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Ford to lay off 700 at MAP


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And your point is? You do have a point?

 

My point is why build flex plant that cannot build the product on the same platform the market is demanding?

 

 

Because Ford should increase the amount of Escapes and MKCs on the market by 33% or so in order to keep a shift going?

 

Are Focus and C-max sales down 33%? No.

 

No bright eyes, there is a lot of space between losing a shift or 33% of production, and re-balancing the line Reducing line speed. The plant can comfortably produce ~240,000 cars on 2 shifts.

 

The inability to move even 40,000 units of Escape production to MAP, show how poorly the plant was planned, and how much work ford has to do to fix it.

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My point is why build flex plant that cannot build the product on the same platform the market is demanding?

 

 

Are Focus and C-max sales down 33%? No.

 

No bright eyes, there is a lot of space between losing a shift or 33% of production, and re-balancing the line Reducing line speed. The plant can comfortably produce ~240,000 cars on 2 shifts.

 

The inability to move even 40,000 units of Escape production to MAP, show how poorly the plant was planned, and how much work ford has to do to fix it.

Perhaps they will make it more flexible once the MK4 Focus debuts.

 

Does Ford need more Escape production?

 

Ps I'm sorry for repeatedly hitting the best answer button. My fat fingers on a small phone don't mix well.

Edited by blazerdude20
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The inability to move even 40,000 units of Escape production to MAP, show how poorly the plant was planned, and how much work ford has to do to fix it.

 

As you point out, Focus and C-Max sales are not, in aggregate, down 33%.

 

Cutting a shift makes the Focus & C-Max more profitable without making the Escape less profitable.

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As you point out, Focus and C-Max sales are not, in aggregate, down 33%.

 

Cutting a shift makes the Focus & C-Max more profitable without making the Escape less profitable.

 

That doesn't make any sense.

 

having an underutilized plant and a over utilized plant was the reason for has been so high of flex plants in the first place, what you are saying is that was wrong.

 

All costs are being reported through the same company, they are not supposed to compete with each other but to cooperate to minimize costs for the entire company not just one product.

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That doesn't make any sense.

 

having an underutilized plant and a over utilized plant was the reason for has been so high of flex plants in the first place, what you are saying is that was wrong.

 

All costs are being reported through the same company, they are not supposed to compete with each other but to cooperate to minimize costs for the entire company not just one product.

 

Actually, it does.

 

If you add Escape volume to MAP to fill out Focus/C-Max volume, your profit on the Focus & C-Max is going to increase only by the amount of fixed costs that you are able to transfer to new Escape production.

 

At the same time, you are likely decreasing Escape ATP by increasing production in the absence of clear market demand for it, and adding per-unit costs to the production of a vehicle in order to decrease the ATP of the vehicle is not good business. Especially not when it barely benefits another product line (Focus/C-max).

 

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Conversely, cutting a shift at MAP allows Ford to run the plant closer to nameplate capacity per shift, thus increasing the profitability of the Focus/C-Max range while leaving Escape profitability intact.

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My point is why build flex plant that cannot build the product on the same platform the market is demanding?

 

 

Are Focus and C-max sales down 33%? No.

 

No bright eyes, there is a lot of space between losing a shift or 33% of production, and re-balancing the line Reducing line speed. The plant can comfortably produce ~240,000 cars on 2 shifts.

 

The inability to move even 40,000 units of Escape production to MAP, show how poorly the plant was planned, and how much work ford has to do to fix it.

There is no need to move Escape production to MAP, inventory at the start of April was over 61,000.

There was a temporary reduction in inventory while MKC inventory was built out to over 9,200.

 

Other things could have been tried with C-Max, like conventional engines (1.5 Ecoboost)

Edited by jpd80
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Actually, it does.

 

If you add Escape volume to MAP to fill out Focus/C-Max volume, your profit on the Focus & C-Max is going to increase only by the amount of fixed costs that you are able to transfer to new Escape production.

