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Background (General Facts)

Ford Motors is one of three leading automotive manufacturing companies in the United States. Based in Michigan in 1903 by Henry ford and grew to reach revenue of $150 billion and more than 370,000 employees by 1996 [1]. In the 1970’s, the automobile market for the major auto makers – General Motors (GM), Ford, and Chrysler- was crunched by competition from foreign manufactures such as Toyota and Honda. In 1999, Ford acquired the Swedish Volvo model in an attempt to compete in the foreign market and expand to other regions. Furthermore, Ford launched a full organization re-engineering business process plan called “Ford 2000” aiming at reestablishing the company’s infrastructure. The process meant reduction in their Vehicle Centers (VCs) to only five covering the operations that spanned 200 countries. It also meant cutting redundancies and requiring Information Technology (IT) to be the driving force and the link between Ford centers worldwide.

In building Ford’s IT infrastructure, the company focused on implementing a setup that supported the TCP/IP communication protocol based on the U.S. department of Defense requirements. At those days, Ford internal network was meant to serve files transfer unlike most companies that used the network mainly for email communications. Throughout the 1990’s, Ford developed a cost effective Global Enterprise Network Integration (GENI) process to link all its locations compromising on the type of the connection and the cabling in favor of full coverage. During the same time, Ford started building its Web Farm, which was basically a set of hardware and software managed by a team for building Ford’s public website. The work started by publishing documents for technical references and moved to more advanced images from a live auto show. As a result, the website received 1 million visits a day in less than 2 years after its official launch. Throughout the end of the 90’s, Ford established its web services by increasing the amount of information published, building more intelligent and standard web application in 12 weeks period, purchasing more Netscape browsers for setup on its users’ machines, and creating a B2B server to allow the suppliers secured access to Ford’s Intranet.

In the path towards service cost reduction and bringing more business through the web, Ford worked closely with its competitors in the U.S. market GM and Chrysler to establish what came to be known as “Automotive Network Exchange” (ANX) certificate. The protocols aimed at providing a unified communications standard through the Internet to enable suppliers to provide common technology for all manufacturers. Moreover, Ford focused on making information on its web site more accessible and useful by deploying a team to manage the process of adding and updating information based on an analysis of how humans deal with information. One final aspect of Fords endeavor was to try to build a model through its infrastructure that benefited from the model implemented by Dell computers to improve their supply chain and delivery process. The direct model would not work well for automotives as it would with computers, as a result Ford worked on its retailing network remodeling and identifying what would eventually give it the extra edge in delivery time.

Enterprise Architecture Issues

• Ford’s regional expansion to address the competition for market shares demanded cost management for the infrastructure upgrades
• IT infrastructure places limitations on the type of application development based on the platforms
• Easy access to information and prompt delivery of vital data to key individuals requires proper knowledge managementOrganizations reengineering and process remodeling is necessary when adapting new technologies to maintain the cost and increase efficiency
• Supply chain errors and delays can severely affect the progress of the business and the market value of the corporation

Analysis

Infrastructure Upgrade

Since the inception of the Internet in the 1960’s, much effort has been made in standardizing how computers connect to it. In 1982, the International Organization for Standards (ISO) realized that during that period many ad hoc networking systems were already using the TCP/IP protocol for communications and thus adapted it as a standard in its model for the Internet network [2]. The main driver for IP convergence, at that period, was the growth in data traffic through wide area networks (WANs) established by local companies. Furthermore, in 1991, the Internet was open for commercial use, and that demanded a reduction in the total cost of operating the network to cope with 1 million Internet hosts that materialized in only 1-year time. Telecommunications companies like AT&T understood the potential and worked on standardizing the network offering voice services over IP networks that managed the separation between voice and data transmission [3].

At the same time, Ford had launched its plan to update its infrastructure, and seized the opportunity brought by the global movement of integrating the voice, fax transmission network with data transmission and expanded its WAN to include its offices in Europe and elsewhere. The financial benefits also came from the fact that Ford adapted the TCP/IP protocol from the beginning and made sure that all its technical infrastructure upgrades adhere to the standards. This made the transition of its system to the Internet as cost effective as it could be.

Web Technologies

Intranets employ the hypertext and multimedia technology used on the Internet. Prior to 1989, when Tim burners-Lee invented the Web [4], most applications used standard development languages such as C and C++ to create desktop applications that were proprietary and dependent on the platform. For example, applications running on a command-based operating system such as UNIX would not run under Windows, and those working for PCs might not work on Apple computers and vice versa [5]. The invention of HTML (Hyper-Text Markup Language) introduced a new model for applications that conform to the standards provided by a single program, the “Web Browser”. Unlike standard applications, the browser brought a unified interface that had a very fast learning curve. Users seem to require no additional training to work with web browsers. Furthermore, system administrators did not have to spend time installing upgrades on users’ machines, since the Intranet client/server architecture facilitated all the updates through the connection with the web server [6].

