The
Ford Motor Company ( ) is an American
multinational
corporation based in Dearborn
, Michigan
, a suburb of
Detroit
. The automaker was founded by
Henry Ford and incorporated on June 16, 1903.
In
addition to the Ford, Lincoln, and Mercury brands, Ford also owns Volvo Cars of Sweden
, and a small
stake in Mazda of Japan
and Aston Martin of England
.
Ford's
former UK subsidiaries Jaguar and
Land Rover were sold to Tata Motors of India
in March
2008.
Ford introduced methods for large-scale manufacturing of cars and
large-scale management of an industrial workforce using elaborately
engineered manufacturing sequences typified by moving
assembly lines.
Henry
Ford's methods came to be known around the world as
Fordism by 1914.
Ford is currently the fourth-largest automaker in the world based
on number of vehicles sold annually, directly behind
Volkswagen. In 2007, Ford fell from second to
third in US annual vehicle sales for the first time in 56 years,
behind only
General Motors and
Toyota. However, Ford occasionally outsells
Toyota in shorter periods (most recently, during the summer months
of 2009).
As of 2008, Ford has become the second
largest automaker in Europe (only behind
Volkswagen), with sales that occasionally exceed those in the
United States and large markets in Germany
, Italy
, and the
United
Kingdom
. Ford is the seventh-ranked overall
American-based company in the 2008
Fortune
500 list, based on global revenues in 2008 of $146.3 billion.
In 2008, Ford produced 5.532 million automobiles and employed about
213,000 employees at around 90 plants and facilities worldwide.
Starting in 2007, Ford received more initial quality survey awards
from
J. D. Power and Associates than any
other automaker. Five of Ford's vehicles ranked at the top of their
categories and fourteen vehicles ranked in the top three.
History

1896 Ford Quadricycle
The Ford Motor Company was launched in a converted factory in 1903
with $28,000 in cash from twelve investors, most notably
John and
Horace Dodge (who would later found
their own car
company). Henry's first attempt under his name was the
Henry Ford Company on November 3, 1901,
which became the
Cadillac Motor
Company on August 22, 1902.
During its early years, the company produced
just a few cars a day at its factory on Mack Avenue in Detroit
, Michigan
.
Groups of two or three men worked on each car from components made
to order by other companies. Henry Ford was 40 years old when he
founded the Ford Motor Company, which would go on to become one of
the world's largest and most profitable companies, as well as being
one to survive the
Great
Depression. As one of the largest family-controlled companies
in the world, the Ford Motor Company has been in continuous family
control for over 100 years.
Corporate governance

Ford World Headquarters in Dearborn,
Michigan, known as the
Glass House.
Members of the board as of early 2007 are: Chief Sir John Bond,
Richard Manoogian, Stephen Butler,
Ellen Marram,
Kimberly Casiano,
Alan Mulally (President and CEO),
Edsel Ford II, Homer Neal, William
Clay Ford Jr.,
Jorma Ollila, Irvine
Hockaday Jr.,
John L. Thornton and
William Clay Ford (Director
Emeritus).
The main corporate officers are:
Lewis
Booth (Executive Vice President,
Chairman (
PAG) and Ford of Europe),
Mark Fields (Executive Vice
President, President of
The Americas),
Donat Leclair (Executive Vice
President and
CFO), Mark A.
Schulz (Executive Vice President, President of International
Operations) and Michael E. Bannister (Group Vice President;
Chairman & CEO Ford Motor Credit). Paul Mascarenas (Vice
President of Engineering, The Americas Product Development)
Recent company developments
During the mid to late 1990s, Ford sold large numbers of vehicles,
in a booming American economy with soaring stock market and low
fuel prices. With the dawn of the new century, legacy healthcare
costs, higher fuel prices, and a faltering economy led to falling
market shares, declining sales, and sliding profit margins. Most of
the corporate profits came from financing consumer automobile loans
through
Ford Motor Credit
Company.
By 2005, corporate bond rating agencies had downgraded the bonds of
both Ford and
GM to junk status,
citing high U.S. health care costs for an aging workforce, soaring
gasoline prices, eroding market share, and dependence on declining
SUV sales for revenues. Profit
margins decreased on large vehicles due to increased "incentives"
(in the form of rebates or low interest financing) to offset
declining demand.
In the face of demand for higher fuel efficiency and falling sales
of minivans, Ford moved to introduce a range of new vehicles,
including "
Crossover SUVs" built on
unibody car platforms, rather than more
body-on-frame chassis. In developing
the hybrid electric powertrain technologies for the
Ford Escape Hybrid SUV, Ford licensed
similar Toyota hybrid technologies to avoid patent infringements.
Ford announced that it will team up with electricity supply company
Southern California
Edison (SCE) to examine the future of
plug-in hybrids in terms of how home and
vehicle energy systems will work with the electrical grid. Under
the multi-million-dollar, multi-year project, Ford will convert a
demonstration fleet of
Ford Escape
Hybrids into plug-in hybrids, and SCE will evaluate how the
vehicles might interact with the home and the utility's electrical
grid. Some of the vehicles will be evaluated "in typical customer
settings," according to Ford.
In December 2006, the company raised its borrowing capacity to
about $25 billion, placing substantially all corporate assets as
collateral to secure the line of credit. Chairman Bill Ford has
stated that "bankruptcy is not an option". In order to control its
skyrocketing labor costs (the most expensive in the world), the
company and the
United Auto
Workers, representing approximately 46,000 hourly workers in
North America, agreed to a historic contract settlement in November
2007 giving the company a substantial break in terms of its ongoing
retiree health care costs and other economic issues. The agreement
includes the establishment of a company-funded, independently-run
Voluntary
Employee Beneficiary Association (more commonly known as a
VEBA) trust to shift the burden of retiree health care from the
company's books, thereby improving its balance sheet. However, this
arrangement will not begin to take effect until January 1, 2010.
The agreement also gives hourly workers the job security they were
seeking by having the company commit to substantial investments in
most of its factories.
The automaker reported the largest annual loss in company history
in 2006 of $12.7 billion, and estimated that it would not return to
profitability until 2009.
However, Ford surprised Wall Street
in the second quarter of 2007 by posting a $750
million profit. Despite the gains, the company finished the
year with a $2.7 billion loss, largely attributed to finance
restructuring at
Volvo.
In June 2, 2008, Ford sold its Jaguar and Land Rover operations to
Tata Motors for $2.3 billion.
