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Great post and insights. When a company and an entire industry is under attack it's nearly impossible for the brand to get its message out. Despite its troubles there are a tremendous amount of positives going on within the auto industry today. I have been to Detroit many times this year and have seen them myself. Good luck with the rest of the year and in the future. Count me in as a supporter.
I always believe that American Ingenuity is more vital and powerful than any amount of politics.
The key to our auto industry and any industry is to become more facile and capable of change. Your mentioning that these plants could be changed back and forth in hours from trucks to cars is relieving. I thought labor contracts have been hamstringing you all into oblivion - but obviously Ford management has some sensible ideas that they are actually implementing.
If Ford wants people to drive their cars - at least in my book - they have to do two things - and both at a local level:
1) Improve service after sales - even on other vehicles (I was laughed out of a Ford dealership last summer when I went there for a Chevy truck part by accident.)
2) Locally get this message across about test-driving. I've heard it from you and by people who talk about you - but not from my local dealer in his ads.
When I was a kid growing up here, we drove nothing but Fords. Simply because there was great service after the sale. Now we drive none - same reason. The mechanic we use personally hates Fords (for whatever reason) - but he doesn't work for a dealership, he's independent after years working for one.
There's my two bits.
PS. And could you suggest they come out with something as durable and easy to repair (not to mention flex-fuel-friendly) like the Model A? If Ford came out with a simple model that was easily customizable by after-model kits, it would rule. (Remember how people used to customize the old Beetle Bug?!?) And people would line up for a chance at driving a modernized Tin Lizzy (say, with mag aluminum wheels and a rumble seat, painted yellow...as long as we could still get Sync as an option.)
Mike, I appreciate your kind words and your support. We need many more like you.
Who knew that Ford (Rouge factory) has the largest green roof in the world? Or the most five-star ratings of any automaker? How many people understand the role of the auto industry during WWII? Telling THIS story directly to U.S. consumers through social media and honest conversation is essential to changing perceptions.
The first car I remember growing up was my mom's Ford Mustang. My first car was a Mercury Topaz (affectionately called it the Blue Bomber). Regardless of whether or not someone drives a Ford or a foreign-made car, there are only a handful of companies that I'd associate with being the engine of America. Ford is one of them (this list includes companies outside of the auto industry too). Yes, times have changed and consumer interests may be elsewhere; but how many people truly know what Ford and the auto industry are doing, developing and driving today? As you encouraged Scott, THIS story should be shared.
Will Smith drove a Shelby Mustang in an attempt to save humanity. While this was only in a movie, the title of it could easily describe the story of Ford ... I AM LEGEND.
Someone else mentioned in comments that their parents had a Ford Mustang back in the day--so did my parents! '65 dark blue Ford Mustang. It was awesome from what I can tell from pictures.
I'm open to hearing facts about how the Big 3 have turned a new leaf, and how you aren't all the same. So if Ford is turning it around regardless of GM and Chrysler's woes, good on them.
But I think the public has 30 years of wondering what happened to the Big 3 when Toyota, Nissan, and other overseas carmakers planned and executed with an eye to the future, and responsiveness to world conditions and consumer demand, during that same period. So while in general I support an extremely conditional loan/bailout, there'd have to be a lot of strings attached in order for me personally to feel like the taxpayers weren't sold up the river like we were on TARP.
This is an excellent post, full of great information. Ford is smart indeed to have you on board. Look what a big difference you have made in just this very short time!
The real key to Ford's success will be to whether they continue to listen and learn from their consumers. There are already a few excellent suggestions within the comments you've just received.
My very first car was a 1986 Ford Escort. I brought it brand new from Charles Gabus Ford in Des Moines when I was 20 years old. It was a great little car, and I used it up until the point where I could not fit two car seats in the back! My ex-husband and I even named her LEOTA, which stood for "Lone Escort Of The Apocalypse." We loved that little car.
Now, I'll let you get back to work so Ford can hurry up and build me my Flex-fuel Hybrid. My car isn't getting any younger.
ClaireCelsi (from Twitter)
I grew up in the Detroit area and chose to remain in the area after I graduated from college. In the last few months I have really become to realize how much the big three impact this region. It's too bad it took something so dramatic and tragic as the crack in the economy to point me back to those roots.
Thank you for dropping the Thaddeus McCotter speech into this blog. McCotter is actually my rep. and this is the first time I got to listen to it. It's too bad it was never mentioned in the media. It was very well thought out and spoke truth to the situation that is going on. I will definitely be sharing it with my social community.
Thanks again for sharing your perspective on what is going on. It was genuine, just the way social media should be.
A question: If Ford is not desperate for cash, why did Mulally go to Washington to seek it?
Second, you ask: What is America doing for the auto industry today? Do you, or your boss, believe that America should be doing something for the auto industry?
I can't speak for my boss; I can only speak for myself. And if the auto industry is finally asking for some modest short-term assistance to make it through these troubled times so its innovative products can be produced, I'd say let's at least listen with an open mind.
I concur that Ford is clearly the best positioned of the U.S. automakers to succeed mid and long-term. It's truly unfortunate that this has become a scenario where all 3 companies are lumped together.
I had no idea about a lot of these initiatives, and taking it direct to the public in this way can only help the cause. The macro-economic + political forces may prevent assistance from coming, but you've certainly put forth a compelling argument that deserves widespread attention.