Since Ford established its Intranet, it was aiming at building web applications through the initial analysis of “Mosaic”, the early form of web browsers. The technical department at Ford used web languages to create the first web site in 1995. In 1996, the team started building applications making use of the unified “Netscape” browser that was deployed on all machines at the company, and working on a standard template to cut on the development life cycle. There was a substantial cut in training cost due to the user-friendly interface of web applications. Furthermore, the speed of development made vital applications available to different individuals across the company. For example, the B2B site allowed suppliers remote and secured access to various sections of Ford’s Intranet. In addition, the development team created an application as a virtual teardown on Ford’s website where Ford’s engineers could examine parts of competitors’ cars and evaluate any new technologies. The alternative would have been an actual trip to a physical location where Ford tears down cars to examine the parts.

Knowledge Management

While there are many definitions for knowledge, each company might adapt its own based on how it analysis data and information to acquire knowledge. The University of Kentucky, for example, defines knowledge as “a vital organization resource. It is the raw material, work-in process, and finished good of decision-making. Distinct types of knowledge used by decision makers include information, procedures, and heuristics, among others… ” [7].

Organizations go through different activities to manage the amount of information they collect to form the knowledge base of the company. Activities include creating databases of best practices and market intelligence analysis, gathering filtering and classifying data, incorporating knowledge into business applications used by employees, and developing focal points for facilitating knowledge flow and building skills [8].

Ford was excited about the traffic it was receiving on the Web site and everyone was publishing all the material they have on desk on the Intranet. Nevertheless, there was a growing concern about the usability and usefulness of the material people were adding. As a result, Ford created a “Knowledge Domain Team” to build complete information in nine areas that were identified as vital to the business. The process Ford took was based on surveys and specialists input in how people perceive information, and what is considered vital and what is distracting in the structure of Ford’s website. The aim behind the initiative was to reduce the time individuals spent in searching for information through proper indexing of the website content, and making sure that what was important could be accessed in due time, and what is trivial did not overwhelm the researcher with thousands of results.

Business Re-engineering

In the area of organization’s re-engineering process innovation is the set of activities that achieve substantial business improvements. Companies seeking to benefit from process innovation go through the regime of identifying the processes, the factors for change, developing the vision, understanding the current process, and building a prototype for the new organization. History shows that organizations who define their processes properly will not have problems managing the issues and developing the change factors [9]. When introducing technology, business redesign is necessary. The industrial fields have been using Information Technology to remodel processes, control production, and manage material for generations. However, it is only recently that companies recognized that the fusion of IT and business would go beyond automation to fundamentally reshaping how business processes are undertaken [10].

When foreign companies were allowed to compete in the U.S. market, Ford understood that to succeed in business in a competitive arena it needed to implement strategies that competitors find difficult to imitate [11]. As a result, Ford bought Sweden Volvo to enter the European market, and partially owned Mazda to have a competitive edge with Japanese cars1 [12]. To achieve that it re-engineered its production development activities and global corporate organization and processes for dramatic cost reduction. Furthermore, it understood that expansion requires collaboration and alignment, and thus planned to establish the IT infrastructure through a WAN that connected all the offices. In the process of innovation and re-engineering, Ford has set policies to manage the cost of establishing the network, built models for continuous implementation, and organized global meetings to align all parties with the process. Adding to that, when it came to managing the website, Ford facilitated an awareness campaign for all the branches to understand that Ford is using the web to collaborate and research and adapting information technology as a way to maximize its business value. The goal for Ford was to maintain its leadership in the market and to do that in the most efficient and cost effective method that is there.

Supply chain management

Supply chain management (SCM) is about coordinating between suppliers, manufactures, distributors, retailers, and customers [13]. The basic idea that SCM applications revolve around is providing information to all those who are involved in making decisions about the product or goods to manage delivery from the supplier to the consumer [14]. Studies show that reducing errors in supply chain distribution, increases revenue, enhances productivity, and reduces the order-to-fulfillment period [15].

Ford often compared its supply chain process to that of Dell’s, in an attempt to close the gaps in its own process and reach the level of success Dell has reached. The difference in the distribution model between Dell and Ford lies in the middle link of using retail shops. Since Ford cannot skip retail as a focal distribution point, it worked on establishing a network of retail shops that it owned. Ford made sure shops are not affecting each other in terms of sales, and gave them all a standard look and feel to establish itself in the consumer’s market as a prestigious cars sales retail company. Furthermore, extensive re-engineering initiatives were undertaken to enhance Ford external network by eliminating the correlation with smaller suppliers. In that way, Ford made sure that key suppliers have access to forecasting data from customers’ purchasing trends and production information to enable a faster order-to-delivery cycle. Ford vision was to create a model that allowed flexibility, predicable processes and delivered the product at the right time to the right consumer.

Conclusions

Ford is an example of how traditional organizations can mature to adapt what is current and maximizes the business value. The process that Ford went through necessitated the continuous support from management. In addition, it depended on alignment between those involved as a key for success. The correlation was not restricted to internal staff; it extended to cover competitors to reach mutual benefits, to work with suppliers to maintain similar grounds and adequate infrastructure, and to create training programs to educate all on the vision and organization’s objectives.

