General & Ford Motor

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    General & ford motorsGeneral & ford motors

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    General Motors CompanyGeneral Motors Company

    Worlds Largest Auto ManufacturerWorlds Largest Auto Manufacturer In 2000, Sales Exceeded $183 BillionIn 2000, Sales Exceeded $183 BillionGloballyGlobally

    Gaining $5 Billion in ProfitsGaining $5 Billion in Profits Manufacturing Facilities in Over 30Manufacturing Facilities in Over 30

    CountriesCountries

    Sell Vehicles in Over 200 CountriesSell Vehicles in Over 200 Countries As of 1999, GM Held 15.1% of theAs of 1999, GM Held 15.1% of the

    Automobile MarketAutomobile Market

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    Richard Wagoner GM Chairman and Chief

    Executive Officer

    John M. Devine GM Vice Chairman and Chief

    Financial Officer

    Robert A. Lutz GM Vice Chairman, Global

    Product Development

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    Under Billy Durants leadership, General Motors Company isUnder Billy Durants leadership, General Motors Company isorganized on September 16, 1908organized on September 16, 1908

    Today, GM is recognized as the worlds largest automakerToday, GM is recognized as the worlds largest automaker

    Global automotive sales leader since 1931Global automotive sales leader since 1931

    Has manufacturing operations in 32 countries and itsHas manufacturing operations in 32 countries and itsvehicles are sold in 200 countriesvehicles are sold in 200 countries

    Currently, GM Dealers in the United States have soldCurrently, GM Dealers in the United States have sold257,623 new cars and trucks as of October and 445,555 of257,623 new cars and trucks as of October and 445,555 ofpre-owned carspre-owned cars

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    Developing a portfolio of future options toDeveloping a portfolio of future options tointernal combustion enginesinternal combustion engines

    Investing dedicated to improving cultural,Investing dedicated to improving cultural,economic, educational, environmental, andeconomic, educational, environmental, andsocial aspects of our communitiessocial aspects of our communities

    Supporting a strong and diverse base of K-Supporting a strong and diverse base of K-12 education programs, especially in12 education programs, especially inscience, mathematics, and businessscience, mathematics, and business

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    GM StrengthsGM Strengths

    DiversityDiversity Chevrolet, Pontiac, Buick, Oldsmobile, GMC,Chevrolet, Pontiac, Buick, Oldsmobile, GMC,

    Cadillac, Saturn, Hummer, SaabCadillac, Saturn, Hummer, Saab DominanceDominance

    33rdrd on Fortune 500 Liston Fortune 500 List 33rdrd on Global 500 Liston Global 500 List

    Alliances with Suzuki and Isuzu MotorAlliances with Suzuki and Isuzu MotorCompaniesCompanies

    Technological Alliances with Toyota andTechnological Alliances with Toyota andHonda Motor CompaniesHonda Motor Companies

    Setting the StandardSetting the Standard

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    OpportunitiesOpportunities

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    Ford Motor CompanyFord Motor Company

    More Environmentally FriendlyMore Environmentally Friendly Cleaner Engine EmissionsCleaner Engine Emissions

    Working With Environmental Groups to HelpWorking With Environmental Groups to Help

    Clean the EnvironmentClean the Environment Solar PowerSolar Power

    GenerosityGenerosity

    Giving to More CharitiesGiving to More Charities

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    General MotorsGeneral Motors

    GMAC Financial ServicesGMAC Financial Services Mortgage, Auto, and Business FinancingMortgage, Auto, and Business Financing

    Electronic Business and DigitalElectronic Business and Digital

    TechnologyTechnology Direct TVDirect TV

    OnStar SystemOnStar System

    Becoming More EnvironmentallyBecoming More EnvironmentallyFriendlyFriendly

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    1. Ford Motor Company1. Ford Motor Company

    2. Toyota Motor Company2. Toyota Motor Company

    3. Volkswagen3. Volkswagen

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    GM Operating Income

    -10,000

    0

    10,000

    20,000

    30,000

    40,000

    50,000

    60,000

    Sep-04 Oct-04 Nov-04 Dec-04 Jan-05 Feb-05 Mar-05 Apr-05 May-05 Jun-05 Jul-05 Aug-05 Sep-05

    Date

    Dollars(mil.)

    Revenue

    Expenses

    Income

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    324,864384,72337,000324,000

    $175.48

    Billion

    $170.98

    Billion

    $16.2

    Billion

    $193Billion

    Employees

    At 2004Year-end

    2004

    Sales

    Revenue

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    Fords CEOFords CEO

    William Clay Ford, Jr.William Clay Ford, Jr.