In January 2008, Ford launched a website listing the ten
Built
Ford Tough rules as well as a series of webisodes that
parodied the show
COPS .
During November 2008, Ford, together with Chrysler and General
Motors, sought financial aid at Congressional hearings in
Washington D.C. in the face of worsening conditions caused by the
automotive industry
crisis. The three companies presented action plans for the
sustainability of the industry. The Detroit based automakers were
unsuccessful at obtaining assistance through Congressional
legislation. GM and Chrysler later received assistance through the
Executive Branch from the
T.A.R.P. funding
provisions. On December 19, the cost of
credit default swaps to insure the debt
of Ford was 68 percent the sum insured for five years in addition
to annual payments of 5 percent. That means it costs $6.8 million
paid upfront to insure $10 million in debt, in addition to payments
of $500,000 per year. In January 2009, Ford announced a $14.6
billion loss in the preceding year, making 2008 its worst year in
history. Still, the company claimed to have sufficient liquidity to
fund its business plans and thus, did not ask for government aid.
Through April 2009, Ford's strategy of debt for equity exchanges,
erased $9.9 B in liabilities (28% of its total), in order to
leverage its cash position. This resulted in a $2.3 B 2nd Quarterly
profit for 2009.
"The Way Forward"
In the latter half of 2005, Chairman Bill Ford asked
newly-appointed Ford Americas Division President
Mark Fields to develop a plan to
return the company to profitability. Fields previewed the Plan,
dubbed
The Way Forward, at the December 7, 2005 board
meeting of the company; and it was unveiled to the public on
January 23, 2006. "
The Way Forward" includes
resizing the company to match current market
realities, dropping some unprofitable and inefficient models,
consolidating production lines, and shutting fourteen factories and
cutting 30,000 jobs.
These cutbacks are consistent with Ford's roughly 25% decline in
U.S. automotive market share since the mid-late 1990s. Ford's
target is to become profitable again in 2009, a year later than
projected. Ford's realignment also includes the sale of its wholly
owned
subsidiary,
Hertz Rent-a-Car to a
private equity group for $15 billion in cash
and debt acquisition. The sale was completed on December 22, 2005.
A 50-50
joint venture with Mahindra and Mahindra Limited
of India
, called
Mahindra Ford India, Limited (MIFL), ended with Ford buying out
Mahindra's remaining stake in the company in 2005. Ford had
previously upped its stake to 72% in 1998.
Chairman and
Chief Executive
Officer Ford also became
President of
the company in April 2006, with the retirement of
Jim Padilla. Five months later, in September, he
stepped down as President and CEO, and naming
Alan Mulally as his successor. Bill Ford
continues as Executive Chairman, along with an executive operating
committee made up of Mulally, Mark Schulz,
Lewis Booth, Don Leclair, and
Mark Fields.
Online
The domain
ford.com attracted at least
11 million visitors annually by 2008 according to a
Compete.com survey.
Brands and marques
Today, Ford Motor Company manufactures automobiles under several
names including
Lincoln and
Mercury in the United States.
In 1958, Ford introduced a new
marque, the
Edsel, but poor sales led to its
discontinuation in 1960. Later, in 1985, the
Merkur brand was introduced to market Fords from
Europe in the United States; it met a similar fate in 1989.
Ford has
major manufacturing operations in Canada
, Mexico
, the
United
Kingdom
, Germany
, Turkey
, Brazil
, Argentina
, Australia, the People's
Republic of China
, and several other countries, including South Africa where, following divestment during
apartheid, it once again has a wholly
owned subsidiary. Ford also has a cooperative agreement with
Russian automaker GAZ
.
Ford
acquired British sports car maker Aston
Martin in 1989, but sold it on March 12, 2007, retaining a
small minority stake, and Volvo Cars of
Sweden
. In November 2008 it reduced its 33.4%
controlling interest in
Mazda of Japan, to a 13.4% non-controlling
interest.
It shares an American joint venture plant in Flat Rock, Michigan
called Auto
Alliance
with
Mazda. It has spun off its parts division under the name
Visteon.
Ford sold
the United
Kingdom
-based Jaguar and
Land Rover companies and brands to
Tata Motors of India
in March
2008.
Also in 2008, Ford Motor is in negotiations with
Shanghai Automotive
Industry Corporation to sell its Volvo cars division.
Ford's
FoMoCo parts division sells aftermarket parts under
the
Motorcraft brand name.
Ford's non-manufacturing operations include organizations such as
automotive finance operation
Ford Motor Credit Company.
Ford also
sponsors numerous events and sports facilities around the US, most
notably Ford
Center
in downtown Oklahoma City
and Ford
Field
in downtown Detroit
.
Overall the Ford Motor Company controls the following operational
car marques: Ford,
Lincoln,
Mercury, and
Volvo Cars.
In 2008 the
Lincoln-Mercury brand
dropped on the
American Customer
Satisfaction Index list to 83, from 86 in 2007.
Global markets
Initially, Ford Motor Company models sold outside the U.S. were
essentially versions of those sold on the home market, but later
on, models specific to
Europe were developed
and sold.
Attempts to globalize the model line have
often failed, with Europe's Ford Mondeo
selling poorly in the United States as the Ford Contour, while U.S. models such as the
Ford Taurus have fared poorly in
Japan
and Australia, even when produced in right hand drive. The small European
model
Ka, a hit in its home market, did not
catch on in Japan, as it was not available as an automatic. The
Mondeo was dropped by
Ford Australia,
because the segment of the market in which it competes had been in
steady decline, with buyers preferring the larger local model, the
Falcon.
One recent exception
is the European model of the Focus, which has sold strongly on
both sides of the Atlantic
.
From 2003, Toyota outsold Ford Motor worldwide. From the second
quarter 2006, Toyota has passed Ford as the #2 automaker, by sales,
in the United States.
Ford is in partnership talks to license hybrid technology from the
Toyota Motor Corporation in a deal that could help establish
Toyota's system as a standard for the industry.
Europe
At first,
Ford in Germany and
Ford in Britain built different models from
one another until the late 1960s, with the
Ford Escort and then the
Ford Capri being common to both companies. Later
on, the
Ford Taunus and
Ford Cortina became identical, produced in
left hand drive and right hand drive
respectively.
