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Restructuring / Turnaround Strategies Case Study

Case Title:

Ford Restructuring in 2006

Publication Year : 2006

Authors: Seema Agrawal, Joel Sarosh Thadamalla

Industry: Automobiles

Region:North America

Case Code: RTS0082A

Teaching Note: Not Available

Structured Assignment: Not Available

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n January 2006, Ford Motor Co. (Ford), one of the Big Three in automobile industry worldwide, announced to close 14 factories and trim as many as 30,000 jobs by 2012. The company planned to cut material costs by $6 billion and revive its money-losing North America auto operations to profitability by 2007. Ford also planned to make significant changes in its global operations and product engineering that would make new product development more efficient and economical. Would Ford be able to make its presence felt in the market as before?

Pedagogical Objectives:

  • To discuss the restructuring efforts of Ford to tackle problems like unimpressive revenue growth, mounting losses and damaged brands
  • To discuss the turnaround strategies followed by Ford.

Keywords : Ford Motors; Automobile Industry; North America; Bill Ford; Mark Fields; US; United Auto Workers (UAW); Employee pricing for everyone; Restructuring / Turnaround Strategies Case Study;Crossover; Special Utility Vehicle (SUV); minivans; Big Three; General Motors; Strategy; Restructure; Product Design; Marketing; Brand; Management

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