Total Quality
management (3131)
Final project :- TQM
system in Ford
company
Hina Sonrat (0254283)
INDEX
• INTRODUCTION OF COMPANY
• FORD'S PRODUCTS AND SERVICES
• TOTAL QUALITY MANAGEMENT IN FORD
MANAGEMENT SYSTEM
• DISCUSSION ON HOW TQM AFFECTS IN
FORD COMPANY' PROGRESS)
• OBSERVATION
• SUGGESTION
• REFERENCES
This Photo by Unknown author is licensed under CC BY-SA-NC.
• Henry Ford on his 1896
Quadricycle, one of two built.
Image: Wikimedia Commons
•
One of the Ford's latest version of
2022 EcoSport S
INTRODUCTION of ford's
the history
• Ford Motor is first largest U.S automotive
corporation and fifth largest in the world
according to 2015 vehicle production.
• In early 19’s , After years of selling car
models ,Henry Ford and his investors
launched successfully model T in 1903 and
by 1923 they built more than half of US
automotive vehicles.
• The purpose of the company is " to help
build a better world, where every person is
free to move and pursue their dreams"
• Henry ford revolutionized in
automotive industry because he sold cars
for less cost and made them affordable
to middle class families.
Top Competitors of ford
1.
2.
3.
4.
5.
6.
7.
8.
9.
General Motors
Tesla
Fiat chrysler automobiles
TOYOTA MOTOR Corp
Hyundai
Honda Motor company
Nissan
TATA motors
Rivian Automobile
Stockholder
Stake
Shares
owned
The Vanguard
Group, Inc
8.14%
318,570,329
BlackRock Fund
Advisors
4.56%
178,609,372
SSgA Funds
Management, Inc
4.01%
157,099,664
Newport Trust Co
3.77%
147,546,419
Stake
• Ford designs then manufacture, markets and provide services of full
line of electrified passenger and commercial vehicles for example Ford
trucks, utility vehicles, vans, and cars, and Lincoln luxury vehicles etc.
• Ford includes some segments .For instance , Ford Blue, Ford Model e,
Ford Pro, Ford Next and Ford Credit.
• Ford blue segment works on gas powered and hybrid vehicles.
Products and
Services
• Ford Model e segment engages in expanding electronic vehicles
(EVs) with the help of embedded software.
• Ford pro segment engaged in assist commercial customers transform
and develop their businesses with vehicles and services based on their
needs.
• Ford Next provides financial services and aim for mobility solutions
with the help of Ford Motor Credit Company
• Ford credit company mainly provides financial help related to vehicles
and leasing activities.
TQM in Ford management
• First time ,Ford company implemented TQM in
1980s and the mantra was " When Quality is
job 1"
• By the 1990s , it was changed to " Quality
People, Quality Products" because Ford
wanted to produce better quality products, a
stable work environment for the workforce,
effective management, and profitability , After
partnership with a paint supplier ChemFil.
• These days, Six Sigma methodology is applied
in the project management.
•
After applying Six sigma practices, their warranty repair
rate become far superior Ford Warranty claim system.
•
In 2008, the warranty repair rate for Ford by using Six Sigma
decreased by 60%.
•
Six Sigma
Ford Chief Engineer Art Hyde explained how they able
to reduce problems before launching products in market
through DMAIC process.
• In 2010, Ford implemented QOS ( Quality Operating system)
and Six sigma in each plant includes cross-functional groups of
engineers, plant management, and production specialists
• QOS and sigma six plays principal role in identifying and
correcting manufacturing facilities.
• Dobbs said They all are skilled problem solvers who’ve been
trained through Six Sigma.
• Recently,
THE DMAIC PROCESS
AND TOOLS FOR
QUALITY
MANAGEMENT
Employee
involvement
• Ford Employees are like their customers
• In Michigan, they organize information
sessions to provide information about
products and give employees an
opportunities to view, learn and test
drive the unlaunched vehicles.
• Each year ,their Employee Resource
Groups also organize many events and
initiatives to
give employees insights about their
product and services.
Certifications
Ford is the first automotive company to verify all plants under
ISO 14001 which is environment standard. ISO 14001 evaluates
environmental processes and system operations.
In 1996 , It is also certified under ISO 9001 which evaluates
positive impacts of quality discipline on customer satisfaction.
Observation
• As a result of implementing
TQM , Ford has
definitely positive impacts such
as the major elements such as
customer quality, obsession with
quality, long term commitment,
teamwork .
• But they have failed to fully
adopted continuous
improvement process
and customer complaints with
manufacturing parts
Suggestions
• There are still new approaches needs to be implemented
such as business process reengineering (BPR) . IT (
Information Technology) is primary driver for BPR. IT
analyzes and circulates information from customers and
suppliers for better result in improvement.
• New computer networks and paying more attention to IT
issues enhance performance of the process of the company's
operation.
THANK YOU
FOR SUPPORTING
• 1) https://www.investopedia.com/insights/ford-motorstop-3shareholders/#:~:text=The%20top%20shareholders%20of%2
0Ford%20are%20William%20Clay,The%20company%27s%20
market%20cap%20is%20about%20%2427.0%20billion.
• 2) https://money.cnn.com/quote/shareholders/shareholders
.html?symb=F&subView=institutional
• 3)https://www.reuters.com/markets/companies/F.N/#:~:text
=Company%20Information,cars%2C%20and%20Lincoln%20lu
xury%20vehicles.
• 4)
References
• phdessay.com/total-quality-management-in-ford-motorcompany/
• 5) business-essay.com/ford-motor-company-total-qualitymanagement/
• 6)https://www.brighthubpm.com/methodsstrategies/72279-tqm-and-ford-motor-company/
• 7)Ford Media Room: https://www.media.ford.com (Press
Releases) - Jean Scheid is a registered user of Ford Media
Room