Ford - Strategy Implementation

ORGANISATIONAL STRUCTURE :

Ford Motor Company: Matrix organizational structure

Functional departmentalization and product groupings are typically merged in this structure
on a project-by-project basis. For instance, if a product group wants to create a new product,
it will hire staff from functional divisions including research, engineering, production, and
marketing.

For the top three positions of Ford, the Chairman, President, and Executive Vice President,
the organisational structure is vertical.

The Executive Vice President is at the very top, followed by the Chairman, President-CEO-
Director, and then the Chairman. The executive vice president receives direct reports from a
number of functional leaders who are all designated Vice Presidents. They include, among
others, vice presidents of product development, purchasing, and communication.
Features of Organizational Structure:

 Corporate Hierarchy: Ford's organisational structure follows a conventional

corporate hierarchy. Executive Vice Presidents, for instance, answer to CEO Mark
Fields. These executive VPs are subordinate to midlevel managers. This feature of
Ford's organisational structure complements conventional approaches to business
management that seek efficient top-down control.
 Regional Geographic Divisions: In terms of geography, Ford's organisational
structure is very fragmented. Only three regional geographic divisions that encompass
all of Ford's global markets make up its organisational structure. The Americas,
Europe, the Middle East, and Africa, and Asia Pacific make up Ford's three primary
regional geographic divisions. Each division is headed by an executive VP.
 Global Functional Groups: The organisational structure of Ford Motor
Company also includes functional groupings, each of which represents a distinct
business function. The Vice President heads each of these groups.

LEADERSHIP AND CORPORATE CULTURE:

Corporate culture: FORD

The culture is based on ideas and shared values that serve the greater good. Ford as a
company aspires to foster a sense of belonging for every employee and believes that everyone
should be free to move and achieve their aspirations.

Leadership: FORD
Ford employees are located all over the world, and FORD leadership is dedicated to meeting
the needs of each of these groups. They comprehend, just like the generations of leaders who
came before them, that by making the world less filled with barriers and restrictions,
FORD enable individuals to advance and rise.

Ford excelled at building rapport with others. Ford was born with an innate sense of empathy,
which allowed him to recognise the needs and suffering of others. He was also aware of other
people's motivations and allegiances. Ford raised industrial worker pay to $5/hour, while his
competitors paid their staff little over $2/hour. He also reduced the length of labour shifts
from nine to eight hours. This action showed his respect for the workers and ensured their
loyalty for years to come.

Although it could have appeared that employee incentives were the driving force for Ford's
policy favouring higher compensation, this was not always the case. Ford's management style
went far further than this. He was a pioneer in diversity and inclusion since he hired women,
people of colour, and individuals with disabilities frequently. Over 62 different countries
were represented on Ford's crew, and he hired almost 900 persons with disabilities. In
addition, he made sure that everyone had access to his healthcare benefits, including LGBT
individuals. Fundamentally, his capacity for empathy and emotional intelligence were among
his most potent leadership qualities.

Ford worked as the Edison Illumination Company's principal engineer in his early years and
was usually on call. Nevertheless, he persisted in following his love. Ford, a newlywed who
worked long hours, invented the first gas-powered horseless vehicle, the Quadricycle. Ford
continuously engaged in change because he loved it and had a vision for it. This helped him
realise his objectives. Ford's approach to leadership helped him feel at ease with change and
innovation. It would also lead to one of his era's most significant breakthroughs.

The $260 automobile gained appeal quickly after its 1908 debut. The demand outweighed the
supply, thus Ford had to figure out how to adjust his manufacture to satisfy this need. Ford's
use of the assembly line, which reduced production times from four hours to 93 minutes, was
the cause of this transition. This not only aided in the development of the Ford Motor
Company but also revolutionised global production. His capacity to spur creativity and
transformation is still visible in the organisation today.

INNOVATION AND ENTERPREEURSHIP:

Innovations in FORD
Entrepreneurship
"I will build a motor car for the great multitude.it will be so low in price that no
man will be unable to own one."-Henry Ford

Henry Ford urged other businesses to support him in his life's biggest bet: starting a business
that would produce cars without horses. In cities, horse-drawn carriages continue to be the
main mode of commercial transportation. Rural Americans simply got used to the horse- or
mule-drawn cars' short range. The vast, well-established train network that we Americans had
allowed us to travel widely.

Henry Ford's ability to recognise and draw in remarkable people was one of his most prized
skills, and the early history of Ford Motor Company serves as an example. He assembled a
core group of competent, young people who shared his vision in order to turn Ford Motor
Company into one of the biggest industrial organisations in history. The Model A, the first
car produced by the new company, was followed by improved versions. The four-cylinder,
$600 Ford Model N topped sales charts all around the nation in 1907. Ford's goal of creating
a "motorcar for the big multitude" that was better and more cheap had advanced by this time.
With the assistance of a limited group of employees, he developed the Model T, which was
revealed on October 1, 1908.

CORPORATE GOVERNANCE:

 The Ford Motor Company's corporate governance guidelines are uniform for all
organisations. The business operates under growth-friendly principles, and the board
has control over management and other staff members.

 The goals of the corporate governance principles at Ford Motor Company are
primarily focused on the company's enhanced performance and sustained presence on
the global stage.

 The establishment of the board and the numerous committees within it are mandated
by the organization's laws. The statutes are detailed and pertinent to the organization's
overarching objectives.

 Ford already has an audit committee that complies with organisational criteria. This
committee is in charge of the organization's accounting and financial reporting
procedures. The appraisal team should contain at least three associates, according to
the set requirements. The panel at Ford Motor Company determines the minimum
number of participants in this team.

 A key issue in corporate governance is the size of the board. The size of the next
board will be heavily influenced by the current board members. According to the
needs of a business like Ford Motor Company, the members of the current board
decide the size of the board.
 To comply with NYSE regulations, Ford Motor Company maintains a compensation
committee. Any listed company's remuneration committee must have independent
directors, per NYSE regulations. The Ford Motor Company's directors are impartial.
As a result, the business satisfies this requirement.