trucks, buses and
vans, full-size pickups, SUVs, and vehicles in the medium/heavy segments. The company
manufactures or distributes automobiles on six continents. “In 2014, the company produced a
total of approximately 6,321,000 vehicles and sold approximately 6,323,000 vehicles
(wholesale) throughout the world.” North America is Ford’s most profitable continent making
up 65% of total sales in 2014. Ford discontinued the Mercury brand in 2011 allowing the
company to focus on their two remaining brands: Ford and Lincoln.
Along with manufacturing and selling consumer automobiles, Ford Motor Company also
encompasses a financial segment, sells parts and accessories, offers extended service
contracts, and sells vehicles to commercial fleet customers, rental car companies, and
government entities. Ford is headquartered in Dearborn, Michigan, the same city where
Henry Ford founded the company in 1903. In fiscal year 2014, the company employed
approximately 187,000 people globally. Ford has many competitors including, but not limited
to, General Motors Corporation, Tesla Motors, Honda Motor Company, Toyota Motor
Company, and Nissan Motor Company. Ford’s extensive history and dedication to their
mission and values have allowed them to grow to the $45B company they are today despite
the highly competitive automobile industry (Ford Corporate, 2018).
2 Business Strategy
2.1 Business Mission and Values
“At Ford, we go further to make our cars better, our employees happier and our planet a
better place to be.” Ford Motor Company works towards this mission by focusing on four
core values: Quality, Safety, Sustainability, and Innovation. Ford has adhered to these values
since the founding of the original company in 1903. For example, in the early history of the
company, the introduction of assembly line production and crash testing created better
quality, safer, and more innovative automobiles. Sustainability is a fairly new concept, but
Ford has made this value an integral part of their business “from water usage to worker
rights.”
Ford’s vision is “People working together as a lean, global enterprise to make people’s lives
better through automotive and mobility leadership.” The One Ford initiative has been
instrumental to the progress the company has made in recent years, and will continue to be
instrumental to the company’s performance in the future. The goal of this initiative is to bring
together global markets into one team, with one plan, and one goal. In other words, Ford has
been working hard to ensure that global markets are working together to achieve maximum
results as a whole instead of operating separately with only their own market in mind. One
aspect of this strategy is a global product development process which “utilizes global
platforms to deliver customer focused programs rapidly and efficiently across global
markets.”
In addition to the acceleration of the One Ford plan, Ford Motor Company is currently
focusing on two additional strategies which align perfectly with their mission, vision, and
values. The company is focusing on product excellence with an emphasis on exterior design,
comfort, convenience, fuel efficiency, recognizable look, sound, and feel, and exceptional
value and quality. Lastly, Ford is focusing on Innovation in every part of their business. By
asking questions, challenging norms, and taking risks, Ford hopes to use innovation to make
the world a better place.