ford-breakout

Report
THE QUALITY JOURNEY OF
FORD
Adrian Vido
Ford Motor Company
Director, Global Manufacturing Quality
ONE FORD
ONE TEAM
Americas
Customers
Business Units
Europe
Asia Pacific
and Africa
Credit
Product Development
Manufacturing and Labor
Purchasing
Functional
Skill
Teams
Information Technology
Finance
Human Resources
Legal
Government Relations
Marketing
Driving Standardization
Products and People
Sustainability
Delivering Results
Quality
Continuous Improvement
Communications
One Team...One Plan…One Goal…One
One Team is driven in a global matrix structure – functional skilled teams develop global
standards allowing the Business Units to thrive and deliver products and services our
customers desire
ONE PLAN
•
Aggressively restructure to operate profitably at the
current demand and changing model mix
•
Accelerate development of new products our
customers want and value
•
Finance our plan and improve our balance sheet
•
Work together effectively as one team
ONE GOAL
www.one.ford.com
Asia Pacific Americas
& Africa
Europe
Large
+
Medium
PROFITABLE GROWTH
FOR ALL
Small
+
=
Profits &
Cash
FORD MOTOR COMPANY QUALITY AND PRODUCTIVITY IMPROVEMENT PLAN
Project Leader: Alan Mulally
CBG / Function:
Document Editor: Bennie Fowler
Revision Date: Nov 8, 2010
Quality and Productivity
Process / Methodology:
Opportunity Explanation:
Deliver Best in World Quality and
Productivity by the end of the business
planning period
Objectives:
An exciting viable Ford delivering profitable
growth for all
Dependencies:
• Working together effectively as one team
• Building the technical & quality competency of
all employees across the enterprise; while
educating the leadership team
Resources & Team:
CBG / Function
Leader
Americas
Eur/Exp & Growth
Asia Pacific and Africa
Ford Credit
Product Development
M. Fields
S. Odell
J. Hinrichs
M. Bannister
D. Kuzak
Quality
K. Pittel
K. O’Neill
P. Wright
C. Pratt
P. Ellison/
J. Zhou
Mfg / Labor Affairs
J. Fleming A. Vido
Purchasing
T. Brown
D. Velliky
Quality & NML
B. Fowler M. Hardie
Sustain/ Env/Sfty Engrg S. Cischke J. Gilhool
Information Technology N. Smither S. Smith
Finance
L. Booth
B. Swancutt
HR and Corp Svcs
F. Fields
D. Rowley
Legal
D. Leitch
B. Coughlin
Gov/Comm Relations
Z. Ojakli
L. Border
Marketing, Sales & Svc J. Farley
G. Dugan/
M. Harper/J. Hall
Communications
R. Day
K. Kinley
Reference Number: FMC_Q&Pv1
Utilize problem-solving methodologies i.e. 6Sigma, Lean, Statistical Methods, G8D, QPIP to
drive Operational Excellence throughout the
Enterprise and deliver sustainable business
results
Target & Metrics:
Metric
Current
5-yr Target
Deliver Business Plan Results
Quality / CBG BPR
Best-in-World 2013
Deliver CBG Quality Targets
CBG Business Plan
Best-in-World 2013
Key Areas of Focus DELIVER OPERATIONAL EXCELLENCE - EVERY TEAM, EVERY DAY
PRODUCT
 Continue defect prevention and reduce TGW, R/1000 and Warranty Spend using global design
rules and engineering and manufacturing standards at all times in service
 Utilize global transfer function catalog to achieve improved levels of APEAL and Cust Sat
 Deliver the functional attributes, systems and designs according to the Ford DNA and Global
Standards
 Joint Supply Base Improvement Plan
PROCESS
Continuous quality and productivity improvement in all functions centered around:
 Creating Value Roadmap (CVR)
 Global Product Development System (GPDS)
• Order To Delivery (OTD)
 Ford Production System (FPS)
• Quality Operating System (QOS)
PEOPLE
 Full implementation of the Quality & Productivity infrastructure globally centered around the
Core Engineering Functions
 Training curriculum to promote awareness and understanding of CVR, GPDS, FPS, OTD and
quality operating systems that govern these key processes
PERCEPTION
 Execute the plan to deliver the Proof Points
 Aggressively Communicate the Plan and Progress Proof Points to All Stakeholders
Standardization:
The Key To Continuous Improvement
“Today’s standardization…is the necessary
foundation on which tomorrow’s improvement