Hang in there.
j
Keep the faith.
I've not worked with GM, but in working with some of the groups at both Ford and Chrysler, I heartily second that both have lots going for them right now. Unfortunately these stories aren't getting out enough so I'll do my best to pass along this post to help do my part for the US Auto Industry!
This gloom and doom is infectious - I watch CNN all day and it has my hair turning gray. As I listen to the issues with the auto industry, I think back to my visit to Ford and the two don't gel. I can only speak for Ford, because that is the only car company that invited me...you invited me, Scott. Being there for a whole day of interaction with the brightest minds at Ford convinced me that the American auto industry IS responding to our requests and needs.
FORD is absolutely doing what you write about here. I saw it, first hand.
Once back, I had a long email conversation with a friend who said Ford, and all the others, are so far behind they will never catch up. He said he would never buy American, the other cars are much better and get better gas mileage. He said...a lot of things. I countered with my experience ... and I closed with the idea that it's up to US, American citizens, to reclaim our auto industry. To buy American. To be proactive and engage in dialogue with the auto industry execs (or, in your case, those who are on social media and available to us) and to get back to those strong American roots that continue to be the foundation of everything we do, going forward.
To that end, Scott - I left you and many others at Ford with a challenge - to bring the American people back into the fold by creating an historical look back - at the amazing company that started the auto industry. Ford is more than an automobile/truck manufacturer - Ford is a living, breathing part of America's history. Let's not throw the baby out with the bathwater, so to speak.
Thanks for this post. Thanks for taking it on the chin. Thanks for allowing us to share our thoughts.
Anyway-- great, heartfelt post. I forwarded this to friends with who m I had a conversation about the auto industry Saturday evening. One of them is a big car buff. The main theme I took away from my friends is that they feel the Big 3 aren't making the cars we want. I think, and this is bolstered by your post, that the Big 3 are changing that (the American car i see around the most, actually, is the Honda Fit-alike Chevy Aveo, followed perhaps by the Ford Focus). The challenge, aside from the time it takes to complete the transformation of the plants you describe, is communicating it against a sea of prejudice.
Good luck-- and I'll let you know when we decide we're ready to take ona 2nd car.
It occurs to me that the appropriate source of bailout money for the auto industry ought to come from big oil. Exxon Mobil just set another quarterly record in the midst of financial crisis. Surely someone must realize the irony in that.
Excellent position piece on your company. I couldn't think of a more effective use of your voice, being both a "Company Man" and also "Social Media Guru" to share two sides of an amazing story. Ford is one of those iconic brands that has eclipsed the simple "industry" classification to come to represent all things that are great about being American - strength of character, powerful mindset to challenge those things that are unjust (high gas, unsafe environmental practices, etc.) and the perseverance to withstand countless challenges from foreign forces. While I have only owned one Ford personally, I have always found their company to be an excellent model of what we all should do to be successful, even in unsuccessful times. Thanks for sharing the additional information about Ford's efforts and plans, you have solidified my opinion of your company, and while I am only one man, I will be sure to spread the word. Keep it up and Good luck!
Keep up the good fight my friend!
/kff
A great read, and one that's not rife with emotional attacks towards those who "just don't understand." We've certainly come a long way, and I'm sure you will continue to share the wonderful story Ford is writing.
As one who served two terms in the military, it is a bit offensive to compare Ford's effort during WWII, which made a profit for Ford, to those who made the greatest sacrifice. America owes Ford nothing other than purchasing their products when they meet or exceed our wants and needs. I know you well enough to understand you never meant to offend anyone, but perhaps you should remove what reads as a self-serving plea regarding America owing Ford or any business anything. Ford continues to owe America everything it has, as only in America could a company prosper as much.
Nice post Scott. Ford is lucky to have you. By the way, I added this post on my blog post today and trackbacked to it to share another view.
My apologies for having offended you. I did not mean to discredit your service nor the service of millions of others of men & women in uniform. I thought you might be interested to know, however, that Ford has supported the Disabled American Veterans since their inception 87 years ago.
The Ford Motor Company Fund (our philanthropic arm) has actively supported the DAV - including most recently donating $25,000 and 7 vehicles to help veterans get to their medical appointments - and 132 vehicles since 1996.
Second, I know we disagree on the loan issue, and I would only state this: bankruptcy for any one of the U.S. automakers is an extremely complex process, and it's not as much of a "magic wand" scenario that you're making it out to be. Under a prepackaged bankruptcy, all parties - the automaker, unions, creditors, etc. - would have to agree to the terms. During the long time it would take to negotiate the agreements, vehicle sales would collapse to such an extent that it would mortally wound the automaker.
I'll head on over to your blog when I get a spare moment and see if I can add anything there. Thanks for your input here, Lewis.
Who knew that Ford had so many progressive initiatives in place? I didn't and judging by the comments so far, neither did most of your readers.
Although admirable, it a shame that the Ford publicity machine failed at making Americans cognizant of these merits prior to the current crisis. Unfortunately, your post is a day late and a dollar short (no pun intended).
The lesson to be learned? When organizations are doing something good, they need to shout it from the rooftops! And hopefully they are fully leveraging groundswell strategies to do so.
As I've said to you on Twitter, I'm really torn on this question. And the questions for me go beyond the auto industry itself, and cut both ways.