Ford technical progress came at a time where the Internet was yet to reach its full potential. The introduction of Fiber-optic cables in the late 90’s and the substantial increase in bandwidth would have helped Ford and cut on the cost in endured connecting its own offices. Furthermore, the ISP services that provided hosting servers were limited to only few players, which explained why Ford preferred to manage its own web server and maintain the overhead of the 24 hours uptime and backup.

From this case study, I understood the level of commitment large firms have to maintaining their position in the market. These companies know the revolving nature of business in the sense of how easy it is to fall back if they did not keep up with the change. The Ford process also shows the need for quick and resourceful thinking when faced with situations that might seem to be unfavorable. The way Ford ventured into the foreign market by acquiring local manufacturers was a strategic decision that did not only enabled Ford to merge with different technologies, but it also saved it the additional cost of establishing production centers in Japan and Europe.

Recommendations

• Maintaining leadership in the market requires innovative organizations willing to reengineer to succeed.
• IT fusion with the business means restructuring and remodeling to understand the role IT would play to meet the business objectives
• Planning and modeling is vital when coordinating work with large teams.
• Constructing websites is not about content; it is about understanding what adds value and how humans interact with information.
• Knowledge management is a plan that companies need to develop as part of their initial business process modeling
• It is not wrong for large firms to try to adapt to successful processes implemented by other firms.

References

1. Robert D. Austin and Mark Cotteleer,”Ford Motor Co.: Maximizing the Business Value of Web Technologies.” Harvard Business Publishing. July 10, 1997. harvardbusinessonline.hbsp.harvard.edu/b02/en/common/item_detail.jhtml;jsessionid=WDARNHINBSYKSAKRGWCB5VQBKE0YOISW?id=198006 (accessed July 30, 2008).
2. Computer History Museum, Internet History 80’s. 2006. computerhistory.org/internet_history/internet_history_80s.shtml (accessed July 30, 2008).
3. Darren Wilksch and Peter Shoubridge, “IP Convergence in Global Telecommunications.” Defense Science & Technology Organization. March 2001. http://www.dsto.defence.gov.au/publications/2400/DSTO-TR-1046.pdf (accessed July 30, 2008).
4. Computer History Museum, Internet History 80’s.
5. H. Joseph Wen, “From client/server to intranet.” Information Management & Computer Security (MCB UP Ltd) 6, no. 1 (1998): 15-20.
6. R. Boutaba, K. El Guemioui, and P. Dini, “An outlook on intranet management.” Communications Magazine (IEEE), October 1997: 92-99.
7. Joseph M. Firestone, Enterprise Information Portals and Knowledge Management (OXFORD: Butterworth-Heinemann, 2002), 169.
8. David J. Skyrme, “Knowledge management solutions – the IT contribution.” ACM SIGGROUP Bulletin (ACM) 19, no. 1 (April 1998): 34 – 39, 34.
9. Thomas H. Davenport, Process Innovation: Reengineering Work Through Information Technology (Watertown,MA: Harvard Business Press, 1993), 28.
10. Thomas H. Davenport “The New Industrial Engineering: Information Technology and Business Process Redesign.” Sloan Management Review 31, no. 4 (Summer 1990): 11-28, 12
11. Gary M. Erickson, Robert Jacobson, and Johny K. Johansson, “Competition for market share in the presence of strategic invisible assets: The US automobile market, 1971-1981.” International Journal of Research in Marketing (Elsevier Science) 9, no. 1 (March 1992): 23-37, 23.
12. Austin and Cotteleer, “Ford Motor ” , 2.
13. Henk A. Akkermans, et al. “The impact of ERP on supply chain management: Exploratory findings from a European Delphi study.” European Journal of Operational Research 146 (2003): 284-301, 286
14. Thomas H. Davenport and Jeffrey D. Brooks, “Enterprise systems and the supply chain.” Journal of Enterprise Information Management 17, no. 1 (2004): 8-19, 9.
15. Kevin B. Hendricks, Vinod R. Singhal, and Jeff K. Stratman. “The impact of enterprise systems on corporate performance:A study of ERP, SCM, and CRM system implementations.” Journal of Operations Management 25, no. 1 (January 2007): 65-82.

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Source by Sally Ahmed

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Nothing wastes more time than running back and forth to the store to get one more item. It is far more efficient for you if you carry most of the tools you are going to need with you at all times. In a sense, as a handyman on the go, you are going to need to have a small traveling hardware store with you.

That means you are going to need some storage space. Most handymen get by with a truck that has a cap or a “topper”. If gives them the storage space of an SUV, but they do not have to change vehicles if they already have a reliable truck. Of course, if you have the budget to get a new (or good used) vehicle, then some alternatives come up. Vans are a proven vehicle for service people of all kinds. They have more room than a pickup truck with a cap, which lets you actually walk into your little traveling hardware store.