Rationalization of model ranges meant that
production of many models in the UK switched to elsewhere in
Europe, including Belgium
and Spain
as well as
Germany. The
Ford Sierra replaced
the Taunus and Cortina in 1982, drawing criticism for its radical
aerodynamic styling, which was soon given nicknames such as
"Jellymould" and "The Salesman's Spaceship."
Increasingly, the Ford Motor Company has looked to
Ford of Europe for its "world cars," such as the
Mondeo, Focus, and
Fiesta, although
sales of European-sourced Fords in the U.S. have been
disappointing. In
Asia, models from Europe are
not as competitively priced as Japanese-built rivals, nor are they
perceived as reliable. The Focus has been one exception to this,
which has become America's best selling compact car since its
launch in 2000.
In February 2002, Ford ended car production in the UK.
It was the first time
in 90 years that Ford cars had not been made in Britain, although
production of the Transit van continues
at the company's Southampton
facility, engines at Bridgend
and Dagenham
, and transmissions at Halewood
. Development of European Ford is broadly
split between
Dunton in Essex (powertrain,
Fiesta/Ka, and commercial vehicles) and
Cologne (body, chassis, electrical, Focus, Mondeo)
in Germany. Ford also produced the
Thames range of commercial vehicles, although
the use of this brand name was discontinued circa 1965.
Elsewhere in
continental Europe, Ford assembles the Mondeo range in Genk
(Belgium
), Fiesta in Valencia
(Spain
) and
Cologne (Germany
), Ka in
Valencia, and Focus in Valencia, Saarlouis
(Germany) and Vsevolozhsk
(Russia
).
Transit
production is in Kocaeli (Turkey
), Southampton
(UK), and Transit Connect in Kocaeli.
Ford also
owns a joint-venture production plant in Turkey
.
Ford-Otosan, established in the 1970s,
manufactures the
Transit
Connect compact panel van as well as the "Jumbo" and long
wheelbase versions of the full-size Transit. This new production
facility was set up near
Kocaeli in 2002,
and its opening marked the end of Transit assembly in Genk.
Another
joint venture plant near Setúbal
in Portugal
, set up in collaboration with Volkswagen, formerly assembled the Galaxy people-carrier as well as its sister
ships, the VW Sharan and Seat
Alhambra. With the introduction of the third generation of
the Galaxy, Ford has moved the production of the people-carrier to
the Genk plant, with Volkswagen taking over sole ownership of the
Setubal facility.
In 2008,
Ford acquired a majority stake in Automobile Craiova, Romania
. Starting 2009, Ford Transit Connect will be Ford's
first model produced in Craiova
, followed, in 2010, by low-capacity car engines and
a new small class car.
Ford Europe has broken new ground with a number of relatively
futuristic car launches over the last 50 years.
Its 1959
Anglia two-door saloon was one of the
most quirky-looking small family cars in Europe at the time of its launch, but buyers soon
became accustomed to its looks and it was hugely popular with
British
buyers in particular. It was still selling
well when replaced by the more practical
Escort in 1967.
The third incarnation of the
Ford Escort
was launched in 1980 and marked the company's move from rear-wheel
drive saloons to front-wheel drive hatchbacks in the small family
car sector. It also offered levels of style, comfort and refinement
which were almost unmatched on comparable cars of this era.
The fourth generation Escort was produced from 1990 until 2000,
although its successor - the
Focus - had been on sale since
1998. On its launch, the Focus was arguably the most
dramatic-looking and fine-handling small family cars on sale, and
sold in huge volumes right up to the launch of the next generation
Focus at the end of 2004.
The 1982
Ford Sierra - replacement for
the long-running and massively popular
Cortina and
Taunus
models - was a style-setter at the time of its launch. Its
ultramodern aerodynamic design was a world away from a boxy,
sharp-edged Cortina, and it was massively popular just about
everywhere it was sold. A series of updates kept it looking
relatively fresh until it was replaced by the front-wheel drive
Mondeo at the start of 1993.
The rise in popularity of small cars during the 1970s saw Ford
enter the mini-car market in 1976 with its
Fiesta hatchback.
Most of its
production was concentrated at Valencia
in Spain
, and the
Fiesta sold in huge figures from the very start. An update
in 1983 and the launch of an all-new model in 1989 strengthened its
position in the small car market.
Asia Pacific
In
Australia and New Zealand
, the popular Ford Falcon has long been considered
the average family car and is considerably larger than the Mondeo,
Ford's largest car sold in Europe. Between 1960 and 1972,
the Falcon was based on a U.S. madel of the same name, but since
then has been entirely designed and manufactured in Australia,
occasionlly being manufactured in New Zealand. Like its
General Motors rival, the
Holden Commodore, the Falcon
utilizes a rear wheel drive layout. High performance variants of
the Falcon running locally-built engines produce up to . A
ute (short for "utility," known in the US as
pickup truck) version is also available
with the same range of drivetrains. In addition, Ford Australia
sells highly-tuned limited production Falcon sedans and
utes through its performance car division,
Ford Performance
Vehicles.
In Australia, the Commodore and Falcon have traditionally outsold
all other cars and comprise over 20% of the new car market. In New
Zealand, Ford was second in market share in the first eight months
of 2006 with 14.4 per cent. More recently Ford has axed its
Falcon-based LWB variant of its lineup - the Fairlane and LTD
ranges, and announced that their Geelong engine manufacturing plant
may be shut down from 2013. They have also announced local
manufacturing of the Focus small car starting from 2011.
However, with the acquisition of a stake in Japanese manufacturer
Mazda in 1979, Ford began selling Mazda's
Familia and Capella (also known as the
323
and
626) as the
Ford
Laser and
Telstar, replacing the
European-sourced Escort and Cortina.
In
Australia, the Laser was one of Ford
Australia's most successful models and was manufactured in
Ford's Homebush
plant from 1981 until the plant's closure in
September 1994. It outsold the Mazda 323, despite being
almost identical to it, due to the fact the Laser was manufactured
in Australia and Ford was perceived as a local brand.
In New
Zealand, the Ford Laser and Telstar were assembled alongside the
Mazda 323 and 626 until 1997, at the Vehicle Assemblers of New
Zealand (VANZ) plant in Wiri
, Auckland
. The
Sierra wagon
was also assembled in New Zealand, owing to the popularity of
station wagons in that market.