    Chairman of the BoardChairman of the Board

    Chief Executive OfficerChief Executive Officer

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    Ford overviewFord overview

    The WorldThe WorldHeadquarters of FordHeadquarters of FordMotor Company isMotor Company islocated in Dearborn,located in Dearborn,MichiganMichigan

    There areThere areapproximately 300,000approximately 300,000current employeescurrent employees

    108 plants worldwide108 plants worldwide With eight affiliatedWith eight affiliated

    automotive brandsautomotive brands

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    Product/Service PortfolioProduct/Service Portfolio

    Service PortfolioService Portfolio Ford Motor Company, a global automotive industryFord Motor Company, a global automotive industry

    leader based in Dearborn, Mich., manufactures andleader based in Dearborn, Mich., manufactures anddistributes automobiles in 200 markets across sixdistributes automobiles in 200 markets across sixcontinents. With about 300,000 employees and 108continents. With about 300,000 employees and 108

    plants worldwide, the companys core and affiliatedplants worldwide, the companys core and affiliatedautomotive brands include Aston Martin, Ford, Jaguar,automotive brands include Aston Martin, Ford, Jaguar,Land Rover, Lincoln, Mazda, Mercury and Volvo. ItsLand Rover, Lincoln, Mazda, Mercury and Volvo. Itsautomotive-related services include Ford Motor Creditautomotive-related services include Ford Motor CreditCompany.Company.

    ProductProduct Ford Motor Company offers a wealth of variety to theFord Motor Company offers a wealth of variety to theautomotive consumer. As we start our second century ofautomotive consumer. As we start our second century ofbusiness, we are in a position to appeal to the widestbusiness, we are in a position to appeal to the widestrange of potential customers. Each of our automotiverange of potential customers. Each of our automotivebrands has a unique personality and holds a distinctbrands has a unique personality and holds a distinct

    place in the Ford Motor Company family.place in the Ford Motor Company family.

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    HistoryHistory

    The Ford Motor Company started on June 16,The Ford Motor Company started on June 16,1903, Ten years later Henry Ford founder of the1903, Ten years later Henry Ford founder of theFord Motor Company started the first movingFord Motor Company started the first movingassembly line in Highland Park, Michigan. Theassembly line in Highland Park, Michigan. The

    new assembly proved to be extremely efficientnew assembly proved to be extremely efficientand they quickly out produced their competitors.and they quickly out produced their competitors.With the number of cars in production and howWith the number of cars in production and howeasily they could be produced Ford was able toeasily they could be produced Ford was able tosell them affordably to almost all social classessell them affordably to almost all social classes

    and paid his employees a record breaking 5and paid his employees a record breaking 5dollars a day, which was unheard of at the time.dollars a day, which was unheard of at the time.

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    Vehicles soldVehicles sold

    Total VehiclesTotal Vehicles 20062006 20052005 %Change%Change MarchMarch 21,35521,35518,94918,949+12.7%+12.7% January-MarchJanuary-March 48,16748,16744,53044,530+8.2%+8.2%

    Total CarsTotal Cars MarchMarch 6,4366,436 5,2735,273 +22.1%+22.1% January-MarchJanuary-March 14,21514,21511,78811,788+20.6%+20.6%

    Total TrucksTotal Trucks MarchMarch 14,91914,91913,67613,676+9.1%+9.1%

    January-MarchJanuary-March 33,95233,95232,74232,742+3.7%+3.7%

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    Activities at Leadership ConferenceActivities at Leadership Conference

    Workshops to learn moreWorkshops to learn moreabout Fordabout Ford

    Interview with twoInterview with twomanagers in you area ofmanagers in you area of

    interestinterest Join small team andJoin small team and

    recommend solution to arecommend solution to acurrent business issuecurrent business issue

    Learn about productsLearn about productsthrough activities like athrough activities like afacility tourfacility tour

    Hiring decision is made atHiring decision is made atend of conferenceend of conference

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    Three key success factors contThree key success factors cont

    Safety -Safety - Protecting you and your family:Protecting you and your family:

    Rollover protection and innovativeRollover protection and innovative

    restraint systems keep you safer in therestraint systems keep you safer in the

    event of an accident.event of an accident. Design -Design - Ford believes that cars shouldFord believes that cars should

    not only be safe and technologicallynot only be safe and technologically

    sound, but also nice to look at, for thissound, but also nice to look at, for this

    reason Ford is constantly make new andreason Ford is constantly make new andinnovative car models such as the newinnovative car models such as the new

    Focus ST, and Land Rovers new RangeFocus ST, and Land Rovers new Range

    Stormer.Stormer.

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    weaknessweakness

    OutsourcingOutsourcing - Because of outsourcing while Ford is- Because of outsourcing while Ford isincreasing productivity and cutting cost, they are also firingincreasing productivity and cutting cost, they are also firinga lot of their employees some of which have been there fora lot of their employees some of which have been there foryears. So because of this Fords employee loyalty isyears. So because of this Fords employee loyalty isdecreasing.decreasing.

