1. Supply Chain Management

2. • The automotive supply chain is one of the most complicated of any
industry. Automakers like Ford rely on thousands of tier-one suppliers
to provide the materials, parts and services to make its final products.
• Many suppliers serve numerous automakers, and each of those
suppliers, in turn, has multiple suppliers.
• Other industries' supply chains (such as electronics) are intertwined
into the automotive supply chain. There are often six to 10 levels of
supplier between an automaker and the source of raw materials that
eventually enter the manufacturing process.
• The breadth, depth and interconnectedness of the automotive supply
chain make it especially challenging to effectively manage business
and sustainability issues.

3. Building Strong Supplier Relationships
• Ford's strong supplier relationships encourage and influence the
sustainability goals and management processes of its
suppliers, and, in turn, the sub tier suppliers within the automotive
supply chain.
• In 2005, Ford introduced the ABF with its strategic suppliers to
strengthen collaboration, increase mutual profitability, improve
quality, drive innovation and help ensure a shared commitment to
sustainability goals.

4. Financial Statements
• The financial position of Ford can be described by the recent financial
statements of first two quarters of financial year 2013. With an EPS of
0.30, the company issues every shareholder 0.30 to every share they
hold as per the record and the company is stable in issuing its
shareholders a dividend of 0.10 for every share they hold per quarter.
• With the quarterly net income being USD 1,233 million and $1611 in
both quarters respectively. Ford generates a 0.85% return on assets.
Whereas, with a net income of USD 1,233 million and a equity of USD
19179 million, the return on equity will be 12.3%.
• Current ratio stood at 1.09 with assets being USD 196210 million and
liabilities being USD 177,031 million. This defines that the company is
well and can pay the financial obligations from within as they fall due.

5. Income Statement

6. • Through cash flow statement, a cash flow from operating activities of
USD $6289 million can be seen that can serve as the cash required
for transaction purpose in two quarters.
• Also, a total cash of USD 13362 million and total debt of USD 107,857
million which gives us a debt to equity ratio of 5.3%.

7. SWOT Analysis
Strengths
 Strong position in US market
 ECOnetic initiative
 Sound financial performance
 ‘One Ford’ approach
 Significant growth in China

8. Weaknesses
 Poor environmental record
 High cost structure
 Unprofitable Europe operations

9. Opportunities
 Positive attitude towards “green” vehicles
 Increasing fuel prices
 New emission standards
 Strategic partnerships

10. Threats
 Decreasing fuel prices
 Rising raw material prices
 Intense competition
 Fluctuating exchange rates