I see that the auto industry affects not only its direct workers and shareholders but millions of others who live off the supplier stream and local businesses of those employees. The economic reach of the auto industry is surely widespread.
But from the other perspective, there are other large industries that are already or soon may be in financial trouble for the same reasons of credit, recession and foreign competition. It's the slippery slope problem. Where do you stop? I dare say you might have a problem with GM getting help, but not Ford, even though as you've pointed out, Ford is healthier.
I'm not one to be categorically or ideologically opposed to government helping out industry, but I don't want this to turn into permanent life-support for either companies or labor that are no longer viable for structural reasons.
I honestly don't know the answer at this point. I need to understand why are they where they are at this point and how any assistance plan will fix that situation.
I know that personally, viewing that video, actually taking time to LISTEN to it, I have seriously stepped-back and reconsidered some points and issues I never would have before. And I'm just one person in your very healthy network.
I know I will use your example as I go forward with clients and their needs, and my own, as how to wisely use social media in crisis communications. When you add value to media overall via social media, you add value for the rest of us using the medium and the media. You have done a remarkable thing!
Having said that, I must confess I am not a big fan of the "Big 3". I just feel as if they have ignored the markets for so many years that this is a sad reality of that. I don't like unions; I don't like the bad quality we have gotten from these companies for so long. However, I don't want to see folks suffering by a loss of a job.
Whatever sympathy I have mustered up for this situation went out the window when the CEO's showed an incredible lack of judgement when appearing in Washington. If they can't check their arrogance in the face of this crisis, what makes me think they will do ANYthing to change the situation?
The fact they didn't have the foresight to come up with a presentation which showed some forethought just made it look like they wanted a handout from the government.
Two things bother me. They could not acquire funding for a merger. No guarantees of payback.
I pose this question (I think many others have also): Why not get the oil companies in as investors? I am sure there are many many reasons why this might be bad but, right now, they have the money, they benefit from the current oil consumption of the very cars are being sold.
I hope you are successful in helping to get help for the auto industry.
Over the past couple of weeks, I have been torn between whether auto industry should be given the $25B or not. On one hand, I feel bad for all the workers that will lose the jobs but on the other hand, I want market forces to dictate who survives and who does not.
Small businesses come and go - not because of lack of effort but because of market forces. What I cannot come to terms with is the lack of urgency in Detroit for having done something about getting nimble to survive such dramatic shifts in the market. Yes, this economic downturn is a tsunami, but could they have been more prepared for it? Yes - other businesses are struggling, but not everyone is going to sink.
I have always driven Japanese cars for one main reason - I did not want to spend my hard earned money on American cars because of their quality. I have driven some of the brand new cars from the Big 3 as rentals as late as earlier this year and I am not sure I would have spend my own money to buy them. Reports also show how quickly American cars depreciate compared to foreign makes.
Of all the people that I would not shed a tear for during these tough times would be the auto dealers - I would rather see them go out of business given the shoddy business practices they adopt.
I am not going to shed a tear for UAW either - they were more interested in protecting their turf than looking forward. I had a colleague of mine who was given a grievance for carrying four bolts across the assembly floor because the union considered this to be their job.
If there is one big mistake your execs did last week was them flying into Washington in their own private jets - the $60K or whatever it cost is a drop in the ocean, but that drop was heard loud and clear - they blew it from a PR perspective.
I love reading your blog, hope things work out for the auto industry - if nothing else Scott, you have nothing to worry about - employers should be lining up to employ you :-)
One thing I keep hearing - from folks like the person who pointed me here, Erin/QueenOfSpain - is why the Big3 aren't getting the traction on a bailout the financial industry is.
My question for someone who is connected is this: since a large part of the problem in the larger economy right now is a liquidity problem - the collapse of the housing bubble sucking the air and free cash out of the room - how does a bailout help Detroit (or just Ford if you don't feel qualified to address the issue for the industry at large) if capital doesn't begin to flow enough to get people comfortable buying vehicles again? If people don't return soon to the 'normal' level of vehicle purchasing will a bridge loan type arrangement truly help, or does there have to be cash in the system to enable people to purchase your product? Would a bridge loan without a turnaround in the banking/financial sector do more than push the failure of a Big3 company into a later fiscal quarter?
Thanks
I'm glad to see Ford has greenlighted your job. I hope you retain a fairly indepedent and honest voice within Ford and not become too PR-like.
Both the auto industry and consumers have responsibility for the current state of affairs. What brings them together is market research. I think we need to re-examine marketing and its role in this crisis. I'd imagine up until two years ago, all market research done at Ford told you that people wanted SUV's. Performance. Cup holders.
The "signals from the future" that pointed to the need for huge gains in fuel efficiency were drowned out by focus groups. Ford and other auto manufacturers were reacting to the marketplace, they were not leading. The traditional market research techniques that Ford relies on can only really tell you about today. As long as tomorrow is a lot like today, they work. They fail when tomorrow is different. The industry is living that failure now.
The auto industry has fought for years against higher CAFE standards. Maybe instead of putting that money into fighting CAFE standards and putting it into more research on hybrids, EV's, and fuel cell vehicles those technologies would be closer to reality and the crisis would be milder because the industry would be manufacturing vehicles consumers want today.
