Enterprise Resource Planning and Key Performance Indicators in Ford Motors

to be one of the largest American automotive company established by
the world and headquarter of the company is situated in Dearborn,
of the company is to keep the customers engaged by providing their top
luxury vehicles, the automotive parts, the commercial vehicles, the
SUV. Ford has worldwide manufacturing operations such as the United States,
Turkey, Germany, Argentina, South Africa, Australia and Brazil. It also
that is a Russian Automaker (Ford.com 2019).
behind the success of the company is the staffs, 199000 in number and the well
per the records of the year 2018. The company achieved huge success by
2017.
the company is the visionary leadership including William Clay Ford Jr., who is the
Hackett who is the CEO and president of the company. They have
the organization increase its revenues upto 160.33 billion US dollars by
poster presentation is to elaborate the enterprise resource planning , the key performance
the value chain, the supply chain management and the customer
is Ford Motors.
form of the ERP system, there is a developed form of PDM, SRM, PLM and CRM which has
more effective and efficient.
chain management is a systematic approach in the business which helps to improve the
in the long run.
data management is a process of using software for tracking and controlling the data
particular products. The information which is tracked by this tool is mainly the technical data
and product developing.
life cycle management is the succession of strategies applied by the firm management
goes through the life cycle. Through this cycle, the product pricing and advertisement
be changed because the product succeeds to the next stage.
It is a new type of management system that is entirely focused on the customer relationship
is more focused on the market and customers as compared to the ERP
the e-business is to enhance the effectiveness and efficiency of the external processes and
The new approached ERP system of FORD motors helps the company to connect with
suppliers along with others by the web technology. It supports the company to circulate the
Key performance indicator
The key performance indicator is a measurable value which demonstrates how well an organization is achieving the
business objectives. Almost all the organizations use the KPI at every level for evaluating their success in reaching the
targets. The higher –level of KPI means the focus will be on the overall performance of the business. On the other
hand, the lower –levels of KPI means the focus will be on certain departments such as marketing, sales, support, HR
and others. In the Ford Motors the key performance indicators are the financial health of the company, the customers
& products, the operations, the supply chain , community services and its people. Under the customers & products,
there are the percent of nameplates achieving the NCAP or the New Car Assessment Program, the Ford U.S corporate
average fuel economy, the Ford U.S Co2 tailpipe emission per vehicle and many others. The operations cover the
worldwide facility energy consumption per vehicle, the global water use per produced vehicle are there
(Corporate.ford.com 2019). The community services of the Ford Motor company such as Fund charitable contribution,
volunteer corps are counted. These indicators help the company to maintain their reputation and standard of service .
It also helps the company to retain their loyal customers.
Customer relationship Management
The Ford Motor company pays high salaries to the customer relationship managers in order to maintain and
strengthen the customer relationships The objective of the company is to acquire and retain the right customer having
reduced the rate of customer defection . It also focuses on increasing the longevity of the customer relationship. The
CRM programs are fueled by the statistical analysis system or the (SAS). The SAS supports high customer satisfaction,
it is easy in the data mining, it supports a variety of functions having included the reporting and the customer life –
cycle analysis. The customer relationship management of Ford also aims at building the loyalty with proactive
marketing too (Cisco.com 2019). The Ford Motors company has their own CRM matrix. They divide the CRM in four
broad areas such as ordering , supporting , marketing and selling. The sub-divided management strategies are as
follows:
The campaign management
The customer targeting
The campaign delivery
The campaign analysis
Lead management and contact management
Opportunity management
Online case management
The business intelligence
The custom reports
Operations management
Through the past years, there have been huge changes in the automotive industry through the past few years. The
market competition has changed because of the spread of the multi-brand dealership. The Ford Motors focuses on the
customer demands for their operational processes (Slack, Brandon-Jones and Johnston 2013). The Ford sustainability
report has found out that in the automotive industry, the customers want the real-time availability of the products, a
trusted expertise and personal relationship to guide them, an excellent support from the seller with products on
affordable prices. The operational objectives of the company are speed, quality, costs, flexibility and dependability. In
order to fulfill the objective of speed, they deliver the products faster t the customers. In order to maintain the
superiority of their quality, they conduct the Total Quality management (Rctom.hbs.org 2019). They manage the
business expenses for reducing the utility costs and balancing the other expenses. The workplace and product
flexibility are maintained to broaden their vision and gain the competitive advantage in the market.
Supply chain management -
The supply chain is a network of the facilities and the distribution options which helps to improve the company having
made the product or the service delivered to the end users . There are few basis steps of the supply chain of an
automotive organization such as planning, sourcing for the supplies, manufacturing of the product , delivering the
product and returning the product. In the supply chain of the Ford Moto company, firstly, the raw materials re gathered
from trusted suppliers from various parts of the world. When all the components are gathered in the warehouse of the
company, manufacturing take place. After the products get manufactured, these are distributed to the retailers for
reaching the end users or the customers. The supplier base of Ford is found to have long –term relationships with few
of the suppliers who provide the company with complete vehicle subsystems (Supplychaindive.com 2019). The
purchasing department of Ford is free of the product development area. The purchasing has a huge dominance on the
purchase design and the price negotiations. They manage their supply chain by building stronger relationships with
the customer and the suppliers . It also aims at shard commitment and the supplier capabilities along with
collaborating through the automotive industry.
Value Chain
The Ford Motors company believes that they should create value for reducing the carbon footprint. They consider
sustainability criteria in a holistic way for product designing. This is because the decisions can have far –reaching
impacts on the product life cycle. They depend on the parts , the materials along with the components from the
suppliers and collaborate o encourage social standards and high environmental standards . As far as the logistics of
Ford is concerned, it focuses on the delivery of the inbound freight along with transporting the finished vehicles to
dealership in an efficient manner (Epa.gov 2019). The manufacturing of Ford vehicles is done investing on the world-
class facilities. They drive innovation and excellence too.
Recommendations
The company should concentrate on the capacity design. It will support the products goals . The company should