If you can not afford a new (or used) cap for your truck, or you do not even have a truck right now, do not despair. If you are just getting started you can certainly get by with whatever room is in the passenger seat and the back seat. The most important thing is to have whatever you are driving look clean and well cared for. The old “pride of ownership” will go a long way here. Your customers might get a little suspicious if you were driving a brand new top-of-the-line vehicle anyway, so make the most of the fact that a used but clean truck or car makes you look honest.

In terms of color for your ride, white vehicles look a bit more like standard service vehicles. That does not mean you need to re-paint whatever you are driving now, but when the time comes to upgrade, go with white for the professionalism points.

Another major consideration for your vehicle is fuel efficiency. Expect to be driving over 1000 miles a month. If fuel prices jack up again, even a little bit, that could seriously cut into your profits. You can, of course, raise your rates a bit, trim your service area or start charging an “out of town” fuel fee, but all of that just masks the problem. According to the government fuel economy site, the most efficient standard size trucks are the Chevrolet Silverado 15 Hybrid wheel drive and the GMC Sierra 15 Hybrid 2 wheel drive. For small pickup trucks, the Ford Ranger 2 wheel drive and the Toyota Tacoma 2 wheel drive win. For cargo vans, the Chevrolet Express 1500 2 wheel drive and the GMC Savanna 1500 2 wheel drive get the top fuel efficiency prizes.

For what its worth, I own a predecessor of the Toyota Tacoma, but mine is 4 wheel drive. It is approaching 200,000 miles and still runs beautifully, even when there is half a ton of cinder block in the back. My first vehicle was a GMC Suburban, and though I was not too focused on how well it ran and its utility as a work vehicle, the old, wise men at the rural New Hampshire coffee shops always seemed to approve of it, saying, “Now that’s a Vehicle”. It is sad to have to note that four wheel drive does not make for good fuel efficiency, but anyone who has driven a four wheel knows how quickly the power from those extra two wheels drains the gas tank. That said, depending on where you live, having a four wheel drive may be the difference between getting to the job or not getting to the job.

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Source by Pamella Neely

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Tips for driving efficiently:

1. Turn off your electrics.

Having any electrics in the car running while you’re driving have an effect on fuel efficiency. Even little things like having the defroster on, the radio playing, and charging phones can make a difference. Air conditioning takes a lot more fuel than you might think, so turn that and your posh seat warmers off if you don’t need them.

2. Avoid frequent stops.

Remember, your turbo diesel isn’t like a hybrid Toyota Prius where it’s beneficial to stop often to recharge the electric battery. Braking requires you to build up your speed again, making you stress the engine more, which leads to less fuel economy. Traffic jams and frequent stops can kill your fuel efficiency, so in some situations, driving by a less direct or slower route with less traffic on it might be a better choice if you want to save money at the pump.

3. Drive at efficient speeds.

Try to use the highway as much as possible. Your car has an efficiency “sweet spot” that depends on the vehicle you’re driving, but mostly you can only get your best efficiency while on the highway. Going too fast or too slow can lead to inefficient driving. Also, avoid driving in the right lane as much as possible, because you’ll be tempted to drive at faster-than-efficient speeds, unless staying in the slow lane is causing you to brake too frequently.

4. Pay attention to gear changes.

If you drive a manual transmission car, you should try to always be in the highest gear possible and be careful to not switch gears at high revs. You don’t really need the power you get from lower gears unless you’re passing someone. Most people miss an efficient gear change by a couple hundred RPMs each gear change, which can add up over periods of time to a lot of lost fuel. If you have an automatic transmission, you should use cruise control as much as possible because the computers in your car are much more diligent about keeping your RPMs in check than you are.

5. Make sure your glow plug is ready.

If you turn on the car while your glow plug light is still on in your dash, it can waste fuel, and if you do this frequently, it adds up.

The more fuel you save using these techniques means you don’t have to consume as much fuel or spit out as much CO2 as a petrol car will. Diesels, when used as designed, get much better mileage than petrol cars and give off less CO2 emissions. The Ford Focus TDCi only gives off 120g/km of CO2 and there are some cars that give off even less g/km of CO2. The more diesels, the more polar bears, it seems. So if you’re looking to save money at the pump and do some good for the planet as a whole while still having a great driving experience, look no further than a turbo diesel!

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Source by Hugh McInnes

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#1 Apple

Product placements in many moves and TV shows with the stars using their products. For example, a great shot of JUST THE IPHONE and nothing else in the Sex in the City Movie. My favorite? I am Legend!

#2 Berkshire Hathaway

Warren Buffet, the most successful investor in the world apologizes to his stockholders for making mistakes in the bad economy.

#3 Toyota Motors

They sponsored Top Chef Chicago in 2008. Not only did they have commercials every other second but every shopping trip was in a Rav 4

#4 Google

Becoming a verb and being used in a movie with Jennifer Lopez in Maid in America, Google was written into the script!