The auto manufacturers did not volunteer to make tanks and jeeps during WWII. FDR forced them to. Indeed, this government investment in Europe, the US, and Japan ultimately spawned three different consumer vehicles: Jeep, Land Rover, and Toyota Land Cruiser. All were originally designed to meet government mandates. This proves that industry can rise to the occasion; as we're learning, if they don't -- and we don't -- there may not be market at all.
Joel Greenberg
TheEnergyRoadmap.com
This is a good post, and does make the case that Ford is not GM, and has been making proactive changes.
Two things:
1. All of the things you talk about are incremental changes. There is little in the way of truly transformational change, or "moon shot" style initiatives designed to change the game. If Ford is truly coming to grips with long term issues like climate change and the coming end of cheap oil, it would be working a lot harder to come up with disruptive changes to the industry. You say "No one could have foreseen" the economic collapse. That was also said about 9/11, yet there were ample warnings of both problems, to those who were paying attention. In any event, great corporate strategy makes an effort to develop robust strategies that are designed for radically different scenarios, not just variations on a theme.
2. You fail to address the continued opposition of Ford (as well as the others of the Big Three) to higher fuel economy standards. If you hadn't done that, you would be in a far better position today. The Prius first went on sale in 1997, more than ten years ago. The technology was clearly there. You guys made a decision to favor short term profit over long term values. I know that the American buying public was a big part of your decision, but that was partly a failure of leadership. If you guys had broken with GM and said "We NEED higher fuel economy standards," you could have moved the industry forward instead of holding it back.
I really appreciate your attempts to speak up for Ford. But without acknowledgment of past mistakes (and even current practice, still opposing higher fuel efficiency standards), your efforts come across as a kind of greenwashing, rather than a real change.
Thanks for taking the time to stop by and comment here. I agree and disagree with your points, and let me tell you why.
1. No one has a crystal ball. This is Monday morning quarterbacking that you're engaging in. You claim that there were ample warnings regarding the economic collapse, but let me ask you this: did you cash out all of your stock holdings so that you're now completely liquid? I doubt it.
But you know what? Ford did prepare. We sought out credit and leveraged some assets nearly two years ago, so we would have liquidity. The recent economic impact was so severe that even that doesn't necessarily insulate Ford from the harsh realities of a major downturn.
And when the auto industry - which typically takes two or more years to get a product from concept to the public - faces a sudden shift in public sentiment and market conditions in less than one quarter, I don't care how prepared you are with strategic plans, changes are nearly impossible to achieve in that amount of time.
2. As far as higher fuel economy standards go, Ford is committed to making more fuel efficient cars. I get your point about us zigging while the competition zags. There's no question that that's how you beat the competition.
We're working on a variety of fuel-efficient solutions - some of which I'm not permitted to tell you about - that I think will be absolutely fantastic in this area. And let's not forget, that when the Prius first went on sale, it was a money loser for Toyota. It took a few years before it was profitable and people started to pick up on it.
As you can imagine, as the social media guy speaking on behalf of Ford, I'm not personally able to comment on past actions of the company. I'm sure there are others who are more qualified to address this than I am.
Tim, thanks for your continued debate. You are a tough debate partner, but one of the reasons I enjoy our exchanges is because you're respectful and logical. Keeps me on my toes!
Unions by definition are organized to look out for their own interests. There's nothing wrong with that, as long as a reasonable balance is maintained. I don't see that as having happened over the past few decades.
Someone in the MSM said the other night that union workers in the auto industry are earning around $75 an hour, and need to cut to around $40 to be competitive with foreign lines. $75 an hour??? That's a huge amount of money, and reduces my sympathy for the industry considerably.
Companies like Google and more are also facing serious difficulties, but in their case they have billions of dollars in savings accounts. In other words, they were fiscally responsible by laying something aside for a rainy day. The culture of debt that has been cultivated for so long is one that has discouraged responsible behavior, and now we are all living with the consequences. I would like to see companies take their licks, fix the problems, and rebuild. If they cannot do that, then I'm not convinced they deserve to stay in business.
I understand that you're indicating that Ford has indeed been more responsible, and that's good. However, there have been plenty of poor choices as well.
A foundational American value is personal responsibility; let's see people actually do that rather than begging for help from taxpayers that will result in their own children and grandchildren bearing the burden for problems they didn't create.
As for Ford making quality innovative vehicles, well that's fantastic. But I can't afford to spend thirty thousand dollars on a vehicle that will depreciate to half that as I drive it off the lot. New car prices and depreciation percentages are way too high, and as a result I have no intention of ever buying a new car again.
If and when dramatic changes occur, that may change. Otherwise, I'll be buying vehicles that are old and used once my ten-year-old minivan actually dies.
First, I'm glad Ford supports good causes. It should and it should expect nothing in return.
Second, I do not believe bankruptcy filings are a magic wand. However, they are an implicit part of the process meant to require failing companies to restructure. My point: If a company cannot survive bankruptcy filings, they will also not survive a bailout and they should not expect one. Especially when an industry had 30 years to prepare for this day and but started two years ago.
GM, when it runs out of money next month should have to file for bankruptcy before any taxpayer dollars are given it.
Why shouldn't the voice of the consumer be heard? It has been sending a strong message to Detroit for years. Now Detroit wants to dip into our pockets to repair its errors in judgment. OK. Declare bankruptcy, let the Gov't help GM through that complex process and then evaluate whether or not taxpayer dollars are a good investment.
