(Ede, 2017)It helps to avoid the bottlenecks or constraints, the efficiency of a supply chain. Ford has been working in mass production using assembly lines, using expensive machinery and physical infrastructure. This model has high fixed and inventory costs which are typically allocated to units of product produced. Meaning that even longer production runs is needed to amortize them. Ford’s balanced scorecard show their performance versus their target and the score cars is running year to date They have a system with colors that indicated the level of performance this include three categories red/green/yellow evaluations to indicate where they need to improve or change. Using this evaluation system, they can say if they are over target if it is green or on target if the result is yellow or under target if the result is red (Enderby, P 2012) With the system Ford can review if the business plan is accurate. This allows them to respond to the issues or process on time and take action when is necessary to remain over target. Also allows their managers decisions to avoid constrains when necessary. The model includes weekly review of scorecard and other internal issues with each member of the leadership …show more content…
They use target that they can reach and are sustainable to obtain achievements and are translated into product manufacturing and financial performance metrics. The company created goals to measure their performance. For example, between 2010 and 2015 had the following goals to accomplish in 2015 global mobility, products and customers, operations, supply chain and people. One of the main goals for the company is innovation in every department of the company part of their goal is generate a mobility plant that includes high technology to be pioneers in innovation of product and vehicles. Also as a part of the innovation they include their process and manufacturing