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Mix flexibility

Methodology
Major drivers :- Growing market, increasing presence
of competitors like Toyota, increasing awareness and
• Ford 2000 was one of their primary step towards
demand and technological development
operational flexibility. They consolidated their North
America, Europe and international automotive
Factors leading range flexibility:- operations into a single entity which enable ford to
• Industry consolidation and Globalisation introduce different products and services globally at a
• Mergers and acquisition comparatively lower cost
• Efficient FPS (ford production system) • Ford reengineered their products and processes which
enabled them to bring down their OTD (order to
Factors leading to response flexibility delivery) time down from 60 days to just 15 days
• OTD (order to deliver) time reduction with the • IT development and inculcation of Intranet and
help of reengineering extranet catered to a streamline flow of information
• Intranet and extranet development reduced which in turn reduced the response time
cycle response time • Huge network of suppliers lowered their operational
• Comprehensive and a large network of suppliers cost as well as their response time
across the regions • Development of FPS lead to inculcation of innovative
and more accurate ways to forecast

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