Ford

Ford Motor Company Case Study

Part 1: Executive Summary

My recommendation is that the Ford Motor Company should move to adopt a deeply, vertically-integrated supply chain strategy that includes the implementation of an effective Electronic Data Interchange (EDI) system which is key to the new strategy’s success. Recent advancements in the area of information technology (IT) has dramatically impacted such areas as logistics, operations management, procurement and all areas associated with business and operations. Supply Chain Management (SCM) is no different. The need to understand the capabilities of rapidly changing IT is key to recognizing the potential uses and how business processes maybe amended to maximize opportunities. Ford can effectively benefit from the adoption of new IT systems by maximizing its relationships with external suppliers by sharing information.

The following will outline the key recommendations that will need to be considered and addressed to support the full implementation of the new Supply Chain Strategy, which at its core supports the principles of Just-in-Time (JIT) inventory, Total Quality Management (TQM), Statistical Process Control (SPC), Ford Production System (FPS), and Order-to-Delivery (OTD); processes that were recently implemented and will allow Ford to continue to grow its market and increase profitability. These changes should result in financial savings and improved service levels thereby increasing profitability.

I am seeking Executive approval and the establishment of a transformational team that will lead the implementation of the vertically-integrated supply strategy.

Teri Takai,

Director of Supply Chain Systems,

Ford Motor Company

I. Process Elements/Table of Content Page

Part 1 Executive Summary 2

Part 2 Table of Contents 3

Part 3 Background 4

II. List of Issues with Impact Analysis

Part 4 Systemic Issues 5

III. Environmental and Root Cause Analysis

Part 5 Qualitative Analysis 6

Part 6...