Right now the thing Ford needs more than anything else is competitive product. They're doing everything they can to get those products to market, but it takes time. They can't tell us what the product is because it would further-deteriorate their competitive position, so we just have to wait and see if they're worth buying. Other aspects of recovery that Ford can work on more immediately include very important items like improving quality, lowering warranty costs, finding ways to cut materials cost, and making commercials that get the attention of potential customers. Ford is no-doubt working on all that and more, but It's hard to do if you feel none of it will matter in the end.
Many of Ford's goals have not been met on the Way Forward and it's bringing moral down. January retail sales numbers were 10,000 vehicles off projections and February and March don't look much better. Material cost reductions are also below expectations. New products like the Edge and MXK are selling well, but production hasn't ramped to the point where they're really helping the retail standings for Ford either. The biggest problem, though, may be that employees don't believe in the plan. Only 38% of all employees polled felt Ford had the products to compete and 45% feel the Way Forward plan is working. It is tough for employees to see the light at the end of the tunnel when the next hope for profit is 2009. Ford headlines have been very tough lately and employees could really use some good news to help boost their spirits. The problem is, good news is still a year or two away.
[Source: Detroit News]
GM shrinks Volt's gas tank, range drops from 600 to 360 miles
MINI dealers to sell Alfa Romeos in the U.S.
Honda to reveal OSM open-top concept in London
With crisis looming, GM may unveil Volt for 100th anniversary
Next BMW M5 will nix V10 in favor of twin-turbo V8
In the Autoblog Garage: 2009 Lincoln MKS
Track Test: 2008 Roush 427R Trak Pak Mustang
In the Autoblog Garage: 2008 Porsche Cayman S
First Drive: 2009 Chevrolet Traverse
In the Autoblog Garage: 2008 Mazda MX-5 Miata Retractable Hard Top
Reader Comments (Page 1 of 3)
RG @ Feb 16th 2007 12:46PM
we want the Euro Focus! what happend to the hatchback here for 08?
Diesel in the F150 Now. Diesel options in many more vehicles. E85 is a joke, you use more of it than normal gasoline, so what do you end up saving?
bring the mondeo as the next gen Fusion or crown vic or make it a lincoln or mercury.
svt fusion with awd 6cyl turbo.
you have the cars, just put them on the road in america.
akintz @ Feb 16th 2007 12:46PM
Here's a plan: Mondeo + Focus RS to the US = Increased US Sales.
Michael Karesh @ Feb 16th 2007 12:47PM
I found their presentations during the press days at the Chicago show very disappointing.
A brief conversation with Mark Fields was not reassuring:
http://www.truedelta.com/blog/?p=37
My impressions from Fields' breakfast speech:
http://www.truedelta.com/blog/?p=29
They've got to get beyond the positive generalities. It doesn't help to say "we're going to make better products" if they have no clear idea of what will make their products better. I don't see a focus.
whofan @ Feb 16th 2007 1:00PM
." I think this vehicle (SMAX) would do more for Ford than the Edge, if it were here. Ford USA has no clue.
Back paddling by renaming the 500 isnt the answer either.
Ford already has the vehicles it needs to save its self. They are in Europe and Australia."
Ford could hand pick a combination of vehicles from their Australian and European line up then they would have a winning line for the US.
The Escape, F150, Crown Victoria, Mustang, keep and change everything else. Use the Crown Vic as your fleet utility car Police Taxes ect.
SKluck @ Feb 16th 2007 1:12PM
Euro Focus
Fusion
Mondeo (call it Taurus in US)
Interceptor
Mustang
C-Max
S-Max
Escape
Explorer
Expedition
F-Series
That's a bulletproof lineup. I wouldn't change much with their truck/SUV lineup. There is a need for all 3 of their SUVs, they just need to rely on their sales less. Bring over the Max's as van replacements, and dump the abandoned ranger.
SKluck @ Feb 16th 2007 1:14PM
Damn, forgot about the Edge. Replacing the explorer entirely with the Edge would be a solid move.
vettes2 @ Feb 16th 2007 1:18PM
FoMoCo will go Bankrupt. Mark it down. Read between the lines. No Product worth buying. They lost their way and forgot the 80's. Bankrupt and going out of business are 2 different things. They have more in LOANS than they have in Assets.
Tal @ Feb 16th 2007 1:21PM
Ford has a tough row to hoe.
Ford apparently has a great vehicle in the Fusion.
