Analysis of Business Operations and Quality Management in Ford Motor

This report provides a comprehensive analysis of Ford Motor's business operations, focusing on key strategies and quality management approaches. It identifies and discusses two best practices: the balanced scorecard system and supply chain management, emphasizing their role in enhancing efficiency, customer satisfaction, and brand image. The report details how these techniques are applied within Ford, supporting strategic planning, performance measurement, and timely service delivery. Additionally, it explores the Six Sigma approach for quality management, highlighting its role in reducing defects and improving product quality. The analytical framework links these strategies to improvements in Ford's operations, emphasizing the importance of customer focus and strategic planning. The report concludes by justifying the chosen techniques and their impact on Ford's operational success.

BUSINESS OPERATIONS

Table of Contents
INTRODUCTION...........................................................................................................................2
LO 4(a).............................................................................................................................................2
Identification of the two bets practices in the ford motor case study..........................................2
Understating the facts behind taking this technique into practice..............................................2
Description on how these techniques will be applied in the ford...............................................4
Application of knowledge in relation to these aspects................................................................4
LO 4(b).............................................................................................................................................4
Analytical framework in relation to enhance the business oppression. .....................................4
Link this frame work to the chosen organization in relation to improvement in the working of
firm..............................................................................................................................................4
Task 5 : Quality management approach improving the business operations in Ford. ....................6
1. Six sigma approach for quality management .........................................................................6
5.b Justification of the techniques Ford chosen and applied to improve its operations..............8
CONCLUSION ...............................................................................................................................9

INTRODUCTION
The Business oppression management plays the essential role in relation to derive the
success to the organisation. The present assignment has covered the case study with the help of
which the best practice is need to be taken. This report is based on the activities of the Ford, it is
the largest auto-mobile industry and working in relation to develop the practices so that firm is
able to deliver the best products to the consumer (Williams and Neely, 2018). The two best
practices are need to be taken are as balanced scorecard system and supply chain management.
The main aim is to deliver the effective product to the customers by taking innovative
opportunities. This kind of the activities helpful in order to maintain the brand image of the firm
in the market. In this both case study has been given with the help of this best practice can be
taken into consideration. Therefore, organisation is able to expand their business activities in the
large manner.
LO 4(a)
Identification of the two bets practices in the ford motor case study.
With the help of the case studies there can be identification of the two best techniques of
practices with the help of which the firm is able to run its oppression in the smooth manner.
These are defined in the following manner are as-
Balanced scorecard system.- with the help of this each activity of the firm can be run in the
effective and efficient manner. Thai is very effective in order to know the performance which is
need to be used in the strategic management (Hamdi, 2018). This kind of the system is need to be
measured and feedback is need trio be given in the timely manner. In this manner the control and
monitoring process is need to be taken in the consideration.
Supply chain management- It is really important to manage the suppliers and consumer in the
single supply chain. With the help of managing the supply the fir is able to deal with the demand
factor. This kind of the activities are helpful in relation to grow the activities of the firm. This
kind of the thing is need to be improved so that each activity can able to run in the effective
manner.
Understating the facts behind taking this technique into practice.
This two things is need to be understand so that each activity can be run in the smooth
manner. In this following things is need to be considered such are as-

Balanced Scorecard system- This is very systematic method, this kind of the working will help
the organization to develop and visualize the strategy and translate this kind of action in the
operational objective. With the help of this behaviour of the person can be evaluated in the
effective manner. The ford has adopted this technique I n order OT expand the activities of the
business in the large manner. With the help of this it is possible to have expansion in the working
of the performance of each employees. This kind of the approach has been undertaken in order to
know the vision strategy of the firm (Bohmer and Shuman, 2018). This kind of the system is
very helpful in relation to improve the internal and external activities of the organization. With
the help of this the Ford can take the various innovation strategy so that more number of the
customer can get attracted towards the products of the business enterprise. This is the kind of the
strategies planning and with the help of this vision and mission of the firm can be settled. This
kind of the approach is very helpful in order to process each thing in the expertise way. In this
the BSC is the measurement tool with the help of which effectiveness can be evaluated. In this
manner the following this is need to be considered and this are given in the following way are as-
In the first stage the main objective is need to be identified. This is need to be communicated
to the competitors in this following things is need to be included such are as- Goal,
advantage and its scope.
The changes are need to be designed.
Effectuate measurement into the process is need to be done.
The extra initiative is need to be taken so that each activity is able to run in the appropriate
manner.
Supply chain strategy- with the help of this kind of the strategies the firm is able to deliver the
products to the customer in the timely manner. There is need to change the management in
relation to the supply chin in order to improve the effectiveness in the cost and make it more
profitable (Hamdi, 2018). The ford can improve their services by delivering the good services to
the customer. In relation to make the supply chain more effective the Ford is need to use the
effective strategy so that each activity can be run in the smooth manner. In this it has been
identified that it is very difficult to mange the suppliers and customers in the single supply chain
and it has become the challenge for the Ford.