I agree with Obama's statement at Noon today: The last thing we want to do is kick the can down the road. Where's the plan and vision for the future?
As I know you personally, I can see the passion and desire to share your story behind each word, and I appreciate and trust it. I have driven Ford cars for the last several years, and I have always found them not only reliable but great for my family. :)
Keep it up with showing the human side of Ford, and keep reaching out to consumers and sharing their stories.
Given that your blog is about Social Media Marketing not a Ford Blog per se, Shouldn't this kind of thing be on the Ford site for me to read? It feels like Social Media tactics are still the "behind the scenes, unofficial view". Won't Social Media Marketing/PR be a reality when we read this kind of thing on Ford.com
In keeping with the spirit of my blog, there are social media suggestions & tools here to address the current issue. Had we formed something at Ford simply to address crisis communications, it would have been problematic.
People know me as an individual who represents Ford, and my own influence and reach is fairly significant. I wanted to be able to leverage that, and put a human face to the company at the same time - that latter part being a crucial part of the social media strategy I'm building for Ford.
They'd get more feedback than they'd know what to do with, but that just means you'd have to hire some new employees. :)
As for the rest -- It was a very good post, and it's obvious you believe in what you're doing. I'm very happy for you for that small personal victory -- even while being more than a bit concerned about the overall economic outlook.
I've always wanted Ford to succeed, and I don't suppose that will change anytime soon.
I have no doubt Ford is filled with people as dedicated and as hard-working as you. And some of them might even be as smart (I sure hope so).
We probably differ on what success should look like for Ford, but in something with as many moving parts as this, try to find two people who have the exact same opinion.
Don't get me wrong -- The details matter, but we are on the same team. And that's comforting to me.
While Ford plants in the US were building engines (which they were being paid to do), there were other subsidiaries busy building troop transports and aircraft for the Nazi war machine. In fairness, so was GM.
Also, Ford has refused for years to bring the European Focus to the US. I'm sure someone at Ford has a valid reason for this, and I'll bet it is related to money. If I'm wrong, please correct me.
There are other auto companies building quality cars in the US, but apparently Ford and the other Big Two cannot. Why is that?
Just after 9/11, consumer spending dried up. Ford offered 0% to keep their production lines running, and to not disrupt cashflow as best they could. Implying that it was to aid the consumer is a bit much.
130,000 Americans work at the other (non Big Three) car manufacturers. Is it fair to them to bail out the failing automakers? Who'll bail my business out as a result of my poor planning, inflexibility, and inability to anticipate the market?
Sorry, but I hope you don't get the bailout that your after. It's welfare anyway you look at it.
Thanks for your perspective. Yes, we certainly do disagree. But let me clear up some of your statements with some facts.
1) Ford is planning to bring some of its European lineup to the U.S. Up for 2010 is the Ford Fiesta, one of the hottest cars in Europe right now. If you're talking about the diesel engines, that's another story that requires a longer answer. Maybe on BusinessWeek (note the first comment).
2. Maybe you missed part of my post above. Ford is now equal to Toyota and Honda in quality according to J.D. Power & Associates and Consumer Reports.
3. Is it fair to non-U.S. automakers' employees for the Big 3 to receive a loan? I don't know. You want to talk about fairness? Is it fair to U.S. automakers' employees that the Japanese government covers their workers' healthcare costs? Or that the Japanese government subsidizes research and development on hybrid vehicles?
Welfare doesn't require a repayment. Bridge loans do. This is not a bailout.
I'm glad to see some of the European models come to the US. It;s more than just the environment at stake, there's also national security. Our reliance on foreign oil needs to be decreased asap.
"There are other auto companies building quality cars in the US" should have had the word "profitably" attached at the end. I should have been more clear.
To point #3 - true. But it is paid for in tax dollars (or yen), both corporate and personal. If we are going to criticize free market intervention (such as subsidized healthcare), then we should not be asking for financial aid from the government. :)
While we may not agree, I appreciate your transparency and openness.
Cheers,
Mark
And as to the profitability: we're working on it. :)
I am particularly interested in learning about green initiatives the companies are taking because when the time comes for my husband and I to get a new car, that will be the main selling point for us.
Cheers,
Kristen
A couple years ago I went on a plant tour of your Wixom facilitity where Lincolns were assembled. I was stunned by the lack of professionalism and safety concern. I got there just before lunch and when the lunch bell rang the workers quietly grabbed their pales and sat in the vehicles. The gentleman at my station was smoking a cigar while another, one car over had his shoes off and was sleeping on the floor. It was also common knowledge and practice for line workers to recieve football tickets from suppliers to overlook quality problems. When lunch ended and the line started back up several vehicles passed the axle assembly station before the employee manned it.
The fact of the matter is that at the end of the day Ford did not innovate when it should have. Yes you have a new CEO but unfortunatly he was not there three years ago rather than two. You still take almost twice as long to produce a car as the Japanese and unlike the Japanese most of your parts come from over seas. In fact most "foreign" car companies contain a higher percentage of domestic car parts than the "American" car companies.
I think Ford is better positioned than the other Detroit two, but if it still wants to survive then it needs to take the ideas long promised and deliver on them.
