2. Presented by
Group A-1
NAME ROLL NO.
 RITESH ASHAR 11002
 NIKITA BALI 11004
 NEETHI NAIR 11044
 CHANDAN PAHELWANI 11048
 HIMANI PARIHAR 11050

3. SYNOPSIS
 In June 2007, Ford Motor Company was announced as the world’s
THIRD largest automotive manufacturers.
 Bill Ford the Former president and CEO of FORD MOTOR
COMPANY appointed Alan Mulally in his place in September
2006,when the company was in state of crises.
 Mulally was the executive vice president at the boeing company, a
major aerospace and defence corporation and of its commercial
airplanes division before joining Ford Motors.
 In 1925, Ford Motors entered into the luxury car segment with the
acquisition of Lincoln Motor Company.
 Bill Ford put several efforts to turnaround company’s fortunes, but
was unable to tackle the stiff opposition from within the company.

4.  Mulally’s main objective at Ford Motors was to save the company
from bankruptcy and bring it back into profits.
 According to the analysts Mulally had strong expertise in
manufacturing and could bring about a lot of improvement in the
manufacturing processes of the company.
 Mulally himself started to drive the Ford Motors’ vehicles to find the
possible improvements which can be made.
 Analysts also pointed on the fact that Ford Motors was wasting its
efforts on building and marketing its too many brands.
 Mulally’s biggest challenge at Ford Motors was transforming the
deep-rooted culture of company, which was said to be defeatist and
dysfunctional.
 Managers who came out with their weaknesses were appreciated.
 The group applauded executives who showed progress.

5. IDENTIFICATION OF REAL
PROBLEM
 Alan R. Mulally was appointed to
stop the company from bleeding i.e.
the company was running in losses
of $ 12.7 billion. As he was known as
turnaround expert.

6.  VARIOUS PROBLEM
 There were difference of opinion between Henry
Ford and the other investors when He insisted
the company should focus on producing
affordable cars for a mass market.
 In 1919 conflict arose between the stockholders
and Henry Ford over a lot of money being spent
on building a giant manufacturing complex in
Dearborn, Michigan USA.
 In organizational front ,Mulally had to make Ford
motor’s employees snap out of their lethargic
and bureaucratic style of functionary.

7. Before coming back into profit he was unable to
bring an optimistic thought among wall street &
rating agencies.
His biggest challenges at Ford Motors was
transforming the deep rooted culture of the
company, which was described as defeatist &
dysfunctional.

8. OBJECTIVES
 Finding cost cutting opportunities of the
company.
 Refining the product line.
 Increase the company’s customer base.
 Revamping the brand portfolio of Ford Motors.
 To put the company back on the profit track.
 To improve market share.
 To stand in the competition with minimum
resourses and minimum time.

9. AREAS OF CONSIDERATION
 Employee sector
 Stake holders and Investors
 Manufacturing Area
 Customers
 Bankruptcy

10. STATEMENT OF ALTERNATIVE COURSE
OF ACTION
On the basis of our study:-
(1)Producing fuel efficient cars.
(2)Minimize the cost of healthcare
facilities given to employees.

11. (1) Producing fuel efficient cars
 Advantages :-
I. The primary advantage of hybrid cars is improved fuel efficiency which
is higher than gasoline cars.
II. If company produces fuel efficient cars, then it would be beneficial for
the company in terms of sales increase.
III. The increase in sales would lead to company turnaround, as the losses
are recovered by earning profits.
 Disadvantages :-
I. The fuel efficient cars would be costlier than the gasoline cars.
II. The batteries of hybrid cars are not much powerful to run on their own.
III. As hybrid cars run on newer technology which is less widespread, so for
that less service centers are available.
IV. The service centers available are well out of reach for average car
owners.

12. (2) Minimize the cost of healthcare
facilities given to employees
 Advantages :-
I. This would help to minimize the cost of the
company.
 Disadvantages :-
I. Employees would be demotivated with this act.

13. PLAN OF ACTION
 Mulalley himself started personally driving
Ford Motor’s vehicles to identify possible
improvement.
 Sensitive data and information were
shared among every operating group.
 He induced a sense of responsibility and
accountability in employee’s.

14. CONCLUSION
 So here by We conclude that
However, with the company’s better
financial performance in the first quarter
of 2007, Alan was convinced that he will
achieve the goal of profit in future.
Journey still continue and are looking
forward.