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In early 2008 Ford began to change their approach to way their design and make vehicles. The plan was to create one template that covers design, engineering and development for all Ford vehicles throughout the world. The Global Product Development System (GPDS) is supposed to help Ford to deliver more vehicles faster, increase competitiveness and deliver greater profits.
Ford is now fixed on a global market strategy and we are starting to see the “One Ford” program finally emerge. Just a few years ago it had many brands, models and platforms trying to deliver vehicle solutions to different regions. Its operations were located in North America, South America, Europe and Asia Pacific and there was hardly any crossover. Each had their own unique product development, manufacturing processes and unique group of suppliers.
Instead of acting as separate entities, Ford is now operating in the regions of the world as one organization, working to follow through with the same global product, powertrain and technology plan. It’s doing this with a single team that controls the development of all its global vehicles. Ford’s example of this currently is the Ranger, Fiesta and Focus.
“Operating as one team around the world, with one plan and one goal, is exactly what we are doing.” said Ford’s Alan Mulally.
According to Ford this “One Ford” strategy has seen develop a Global DNA. The idea behind this program is to see a consistency of engineering and development within the Ford team and from their supplier partners. Ford are talking about a standard for the way a Ford vehicle should feel, sound, drive or even smell.
The thinking behind the Global Product Development System (GPDS) is to enable Ford to leverage all of its best resources to build vehicles that people want. An example sited is with electric engines, mainly with hybrids. Currently, the only place in the world where Ford offered a hybrid vehicle was America.
Ford in Europe has never been able to afford hybrids because of the expense to engineer for one local market. “One Ford” should get the latest level of technology into all of the markets, share the cost through economies of scale and make it much more affordable. The all-new 2012 Focus is the result of a (GPDS) program, which brings together Ford’s best engineers and technology.
According to Ford, the members of the Ford (GPDS) team have worked in the different parts of the world, and that should benefit when Ford looks at all the different markets, their different needs, and the different cultures. This is supposed to help Ford work together as a “One Ford” team in the emerging markets like India, China and other segments of that region.
These regions are earning an income that soon will be able to afford four-wheel transportation rather than the traditional two-wheel solution. Selling into these emerging markets is going to be an increasingly important part of the global automotive business for Ford and other carmakers.
Ford is saying that if you’re not a strong player here, it’s going to be a harder argument to say you’re really a global automobile manufacturer.
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October 2012.
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