Ford Motor Company Discussion ATTACHED YOU WILL FIND THE ROUGH DRAFT, TEMPLATE and THE FEEDBACK ON WHAT NEEDS TO BE CHANGED. Your final course project pap

Ford Motor Company Discussion ATTACHED YOU WILL FIND THE ROUGH DRAFT, TEMPLATE and THE FEEDBACK ON WHAT NEEDS TO BE CHANGED.

Your final course project paper is now due. Be sure to incorporate your instructor’s feedback in your final submission.

Your paper must 7 – 8 pages long besides a cover page and a reference page. It should demonstrate a strong thesis statement supported by research from at least 3 scholarly sources. Both a references page and in text citations must be in APA format.

Your paper should include the following:

A brief description of the organization and industry they selected
At least four key concepts relevant to Operations Management in your organization
An explanation of how these elements directly relate to Operations Management
An analysis of how these concepts work together to resolve business problems
An analysis of how these (4) concepts reflect effective management and efficiency
An evaluation of operations concerns in global markets
An evaluation of corporate social responsibility issues with regards to quality and industry standards. Running Head: FORD MOTOR COMPANY
1
Ford Motor Company
Operations Management is a concept born during the advent of manufacturing processes
more specifically during the industrial revolution; it has since grown to encompass activities like
service provision. Operations management can be defined as all the activities and processes
designed to achieve coherence and effectiveness at the input stage ensuring that the yields are
profitable. Ford Company is one multinational that is considered successful as a result of having
a strong operations management system. The company was founded at the onset of the 20th
century by Henry Ford.The American based automobile firm has survived what is considered the
worst economic times in history. Prior to 2008, the company had lost a considerable market size
to its competitors. The company’s expenses had also increased tremendously while profits had
taken a downward spiral (Hoffman, 2012). This turn of events led to what is currently known as
the One Ford Plan (Taylor, 2009). Since then, Ford has been one notable success that has
managed to combine efficiency and effectiveness at an affordable amount in all its processes
including operations, finance, inventory management and supply chain.
The one Ford plan may have been a way to salvage the company but it has ended up
making Ford one of the most innovative companies of our time (Hoffman, 2012). The plan had
essentially taken into consideration all its stakeholders and included them in the operations
management plan. The plan focused on uniting all the stakeholders to encourage innovativeness,
flexibility, and profitability through restructuring its operations.
Operations Management is one key ingredient to an organization’s success and survival
as is Ford’s case. Managing to combine quality, quantity, and affordability should be the main
goal of any business (Hoffman, 2012). The three ingredients famously known as the 3E’s of
FORD MOTOR COMPANY
operation management according to Westcott, (2016) include; efficiency, effectiveness, and
economy were part of Ford Operational Management Plan.
•
Efficiency – This term is used to refer to maximizing the quality and quantity of the
output using very minimal input. By being efficient an organization saves on time,
finances and all other resources.
•
Effectiveness – For any given business value optimization is the ultimate goal. This can
be achieved by adopting various strategies and processes depending on how effective
they are. Effectiveness measures if an organization is on the right track by checking on
the outcome.
•
Economy – In operations management, the economy is considered as a measure of what
goes into the production. Economy encourages the use of inputs that act as cheaper
alternatives.
Ford Company was able to integrate the 3E’s into its operational management plan and
this is a perfect example of how and why operational management processes could help the
company’s success.
A thorough analysis of Ford’s Operational Management activities reveals that the
company has four key concepts embedded in its One Ford Plan. These concepts include:
Proper Planning and Execution
Success in any activity has always been associated with proper planning and execution.
Ford took advantage of this concept over 10 years ago at a time when most automobile
companies in the United States were seeking government support as a result of going bankrupt.
2
FORD MOTOR COMPANY
3
The company asked one of its executives to come up with a plan that could salvage Ford
from the increase in threats as well as its own weaknesses. The One Ford Plan as it was known
was well executed by the then CEO Alan Mulally. Proper planning ensures that activities such as
supply chain, production and operations, finance and inventory management can be accounted
for through operations management.
Quality Management
As part of the plan, Mulally has restructured the products of Ford in relation to each
market in which the company operates. He was able to help Ford develop products that focus
more on what each particular customer wants to solve the imbalance between what is supplied
and what is requested. Ford regularly reviews all its plans on a weekly basis to determine their