#5 Johnson & Johnson

Not only do they have a you tube channel, they also have multiple Facebook pages for the different segments of their market.

#6 Proctor and Gamble

Took Movie product placements to Books! Cathy’s book, Persius book authors agreed to have character use certain make up products!

#7 Fed Ex

Movie product placement abounds! Bowfinger, Runaway Bride and of course their super commercial called Cast Away!

#8 Southwest Airlines

Lots of papers are written on them because of their service.

#9 General Electric

Top Chef is heavy with their appliances.

#10 Microsoft

Bollywood has been the beneficiary of their product placements.

#11 Wal-Mart Stores

Product placements on shows like Dame Chocolate and others.

#12 Coca-Cola

Obama was seen drinking a Coke during the campaign. With giant cups placed on the desks in American Idol, In a children’s book about dinosaurs, there is a coke bottle on every page, The Democratic convention, Madea goes to Jail and the Olympics make them product placement champs.

#13 Walt Disney

The View from Walt Disney Studios and Marley and ME…need I say more?

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Source by Letitia Wright

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How do you write a good review to compare two or more products? Prior to that, allow me explain about the fault in most reviews nowadays and why is there a need for the masses to write comparison reviews.

No one can deny that reviews play a crucial role to assist consumers in making purchasing decisions. Consumers either ask their friends for feedback, look out for reviews in magazines or even read reviews online. Most of the time, a typical consumer would have read many reviews before narrowing down the list of things they will consider buying into 2 or 3 products. But as most reviews are meant for only one product, studying individual reviews of products wouldn’t help much in choosing the best of the two or three shortlisted products. This scenario often put consumers in a dilemma to choose between two equally well products based on the reviews they read, that in the end they make a decision based on the pricing factor. But what if the cheaper product is in fact inferior to the more expensive one? The consumer may have gotten a good product, but definitely not the best.

This is where writing a review to compare two or more products is important. The review will be able to compare both products side by side on a set of attributes. When the comparison is done, the review can then provide a conclusion which of the product is superior over the other. So what are the essence of a comparison review?

If you would like to write a comparison review, follow the tips below:

• Include a descriptive title – Do include a useful and descriptive title in the review. You wouldn’t want to use a title “Review of Two Hybrid Japanese Cars” when you can actually use the title “Comparison Review of the Toyota Prius vs Honda Fit Hybrid”. Using a descriptive title will also allow others to search for your review through the search engines.
• Compare the common attributes – While writing a review for two products, ask yourself what are the attributes commonly displayed in both products. In the example of Japanese hybrid cars, the common attributes to be compared will be fuel consumption, comfort, noise insulation, you get the deal. While discussing these common attributes in your review, ensure that they are also compared on the same metrics. E.g. to compare fuel consumption, use the metric kilometers/hour for both vehicles.
• Highlight the unique attributes – As both products are different in their own right, highlight their unique attributes. Mention in your review how the unique attribute helps the potential customer in other ways.
• Provide a conclusion – After completing the comparison of both products, always remember to give a verdict, or at least provide a recommendation. The reason people read reviews is to get feedback and a review verdict or recommendation does exactly that. One important reminder to all reviewers is never be biased in your recommendation.
• State your sources – This tip is more of an optional tip but if you do provide the sources of your review (either by experience of owning both products, or by having tried them at the shop), it helps to establish yourself as a more credible reviewer.

Hopefully this guide will be useful in getting more people to write better comparison reviews.

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Source by Toh J

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Since the very conception of the automobile, engineers and designers have been searching for was to make them more efficient and save on fuel consumption. Petrol fuels the majority of vehicles and diesel fuel is used in heavier automotive equipment. The internal combustion engine is considered to be a major if not the biggest source of environmental pollution and the cost of fuel is increasing every day.

With a constant rise in fuel costs and the environmental concerns regarding automobiles, vehicle engineers have had to develop more economical and environmentally safer alternatives to the internal combustion engine that powers most cars. This has led to the birth of the hybrid automobile. These hybrid automobiles offer a number of benefits. The hybrid automobile is a car that is powered by both an electric motor and a gasoline engine. Compared to non hybrid vehicles, the hybrid car saves on the cost of fuel by being more fuel efficient and has a lower rate of fuel consumption.

Hybrid cars operate on a dual mode where the electric motor, powered by batteries, takes over once the gasoline engine has gotten the vehicle up to speed. Braking and deceleration generates energy that is used to charge the electric motor’s batteries. This system allows the hybrid car to provide better fuel efficiency. This also means that the engine of a hybrid vehicle is shut the moment the car is stopped. Considered the biggest advantage to the hybrid car is the reduction of environmental pollution due to fewer emissions of carbon dioxide and other harmful gases in to our atmosphere. Automobile manufactures such as Honda, Toyota, and Ford have already introduced hybrid car models to the commercial market and several others are in development.

