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Ford’s better idea?

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in Best-Practices Leadership,Leaders & Managers

Ford Motor, led by CEO Alan Mulally, is fighting for American manufacturing with a single strategy: simplify.

This One Ford strategy means selling the same model, built the same way, in all markets. For a company that had too many brands, models, engines, platforms, factories and people—this is a radical idea.

“Since the orderable combinations will be reduced by more than 50%, that means that on half of the cars, it’s significantly simpler for the manufacturing plant. The ability to make a mistake is reduced,” says manufacturing chief John Fleming.

Mulally says the focus on simplification means Ford’s real competition is Toyota and Volkswagen. They’re pursuing the same full family of cars and best in class.

— Adapted from “How to Make Cars And Make Money Too,” Bill Saporito, Time.

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