 

At the same time, you are likely decreasing Escape ATP by increasing production in the absence of clear market demand for it, and adding per-unit costs to the production of a vehicle in order to decrease the ATP of the vehicle is not good business. Especially not when it barely benefits another product line (Focus/C-max).

 

---

 

Conversely, cutting a shift at MAP allows Ford to run the plant closer to nameplate capacity per shift, thus increasing the profitability of the Focus/C-Max range while leaving Escape profitability intact.

 

wouldn't have been a better idea to sell more product, as opposed to idling a shift?

 

Look at the numbers, Richard they are laying off 700 worker out of a Staff of 4700. The actual assembly shift is a small portion of manning the plant, in fact, a good percentage of Escape and MKC parts and stampings are made at MAP, and shipped to LAP for assembly. It just the fact that the assembly side cannot make the products it is making parts for.

 

 

There is no need to move Escape production to MAP, inventory at the start of April was over 61,000.

There was a temporary reduction in inventory while MKC inventory was built out to over 9,200.

 

Other things could have been tried with C-Max, like conventional engines (1.5 Ecoboost)

 

There are things that could have been done to add incremental volume to maintain that shift.

 

Non-hybrid C-max - 15,000 units

 

Focus Wagon- 15,000 units

 

Focus RS could have been made at MAP, but the plant cannot handle AWD. -15-25,000 units.

 

when you don't plan ahead this is what you get.

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There are things that could have been done to add incremental volume to maintain that shift.

 

Non-hybrid C-max - 15,000 units

 

Focus Wagon- 15,000 units

 

Focus RS could have been made at MAP, but the plant cannot handle AWD. -15-25,000 units.

 

when you don't plan ahead this is what you get.

 

 

Thats a whole lot of hope and change there to make bold faced accusations there. Its not like Ford can flip a switch and just build those products, because you state they didn't plan ahead.

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Thats a whole lot of hope and change there to make bold faced accusations there. Its not like Ford can flip a switch and just build those products, because you state they didn't plan ahead.

 

but they could, they have done it in Europe, Saarlouis added C-max production in 6 months, to be built on the same line as the hatch and wagon and they are now adding AWD RS production. Which IMO an AWD mainstream Focus would be a better fit for North america than for the EU.

 

The build complexity in Germany was already a magnitude more complex than at MAP yet they have increased that complexity to build more product.

 

It isn't about flipping a switch to make another product it is about having the foresight to not plan yourself into a corner.

 

 

 

https://media.ford.com/content/fordmedia/fna/us/en/news/2011/03/17/ford-opens-flexible--green-michigan-assembly-plant-with-producti.html

 

FORD OPENS FLEXIBLE, GREEN MICHIGAN ASSEMBLY PLANT WITH PRODUCTION OF ALL-NEW FORD FOCUS

 

Ford Motor Company celebrated the launch of the 2012 Ford Focus with employees, dealers, suppliers, media and other invited guests at the

Michigan Assembly Plant.

Click here to download related images.

Transformed Michigan Assembly Plant (MAP), which will produce the fuel-efficient new global Ford Focus for North American customers, features flexible manufacturing, environmentally friendly practices and a highly trained work force

A $550 million investment transformed the plant, creating new benchmarks for flexible manufacturing. Multiple models to run down the same production line, making Michigan Assembly the world’s first plant to build gasoline-powered, battery electric, hybrid electric and plug-in hybrid electric vehicles on the same line

MAP also features one of Michigan’s largest solar-powered generation systems and electric vehicle charging stations

FACTS SHEETS: MAP Transformed | MAP Timeline | Ford Fuel-Economy Leadership | Green Focus

 

VIDEO: All New Ford Focus at the Michigan Assembly Plant

 

SOUNDBITES: 2012 Ford Focus Launch

 

WAYNE, Mich., March 17, 2011 – Ford Motor Company is celebrating production of its all-new global Ford Focus, built for North American customers in its completely transformed Michigan Assembly Plant (MAP). Following a $550 million transformation, the plant features an environmentally friendly workplace with flexible manufacturing capability and a motivated, specially trained work force ready to deliver a fuel-efficient new car to the marketplace.