Currently there are two types of hybrid vehicles on the market. The first is the “Series” hybrid. A battery powered electric motor powers the Series hybrid car. It also has a gasoline powered engine but it does not singularly power the vehicle. The gasoline engine powers a generator which is used in turn to charge the batteries of the electric motor. The electric motor is left on during the vehicles entire operation however the gasoline engine can be switched on or off depending on the needs of the vehicle. This type of hybrid automobile provides better mileage in city traffic.

The second type of hybrid vehicle on the market is called the “Parallel” hybrid. The Parallel hybrid car, like the Series type, has a gasoline engine and an electric motor. The electric motor and the electric motor can both be used to turn the transmission and power the vehicle. The major difference between the two types of hybrid cars is that the Parallel hybrid uses its electric motor to boost the vehicles power when required to increase the car’s speed. The Parallel hybrid car is considered better suited for the open highway.

Hybrid automobiles provide several benefits due to some very unique features. The construction of the hybrid vehicle uses more lightweight materials than traditional automobile. This saves energy by using less to propel the hybrid car. Hybrid cars also increase energy efficiency because of their more aerodynamic shapes. Tires used by hybrid vehicles run on a higher pressure and are made of a more rigid material than general car tires. The higher pressure helps to increase the vehicles gas mileage per gallon of gasoline used. The overall efficiency of the vehicle is increased by these tires because they reduce friction on road surfaces and provided a grip. The braking system provided an energy transfer from the electric motor to the vehicles batteries when ever the brakes are applied. The overall gas mileage of a hybrid varies from model to model. The EPA test numbers report that the Lexus RX400h receives 31 MPG in the city and 27 MPG the highway while the Honda Insight receives 61 MPG in the city and 68 MPG on the highway.

In conclusion, the future of automobiles is currently the hybrid car and purchasing a hybrid vehicle will not only save you money but will also allow you to take responsibility and do you part in creating a safer, cleaner and greener environment.

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Source by Christine Bettridge

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Before discussing company-wide Quality Management systems, it is necessary to define the definition of Quality Management (QM). Many organizations and other groups of individual people have attempted to define QM. There are several different operational definitions of quality that are commonly used in many industries. The most common definition of QM is that, it is an integrated approach to achieve and sustain high quality output, focusing on the maintenance and continuous improvement of processes and defect prevention at all levels of the organization, in order to meet or exceed customer expectations. Quality management can be classified into two broad categories, industry-specific QM and non-industry specific QM. For example, some QM programs such as ISO 14000,AS9100, QS 9000, and TL 9000 are industry specific and others, including Lean management, Six Sigma, TQM, and ISO 9000:2000, are company-wide quality management programs. Our objective in this article is to compare the company-wide quality management systems, before comparing the systems, let me illustrate the high level view of the company-wide QM systems.

The Lean QM program mainly focuses on removing non-value-added activities from processes and services in an organization. Japanese engineers, primarily Taiichi Ohno and Shigeo Shingo, developed an approach called the Toyota production system, which the Western world calls Lean management. The main components of the Lean quality management system are called the 5S system: sort, set in order, shine, standardize, and sustain. Similar to the principles of Lean management, Six Sigma has drawn intense interest from the business communities. It was developed by Motorola in the 1980s and was popularized by General Electric’s chief executive officer (CEO) Jack Welch and others in the 1990s. It is a data-driven approach for process improvement. Using statistical tools and mathematical modeling in Six Sigma, one can reduce the defect rate between 3.4 per million and 2 per billion. The framework, called DMAIC (define: define the scope of the problem, measure: collect the data to analyze the problem, analyze: determine the root cause, implement: implement the solution to the problem, and control: monitor and make it defect free), is the heart of Six Sigma.

Similar to Lean management and Six Sigma, a considerable number of companies have applied TQM, which is another quality management system and is the subject of many books and research papers. It is not a new concept, but it is an extension of a company-wide quality concept from Japan. Researchers have identified several definitions for TQM. The commonly known definition of TQM is that, it is an ongoing process whereby top management takes whatever steps necessary to enable everyone in the organization in the course of performing all duties to establish and achieve standards which meet or exceed the needs and expectations of their customers, both external and internal. TQM is a never-ending process to satisfy both the internal and the external customers and the customer focus in all activities in an organization. It uses statistical tools to make defect-free processes. The core ideas presented by Deming, Juran, Crosby, and Ishikawa are the key elements of TQM. ISO 9000 is another powerful QM system similar to Lean management, Six Sigma, and TQM which is designed for all industries worldwide to support continuous improvement. It is a set of international standards and guidelines developed by a technical committee composed of experts from business and other organizations around the world to promote QM in organizations. There are five ISO standards: ISO 9000, ISO 9001, ISO 9002, ISO 9003, and ISO 9004. ISO 9000:2000 is the most comprehensive and it provides a model for quality assurance in design, development, production, installation, and services.

I’m sure that, you can understand the high-level overview of company wide QM systems. Let us compare the systems now.