Through
its relationship with Mazda, Ford also acquired a stake in South Korean
manufacturer Kia, which built
the (Mazda-based) Ford Festiva from
1988-1993, and the Ford Aspire from
1994-1997 for export to the United States, but later sold their
interest to Hyundai (which
also manufactured the Ford Cortina until the 1980s). Kia
continued to market the Aspire as the Kia Avella, later replaced by
the Rio and once again sold in the US.
Ford's
presence in Asia has traditionally been much smaller, confined to
Malaysia
, Singapore
, Hong
Kong
, the Philippines
, and Taiwan
, where Ford
has had a joint venture with Lio Ho
since the 1970s. Ford began assembly of cars in Thailand in
1960, but withdrew from the country in 1976, and did not return
until 1995, when it formed a joint venture with Mazda called Auto
Alliance.
Ford India began production in 1998 with
its
Ford Escort model, which was later
replaced by locally produced
Ford Ikon in
2001. It has since added Fusion, Fiesta, Mondeo and Endeavour to
its product line.
South America
In
South America, Ford has had to face
protectionist government measures in each country, with the result
that it built different models in different countries, without
particular regard to rationalization or
economy of scale inherent to producing and
sharing similar vehicles between the nations. In many cases, new
vehicles in a country were based on those of the other
manufacturers it had entered into production agreements with, or
whose factories it had acquired. For example, the
Corcel and
Del Rey
in Brazil were originally based on
Renault
vehicles.
In 1987,
Ford of Brasil and
Ford of Argentina merged its
operations with those of
Volkswagen to
form a company called
Autolatina, with
which it shared models. Sales figures and profitability were
disappointing, and Autolatina was dissolved in 1995. With the
advent of
Mercosur, the regional common
market, Ford was finally able to rationalize its product line-ups
in those countries.
Consequently, the Ford Fiesta and Ford
EcoSport are only built in Brazil
, and the
Ford Focus only built in
Argentina
, with each plant exporting in large volumes to the
neighboring countries. Models like the
Ford Mondeo from Europe could now be imported
completely built up. Ford of Brazil produces a pick-up truck
version of the Fiesta, the
Courier,
which is also produced in South Africa as the
Ford Bantam in
right hand drive
versions.
Africa and Middle East
In
Africa Ford's market presence has
traditionally been strongest in
South
Africa and neighboring countries, with only trucks being sold
elsewhere on the continent. Ford in South Africa began by importing
kits from Canada to be assembled at its Port Elizabeth facility.
Later Ford sourced its models from the UK and Australia, with local
versions of the Ford Cortina including the XR6, with a 3.0 V6
engine, and a Cortina 'bakkie' or pick-up, which was exported to
the UK. In the mid-1980s Ford merged with a rival company, owned by
Anglo American, to form the
South African Motor
Corporation (
Samcor).
Following international condemnation of
apartheid, Ford divested from South Africa in
1988, and sold its stake in Samcor, although it licensed the use of
its brand name to the company. Samcor began to assemble Mazdas as
well, which affected its product line-up, which saw the European
Fords like the Escort and Sierra replaced by the
Mazda-based Laser and
Telstar. Ford bought a 45 per cent stake in
Samcor following the demise of apartheid in
1994, and this later became, once again, a wholly owned subsidiary,
the Ford Motor Company of Southern Africa. Ford now sells a local
sedan version of the Fiesta (also built in India and Mexico), and
the Focus and Mondeo Europe. The Falcon model from Australia was
also sold in South Africa, but was dropped in 2003.
Ford's
market presence in the Middle East has
traditionally been even smaller, partly due to previous Arab boycotts of companies dealing with Israel
. Ford
and Lincoln vehicles are currently marketed in ten countries in the
region.
Saudi Arabia
, Kuwait
, and the
UAE
are the biggest markets. Ford also established
itself in Egypt
in 1926,
but faced an uphill battle during the 1950s due to the hostile
nationalist business environment. Ford's distributor in
Saudi Arabia announced in February 2003 that it had sold 100,000
Ford and Lincoln vehicles since commencing sales in November 1986.
Half of the Ford/Lincoln vehicles sold in that country were
Ford Crown Victorias. In 2004,
Ford sold 30,000 units in the region, falling far short of
General Motors' 88,852 units and
Nissan Motors' 75,000 units.
Environmental initiatives and alternative propulsion
systems
Ford announced in late 2008 July that it will bring six of its more
fuel-efficient European models to the U.S.
Compressed natural gas
The
alternative fossil fuel
vehicles, such as some versions of the
Crown Victoria especially in fleet and taxi
service, operate on
compressed
natural gas—or
CNG. Some CNG vehicles have
dual fuel tanks - one for gasoline, the other for
CNG - the same engine can operate on either fuel via a
selector switch.
Flexible fuel vehicles
Flexible fuel vehicles are designed to
operate smoothly using a wide range of available ethanol fuel mixtures—from pure gasoline, to
bioethanol-gasoline blends such as
E85 (85% ethanol and
15% gasoline) or E100 (neat hydrous ethanol) in Brazil
. Part
of the challenge of successful marketing alternative and flexible
fuel vehicles in the U.S., is the general lack of establishment of
sufficient
fueling stations, which
would be essential for these vehicles to be attractive to a wide
range of consumers. Significant efforts to ramp up production and
distribution of
E85 fuels are underway and
expanding.
Ford is also planning to produce 250,000 E85-capable vehicles a
year in the US, adding to some 1.6 million already sold in the last
10 years.
Current Ford E85 Flexible Fuel Vehicles sold in
North America and
Europe
are:
Current Ford E100 Flex sold in the Brazilian market are:
Electric vehicles
Ford Motor Co. expects
electric
vehicles will represent a "major portion" of its lineup a
decade from now as the automaker breaks away from a recent reliance
on pickup trucks and SUVs. The stakes are high because Ford's
stepped-up investment is coming at a time when the U.S. government
is demanding steep increases in fuel economy and has put money
forward to help automakers adopt new fuel-saving
technologies.
Hybrid electric vehicles
In 2004 both Ford and Toyota agreed on a patent sharing accord
which granted Ford access to certain hybrid technology patented by
Toyota, in exchange Ford licensed Toyota some of their own
patents.