So we know that if Ford has done it with one, it can build all Fords/Lincolns with the same HIGH standards.
Ford management has to believe the designers and engineers have created or will create vehicles that are honestly competetive on a world class level in every category.
Ford workers have to believe they are building the best and make sure they put forth evey effort to build them the best;accept no compromise from management, fellow workers or themselves and produce the best quality vehicle possible.
Americans want quality, durability,reliability, economy, safety, comfort, value and good looking style built into their vehicles. When you pay good ,hard earned $$$$$ for a vehicle technologically advanced vehicle, you expect all the features listed above.At a fair price.
There are vehicles being made like this but until America believes that Ford(GM, DC too) is producing the best, then other manufactuers will continue to sell their products more than Ford sells theirs.
Good luck Ford.
Build them and we will buy.
dougjp @ Feb 16th 2007 1:23PM
I think the employee survey results are a good representation of the odds of the Company's survival long term as an independent entity. Talk and action have to equate, hype without substance is obsolete - that's the '80's way and they still live there. A defining moment was the launch of the overdue 'new' Focus with nothing really to offer except changed style and....rear drum brakes on all models. Then look at the hype words about it from Ford.....'Nuff said.
Phil @ Feb 16th 2007 1:53PM
It's good that Mulally gets to see MEASURES of the plan in place. You have to admit you have a problem before you can take steps to solve it. So that poll
shows them that they have more intense work to do to get things back on track. If Mulally's word is good, he'll intensify because he's not been the type to continually bullshit everybody like George Bush after a problem is identified.
tikirob @ Feb 16th 2007 1:57PM
I do not see the reasoning in leaving the popular fresh design in Europe. GM started bringing over these designs for Saturn and it is revitalizing Saturn (Well at least they have some nice competitive cars). The S-Max and the Mondeo are nice and so is Focus. I was really unimpressed by the new focus here.
Rob
http://www.autoshortlist.com
Tool @ Feb 16th 2007 2:25PM
Like I've said many times regarding Ford, it needs to make some BOLD MOVES.
Luckily Alan Mullaly is a first class CEO.
We all know that they can turn it around, and many of us remember that we thought GM was dead not so long ago. Now look at how quickly they have turned around--in fact, GM might even acquire Chrysler group!!!
But the problem with Ford is that we aren't seeing much substantive real-world progress. I am pulling for Ford to stage a strong comeback, but based on the mediocre moves I've seen so far, I am a little concerned.
fordman @ Feb 16th 2007 2:28PM
when I look back to Jacque Nasser getting fired for the Explorer fiasco in 2000, I cant recall anything positive Ford has done since. (Explorer fiasco was not Nasser's fault but billy Ford Jr had to blame someone)
Under Ford Jr. They did absolutely done nothing from 2001 to 2006. all they have to show for it is a Mustang built on a 1998 Lincoln LS platform borrowed from Jaguar. The only other vehicle worth mentoining is the F-Series. Thats it.
even if a monkey was in charge, even if all they did was just redisgn current cars, they would not be where they are today.
The Focus is the same piece of crap since 1999. The Taurus was neglected and ultimately killed. The Freestar was the same garbage since 1995 Windstar. The list goes on and on.
All I ever saw Bill Jr. do was show up at press conferences in a new Mustang variation (SVT, GT, Giugiario, Shelbey, Hertz, FR500, Cobra, Roush, etc...) give a speach about how things are rosy and go away. There was no leadership anywhere to be found.
This is all sad.
Aki @ Feb 16th 2007 2:29PM
The thing is, they already HAVE the product. Fields and Bill Ford were just being incompetent. Honestly, I think the main reason why they didn't want to bring the new Focus here is profit margins. Compacts have very narrow margins compared to SUVs and trucks.
- Ford Focus RS outsold GTI, yet they refuse to bring here even when the GTI gets released here.
- Ford Mondeo destroys any new Ford sedan styling, yet we see nothing
- Ford Edge, in spite of all the stupid "Bold Moves" marketing, is not a top-in-class performer.
- Ford Five Hundred (aka Taurus) somehow manages to be even more stale than a Toyota Avalon, which is quite a feat.
They have nobody but themselves to blame. Thankfully Mulally seems to be taking the company in a better direction, but it's going to be a couple of years before we'd get any results.
Aki @ Feb 16th 2007 2:36PM
"We all know that they can turn it around, and many of us remember that we thought GM was dead not so long ago. Now look at how quickly they have turned around--in fact, GM might even acquire Chrysler group!!!"