Lean Management focuses on process flow. It assumes that eliminating waste can improve performance. Commonly noted benefits of Lean are improving productivity; quality and flexibility. But the importance of using statistical analysis was not valued in Lean.

Six Sigma assumes that focusing on process performance can improve operational efficiency which can improve customer satisfaction. The assumption of this approach is that, variation exists in all processes and analyzing this variance can improve performance. There are two kinds of variation in any process. One is normal variation and other is abnormal variation. Six Sigma talk about normal variation but not abnormal variation. This is a common criticism of using Six Sigma.

Unlike Lean and Six Sigma, TQM focuses on all activities. This approach would assume quality is everyone’s responsibility. All employees in an organization should put their best efforts to improve the quality of their products. It focuses on long term results which require lot of co-ordination.

Finally ISO. It is a detailed document oriented approach for quality. It is a kind of inward looking approach. The factors affecting business such as environment analysis, market demands, and business demands are not considered.

Numerous surveys of the above mentioned QM programs have been conducted around the world since 1990. Each QM system begins its quality journey from a different perspective and drives toward the common goal of customer satisfaction. Some organizations integrate one quality system into other to get maximum benefits from the quality management programs. The important lesson for any organization to learn is that, by just picking up a company-wide QM system and starting to implement them will not bring fruitful results. Organizations should use Deming’s Plan-Do-Check-Act approach to implement any QM system. Considering organizational needs; customizing QM program to meet the needs; conducting some sort of pilot testing to fine tune the approach before full-scale implementation would bring maximum benefits. But do not forget to fine tune the approach further by evaluating the results before standardizing your company specific company wide QM program.

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Source by Dr. Joseline Edward, Ph.D.

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If you are a car aficionado, there is likely at least one Ford vehicle that makes your heart go pitter-patter. Even if you prefer Pontiac or Chevrolet vehicles, no car lover would pass up an opportunity to own a Shelby Mustang GT500 or other classics that Ford has produced. For those that are big fans of Ford Motor Company, there are plenty of cars, trucks and even tractors for you to select from when looking for a new automobile or piece of farm equipment. Still, what do you really know about Ford Motor Company? You may be surprised by what you have to learn about this American automobile manufacturer.

The Rise of the Ford Motor Company

The Ford Motor Company has a long and interesting history that dates back to 1903. Since a 40-year-old Henry Ford first launched the company with only $28,000 that he received from twelve different investors, the company has grown into a juggernaut within the automotive industry. In fact, with a net income of $2.723 billion in 2007 and reported total assets of $279.264 billion that same year, the company is ranked third among U.S. automakers. While General Motors and Toyota have taken the first and second place spots, Ford had five vehicles rank at the top of the list on J.D. Power and Associates’ quality survey listings. Another fourteen of Ford’s vehicles ranked in the top three of the listings, making it the automaker with the most awards on the coveted list.

What many people don’t realize, however, is that two of the twelve people that invested in Ford’s new company were John and Horace Dodge, who later went on to form what is now known as the Dodge motor company.

During is early years, the Ford Motor Company only produced a few cars each day. In a factory located in Detroit, Michigan, groups of two or three men put together the vehicles after receiving the necessary components from other companies. Ford later introduced assembly lines to his factories and utilized mass production strategies in order to speed up production of his automobiles. He also paid his workers high wages and was one of only a few companies that managed to survive through the Great Depression.

The Ford Motor Company Today

Although it has been over 100 years since Henry Ford first opened the doors to the Ford Motor Company, the company is still family owned and continues to produce vehicles under the Ford name. It does, however, manufacture vehicles under other names as well. In the United States, for example, Ford products are also manufactured under the Lincoln and Mercury names. The company does not operate in only the United States, however, as it has major manufacturing operations in a number of other countries. These include:

– Argentina

– Australia

– Brazil

– Canada

– Germany

– Mexico

– People’s Republic of China

– South Africa

– Turkey

– United Kingdom

Ford has also owned a number of other brands of vehicles in the past. For example, it purchased Aston Martin in 1989, but later sold it in 2007 while retaining a $77 million stake in the brand. The company also purchased Volvo Cars in 1989 as well as 33.4% controlling shares in Mazda. Ford also previously owned Land Rover and Jaguar, but sold both of them to Tata Motors in 2008.

In addition to manufacturing vehicles and tractors, the Ford Motor Company also sells aftermarket parts under the name of Motorcraft and has a parts division called Visteon. The company also provides automotive financing to car buyers through its Ford Motor Credit Company.

The Future of the Ford Motor Company

On January 23, 2006, the Ford Motor Company unveiled its The Way Forward plan. The plan provided details regarding precisely what the company planned to do in order to become profitable once more, which was a concern that had plagued the company for over a year as gas prices soared and consumers started losing interest in purchasing their large, gas guzzling vehicles. As part of the plan, fourteen factories were closed and 30,000 people lost their jobs.