viability and future relevance.
Synchronization of activities and processes
The company was experiencing a mismatch between its expenditure and its income in
which the former was very high which means the company was operating at a loss. Ford resorted
into coordinating all its activities.
Layout Plan
The first evidence of synchronization and coordination of all activities is the One Ford
plan which united employees across the world and encouraged them to work as a team
consistently towards a common goal. Initially, each global office would operate independently
but after allowing for open communication across all offices and department it became easier to
track activities and trends in each market. The inventory management continues to work hand in
hand with the supply chain management department. By coordinating all its activities Ford
FORD MOTOR COMPANY
4
Company was now able to focus more on innovation as it is much easier to identify replicated
work.
Management and Control
Despite the company having so many offices in various parts of the world it still boasts of
maintaining a grip of all its activities. Intensive market research and experience has helped the
company categorize its clients into three that is those that prefer small automobile, those that are
for medium automobiles and the demand for large automobiles.
Maintaining control for each regional market means that the company is flexible enough
to respond to changes in each market.
Inventory Management – The Company uses a Just –In –Time Inventory management
system. This means that no input resource is wasted as the number of raw materials to be used is
dependent on the amount to be produced (Wild, 2017). The company had in the past let go of
brands such as Jaguar in an effort to solve its ailing inventory management system which
actually worked.
Organization of activities
Activities that do not have a flow may lead to chaos and confusion. By creating a flow it
is easier to understand how materials are moving from one location to another.
Schedule – Ford has automated all its processes, meaning that operations can be planned
in sequence with each other. Scheduling means that Ford organizes its activities depending on
the market through its various offices across the globe.
For efficiency and effectiveness to be achieved, all operation management decision must
be made on the basis of the above principles. Planning ensures that resources are mobilized in
FORD MOTOR COMPANY
5
line with each specific stage of production. Once the materials are organized, personnel have to
be coordinated to ensure a smooth workflow.
Efficiency and effectiveness are achieved once the processes have been successful as no
resource will be over or under-utilized (Westcott, 2016). Efficiency is said to be attained when
the objectives of a task have been achieved in the least costly manner. Effectiveness is achieved
when the desired outcome of a task becomes the reality. The concepts above are detrimental to
achieving efficiency and effectiveness.
Operation Management has so many benefits to an organization. Planning, control,
organizing and coordinating can never be ignored in any institution. When done together in sync
these four actions may solve the most unimaginable problems.
•
Reduction of business risk
Proper planning constitutes making predictions into the future. It ensures that a
business is well prepared for uncertainties and can withstand them. Proper
planning means that the company has control of its resources and is able to
organize them as per the situation at hand (Ferrão et al., 2014). Through planning,
Ford realized it had to dispose of brands such as Jaguar and the number of
employees so as to acquire enough funds for research and development.
•
Waste Management
Businesses lose a lot without the proper management of resources. By planning,
resources can be organized to be used in particular ways and coordinated to
achieve particular objectives. This way the amount of waste is minimized.
•
Compliance with different rules and regulations
FORD MOTOR COMPANY
6
Multinationals like Ford are faced with different challenges with some being the
rules and laws applicable to different countries. Putting in place strong operational
management strategies is essential to ensuring that the different offices around the
globe operate within the specific laws and that customer supply is met as per the
specifications without having to inconvenience customers from other regions.
Global Markets may appear to be opportunities for growth for multinational companies; they
may also a number of challenges. The companies may even find themselves amidst legal battles.
Some of the concerns include:
a) Cultures
Having offices globally means that the company is exposed to different cultures. One
thing could have very different meanings in different cultures, for some a taboo for others
something good.
b) Rules and Regulations
This poses as a major stumbling block to most multinationals with Ford being one of
them. This requires Ford to be vigilant and on the lookout not to be on the wrong side of
the law lest they incur huge fines (Vance & Paik, 2015). Compliance in itself is also quite
tiresome. Ford has managed to minimize this by giving each global office powers to act
within the country’s law but within the company’s framework.
c) Corruption