Ford did improve
fuel efficiency
during 2005, with the introduction of the
Hybrid-Electric Escape. With this
vehicle, Ford was third to the automotive market with a
hybrid electric vehicle and the first hybrid
electric
SUV to market. This
was also the first hybrid electric vehicle with a
flexible fuel capability to run on
E85. The Escape's platform mate
Mercury Mariner was also available with the
hybrid-electric system in the 2006 model year—a full year ahead of
schedule. The similar
Mazda Tribute
will also receive a hybrid-electric powertrain option, along with
many other vehicles in the Ford vehicle line.
In 2005 Ford announced its goal to make 250,000 hybrids a year by
2010, but by mid-2006 announced that it would not meet that goal,
due to excessively high costs and the lack of sufficient supplies
of the hybrid-electric batteries and drivetrain system components.
Instead, Ford has committed to accelerating development of
next-generation hybrid-electric power plants in Britain, in
collaboration with Volvo. This engineering study is expected to
yield more than 100 new hybrid-electric vehicle models and
derivatives. There are also plans for hybrid versions of the Ford
Edge and Lincoln MKX.
Ford announced on 2007-07-09 that it will team
up with
Southern California
Edison (SCE) to examine the future of
plug-in hybrids in terms of how home and
vehicle energy systems will work with the electrical grid. Under
the multi-million-dollar, multi-year project, Ford will convert a
demonstration fleet of
Ford Escape
Hybrids into plug-in hybrids, and SCE will evaluate how the
vehicles might interact with the home and the utility's electrical
grid. Some of the vehicles will be evaluated "in typical customer
settings," according to Ford.
On June 12, 2008
USDOE expanded its own fleet
of alternative fuel and advanced technology vehicles with the
addition of a Ford Escape Plug-In Hybrid Flex-Fuel Vehicle. The
vehicle is equipped with a
lithium-ion
battery supplied by
Johnson
Controls-Saft that stores enough electric energy to drive up to
at speeds of up to .
In March 2009 Ford launched to the U.S. market the
Ford Fusion Hybrid and the
Mercury Milan Hybrid, both as 2010
models.
Ford is going to introduce a
plug-in
hybrid challenge the
Chevy Volt by
2012 and more
charge-maintaining hybrids
(traditional gas-electric hybrids), beginning with one in
2011.
Current and planned Ford hybrid electric vehicles:
All-electric vehicles
Ford ended the
Think City experiment and
ordered all the cars repossessed and destroyed, even as many of the
people leasing them begged to be able to buy the cars from Ford.
After outcry from the lessees and activists in the US and Norway,
Ford returned the cars to Norway for sale.
Bill Ford was one of the first top industry executives to make
regular use of an
battery
electric vehicle, a
Ford Ranger
EV, while the company contracted with the
United States Postal Service to
deliver electric postal vans based on the Ranger EV platform..Ford
discontinued a line of electric
Ranger
pickup trucks and ordered them
destroyed, though it reversed in January 2005, after
environmentalist protest.
The North American
Focus has been
modified to take batteries. The variant, known as the Focus RV, is
planned to be launched in 2011. Ford plans to have 10,000 of these
battery-powered cars on the road beginning in 2011 in partnership
with
Magna International and it
will be a global vehicle that will be sold in the three key markets
of North America, Europe and Asia-Pacific. The Focus compact can
travel about 160 kilometres before it needs to be charged.
Current and planned Ford hybrid electric vehicles:
- 2010 All-electric commercial van.
- 2011 All-electric small car in 2011 (Ford Focus RV).
Ford battery electric vehicle (BEV) demonstrators are included in a
British project that is part of the UK government's zero carbon
vehicle fleet of
Focus BEVs . The BEV demonstrator fleet is being developed
partly with public funding from the government's
Technology Strategy Board (TSB),
which promotes innovative industry-led projects that reduce CO2
while benefiting the UK's transport system
Hydrogen
Ford also continues to study
Fuel
Cell-powered electric powertrains, and has demonstrated
hydrogen-fueled
internal
combustion engine technologies, as well as developing the
next-generation hybrid-electric systems. Compared with conventional
vehicles,
hybrid vehicles and/or
fuel cell vehicles decrease
air pollution emissions as well as sound
levels, with favorable impacts upon respiratory health and decrease
of
noise health effects.
Ford has launched the production of
hydrogen-powered shuttle buses, using
hydrogen instead of gasoline in a standard
internal
combustion engine, for use at airports and convention centers.
At the 2006
Greater Los
Angeles Auto Show, Ford showcased a hydrogen fuel cell version
of its Explorer SUV. The Fuel cell Explorer has a combined output
of . It has a large hydrogen storage tank which is situated in the
center of the car taking the original place of the conventional
model’s automatic transmission. The centered position of the tank
assists the vehicle reach a notable range of , the farthest for a
fuel cell vehicle so far. The fuel cell Explorer the first in a
series of prototypes partly funded by the
United States Department of
Energy to expand efforts to determine the feasibility of
hydrogen- powered vehicles. The fuel cell Explorer is one of
several vehicles with green technology Ford being featured at the
L.A. show, including the 2008 Ford Escape Hybrid, PZEV emissions
compliant Fusion and Focus models and a 2008 Ford F-Series Super
Duty outfitted with Ford's clean diesel technology.
Increased fuel efficiency
Ford Motor Company announced it will accelerate its plans to
produce more fuel-efficient cars, changing both its North American
manufacturing plans and its lineup of vehicles available in the
United States. In terms of North American manufacturing, the
company will convert three existing truck and sport utility vehicle
(SUV) plants for small car production, with the first conversion
starting in December at its Michigan Truck Plant. In addition,
Ford's assembly plants near Mexico City, Mexico, and in Louisville,
Kentucky, will convert from pickups and SUVs to small cars,
including the Ford Fiesta, by 2011. Ford will also introduce to
North America six of its European small vehicles, including two
versions of the Ford Fiesta, by the end of 2012. And last but not
least, Ford is stepping up its production of fuel-efficient
"
EcoBoost" V-6 and four-cylinder engines,
while increasing its production of hybrid vehicles. See the Ford
press release.
Given Ford's new emphasis on its European vehicles, a virtual trip
to the
British
International Motor Show in London is in order. Ford is
displaying five models of its all-new
Fiesta at the auto show, which opened to the
public on July 23. Among the models on display is the world debut
of Ford's "
ECOnetic" version of the Ford
Fiesta, which combines more
aerodynamic
styling, a lowered suspension, low-rolling-resistance tires,
low-friction oil, and a specially tuned, turbocharged,
direct-injection diesel engine. As a result, it achieves on the
European combined test cycle, which generally yields higher fuel
economy numbers than the U.S. test methods (note also that the U.K.
gallon is about 20% larger than the U.S. gallon, so we've adjusted
these numbers accordingly). The standard diesel version of the
Fiesta achieves 52.3 mpg, while diesel versions of the European
Ford Focus achieve 52.3 mpg for most body styles and 54.7 mpg for
the ECOnetic model. Of course, the United States has stricter
emissions rules than in Europe, so it may not be possible for Ford
to offer similar models in the United States.