The company now plans to invest in new products that will allow it to better compete in the marketplace, which includes developing more crossover SUVs, hybrid vehicles, and compact cars. Therefore, those that love Ford vehicles can expect to see a lot of new and exciting developments on the horizon.

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Source by Angela Fay

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Current Scenario: The auto industry, especially in the United States, is in a downward spiral alright, and no one has a clue what’s in store for this industry. The same trend is noticeable in other parts of the world, including Japan. With the biggest names in the auto world like General Motors, yes GM, and Toyota bleeding non-stop, it is anyone’s guess how long these venerables of the auto industry can hold out against the market elements.

Time for Bargains: For the consumers though, especially those on the lookout for a good deal, many bargains are to be had for the asking! This may be the best time to strike the iron i.e. buy a Car! And there is any number of financing options available to bring that dream car of yours into the garage!

The Islamic Option: In this article, we shall take a look at the Islamic financing option for purchasing a car. Financing for purchase of cars under Islamic Banking is done under the contract of ‘Murabaha’. Simply speaking, this is a cost plus profit mark up contract.

Typically, the Islamic Bank or financial institution would have certain criteria to evaluate your creditworthiness and eligibility for a car loan, having regard to your income either from salary, or business i.e. your occupation, and other sources; your monthly expenditures, statutory payments etc, and finally your net income.

Now, suppose after going through the above process, the Bank gives you the good news-that you are indeed eligible for a car loan of USD 25,000.00 that you had asked for, to buy your dream machine. The next step would be to work out the profit mark up of the Bank on the loan amount. Suppose this works out to USD 5,000.00. That means the total cost of this deal, for you, is USD 30,000.00. Of course, the Bank would have factored its profit mark up while calculating your eligibility amount for the car loan. The other variation in the above case would be that the cost of the car is USD 20,000.00 and the profit mark up USD 5,000.00 or less as the case may be.

Apart from the above, other details to be worked out include:

• Down Payment: Some Banks would require you to make a down payment for the car-that would increase your stake in your dream car, as well as bring down the amount/number of installments payable by you.
• Repayment: The loan amount, plus the profit mark up, put together, would be divided into equal number of installments, agreed upon, say, 60 or 72 as the case may be, and you would be required to repay the same within the stipulated time. Some Banks offer a moratorium on repayment, that is, they allow you to start repayments after, say, two or three months after disbursing the loan. Some other Banks also offer to rework the installments after a part of the loan is repaid. Say you have repaid 12 installments. The Bank then works out a new EMI on the balance of the loan amount remaining after payment of the 12 installments. Upon full repayment of the loan, your car becomes really yours!
• Add-Ons: In the increasingly competitive environment that the Banking industry is functioning, it is not unusual to get a few add-ons with your car loan – zero balance account, free/concessional insurance for the car, free advisory services in respect of the car loan, as well as other services on offer by the Bank, etc. Do avail of the freebies!
• The Delivery!: Assuming that you have already identified your baby, that is your dream car, and the place that you wish to buy at, it is now the turn of the Bank to buy the car from the dealer on your behalf, and have it delivered to you!

Go on and Enjoy your Drive! Of course, there are no free lunches. Please do your due diligence before deciding to take a loan. And don’t forget that seat belt! HAPPY DRIVING!

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Source by Muhammed Yasser

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The 5S’s are a continuous improvement methodology started in Japan after World War 2 and mastered by Toyota. When transliterated from the original Japanese, the 5S’s stand for sorting, setting in order, shining, standardizing and sustaining the discipline.

The Red Tag Strategy is implemented in the first phase, or sorting phase, of any 5S implementation. Its effects are seen immediately throughout any facility with little or no cost, helping to improve reduce inventory, clerical efficiency and increase productivity throughout.

One reason this strategy is so important is that workers tend to “personalize” or get attached to tools and equipment. They often have a hard time determining what is necessary for the production cycle of the product and what is not. There is a natural tendency to want to keep tools and other equipment around “just in case”.

Another reason is that some manufacturing facilities or plants have been around for a long time; some may be 100 years old or older. If there are several shifts working for many years, and many workers throughout that time, different people may hang on to different items. Accumulation can happen quickly, or slowly over a long time period of time, but it happens.

The Japanese word for “red” is “dirt”. To remove dirt from a factory helps for several reasons (some obvious) but in this sense, it’s for sorting and removal of unnecessary items. Red tags are easily noticed, like stop signs, and help employees realize just how much clutter can be accumulated and just how much space gets wasted over time.

Target places in the factory for this aspect of sorting include inventory, machinery and equipment and space in general such as floors and shelving. Establish a criterion prior to implementation of the process, and then fill out the tag properly for inventory purposes, or the item is simply thrown away.

Like spring and fall cleaning, a good Red Tag Strategy launches no less than twice a year, and the best implementation will be ongoing. The period lasts one to two months based on how many campaign projects have already been implemented. Red tags should be attached by workers outside of their normal departments, so they have a fresh eye to an area, and no personal ties to those specific tools and equipment.

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Source by Jim Redmile