 

“MAP epitomizes the best of what Ford stands for – fuel efficiency, quality, smart technology,” said Mark Fields, president of The Americas. “Focus delivers even more of what customers truly want and value – and this new car could not arrive in the market at a better time.”

 

The new Focus sets a new standard in the small car segment in North America, offering more technology and features than more expensive European cars, such as SYNC® with Traffic, Directions and Information, MyFord Touch™, active park assist and Wi-Fi access, while delivering up to an unsurpassed 40 mpg with an automatic transmission.

 

Fuel economy and greener driving will be built into each new vehicle slated for production at MAP. With its flexible manufacturing system, Ford workers can build multiple models on one or more platforms in the same facility. The Focus Electric zero-emission battery electric vehicle is slated to go into production late this year at the plant, followed by production of the new C-MAX Hybrid and C-MAX Energi plug-in hybrid in 2012.

 

With this product lineup, Ford’s Michigan Assembly Plant will be the first facility in the world capable of building a full array of vehicles – gas-powered, electric, hybrid and plug-in hybrid – all on the same production line.

 

The company’s investment in Wayne, Mich., is supported by strong partnerships at the state, county and local level, as well as by Ford’s green partnership with the U.S. Department of Energy. Michigan Assembly Plant is one of 11 Ford facilities in the U.S. participating in the Advanced Technology Vehicles Manufacturing Loan Program initiated by Congress and implemented by the Obama administration. This green loan program is helping to develop advanced technology vehicles and strengthen American manufacturing across the country. Ford, Nissan, Tesla, Fisker and Vehicle Production Group (VPG) are all participants in this initiative.

 

Making Ford vehicles smarter, greener

MAP is Ford’s most flexible plant, thanks to reprogrammable tooling in the body shop, standardized equipment in the paint shop and a common-build sequence in final assembly. This flexibility allows the Ford team to produce multiple models on the same assembly line – and in even more environmentally friendly ways.

In its flexible body shop, at least 80 percent of MAP’s robotic equipment can be programmed to weld various-sized vehicles – a Ford first. And, MAP’s integrated stamping facility allows the stamping and welding of all large sheet-metal parts on-site, ensuring maximum quality and minimum overhead.

The plant also will employ an efficient, synchronous material flow, where parts and other components will move in kits to each operator, providing employees with the tools they need in the sequence they will need them.

Michigan Assembly is the first U.S. plant to commercially use a three-wet paint application that will save about $3 million in production in natural gas and electricity – without compromising Ford’s paint quality or durability.

“In most other automotive plants, we apply a layer of paint called the primer coat and we bake the unit, and then we put on the base coat and the clear coat, and we bake it again,” said John Nowak, environmental engineer. “The three-wet process allows us to put on primer, base and clear, and bake it only once. We save all the electricity from the blowers that run the booths and the ovens, plus all the natural gas from heating the air and the ovens. Ford is leading the way on this greener, cleaner paint process.”

Because of the differences in technique – including robotic processing, elimination of equipment and associated pollutants, and increased line speed – the three-wet paint process produces 6,000 metric tons fewer CO2 emissions per year compared to waterborne systems and 8,000 metric tons fewer CO2 emissions per year compared to conventional high-solvent-borne systems. There also is a Volatile Organic Compounds (VOC) emissions savings of 5 percent related to processing.

Driving on sunshine

MAP also boasts one of the largest solar power generation systems in the state as well as several electric vehicle charging stations, allowing the plant to operate on a blend of renewable and conventional electricity.