Ford had been making the cars and trucks U.S. customers want to buy, and most all of the Asian and European manufactures have jumped into the SUV and light truck market. Now the market has shifted and Ford is responding – but the F-Series pickup is still the most popular vehicle in the U.S. Moreover, Ford is making money in its markets outside of the U.S. where customers have consistently purchased small fuel-efficient vehicles! Given the time to make dramatic changes in it’s production and product mix Ford will make money in the U.S. market that is now dominated by smaller more fuel efficient vehicles!
Gee, I wonder who 'T' could be? ;-)
Ford is on the right track and after the dust settles it will be a meaner and leaner Ford that's able to compete with any mfg. Your challenge, and social media is a perfect platform for it, is to change the mindset of the auto-buyer who thinks that japan still makes the best vehicles.
I have no doubt that you can even with your army of 1. What you have behind you is the army of this community that you still communicate with. If you ever need help or anything do not hesitate to ask me.
I've been blogging about the utter lack of search engine optimization by the big 3 over the last few weeks. Maybe your job is a sign that that's about to change.
Thank you.
Jennifer Bradley
http://www.capitolconnect.com/gmfactsandfiction...
why such a lengthy post ? you could have just put it in 2 part series !
just my thought s!
* Ford Foundation Grant 2008 total 455,327,369
http://www.fordfound.org/grants
* Ford Volunteer Corps helped children and families, built better world and community though donation and community service.
http://www.volunteer.ford.com/
One thing that I have been wondering about -- do you feel that all three of the major automakers needs to survive or fail as a group? It seems like Ford has been very forward-thinking and, despite their current crisis, may be in a position to turn it around. But Ford is being publicly punished based on the shortcomings the public perceives all Detroit automakers have. Do you think each brand should be allowed to stand on its own, or is the Detroit way to closely intertwine these brands?
A couple of issues, though:
1. When you talk about fuel economy, and "giving consumers exactly what they want" this is a bit disingenuous. When Ford, right along with other auto mfrs, worked to circumvent CAFE standards by excluding SUVs and Pick Ups (I live in Texas, and trust me, they are both "passenger cars") the result--if you believe that consumers expressed what they really wanted through their actions at the polls where they elected the people who supported CAFE--was that Ford was not "giving consumers what they wanted." Ford was giving consumers what it already knew how to make, and matching competitors who were doing the same thing.
2. You say "Drive a Ford. You may be pleasantly surprised." What? Why should I be "pleasantly surprised" that THE PIONEER in auto manufacturing is now on par with others who started much more recently?! "Now they are better" does not earn "loyalty points." It instead earns "it's about time points." I learned this lesson personally in high school chemistry, but that is another story.
Again, what you are doing is great. You are honest, forthright, and well intentioned, and believe the same to be true at Ford. I love cars (I have a pit in one of the bays in my garage at the house) and appreciate the role they play in US, as transportation, as sources and enablers of employment, and as cultural elements. I have no doubt that US ingenuity and its workforce can figure this out, get it, right, reduce oil dependence, reduce carbon footprints, improve safety, and more. We are awesome when pressed to the boards, and right now we are. At the same time, understand that it is not words that will accomplish this -- it is actions. It is cars that run on flex/bio or electricity or ...anything other than petroleum. It is vehicles that get 30, 40, 50, 90 mpg and make sense in a single-occupant, commuter society. It's a car that connects to the Internet so that it can follow you on Twitter!
I know that Ford has the brain and muscle to SHOW US the cars we should be driving, rather asking us if we want more chocolate and then serving it up just because we said "Yes!." Henry Ford didn't ask us what color car we wanted: He chose black, and that was it. Show us the cars we SHOULD HAVE ... and I think you'd be amazed at how fast you build a market that is truly loyal.
Good luck, and thank you for doing what you are doing. Yes, it's tough. But I know that you can succeed. ;-)
I'm suggesting that most people would be pleasantly surprised because we're battling old notions of what we once were. The four pillars of the Drive One campaign directly address the four areas where consumers said we were lacking.
You're absolutely right about Henry Ford, the man who said "If asked my customers what they wanted, I'd have made a faster horse." But did you know that the Model T was offered in many colors before switching over to black only? It was when the assembly lines were humming after WWI that Ford discovered that black dried the fastest, and thus made it possible to make cars more quickly.
Thank you for your support and your faith in Ford. I'm certain we can weather this storm and come out even stronger.
I've been meaning to get back and congratulate you on several points:
- not only telling Ford's and the industry's side of the story, but providing concrete suggestions for doing somthing to help
- opening up a forum and inviting people to offer their own constructive ideas for digging our way out of this mess
- and for maintaining a calm and constructive atmosphere in the discussion.
I had the privilege of meeting you back in August and seeing first hand some of the remarkable progress Ford is making in the areas of environmentally friendly materials, safety features, and quality.
And I got to drive more than one. The Lincoln MKS and the Mustang were amazing, but that was to be expected. And to your point, the "pleasant surprises" came in the cars for the rest of us: the Focus, Fusion, Flex, and Taurus were all very nice rides.
I'm hopeful that the industry leaders will show up this week with a specific plan that the politicians can get behind. I don't see how we can let the whole industry fail, any more than the financial sector.
I don't quite understand why there seems to be a sink-or-swim-together mentality for the big three, though. Other major industries (like the airlines) have had big players go through Chapter 11 and emerge.
Plus, I get the sense that it isn't as bad at Ford as the others. Isn't there a possibility that if one or the other failed, Ford could find itself much stronger?
