Strategic Management at Ford Motor Company

Running Head: STRATEGIC MANAGEMENT 1
Strategic Management at Ford
Motor Company

STRATEGIC MANAGEMENT
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Executive Summary
Strategic management is a process in which people make efforts to manage its business
operations and processes. This process is helpful in developing more beliefs and value systems
for a company. This report examines different aspects of Ford Motor Company. Ford Motor
Company is a leading player in the automobile industry. It is engaged in manufacturing the cars
and trucks. The company has positioned on first rank in manufacturing the trucks. This report
analyzes an issue that is faced by organization in this competitive business environment. It is
facing the issues related to the quality of its products and services.
The customers are facing some quality and safety related issues in Ford’s cars and trucks. The
company was knocked in the quality surveys, which are conducted in the country’s automobile
industry. Due to these issues, the company has introduced new products in the industry. The
company has faced the safety and quality problems due to fault of suppliers of Ford as they have
supplied faulty parts for the products, i.e. the Escape SUV and the Ford Fusion. It analyzes the
strategic position of the organization by stating its mission, vision and related strategy.
Furthermore, it includes its competitive analysis and financial analysis of the organization. At the
end, report includes some other factors, like; technology and ethics in context of Ford Motor
Company. The organization is very good at complying with all the regulations. Technology plays
an important role in business operations of the organization. Thus, this report will help in
understanding strategic management of Ford Motor Company.

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Contents
Executive Summary.........................................................................................................................2
Introduction......................................................................................................................................4
Company/Industry Overview...........................................................................................................4
Issue Statement................................................................................................................................5
Strategic Direction...........................................................................................................................5
Vision, Mission and Strategy.......................................................................................................5
Cost Leadership............................................................................................................................6
Focus Strategy..............................................................................................................................6
SWOT Matrix..................................................................................................................................6
Summary of Operational Performance............................................................................................7
Financial Overview......................................................................................................................7
Technology....................................................................................................................................10
Ethics.............................................................................................................................................11
Limitations.....................................................................................................................................11
Conclusion.....................................................................................................................................12
References......................................................................................................................................13

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Introduction
Strategic management is an important aspect for each and every organization. It is the process for
evaluating current strategies of an organization and finding out the position and efficiency of that
organization in perspective industry. In this paper, the report examines an issue, which is faced
by Ford Motor Company. After mentioning the issue statement, it includes different strategic
aspects regarding the same organization. Ford Motor Company is one of the largest
manufacturers of automobiles and largest truck producer in the world. The organization is
implementing different methods for mass production and made the vehicles more affordable for
middle-class people.
This report examines the strategic direction of Ford Motors by incorporating its vision, mission
and marketing strategy. After that, it examines the strengths, weaknesses, opportunities and
threats of company. It includes different tools to analyze the strategic position of the company.
Furthermore, it includes the summary of financial and operational performance of the
organization. At the end, it includes the organizational issues and solutions related to technology
and ethics. This report can help in understanding different aspects regarding Ford Motor
Company.
Company/Industry Overview
Automobile industry is a well-established industry that includes companies, which produce
automotive vehicles that consist of range from street performance to truck to off road. The
industry has various leading players, like; General Motors, Ford Motors, Toyota, Honda, Renault
etc. The industry is growing with a considerable growth rate. Now, the industry is dominated by
many firms, so it has become more competitive. In automobile industry, Ford Motor Company is
a well-known name that covers a significant market share in the same industry. Ford Motor
Company is a one of the largest organizations in automobile manufacturing industry and largest
manufacturer of trucks. The organization was established by Henry Ford in the year 1903. In
1919, it has become second largest manufacturer of cars all over the world (Ford Motor
Company, 2007).