will be based. If you think of “standardization” as
the best you know today, but which is to be
improved tomorrow-you get somewhere. But if
you think of standards as confining, then progress
stops.” – Today and Tomorrow 1926
Henry Ford
CONTINUOUS IMPROVEMENT AT FORD
EVERY FUNCTION HAS A QUALITY & PRODUCTIVITY IMPROVEMENT
PLAN
•
Functional Senior Leaders commit to establishing
measurable standards and model a continuous
improvement mindset in their organizations in order to
achieve operational excellence
•
Quality Functional Leads are skilled technical leaders
partnering with functions to Reduce Lead Time,
Improve Quality, Reduce Cost while driving culture
change towards simplicity and lean thinking
•
CEO and Quality Group Vice President co-chair
monthly quality meeting where continuous
improvement projects and results are reviewed
GOVERNANCE
BoD
OCCE
SAR
BPR
ASM
PMM
QPM
Global Mktg Review
EPC
People Decisions
Strategy Decisions
Product Decisions
Quality Decisions
Sales Decisions
Revenue Decisions
Marketing Decisions
Determine optimal
product strategy:
• Target markets
• Target segments
• Entry timing
• Platform selection
• Platform sharing
• Commonality
Determine optimal
platform architecture
& derivative product
definition/content to:
 Leverage strengths
 Produce
competitive
advantages
Determine product/
execution targets
that will have
greatest impact on:
 Shopping
 Purchase
 Owner satisfaction
Define appropriate
methods/processes
to achieve targets.
 Evaluate progress
against targets
 Identify gaps
 Prioritize gaps
 Take actions
Determine annual
revenue & margin plan:
 Build quantities
 Pricing (per trim level)
 Model mix plans
 Incentive levels
 Retail/Fleet/Regional
mix
Determine product’s
strength/weakness in
marketplace.
Determine effective
communication to
drive customer
consideration & sales.
The accuracy & resultant value of the Enterprise decisions is highly dependent on an unbiased and precise
knowledge of the marketplace, customer and business key performance drivers PROFIT BEFORE TAXES,
CASH FLOW, MARKET SHARE, COST PERFORMANCE, QUALITY, PEOPLE, SUSTAINABILITY
GLOBAL MANUFACTURING QUALITY BUSINESS
ENVIRONMENT SUMMARY
COMPETITIVE NEWS
All
MFG: Decade of Change: Top 10 Ways Your Car Has Changed In 10 Years The Auto Channel, Jan 5, 2011
Ten years ago, automakers were touting the number of cup holders in the cabin and the increased off-road capabilities of family haulers. Today, these
same companies are racing to offer increasingly hands-free mobile communication, eye-popping fuel economy and technologies aimed at helping
drivers avoid accidents. Many of the changes in automobiles were driven by the ever-evolving ways people use mobile devices and the Internet to
consume information, communicate with others and even engage in commerce. Here are the Top 10 ways the industry has changed since 2000;
infotainment, entertainment, taking out the guesswork, accident avoidance, fuel economy, built-in navigation, creature comforts, security and paint
colors. Understanding what consumers want and need tomorrow – or even next year – isn’t enough. We have to anticipate needs and desires farther
out, 10 years down the road and beyond so we can deliver vehicles that will truly fit our customers’ lives.”
Implications to Ford: Ford must understand new technologies and develop new testing procedures and understand customer expectations,
apply lessons learned and adjust the confirmation system if required.
Hyundai
MFG: Hyundai Opens Russian Plant, Unveils Solaris Quality Magazine, September 21, 2010
From steel stamping to assembly, the Hyundai Motor Manufacturing Rus carries out “full-cycle” manufacturing, being the first foreign
automaker to have such a complete facility in Russia. The presence of a stamping shop will allow Hyundai to produce high-end
stamped panels while having better control over production costs.
Implications to Ford: Must continue to be aware as our competitors are expanding their Mfg footprint in Russia at the
stamping level to ensure quality control.