Description on how these techniques will be applied in the ford.
Theses both technique is need to be applied in order to making the oppression of the firm
in the flexible manner. This kind of the activities will be helpful in relation to earn large amount
of revenue. The balanced scorecard system will be helpful in order to set the strategic planning
so that mission and vision of the company can be known and effectiveness of performance of
Ford can be measured. Supply chain management will be helpful in order to deliver the good
service to the customer in the timely manner (Williams and Neely, 2018). This will help to face
the competition in the market and in this manner the firm is able to derive the longer
sustainability in the market.
Application of knowledge in relation to these aspects.
With the help of this I can to know that this both are having the advantage in order OT
develop the overall functioning of the firm in the effective manner. In my balanced scorecard
system will be helpful in order to timely evaluate the working of the organization and with the
help of supply chain management technique the firm is able to maintain the satisfaction of the
customer as well producer in the market.
LO 4(b)
Analytical framework in relation to enhance the business oppression.
With the help of the supply chain framework the business can able to run its activitie sin
the most appropriate and effective manner. This kind of the process is very helpful in relation to
delivering the timely services to the customer (Kopp, 2018). This kind of the activities will be
helpful in order to enhance the brand image of the firm. The expansion can be done and this kind
of the activity will be helpful in order to earn large amount of profitability and productivity. This
kind of the process has becoming the challenge to manage the both the function and to make best
link between the customers and services provides of the Ford.
Link this frame work to the chosen organization in relation to improvement in the working of
firm.
With the help of this kind of the analytical framework the Ford is able to manage the
supply function of the firm in the effective manner. This kind of the activities will be helpful in
order to enhance the brand image of the firm (Ciulla and et.al., 2018). The expansion can be
done and this kind of the activity will be helpful in order to earn large amount of profitability and

productivity. With the help of timely delivering of services to the customer the firm is able to
maintain its brand image in the eyes of the customers. Supply chain management will be helpful
in order to deliver the good service to the customer in the timely manner. This will help to face
the competition in the market and in this manner the firm is able to derive the longer
sustainability in the market.
Task 5 : Quality management approach improving the business operations in
Ford.
1. Six sigma approach for quality management
Six Sigma is statistical based, data driven and disciplined approach and continuous
development technique for reducing the defects in the process, products or services. It was
created by Motorola in middle 1980's with regards to management principles, its became popular
approach in management due to implementation in General electric. The Sigma represents the
population standard deviation, which refers to the measure of the variations in the data set
gathered regarding the process, when the defects are defined by specification limits separating
products from bad results of a process, then six sigma process has a mean process that is the six
standard deviations from the nearest limit(Dale.2015).
Ford company is known for its premium and high quality products, the brand focus on
utilising unique or innovative products and use lean production and Toyota quality management
in order to achieve the objectives. The brand observed the need of segmenting the difficult tasks
into simple processes, utilising interchangeable parts and specialised tools. Ford develop
effective ideas to develop efficiency and effectiveness in every broke down process to make
them more functional and beneficial. This helps the company to reduce the cost of production,
simplify the labour process and decrease the needed workforce.
Quality management approaches
There are many quality management approaches used by the management of various
organisations in order to manage the quality of the products manufactured. These approaches are
as described below -
 Customer Focused – The customer is the one who identify and determine the quality level
of the products. The customer decides whether the efforts of an organisation are