Anyway, to offer my own specific suggestion: Ford needs to pay attention to the many comments above from folks who describe themselves (or their spouses) as loyal Ford customers - past or present. Me, too. As I told you, my first car was a '61 Falcon and I've had many Ford cars and vans since then.
Another thing you've done here is help demonstrate how a community of Ford loyalists could be supported and encouraged, if your bosses will let you put your skills to work ... and then pay attention to the feedback.
Does Ford want to know what it's customers really want? Don't just ask a few in a focus group. Ask lots of them using the tools available, engage in a two-way discussion, learn, revise the question, and then act on the collective answers.
Tom
I'm not for giving Chrysler and Gm just money to stay around. 3 weeks ago the Detroit 3 asked for $25 billion, now they want $34 billion. What will they ask for in January and February? Chrysler is totally doomed. Jeep is a brand that will survive by being sold to someone. The rest of the company is not worth a penny. Their balance sheet is so ugly, I can't even fathom anybody touching it.
GM will be able to survive on a much smaller scale: sell/shut down brands, revamp the whole organization, start fresh. Unfortunately, planned bankruptcy is the answer.
The problem with the plans of all Big Three is that they are assuming sales will pick up next year. I highly doubt that. There's no indication people are suddenly flood dealerships - no matter domestic or foreign brands. This recession will be with us until the end of 2009 or even 2010. The current plans for all Big Three ensures that they will come back for more money even before Obama is sworn in. And that's not acceptable. Bridge Loans - yes. Bailout - no.
Sharon
http://www.autoloans101.info
On the direct originating point of this post, that is there's not a lot of positive word out about any of the 3 and specifically about Ford, I think I've got to agree with you completely. Despite spending plenty of time engaged with the MSM and bloggers, there's not a lot of positive news.
Until the LA show I wouldn't have really thought that Ford was in a better position that GM or Chrysler... but then, Autobloggreen can't stop talking about the new hybrid Fusion and how it's better than Camry. In my curiosity of looking into that, I found their post on Ford's proposal... which I began reading.
I actually really liked it. It made a lot of sense to me, seemed to be already in the works, and overall seemed like it was on the right track (especially bits about restructuring globally, and if the US car market is going to start looking like the EU market, it starts to make a lot of sense).
So, here's my point. I had to read the official company proposal to a Congressional Hearing to learn about the cool new stuff and positive changes at Ford. Seriously.
Where's the messaging about how Ford is the only one that can survive? Where's the info about all the new cars? Where's the person shouting about how you can still buy a new car and now's a great time to do so (if you can get financed) because of the incentives and deals? The average consumer is likely not reading through the official presentation... (I'm average, but my NASCAR review hadn't started yet).
Good luck to you. If everything pulls through and your area starts expanding, drop a line... I could move back to Detroit I guess.
I've been meaning to write a blog post on it, but I've been up to my ears in crisis communications mode lately. Most of my updates have been on Twitter.
Thanks for your kind words. We'll be working to continuously improve The Ford Story site - this is just the beginning.
I first found out about you when you posted a comment on a post we made on our blog. I appreciate the time you took to respond and to your willingness to keep the conversation going with Jack Rochester.
To learn about the man behind the words I arrived at your blog. I've read the entire post twice, clicked many of the links, and watched the video. My reaction in a word? STUPENDOUS!!! Living and working in the Boston area I feel like one of the East Coast snobs you mentioned. It's been many, many years since I've driven a Ford or gone into a Ford dealership. Your post doesn't make me want to run out and do either one (I'm not in the market for a car) but it did catapult me to do #3 on your list...educate myself. There was so much that I didn't know here and, based on the comments, that seems to be a chorus from the choir. I've sent the permalink to professional colleagues and personal friends with this statement: Read this post; it's important to learn what you don't know. This is just a "view from the other side" piece.
I've also read all the comments top to bottom. I'm awed and humbled to see the thoughtfulness, care, and insights provided by many who've written so far. Even if I don't agree with their opinions, the arguments are well-constructed and carefully reasoned; no name-calling or finger-pointing behaviors. What more could a blogger ask for?
I do have a few questions:
1. You stated in your post that Ford does not have a public forum for social media communication. My question is, do you envision that happening any time soon? If so, what's the rationale behind having one?
2. You say you've resisted the knee-jerk reaction to start a corporate blog. No offense here, but isn't it a more efficient and effective method to get your word out into the social media community in your current venue? If you proceed in this manner, you build a community of dedicated readers who collectively have more clout for your solo endeavor.
3. I'm guessing there are strong political and business reasons for the continued image of the Big 3, but isn't it more like a Big 2 + 1? Based on your post (and I haven't taken the time to do any research on GM and Chyrsler), why hasn't Ford launched a campaign to educate consumers about what they're doing and separate themselves from the other 2 Detroit automakers? What's the old adage about being judged by the company you keep?
Finally, keep up the good work. I've added your RSS feed to my aggregator so I can stay in touch.
Tim
To answer your questions:
1. I'm in the midst of creating a corporate social media strategy for Ford. That will help us decide how to roll out various tactics.
2. Prior to having a strategy, a blog would not make sense. As I've said many times before, "blogging is not a strategy." I'm lucky enough to have my own community here and on Twitter, but ultimately we need to figure out what is right for Ford. And that may or may not be a blog.
