Supply Chain

Why Nobody Talks About "The Ford Way"

May 1, 2008

There's a Biblical saying that goes, "Those who can be trusted in little things can also be trusted in big things." For all the hand-wringing about the rise of Japanese automakers and the concurrent fall from grace for the Not-So-Big Detroit Three, there are a lot of "little things" that Toyota, Honda and company seem to be doing right, all of the time. Ford, meanwhile, keeps getting it wrong.

Take a look at this article, from the Cleveland Plain Dealer. This is what's known as a "little" story even in the hometown Cleveland paper, this article was buried on page 3 of the business section. And yet, check out the middle paragraphs in this story, and you'll learn all you need to about Ford's approach to supply chain collaboration:

"wo of the three principal automotive customers for products, Honda and Toyota, agreed to contribute to a fund for the displaced workers, providing them their vacation and some severance pay in an amount to be determined. The third and biggest customer, Ford, declined to contribute to the fund.... Ford told us they had decided not to help the workers, that they won't contribute.'"

Why would two foreign-based companies agree to help workers at a relatively small U.S.-based supplier, while one of the best-known U.S. companies thumbs its nose at those same workers? In Jeffrey Liker's book, The Toyota Way, one of the key principles that Toyota follows day in and day out is: Respect Your Extended Network of Partners and Suppliers by Challenging Them and Helping Them Improve. Based on the Excello example, the Ford Way apparently is: Sorry, can't help you.

About the Author

Dave Blanchard Blog | Senior Editor

Focus: Supply Chain

Email: [email protected]

Follow on Twitter @supplychainDave

Call: 216-931-9794

Contributing Editor Dave Blanchard provides the IndustryWeek audience his expertise in lean supply chain, reporting on topics from logistics, procurement and inventory management to warehousing and distribution. He also specializes in business finance news and analysis, writing on such topics as corporate finance and tax, cost management, governance, risk and compliance, and budgeting and reporting.

Dave is also the chief editor of Penton Media’s Business Finance and editorial director of Material Handling & Logistics.

With over 25 years of experience, Dave literally wrote the book on supply chain management, Supply Chain Management Best Practices (John Wiley & Sons, 2010), and is a frequent speaker at industry events. Dave is an award-winning journalist and has been twice named one of the nation’s top columnists by the American Society of Business Publications Editors.

Dave received his B.A. in English from Northern Illinois University, and was a high school teacher prior to his joining the publishing industry. He is married and has two daughters.