Ford has
challenged University teams to create a vehicle that is simple,
durable, lightweight and come equipped with a base target price of
only $7,000 The students from Aachen University
created the “2015 Ford
Model T”.
In 2000, under the leadership of the current Ford chairman, William
Clay Ford, the Company announced a planned 25 percent improvement
in the average mileage of its light truck fleet – including its
popular
SUV – to be completed
by the 2005
calendar year. In 2003,
Ford announced that competitive market conditions and technological
and cost challenges would prevent the company from achieving this
goal.
Researchers at the
University of Massachusetts
have, however, listed Ford as the seventh-worst corporate producer
of air pollution, primarily because of the
manganese compounds,
1,2,4-trimethylbenzene, and
glycol ethers released from its
casting, truck, and assembly plants.
The United States Environmental Protection Agency has linked Ford
to 54
Superfund toxic waste sites, twelve
of which have been cleaned up and deleted from the list.
For the 2007 model year, Ford had thirteen U.S. models that achieve
30 miles per gallon or better (based on the highway fuel economy
estimates of the EPA and several of Ford’s vehicles were recognized
in the EPA and Department of Energy Fuel Economy Guide for
best-in-class fuel economy. Ford claimed to have eliminated nearly
three million pounds of smog-forming emissions from their U.S. cars
and light trucks over the 2004 to 2006 model years.
Auto racing
NASCAR
Ford is one of four manufacturers in
NASCAR's
three major series:
Sprint Cup
Series,
Nationwide Series, and
Camping World Truck
Series. Major teams include
Roush Fenway Racing and
Yates Racing. Ford is represented by the
mid-size Fusion in the Sprint Cup and
Nationwide Series, and by the
F-150 in the
Camping World Truck Series. Some of the most successful NASCAR
Fords were the aerodynamic fastback
Ford
Torino and
Mercury Montegos, and
the aero-era
Ford Thunderbirds. The
Ford nameplate has won eight
manufacturer's
championships in Sprint Cup, while Mercury has won one.
Formula One
Ford was heavily involved in
Formula One
for many years, and supplied engines to a large number of teams
from 1967 until 2004. These engines were designed and manufactured
by
Cosworth, the racing division that was
owned by Ford from 1998 to 2004.
Ford-badged engines won 176 Grands Prix
between 1967 and 2003 for teams such as Team
Lotus and McLaren
. Ford entered Formula One as a constructor
in 2000 under the
Jaguar Racing name,
after buying the
Stewart Grand
Prix team which had been its primary 'works' team in the series
since 1997. Jaguar achieved little success in Formula One, and
after a turbulent five seasons, Ford withdrew from the category
after the
2004 season,
selling both Jaguar Racing (which became
Red Bull Racing) and Cosworth (to
Gerald Forsythe and
Kevin Kalkhoven).
Rally
Ford has a long history in
rallying and has
been active in the
World Rally
Championship since the beginning of the world championship, the
1973 season.
Ford took the
1979 manufacturers'
title with
Hannu Mikkola,
Björn Waldegård and
Ari Vatanen driving the
Ford Escort RS1800. In the
Group B era, Ford achieved success with
Ford RS200. Since the
1999 season, Ford has
used various versions of the
Ford Focus
WRC to much success. In the
2006 season,
BP-Ford World Rally Team secured
Ford its second manufacturers' title, with the Focus RS WRC 06
built by
M-Sport and driven by
Flying Finns Marcus Grönholm and
Mikko Hirvonen. Continuing with Grönholm and
Hirvonen, Ford successfully defended the manufacturers' world
championship in the
2007 season. Ford is
the only manufacturer to score in the points for 92 consecutive
races; since the
2002 season opener
Monte Carlo Rally.
Sports cars
Ford sports cars have always been visible in the world of endurance
racing.
Most notably the GT40
won the prestigious 24 Hours of Le Mans
four times in the 1960s and still stands today as
one of the all-time greatest racing cars. The GT40 is the
only American car to ever win overall at Le Mans. In 2007 Swiss
Matech Racing in collaboration with Ford Racing is opened a new
chapter in the annals of the
Ford GT. A
winning chapter Ford GT Matech team won win title in the European
FIA GT3 Championship 2008.
The
Ford Mustang has arguably been
Ford's most successful sports car. The Mustang won the SCCA Pro B
National Championship in 1965 at the hands of
Jerry Titus who went on to win the SCCA Trans-Am
Championship in another Mustang two year later in 1967. Ford won
the Trans-Am Championship again in 1970 with
Parnelli Jones and
George Folmer driving Boss 302s for
Bud Moore Engineering. Ford took the
1985 and 1986 IMSA GTO Chmapionship with Mustangs driven by
John Jones and
Scott Pruett before returning to Trans-Am glory
with a chamiponship in 1989 with
Dorsey
Schrader. Ford dominated Trans-Am in the 1990s with
Tommy Kendal winning championships in 1993,
1995, 1996, and 1997 with
Paul
Gentilozi adding yet another title in 1999. In 2005 the Ford
Mustang FR500C took the championship in the Rolex
Koni Challenge Series in its first year on
the circuit. In 2007 Ford added a championship in the GT4 European
Championship. In 2008 Ford added FR500GT at
Ford
GT a championship in the FIA GT3 European Championship. 2008 is
the first year of the Mustang Challenge for the Miller Cup a new
series which pits a full field of identical factory built Ford
Mustang race cars against each other. Also in 2008 Ford won both
the drivers and manufacturers championship in the Koni Challenge
Series with Joe Foster and Steve Maxwell driving HyperSport.
Touring cars
Ford has campaigned touring cars such as the
Focus,
Falcon, and
Contour/
Mondeo and
the
Sierra Cosworth in many different series throughout the
years. Notably, the Mondeo finished 1,2,3 in the
British Touring Car
Championship in 2000, and the Falcon finished 1,2,3 in the
Australian
V8 Supercar Series in
2005.
