Ford Motors: Company Analysis

Table of Contents
Executive Summary 2
Introduction 2
Vision and mission 2 value system and guiding principles 3
Management Structure 4
Human Resource 4
Brand Equity 5
Business Strategy 5
Performance over the Years 8
Further Challenges and Strategy 9
References 9

Executive Summary
This report presents a brief analysis about the internal environment of Ford Motors which impart strategic nature of the organization. Organization structure of Ford Motor is mechanistic which resist in large changes in the hierarchy and makes difficulty for the innovation. It faced huge challenges from the Japanese and German auto maker’s hence financial performance is not growing rapidly. In the end of the report, few strategies are also suggested.

These statements drive the company’ growth strategy and future prospect. Vision statement is the source of inspiration and motivation and Mission statement is more about the present level of performance. From the website of Ford Motor, Vision statement is “Delivering Profitable Growth for All”. Source: Adszilla org
Company has recently (2013) changed its strategy which is reflected in their mission statement: One Team. One Plan. One Goal. Brief about the mission statement.
One Team: In Ford Motors people working together as a global enterprise for automotive leadership. It accounts these people as: Customer, Employee, Investor, Dealer, Union/Council, Supplier, and Community.
One Plan: Restructuring to operate profitably at the current demand and changing model mix;
• Accelerate development of new products whichever customers want and

Ford is the second largest automaker in US; Ford has great reputation in its home market and strong commercial vehicle sales that generate maximum revenue more than 50% revenue

• Significant growth in China. Ford, although not the strongest player in the China has experienced the significant growth in the largest automotive market in the world for the 2012. It grew its sales by 46%, according to Ford press release in 2013.

• ECOnetic initiative. Ford’s ECOnetic initiative is an effort to produce highly fuel-efficient engines by improving existing engines rather than new hybrid engines. The result of this initiative is the Ford Fiesta, currently the lowest emitting mass-produced car in Europe and Ford Focus ECOnetic that has better fuel consumption than Toyota Prius. Ford EcoBoost is another initiative to increase fuel efficiency.

• Sound financial performance. Ford was the only big US car company that didn’t need the government bailout and was the first to get investment status back. The firm’s profit margin is high compared to competitors with the highest liquidity ratio.
Weaknesses
• High cost structure. Although ‘One Ford’ (mission) initiative led to substantial cost reduction, Ford still has a high cost structure, compared to other automobiles