3. Please take a look at The Ford Story to see what is is we've done to differentiate ourselves.
As for The Ford Story, I watched the video of Bill Ford. While it is clear that he has a genuine commitment to the concept of One Ford, he did not inspire or convince me, either as a businessperson, environmentalist, entrepreneur, or driver. The questions seemed canned and prosaic, and the answers were far too general to instill confidence in the Ford mission. IMHO, you might be better served by leading with a video of Alan Mulaly and perhaps creating a short 1-2 page Executive Summary of the Ford Business Plan delivered to the Sentate. These two pieces would have more impact than the Bill Ford video.
Of course, these are just my $.02. I'm sure you're getting many, many dollars worth of opinion on this blog, on the FordStory website, and in your speaking engagements.
Tim
Thanks for your comment. What I mean is that simply saying "we need a blog" is not a coherent way to build an online communications strategy. Strategy first, tactics second.
On The Ford Story, we had a video of Alan Mulally on the home page for the first week and a half or so, talking about our plan and why we were in Washington; we added Bill Ford to share a high-level vision for the company. You'll still find Alan on the Our Plan page.
And we do have links to the summarized plan on the Our Plan page as well - take a look around.
Thanks for your input. We're going to be constantly refreshing and improving the site.
Blech. No thanks. Frankly dealerships are one of your worst problems--they're full of "car guys" with jittery, agressive attitudes and sneaky eyes. The friggin' "Let me talk to my manager" game makes me hate your company and plot ways to cheat you. The dealerships are usually sort of gross and dingy. No thanks.
And yes yes I know that dealerships are locally owned, not run by Ford, yadda yadda. It's still the same logo outside on the sign, right? That's all that matters.
Damn right. I personally won't mind seeing factories shuttered simply as painful retribution for this single stupid strategic blunder. For many people, this wasn't just an economic or even morally stupid thing to do, but almost an unpatriotic decision.
While I agree that Ford has been changing and they are the best of the three, I do not agree that any of these companies deserve taxpayer money. These companies have been around for a long time and have made billions and billions of dollars. Why on earth do they have any debt at all? If they aren't smart enough to have some cash set aside for a rainy day, that is their problem. The small company I work for would certainly not get any sympathy from Ford or Uncle Sam if we were in the same position. Thankfully, we operate debt free as an intelligent business should.
I appreciate your leaving a comment on my post at Donklephant.Not sure if you were going to make it back there, looks like you've got a full plate here, so I'm copying a variation on my response here.
First, - You thanked me for taking the time to separate Ford from the “big 3″ in my post. You are welcome. Clearly Ford is head and shoulders above the other two now, because of the actions that the company has been taking in the last three years. However, I can't help but think you and Ford are taking a bit of a schizophrenic approach to your PR problem.
You can represent that Ford is doing the right things now, is on the right track, and is worthy of a closer look by Americans as a company and a purveyor of great cars.
-or-
You can represent that Ford is just one of three failing Detroit car companies that, through no fault of their own, must now be supported by American Taxpayers because.... it is strategic or we should convert the automobile companies into giant wasteful public works projects to keep employment up or we need car companies based in Detroit because they have always been there or they are a victim of a "perfect" economic storm or... whatever.
As a marketing guy, I’m sure you appreciate that Ford is sleeping in a bed of its own making. When your CEO goes up to Capitol Hill, tin-cup in hand, shoulder to shoulder with two other Detroit based car companies in trouble… well… when you sleep with dogs, you wake up with fleas. You are inviting - no - you are insisting that everyone put all three companies in the same basket. If you want to fix that perception, you have to undo the significant damage done by that performance before Congress.
Ford took a step in the right direction when Bill and Alan said they would not take bridge loans this round. But it was a small step, and an inadequate step because of the equivocation in the statement and leaving the door open for taking taxpayer money later. Ford needs to clearly and publicly cut itself loose from the dead weight that is GM and Chrysler or get dragged down in the mind of public perception along with them. There is an opportunity for Ford to do this.
Here, let me help.
This is what Bill Ford needs to say immediately before or after the pending Paulson/Bush announcement to open up the TARP funds to automobile manufacturers:
Also, regarding your link to the Ford site. There I found highlighted a slide presentation that is apparently designed to make the case that Ford is the same as the other two Detroit car manufacturers, and making the case why Ford is deserving of public funds. That presentation has got to go or be changed.
Ford should proudly stand up and promote their considerable progress over the last three years. You are doing an admirable job of helping Ford do just that. However, it is a wasted effort, if you are just going to get in line with GM and Chrysler for a bailout loan that Ford does not even need, and the majority of American taxpayers resent being asked to provide.
We were there at the behest of Congress as well as to support the industry, as it’s a very interdependent one. We share about 80% of the same suppliers (which incidentally are also shared by foreign automakers who manufacture cars in the U.S.).
And when we were asking for funds, we specifically did not ask for cash; we asked for access to an emergency line of credit, only if something catastrophic should happen to our U.S. competition or if the economy worsened. I’m sure you’ll appreciate that we can’t categorically rule out a business decision without knowing what the market conditions will be in the future.
Thank you for providing this wealth of information - I was recently thinking what I could do to offer my services - looks like I found a way.
Thank you
It's been a tough go for all of us lately, and we need to do all we can to change the perception that US automakers aren't worth supporting.
You are a great voice for Ford.