worthwhile for improving the quality of their products. The organisation uses various
techniques such as training the workforce, improving the design process, technological
up-gradations etc but the customer determine whether they achieved the high quality
level or not.
 Strategic and Systematic approach – This approach focus on developing effective
strategies and plans to achieve the high quality of the products. The management plays
critical role in achieving the organisation's mission, vision and objectives by developing
various quality strategies and plans.
 System approach – Ford needs to consider certain quality management approaches while
implementing the quality management strategies, System approach is one such principle
which helps to determine, understand and manage a system of interconnected activities of
any objective that can increase the organisation's efficiency. This approach is very
important within the continuous development process as it offers great benefit to the
company(Oakland,2014).
Six sigma quality approach in Ford
There are many factors that attracted Ford to choose Six sigma approach, two of the factors are
as described below -
 Improving the quality – Ford is popular for their high quality products but even their
quality standards fluctuate from time to time whereas many companies nearly 99%
quality level is considered as acceptable. This shows a great amount of defects. The six
sigma approach determines that only 99.99% is ideal. This reduces the number of defects
per million considering the percentage mentioned above.
 Decreased rate of customer satisfaction – In order to achieve success it is important to
satisfy customer demand. Most of the problems are linked with each other because
multiple position of defects are adding to a defective good or product. The Ford chose the
six sigma approach to improve the production by framing their processes which leads to
increase the productivity and satisfy the customers(Mehta,Verma and Seth,2014).
Relationship between the six sigma approach and Ford's business operations

The Ford started using the Six sigma approach in the late 1990's. Their objective was to be a
customer satisfying product brand and not only a common automotive producing company. They
wanted to improve the quality of their manufacturing products and enhance the rate of customer
satisfaction. The ford was the first automotive brand to implement the six sigma technique on the
business operations at a huge level. The six sigma focuses on reducing the defect rates which is
directly connected to the improvement in the production process or operations of the company.
The business operations need to be improved and enhanced in order to decrease the defects in
products manufactured by the Ford.
5.b Justification of the techniques Ford chosen and applied to improve its operations
There are different approaches which has to be followed by the mentioned company. Different
approaches of operation management are TQM and just in time inventory approach. Operation
manager of Ford motors has to bring these approaches in workplace to improve the quality of
services and business.
TQM(Total quality management): this one of the most famous and old approach of
operation management and gives effective results. Cited company must follow this approach to
improve its efficiency in production and services. Through this approach chosen company can
provide the services and products according to customer's needs and desire. This is the best
approach to attract more customer towards the organisation. This process will help cited
company to improve its brand image by providing the high quality products and services. The
operation manager of cited company has responsibility to examine the quality of products and
services on regular basis. Following are the basic factors of TQM approach. Meeting customer's
requirements: Customer satisfaction is success key of any organisation. Through this approach
cited company can easily satisfy their customers. By using the TQM approach, operation
manager of cited company identify the requirements of customers and will provide the services
and products according to their interest and desire. Continuous improvement: TQM approach
helps an organisation in continuous improvement. Cited company can bring new opportunities
and future development through this approach(Sallis.2014).
Good public image: through the total quality management approach chosen company will
be able to expand their business at global level and this process will increase the brand image in
effective manner. TQM helps to build an image of the firm in the minds of people.

Limitations of TQM
Total quality management approaches suffers from the following major limitations
 Waiting for long time: as TQM is an effective approach but it takes long time In
executing process because this approach focuses on the quality of old and new products
and services. This approach includes proper planning and controlling.
 Problem of labour management relation: success of total quality management approach is
depends on the relationship between employees and top management. If manager is not
able to build a good relation with employees then workers will not provide their
contribution in this approach and also will not provide their extra efforts and skills to
accomplish the target.
Just in time inventory or Continuous improvement approach: this another approach of
operation management that can be adopted by mentioned company to improve their efficiency at
work place. Mainly this approach is used to remove the high production cost and helps an
organisation to increase their benefits. This approach said that manager has to order raw
materials from supplier only at time of need. Through this approach cited company can remove
the waste material problem and an increase the efficiency in business environment. Through This
approach cited company can save money by preventing in unnecessary stock, and reducing the
need to replace old stock(Goetsch and Davis,2014).
Limitations of time inventory approach
 RISK OF RUNNING OUT OF STOCK
 MORE PLANNING ARE REQUIRED
 LACK OF CONTROL OVER TIME FRAME
CONCLUSION
The report concluded that the Ford motor uses various techniques such as
Balanced scorecard system and supply chain management in order to improve the quality of the
products and increase the productivity of the organisation. The study also determines the
effective utilisation of the supply chain framework in order to increase the effectiveness of the

business activities or operations. Furthermore, the report includes the Six sigma quality
management approach as well as the factors that encouraged the Ford to implement it within
their business operations.

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