Human Resources 587 - Assignment 3 Essay

3985 Words Sep 25th, 2015 16 Pages

Innovative Change at Ford Motor Company
Keller University
Human Resources 587
August 24, 2014

Since Alan Mulally took over as Chief Executive Officer (CEO) for Ford Motor Company the business has been transformed into a powerful competitive force in the global automotive industry. An examination of the company’s communications surrounding Mulally’s retirement and the appointment of Mark Fields as the new CEO demonstrate how Ford used positive and candid communications to overcome resistance to the change. Actions as simple as providing verbal and nonverbal cues have a powerful influence on how others perceive a change
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The executive’s actions throughout his leadership, such as the appointment of other executives that also shared his vision for the company, demonstrate how leaders ensure positive change through the use of change agents (Francis, 2013).
Communication Plan The retirement of Alan Mulally in 2014 posed many challenges to Ford in terms of communicating the change to different stakeholder groups and doing it in a way that would help to alleviate resistance. Mulally became the company’s CEO when Ford was in serious financial trouble and it took years for stakeholders to begin to fully realize the effectiveness of his new vision for the company (Toes, 2014). However, once the company began reporting profits and growth it became easier for shareholders and stakeholders to accept the change. Prior to seeing actual examples of how the change would produce positive outcomes all stakeholders had to go on was the company’s past performance in response to changes within its executive management. These changes had not been viewed as positive and their frequency caused many to doubt that new leadership was the answer to Ford’s problems. Mulally changed this view, but the underlying mindset that change at the highest level of the company’s leadership might result in negative outcomes had to be addressed proactively prior to his retirement.
Timeline for the Plan A communication plan established to prepare stakeholders for the transition that would occur when Mulally

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