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Video Memo: Supply Chains at Ford - Term Paper Example

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Supply Chains at Ford and Assembly Line: Ford motors have an excellent supply chain in place that is considered as best in business. It applies the best practices along with its partners. The supply chain is based on long term partnership Their services take into account the environmental challenges faced…
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Video Memo: Supply Chains at Ford
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They apply the e methods for maintaining a robust mode of communication and delivery across the network of Ford motors. The business and supply chain partners are spread across the globe in form of various nations and their major marketing players. Their supply chain is virtually integrated in nature(Bidgoli, 2010) and this helps overcoming large amount of overheads that might be incurred due to various processes in between the supply chain entities operations. Ford supply chain investments are at a staggeringly high value of above 70 billion dollars.

A three cadre policy is adopted for the supply chain operations which include enabling the individual suppliers to work more freely by providing them with sufficient techniques and guidance for launching new products and projects. This is followed by the joint ventures between the different individual and independent partners that make up the supply chain. Working principles: The working principles at the company are totally employees centric. They are devised in manners that are most relevantly matched to the best working practices and human rights considerations.

Employees’ safeties, security, happiness, ergonomic factors, all are taken into account in the work environment. Assembly line: The early days of manufacturing saw handmade building that was stretched over number of days. This had a negative impact on the entire company and the customers’ orientation. The turn of tide took place in 1908 when Henry Ford introduced assembly line concept (Zuehlke, 2007). These concepts and steps were implemented incrementally and fully implemented over period of five years time from the time first introduced and explored in true sense.

Mass production: This idea enabled creating large number of similar items at one time which in return resulted in increased productivity and items production. Later on other companies and manufacturers adopted the mass manufacturing/ production concept and as a result expanded their production and sales (Thomas, 2007). This set up the precedence for other companies and the entire motor world that followed the developments in the century ahead. Today what we see is the courtesy of Ford motors and its assembly line manufacturing.

The assembly line concept is based on minimum inventory, work specialization, multiple tasks at one time, and no or little overheads. The entire parts making involved as many as nearly thirty steps which were involved in making a single larger part. With time, the time taken over single component manufacturing was reduced and brought to single unit time compared to over ten minutes in past. Along with this, other components also became more mechanic and reliance on man power was reduced to make it more effective and speedy.

In time of two decades the production rates go so high that nearly a complete car part could be manufactured in less than few minutes time. These models were although primitive in nature, yet they were the eye candy for customers and attracted attention from far and wide. The good thing about it was, the price was never increased. It was in true sense made with the consideration of the public. One of the world renowned proponents of the world of business studies and integration Fredrick Taylor was also associated with its creation and successful implementation.

His contribution enabled automation of the setup which made things more frequent. Henry Ford’s main idea besides this invention was to commercialize the concept

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