Businesses are faced with this challenge on an everyday basis. Some global markets may
have corrupt officials who demand some form of payment in contrast with the rules and
regulations of the company. Ford has partnered with locals from the various countries
FORD MOTOR COMPANY
7
who are conversant with the political environment to work either as tier 1 or tier 2
suppliers.
Businesses must at all times maintain an ethical profile as part of their responsibility.
This not only improves the company’s image but also protects those who are around the
business. Ford has maintained a great ethical profile by taking care of its environment. The
company may be a key contributor to carbon dioxide emissions into the environment in the past
but is now more focused on finding a solution to this. The company works in compliance with
quality and industry standards.
According to Ford’s Sustainability Report (2017/2018), the company produces
automotive models that comply with the New Car Assessment Program (NCAP), which means
they are safe for human use. The company’s cars have a rating of 5 for all regions which shows
that they meet all the industry standards for safety and quality. Protection of safety is explained
by that the company is conversant of human rights and takes an effort to ensure it upholds them.
Operations management is not just a theory advanced to guide businesses on how to
operate; it is the way that businesses should follow to ensure success. Businesses are not in
existence merely to make profits but also to provide goods at the most affordable cost which
means that they must also be ready to minimize wastage on resources in the most efficient and
effective manner (Vance & Paik, 2015). Ford is a perfect example of how operation management
systems put in place are critical to the continuity of a business. Ford used strategies including
disposal of brands such as jaguar to ensure a sound inventory and also tightening its conditions
on the supply chain and within just two years it was making profits while competitors were
running to for government help to get out of insolvent state.
FORD MOTOR COMPANY
8
References
Ferrão, P., Ribeiro, P., Rodrigues, J., Marques, A., Preto, M., Amaral, M. … & Lopes, A. (2014).
Environmental, economic and social costs and benefits of a packaging waste management
system: A Portuguese case study. Resources, Conservation and Recycling, 85, 67-78.
Hoffman, B. G. (2012). American icon: Alan Mulally and the fight to save Ford Motor
Company. Three Rivers Press.
Taylor A., III. (2009, May 12). Fixing up Ford. Retrieved January 27, 2019, from
https://money.cnn.com/2009/05/11/news/companies/mulally_ford.fortune/
Vance, C. M., & Paik, Y. (2015). Managing a global workforce. Routledge.
Westcott, R. T. (2016). The Power of Business Process Improvement: 10 Simple Steps to
Increase Effectiveness, Efficiency, and Adaptability. Quality Progress, 49(7), 61.
Wild, T. (2017). Best practice in inventory management. Routledge.
Possible
Includes a brief description of the organization / industry
Points:9 (9%)
Points Range:0 (0%) – 10 (10%)
Feedback:
please no more than 2 paragraphs on the company. We do not need all the fluff on
OM in general. Just stick to the template provided please.
Relates the organization to at least 4 key concepts relevant to Operations Management
(such as: Operations Strategy, Managing Innovation, Process Modeling, New Product
Development, Forecasting, Planning and Control, Supply Chain Management, Risk
Management and many more.) and explains how these things in the organization
relate to operations management
Points:19 (19%)
Explains how the concepts chosen in the previous section work together in the
organization to resolve business problems and reflect effective management and
efficiency
Points:19 (19%)
Evaluates the organization’s operations concerns in global markets
Points:19 (19%)
Points Range:0 (0%) – 20 (20%)
Feedback:
planning; quality management; after that I am just lost. What are the 4 key concepts
in this paper? While it covers OM in nice broad/general terms, it does not appear to
follow the template provided. Please do so in the final version.
Points Range:0 (0%) – 20 (20%)
Feedback:
Not sure where – or if – this is covered in the paper. Too many sub-headings made
this somewhat hard to understand.
Points Range:0 (0%) – 20 (20%)
Feedback:
this seemed very generic – it needs to be specific to the company itself please.
Evaluates the organization’s social responsibility in regards to quality and industry
standards
Points:19 (19%)
Uses in-text citations and includes a reference page in APA format
Points:5 (5%)
Points Range:0 (0%) – 20 (20%)
Feedback:
a good start here – but perhaps flesh this out with more programs specifically aimed
at Corporate Social Responsibility.
Points Range:0 (0%) – 5 (5%)
Feedback:
these seemed appropriate. Although, once you re-organize the paper to follow the
Possible
template you may find the need for additional citations/references.
7-8 pages in length plus cover and reference pages; correct spelling and grammar
Points:4 (4%)
Points Range:0 (0%) – 5 (5%)
Feedback:
too many ‘bulleted’ lists and indentations. Perhaps get some help from the online
writing lab with formatting the overall paper.
Raw Total: 84.00000 (of 100.00000)
Feedback to Learner
This is a grade for submitting a rough draft. It is NOT an indication of how the final paper will be graded.

Purchase answer to see full
attachment