Changing a Company’s Culture
Purpose
The purpose of this paper is to describe Ford Motor Company’s change in organizational culture. What did Ford Motor do to make the culture of the organization better overall; not only as a better work environment but financially as well? Additionally, viewing Ford’s culture before the company changed along with the steps Ford Motor incorporated to change its culture. Furthermore, how efficient, and effective the step implemented in change were? Finally, evaluating how Ford’s organizational changes can be utilized in a company with high employee turnover and reputation while taking away from its competitive advantage.
Introduction
A company’s organizational culture is viewed as the most important topic …show more content…
When Mulally took over in late September of 2006, Ford Motor had lost an astounding 25% market share dating back to 1990, labor cost was $76/hr. in the unionized workforce, additionally 2006 was officially Ford’s worst year in the history of the company losing $12.4 billons dollars in the recession. (Kraemer, 2015). Alan Mulally who was a Boeing engineer had no previous experience in the automotive industry was considering by many to be a risky business move with the company on the edge of filing for bankruptcy. Ford Motor and Alan Mulally took one last chance to revive the company by taking out a loan for $23.4 billion in December of 2006. During this time, Mulally realized Ford’s corporate culture needed a major renovation from the ground up; executives were competing against each other instead of working together, leadership frequently had excuses for performance not going to plan, and very little collaboration between Ford division’s both nationally and …show more content…
Mulally wanted to create a work environment where divisions weren’t “stepping on toes” and managers weren’t having “turf wars”. Under Mulally’s tutelage the organizations culture shift focused on how collaboration is fostered along with developing innovative ideas. Mulally created ‘One Ford’ to bring Ford’s culture and leadership to the “front of the line”. Mulally’s One Ford innovation plan was headlined as: One Team, One Plan, One Goal (see Figure 1). One Team was created to be one team who worked together as a global company collaborating as automotive
Purpose
The purpose of this paper is to describe Ford Motor Company’s change in organizational culture. What did Ford Motor do to make the culture of the organization better overall; not only as a better work environment but financially as well? Additionally, viewing Ford’s culture before the company changed along with the steps Ford Motor incorporated to change its culture. Furthermore, how efficient, and effective the step implemented in change were? Finally, evaluating how Ford’s organizational changes can be utilized in a company with high employee turnover and reputation while taking away from its competitive advantage.
Introduction
A company’s organizational culture is viewed as the most important topic …show more content…
When Mulally took over in late September of 2006, Ford Motor had lost an astounding 25% market share dating back to 1990, labor cost was $76/hr. in the unionized workforce, additionally 2006 was officially Ford’s worst year in the history of the company losing $12.4 billons dollars in the recession. (Kraemer, 2015). Alan Mulally who was a Boeing engineer had no previous experience in the automotive industry was considering by many to be a risky business move with the company on the edge of filing for bankruptcy. Ford Motor and Alan Mulally took one last chance to revive the company by taking out a loan for $23.4 billion in December of 2006. During this time, Mulally realized Ford’s corporate culture needed a major renovation from the ground up; executives were competing against each other instead of working together, leadership frequently had excuses for performance not going to plan, and very little collaboration between Ford division’s both nationally and …show more content…
Mulally wanted to create a work environment where divisions weren’t “stepping on toes” and managers weren’t having “turf wars”. Under Mulally’s tutelage the organizations culture shift focused on how collaboration is fostered along with developing innovative ideas. Mulally created ‘One Ford’ to bring Ford’s culture and leadership to the “front of the line”. Mulally’s One Ford innovation plan was headlined as: One Team, One Plan, One Goal (see Figure 1). One Team was created to be one team who worked together as a global company collaborating as automotive