True, but that's not only because of the product, but changing corporate culture. Wagoner and Lutz see things eye to eye, and that top-end synergy has cut through the company garbage that was bogging down product development for decades. GM always had the talent--Corvette performance is the proof. GM has been responding to the consumer (addressing reliability concerns w/ increased warranty, revamping interior quality).
Ford on the other hand has been neglecting consumers and forging along their own, narrow-sighted business plan. Again, it's not that Ford doesn't have the talent. Ford GT, Mustang, Mondeo, Focus, 427 concept and Fortynine concept are proof that they have great designers. Short-sighted corporate red tape, however, is stymieing product.
rrr @ Feb 16th 2007 2:40PM
What is the point of this essay? "They're doing everything they can to get those products to market, but it takes time. They can't tell us what the product is because it would further-deteriorate their competitive position, so we just have to wait and see if they're worth buying".........what Autoblog is now chief apologists of Ford?
These turn around stories are for fools. Yes Detroit had a huge downturn of late because of high gas prices but the TREND has been downward for years and years because of quality, reliability, CHEAP interior and absolute disregard for fuel economy.
Those who say ohhh the tide is turning look at the new interiors, please do so, look at the new interior of Saturn Astra
http://www.autoblog.com/photos/2008-saturn-astra-1/153913/
http://www.autoblog.com/photos/2008-saturn-astra-1/153912/
http://www.autoblog.com/photos/2008-saturn-astra-1/153931/
And the scariest and the MOST truthful part about this is that this Astra is not even for sale yet. This is a brand new car here in USA and I can tell you this much once a potential costumer see inside of this car he will RUN away.
As far as for Fords turn around, there can’t be such thing. You can not turn around a company that makes almost nothing but SUVs and still manages to come up and produce Lard Rover, which was BY FAR the worst in quality last year………………worst than any car sold in USA. Should I start talking about Taurus?
Yeah sure The OTHER Big three have problems too (Toyota, Honda, Nissan) but they manage to make product that people want, at the right time, at the right price, that also manage to look good.
Have you ever been inside Toyota Corolla? I have, it’s not a good looking interior, but that interior is 100 times better looking than Astras, and Astra is supposed to be this hip new car. Plus I doubt Astra will have a quality and safety of Corolla.
rrr @ Feb 16th 2007 2:47PM
#15 "Wagoner and Lutz see things eye to eye, and that top-end synergy has cut through the company garbage that was bogging down product development for decades."---------------------But it was under THESE TWO GUYS that GM got into this current funk.
Hey remenber that it was WAGONER who chose to make even bigger SUVs into the face of ever higher gas prices.
epilonious @ Feb 16th 2007 2:52PM
Hi, I am a twenty-something without a family...
I see nothing appealing in what Ford is offering in the states. The only appealing Products remotely associated with Ford happen to be Mazdas and Volvos.
Basically, the one car that is sort of what I am looking for is the focus... and ew. The focus is an overpriced mazda3 that is more demure and feels cheaply constructed.
I look at the stuff in Europe... Ka, Fiesta, C3 Focus, Mondeo... I like those cars.
But there is nothing like that here... so I just don't see myself shopping for Fords.
rrr @ Feb 16th 2007 2:53PM
#12 "Luckily Alan Mullaly is a first class CEO."..........The guy has been on the job for few months and he has NEVER had any car experience before.
This guy has no record.
mooseman @ Feb 16th 2007 2:57PM
I think in many ways they are making some good moves, in others profoundly stupid ones.
I think the Fusion/500/Taurus/Edge are dynamically good vehicles. The problem is they failed to add any spice whatsoever to the mix to create a media wave. The Taurus SHO is perfect example of how Ford brought some respectability to the nameplate.
Ford has a 4.4L V8 that fits perfectly in the 500/Taurus. Reason for not doing an SHO? A Fusion SVT? Why is the Euro Focus not here? Why hasn't the Ranger been updated in many many years?
They have ignored products, let them wither on the vine, for what? The Focus SVT was a perennial Car & Driver 10 Best winner. Look at the pile of crap they just rolled out now. It looks like it was customer clinic'ed to death. Lets add a dab of this a pinch of that, regardless of whether it makes for a harmonious whole.
My only hope is that Peter Horbury can save us from any further Ford 500s and Ford Focuses.