CHINA
MFG: Vietnam May Step Into China's Footsteps as Next Manufacturing Hub The Quality Magazine, June, 15, 2010
With rising labor costs and cultural shifts in China pushing manufacturers to look for new sourcing options, many are rediscovering
Vietnam. Transportation leaders are responding with investment in the developing nation whose business managed to grow last year
as others struggled. Vietnam's prime minister reported at last week's World Economic Forum on East Asia that its economy will grow
6.5% to 7% this year after expanding 5.3% in 2009. PIERS Global Intelligence Solutions forecasts increased U.S. imports from
Vietnam of 41.6% and exports of 16.3% this year.
Implications to Ford: Ford should consider new sourcing options when making decisions relative to APA manufacturing
footprint.
We can never lose sight of our competition
CURRENT MODEL VO/SBU
FNA- % Green
Plan
Forecast
Actual
96%
75%
2009
FSAO- % Green
G
97%
96%
96%
96%
96%
87%
2010
2011
2012
2013
2014
2015
Plan
Forecast
Actual
97%
73%
91%
2009
2010
FoE- % Green
G
92%
93%
93%
96%
2011
100%
100%
100%
100%
2012
2013
2014
2015
APA- % Green
Plan
Forecast
Actual
98%
G
93%
Plan
Forecast
Actual
92%
G
92%
92%
93%
93%
93%
2011
2012
2013
2014
2015
93%
72%
71%
77%
2009
2010
G
50%
2011
Satisfactory
2012
Y
2013
2014
2015
Marginal-Plan to Recover
2009
R
2010
Unsatisfactory
Y
R
Change
From/To
2011 MANUFACTURING QUALITY KEY AREAS OF FOCUS
Area
Process
People
G
Key Actions
Status
FNA
FSAO
FoE
APA
Emphasis on proper usage and quality of 6Sigma 6 Panel/Global 8D's on high leverage
projects while ensuring appropriate levels
of MBB/BB/GB's.
R
G
G
G
Strengthen plant floor measurement
system to detect and prevent defects
during launch through advanced quality
planning and enhancements to current
model QOS
G
Y
G
G
Verify implementation and impact of
Manufacturing QPIP infrastructure
actions
G
G
R
G
Deliver targeted improvements to the
Assembly / Stamping CM Quality
Operating System
Y
G
G
G
Deliver targeted improvements to the
PTO Plant Quality (QOS, PTC, Launch,
Supplier)
G
G
Y
G
Release and begin implementation
FAP-02-100 Workstation Robustness
G
R
G
G
Global ISO9001
G
G
G
R
Heighten knowledge and competency
of QOS Standards via:
Current Model
GQIP (help desk, calibration
sessions, BB training and Quality
College)
G
G
G
Y
Satisfactory
Y
Marginal-Plan to Recover
R
Unsatisfactory
Special Attention / Comments
Y
R
Change
From/To
MANUFACTURING QUALITY RISKS AND OPPORTUNITIES
Risks
Current Model
• QPIP Quarterly Self Assessment risks include Leadtime Metrics, Glidepaths, Process Capability, VOME
Health Charts, PTO Contamination and Pass Through Characteristics
Forward Model
• Initial communication of YS/YC’s to Manufacturing continues to be a global systemic finding.
• Regional resource status of LRCA coaches in FNA & APA impacting ability to adhere to Forward Model
coaching plan.
Opportunities
Current Model
Manufacturing
• Ensure execution of the ONE DRIVE process to standard.
• Base department containment of emerging quality issues
• Addressing Launch systemic issues
• Stop Ship global governance
Enterprise
• Update BSAQ System for Powertrain application
• Develop and implement a standard Quality Operating System Ocean Freight processing.
• Adding Post Assembly Issue to ECB Binning Process: Transportation Damage, Mod Centers, FCSD
Goodwill
• Proposal to feed GQRS Management Lease data into EVB
Forward Model
• Global plan in place for 2011 to train Forward Model teams on YS/YC communication to address systemic
issue for FAP 03-111 adherence
• Rollout FM Bingo Board tracking progress of GPDS deliverables critical to manufacturing quality (<PS><PA>)- updated monthly
6 Sigma
• Efforts ongoing to strengthen 6-Sigma infrastructure and documentation within the standard forums.
Managing the Quality Pendulum
•
ONE TEAM
•
•
•
ONE PLAN
•
•
•
•
Globally optimizing collective strengthens
Expected behaviors required to carry out strategy
Cadence
Transparency…alignment, alternatives, adjustments
Constancy of purpose
ONE GOAL
•
•
Common and simple definition of success
Profitable growth for all

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