Other
In the
Indianapolis
500
, Ford powered IndyCar won 17 times
between 1965 and 1996. Ford has also branched out into
drifting with the introduction of the new model Mustang. Most
noticeable is the Turquoise and Blue Falken Tires Mustang driven by
Vaughn Gittin Jr, A.K.A. "JR". with 750 RWHP (Rear Wheel
Horsepower). In
drag racing, John Force
has piloted his Drag
Ford Mustang to
several
NHRA funny-car titles in recent
seasons.
Formula Ford, a formula for
single-seater cars without wings and originally on road tires were
conceived in 1966 in the UK as an entry-level formula for racing
drivers. Many of today's racing drivers started their car racing
careers in this category.
Ford trucks

1961 Ford H-Series trucks

1939 Ford pick-up truck
Ford has produced trucks since 1908. Countries where Ford
commercial vehicles are or were made include Argentina, Australia,
Brazil, Canada (badged
Mercury
too), France, Germany, India, Netherlands, Philippines, Spain
(badged
Ebro too), Turkey, UK (badged
also
Fordson and
Thames) and USA.
Most of all these ventures are now extinct. The European one that
lasted longer was the lorries arm of
Ford of Britain, that was eventually sold to
Iveco group in 1986, and whose last
significant models were the
Transcontinental and the
Cargo.
In the USA, Ford's heavy trucks division (Classes 7 and 8) was sold
in 1997 to
Freightliner Trucks,
now part of
Daimler AG, which rebranded
it as
Sterling and augmented the
lineup with rebranded trucks from Freightliner and Dodge; the
division is currently shutting down operations. Ford continues
building medium class trucks with the
F-650 and F-750
Ford
F-Series and recently introduced the LCF series similar in
design to the
Ford Cargo trucks of the
past.
Bus products
Ford has manufactured buses in the company's early history, but
today, Ford's role has changed to that of a
second stage manufacturer. In
North America, the
E-Series is still
used as a chassis for small school buses and the
F-650 is used in commercial bus markets. In the
1980s and 1990s, the medium-duty B700 was a popular chassis used by
school bus body manufacturers, but Ford lost its market share due
to industry contraction and agreements between body
manufacturers.
Ford tractors

Ford tractor
The
"Henry Ford and Son Company" began making Fordson tractors in Henry's hometown of
Springwells (later part of Dearborn,
Michigan
from 1907 to 1928, from 1919 to 1932, at Cork
, Ireland
and 1933-1964 at Dagenham
, England
, later
transferred to Basildon
. They were also produced in Leningrad
beginning in 1924.
In 1986, Ford expanded its tractor business when it purchased the
Sperry-New Holland skid-steer loader and hay baler, hay tools and
implement company from
Sperry
Corporation and formed Ford-New Holland which bought out
Versatile tractors in 1988.
This company was
bought by Fiat
in 1993
and the name changed from Ford New Holland to New Holland.
New Holland is now part of
CNH Global.
Sales
| Calendar Year |
American sales |
| 1999 |
4,163,369 |
| 2000 |
4,202,820 |
| 2001 |
3,971,364 |
| 2002 |
3,623,709 |
| 2003 |
3,483,719 |
| 2004 |
3,331,676 |
| 2005 |
3,153,875 |
| 2006 |
2,901,090 |
| 2007 |
2,507,366 |
| 2008 |
1,988,376 |
Criticism
Throughout its history, the company has faced a wide range of
criticisms. Some have accused the early
Fordist model of production of being exploitative,
and Ford has been criticized as being willing to collaborate with
dictatorships or hire mobs to
intimidate union leaders and increase their profits through
unethical means.
Ford refused to allow
collective
bargaining until 1941, with the Ford Service Department being
set up as an internal security, intimidation, and espionage unit
within the company, and quickly gained a reputation of using
violence against union organizers and sympathizers.
Ford was also criticized for tread separation and tire
disintegration of many
Firestone tires installed
on
Ford Explorers,
Mercury Mountaineers, and
Mazda Navajos, which caused many crashes during
the late 1990s and early 2000s. It is estimated that over 250
deaths and more than 3,000 serious injuries resulted from these
failures. Although
Firestone received most of
the blame, some blame fell on Ford, which advised customers to
under-inflate the tires in order to reduce the risk of vehicle
rollovers.
Alleged Nazi collaboration
Other accusations were that the company collaborated with the
German
Nazi regime and relied on Germany. The
German Ford company used
slave labor in
Cologne
between 1941 and 1945 and it had produced military vehicles such as
jeeps, planes, and ships used by a fascist regime.
Many of these
allegations were made in a series of United States
lawsuits in 1998. The lawsuit was dismissed
in 1999 because the judge concluded "the issues...concerned
international treaties between nations and foreign policy and were
thus in the realm of the executive branch."
Detractors point to
Henry Ford's
outspoken
anti-semitism, including his
newspaper,
The Dearborn
Independent, which published
The Protocols of the Elders
of Zion. They also point to the fact that in 1938, four months
after the German annexation of Austria, Ford accepted the
Grand Cross of the German
Eagle, the Nazi regime's highest honor for foreigners before
the outbreak of the war.
Defenders of the company argue that the Ford German division,
Fordwerke, had been taken over by the
Nazi government after it rose to power, claiming that it was not
under the company's control, though Henry Ford, according to court
records, did stay in touch with the company. Although Ford's
initial motivations were anti-war, the company was heavily involved
in the United States Allied war effort after the outbreak of
war.
Argentine "Dirty War"
Ford's Argentine subsidiary
was accused of collaborating with the Argentine
1976-1983 military dictatorship, actively helping
in the political repression of intellectuals and dissidents that
was pursued by said government. No result was proven and the
company denied the allegations.
In a lawsuit initiated in 1996 by relatives of some of the
estimated 600 Spanish citizens who disappeared in Argentina during
the "
Dirty War", evidence was presented to
support the allegation that much of this repression was directed by
Ford and the other major industrial firms. According to a
5,000-page report, Ford executives drew up lists of "subversive"
workers and handed them over to the military task-forces which were
allowed to operate within the factories. These groups allegedly
kidnapped, tortured and murdered workers—at times allegedly within
the plants themselves. The company denied the allegations.
In a second trial, a report brought by the
CTA, and the testimonies of former
Ford workers themselves, claimed that the company's Argentine
factory was used between 1976 and 1978 as a detention center, and
that management allowed the military to set up its own bunker
inside the plant. The company denied the allegations.