    Quality -Quality - Though they have safe and innovative designsThough they have safe and innovative designsFord has a reputation of making cars with poor quality.Ford has a reputation of making cars with poor quality.Since Ford makes their cars with the intentions of cuttingSince Ford makes their cars with the intentions of cuttingcosts they dont of ten use the most expensive parts, as acosts they dont of ten use the most expensive parts, as aresult their vehicles do not last as long as their competitorsresult their vehicles do not last as long as their competitorsoverseas.overseas.

    Customer loyalty -Customer loyalty - Because of the expendable manner inBecause of the expendable manner inwhich Ford treats their employees, customers often labelwhich Ford treats their employees, customers often labelFord as an unappreciative company, which lessons theFord as an unappreciative company, which lessons theBrand loyalty of the company.Brand loyalty of the company.

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    TechnologyTechnology

    Vehicles- Ford Motors have been pushingVehicles- Ford Motors have been pushingtechnology to its limits since the model T.technology to its limits since the model T.Currently they are looking for fuelCurrently they are looking for fuelreducing engines and alternative fuelreducing engines and alternative fuelsources. Hydrogen engines are currentlysources. Hydrogen engines are currentlybeing researched.being researched.

    Production- the cars and trucks made onProduction- the cars and trucks made onthe assembly line in Fords factories arethe assembly line in Fords factories areaided by advanced computers pushingaided by advanced computers pushingrobotics to their full potential.robotics to their full potential.

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    OutsourcingOutsourcing

    Cheaper labor continues to move carCheaper labor continues to move car

    manufacturing jobs outside the U.S.manufacturing jobs outside the U.S.

    Recently Mazda signed a deal withRecently Mazda signed a deal with

    IBM Japan to undertake theIBM Japan to undertake the

    development and maintenance ofdevelopment and maintenance of

    Mazdas information system.Mazdas information system.

    Deal could be worth 50 billion yen inDeal could be worth 50 billion yen in

    ten years.ten years.

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    Threats!!!!Threats!!!!

    The threat are really the same acrossThe threat are really the same across

    the board for the automobilethe board for the automobile

    industry. Competition is huge, inindustry. Competition is huge, in

    this industry, and nothing hurts athis industry, and nothing hurts acompany more than internal strife,company more than internal strife,

    as is the case with Ford Motoras is the case with Ford Motor

    Company. Also an impendingCompany. Also an impendingrecession does not smile upon anyrecession does not smile upon any

    industry in this day and age.industry in this day and age.

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    ConclusionConclusion

    Ford Motor Company is a veryFord Motor Company is a very

    successful company even thoughsuccessful company even though

    they are going through some hardthey are going through some hard

    times right now.times right now. They have a very good businessThey have a very good business

    structure and they have maintainedstructure and they have maintained

    that through out the years.that through out the years.

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    Daimler/ChryslerDaimler/Chrysler

    State-of-the-Art Technology CenterState-of-the-Art Technology Center

    in Auburn Hills, MIin Auburn Hills, MI Hard at Work to Keep ChryslerHard at Work to Keep Chrysler

    CompetitiveCompetitive Need to Expand More Into ForeignNeed to Expand More Into Foreign

    MarketsMarkets

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    Development of passenger cars, light trucks,Development of passenger cars, light trucks,commercial vehiclescommercial vehicles

    Operates as Mercedes Car group, Chrysler Group,Operates as Mercedes Car group, Chrysler Group,

    Commercial Vehicles, and ServicesCommercial Vehicles, and Services

    Provides Financing to dealers for property, plant,Provides Financing to dealers for property, plant,and equipment purchases, and vehicle inventoryand equipment purchases, and vehicle inventory

    Strategic Partnerships with Mitsubishi MotorsStrategic Partnerships with Mitsubishi MotorsCorporation, General Motors Corporation, BMWCorporation, General Motors Corporation, BMWGroup,Group,

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    Ford Motor CompanyFord Motor Company

    Firestone Tire RecallsFirestone Tire Recalls Caused Stock Price to Suffer--$14.70,Caused Stock Price to Suffer--$14.70,

    Lowest in YearsLowest in Years

    CEO Jacques Nasser and Chairman BillCEO Jacques Nasser and Chairman BillFord Jr. Cannot Get AlongFord Jr. Cannot Get Along

    This past Week, Bill Ford Took Over as CEOThis past Week, Bill Ford Took Over as CEO

    Cash Reserves Have Sunk to $4.1 BillionCash Reserves Have Sunk to $4.1 Billion $13 Billion on Acquisitions$13 Billion on Acquisitions

    $3.5 Billion to Cover Tire Recalls$3.5 Billion to Cover Tire Recalls