Ford Motor Company: Supply Chain Strategy Essay

CASE 2-3: FORD MOTOR COMPANY: SUPPLY CHAIN STRATEGY
GROUP 5
Wiphu – Kirakit – Kittiphon
Tacha – Pimonpich – Ariyawan
08/17/2010

OUTLINE
 A) General Issues  B) Main Stakeholders  C) Theory and Concepts  D) Symptoms and Problems  E) Alternatives & Evaluation Criteria  F) Best Solution & Implementation Plan  G) Evaluation and Review of the Project  H) Current Status Update

A) GENERAL ISSUES
 Facts:
  Founded by Henry Ford in 1903, with a head quarter in Detroit, Michigan   The main business is design and manufacture of automobiles for sale on a global scales with 370,000 employees   Ford is the second largest auto-maker in the United States   In 1995, Ford implemented a corporate restructure plan called Ford2000 in order to reduce production cost by re-engineering and globalizing. Process such as OTD, order to delivery, and FPS, Ford production system were introduced.   In mid-1995, Ford Motor Company launched a public Internet site to provide product information to potential customers surfing the internet world. Information technology became a tool for success in every single reengineering project of the company.

  Challenges:
  What is the best way to implement new IT technologies to provide information and share ideas with customers and suppliers at the highest level.   How to improve quality while reducing cycle times and lowering the costs of production.

B) Main Stakeholders
Internal Stakeholders External Stakeholders
Committee of the board Director of the company Executives- Employees Supply chain Department Government Investors Suppliers Customers

C) Theory and Concept
Traditional Supply Chain “Push” Model
The old version of “push” Model allows supply chain members to be separated from the end users which involves in a linear flow of commerce. The current push model is the process that occurs through time-consuming. Suppliers and customers are served relatively by the production cycle. Since the agendas all...