Ford Pinto
In September 1971 the Ford Motor Company launched the Pinto for the
North American market. Through early production of this model it
emerged that design flaws could result in fuel tank explosions when
the vehicle was subject to a rear-end collision. Some sources even
allege this safety data was available to Ford prior to production,
but was ignored for economic reasons. Either way, a major scandal
followed with the leaking to San Francisco magazine
Mother Jones of the notorious
"Ford Pinto Memo", an internal Ford cost-benefit analysis showing
that the cost of implementing design changes to the subcompact's
fuel system was greater than the economic cost of the burn injuries
and deaths that could be prevented by doing so. Subsequently some
have played down the importance of this case as Pinto explosion
fatality estimates range widely from 27 to 900, with the lowest
figures being allegedly in line with comparable fatality statistics
for other car models.
In the related Ford Pinto product liability case Grimshaw v. Ford
Motor Co., 119 Cal. App. 3d 757 (4th Dist. 1981) the California
Court of Appeal for the Fourth Appellate District reviewed Ford's
conduct and upheld compensatory damages of $2.5 million and
punitive damages of $3.5 million against Ford. Of the two
plaintiffs, one was killed in the collision that caused her Pinto
to explode, and her passenger, 13-year old Richard Grimshaw, was
badly burned and scarred for life.
See also
Notes
References and further reading
Ford Motor Company
- Bak, Richard. Henry and Edsel: The Creation of the Ford
Empire (2003)
- Bardou; Jean-Pierre, Jean-Jacques Chanaron, Patrick Fridenson,
and James M. Laux. The Automobile Revolution: The Impact of an
Industry University of North Carolina Press, 1982
- Batchelor, Ray. Henry Ford: Mass Production, Modernism and
Design Manchester U. Press, 1994
- Bonin, Huber et al. Ford, 1902-2003: The European
History 2 vol Paris 2003. ISBN 2-914369-06-9 scholarly essays
in English on Ford operations in Europe; reviewed in Len Holden,
Len. "Fording the Atlantic: Ford and Fordism in Europe" in
Business History Volume 47, #1 January 2005 pp
122–127
- Bowman, Timothy J. Spirituality at Work: An Exploratory
Sociological Investigation of the Ford Motor Company.
London School of Economics and Political Science,
2004
- Brinkley, Douglas G. Wheels for the World: Henry Ford, His
Company, and a Century of Progress (2003)
- Brinkley, Douglas. "Prime Mover". American Heritage
2003 54(3): 44-53. on Model T
- Bryan, Ford R. Henry's Lieutenants, 1993; ISBN
0-8143-2428-2
- Bucci, Federico. Albert Kahn: Architect of Ford
Princeton Architectural Press, 1993
- Cabadas, Joseph P. River Rouge: Ford's Industrial
Colossus (2004), heavily illustrated
- Dempsey, Mary A. "Fordlandia' Michigan History 1994
78(4): 24-33. Ford's rubber plantation in Brazil
- Flink, James. America Adopts the Automobile, 1895-1910
MIT Press, 1970
- Foster, Mark S. "The Model T, The Hard Sell, and Los Angeles
Urban Growth: The Decentralization of Los Angeles During the
1920s." Pacific Historical Review 44.4 (November 1975):
459-84
- David Halberstam, The Reckoning (1986) detailed
reporting on the crises of 1973-mid 1980s
- Iacocca, Lee and William Novak. Iacocca: An
Autobiography (1984)
- Jacobson, D. S. "The Political Economy of Industrial Location:
the Ford Motor Company at Cork 1912-26." Irish Economic and Social
History [Ireland] 1977 4: 36-55. Ford and Irish politics
- Lacey, Robert "Ford: The Men and the Machine" (Heinnemann,
London) 0 414 401027 (1986)
- Levinson, William A. Henry Ford's Lean Vision: Enduring
Principles from the First Ford Motor Plant, 2002; ISBN
1-56327-260-1
- Kuhn, Arthur J. GM Passes Ford, 1918-1938: Designing the
General Motors Performance-Control System. Pennsylvania State
University Press, 1986
- Magee, David. Ford Tough: Bill Ford and the Battle to
Rebuild America's Automaker (2004)
- Maxton, Graeme P. and John Wormald, Time for a Model
Change: Re-engineering the Global Automotive Industry
(2004)
- May, George S. A Most Unique Machine: The Michigan Origins
of the American Automobile Industry Eerdman's, 1975
- Maynard, Micheline. The End of Detroit: How the Big Three
Lost Their Grip on the American Car Market (2003)
- McIntyre, Stephen L. "The Failure of Fordism: Reform of the
Automobile Repair Industry, 1913-1940: Technology and
Culture 2000 41(2): 269-299. repair shops rejected flat
rates
- Rubenstein; James M. The Changing U.S. Auto
Industry: A Geographical Analysis Routledge, 1992
- Shiomi, Haruhito and Kazuo Wada. Fordism Transformed: The
Development of Production Methods in the Automobile Industry
Oxford University Press, 1995
- Sorensen, Charles E. My Forty Years with Ford Norton,
1956
- Studer-Noguez; Isabel. Ford and the Global Strategies of
Multinationals: The North American Auto Industry Routledge,
2002
- Tedlow, Richard S. "The Struggle for Dominance in the
Automobile Market: the Early Years of Ford and General Motors"
Business and Economic History 1988 17: 49-62. Ford
stressed low price based on efficient factories but GM did better
in oligopolistic competition by including investment in
manufacturing, marketing, and management
- Thomas, Robert Paul. "The Automobile Industry and its Tycoon"
Explorations in Entrepreneurial History 1969 6(2):
139-157. argues Ford did NOT have much influence on US
industry
- Watts, Steven. The People's Tycoon: Henry Ford and the
American Century (2005)
- Wik, Reynold M. Henry Ford and Grass-Roots America.
University of Michigan Press, 1972. impact on farmers
- Wilkins, Mira and Frank Ernest Hill, American Business
Abroad: Ford on Six Continents Wayne State University Press,
1964
- Williams, Karel, Colin Haslam and John Williams, "Ford versus
`Fordism': The Beginning of Mass Production?" Work, Employment
& Society, Vol. 6, No. 4, 517-555 (1992), stress on Ford's
flexibility and commitment to continuous improvements.
External links