 

Renewable energy collected by the solar panels directly feeds the energy-efficient microgrid, helping power the plant. When the plant is inactive, such as holidays, the stored solar energy will provide power during periods of insufficient or inconsistent sunlight. The projected energy cost savings is approximately $160,000 per year.

 

“We have taken steps great and small to make the plant as green as possible,” Nowak said. “Our goal was to help the 4,000 Ford employees make this several-million-square-foot facility truly environmentally friendly and cost-efficient.”

 

The plant also has 10 electric vehicle charging stations that recharge electric switcher trucks that transport parts between adjacent facilities – saving an estimated 86,000 gallons of gas a year.

 

Plus, the 50 percent of the parts arriving for the all-new Focus that come from Europe, packed in cardboard, are carefully collected, sorted and recycled, as is the bubble wrap, the Styrofoam and water bottles used by employees. Even the temporary wooden partitions that were put up as the plant was revamped and remodeled were donated to the local Habitat for Humanity.

 

Quality focus

But equipment isn’t all it takes for a plant transformation to occur. Work force training is equally important. Doug Mertz, organization development manager at MAP, worked with the team to develop training that would focus on the plant’s operating principles – safety, quality and flexible manufacturing – with high priority placed on respect for people, product and processes.

Group leaders from Wayne Assembly Plant participated in an intense, three-week quality education, which included pre-builds of the new Focus and in-depth training on safety, ergonomics and work-station design. In addition, group leaders were trained on “soft skills,” such as developmental leadership, personality preferences and their impact on behavior, conflict resolution, change management, techniques for teaching others, and other skills to aid in situations specific to their base departments.

“Since the group leaders would be training the base operators when they came to the MAP site, we wanted them to understand not only the implication of performing their job correctly, but also the impact that performing the job incorrectly would have downstream,” said Mertz.

As the full MAP salaried and hourly work force arrived at Michigan Assembly Plant, operating patterns helped to ease the transition. The first week, the normally two-shift operation was combined into one so that group leaders on both day and afternoon shifts could work collectively with their teams and ensure standardization of work practices. Shifts continued to overlap so line employees could work together and minimize variability on job performance.

“The all-new Ford Focus is truly global in the sense that we’ve created it to satisfy the needs and wants of people all around the world,” said Plant Manager Rob Webber. “This has been an exciting challenge but one we’re ready for. We have the people and processes in place to deliver on the promise of the new Ford Focus and the many products to come.”

Inside MAP

Click here for video of the all-new Ford Focus on the assembly line at Michigan Assembly Plant.

 

###

 

About Ford Motor Company

Ford Motor Company, a global automotive industry leader based in Dearborn, Mich., manufactures or distributes automobiles across six continents. With about 164,000 employees and about 70 plants worldwide, the company's automotive brands include Ford and Lincoln. The company provides financial services through Ford Motor Credit Company. For more information regarding Ford's products, please visit www.ford.com.

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Down balancing a line does not attack a fixed cost like labor, cutting a shift does.

 

Ford's small car sales and production volume in Nth America is expected to stay low for considerable time,

better to transfer those workers to other plants where they can be put to better use.

Edited by jpd80
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Right: You cut a shift and you almost certainly make the Focus more profitable while leaving Escape profits intact.

And also transfer some or hopefully, most of that workforce to other plants..

 

This is why we need to look more closely at "fixed costs" that are not necessarily fixed at all..

Edited by jpd80
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And also transfer some or hopefully, most of that workforce to other plants..

 

None of us know what's going on right now with that, there's so much rumor and BS being spread around right now that its impossible to tell what's real and what isn't

 

There isn't enough openings at the other plants for all 675 of us right now, until that mythical 3rd shift in Flat Rock opens up, and I'm starting to have my doubts as to not only when, but if that is even happening.

 

The most irritating part of all of this is that its a decision that was likely mulled over since GM cut a shift in Lake Orion for Sonic/Spark production so you would think they would have come up with a plan so they could at least give us something instead of letting the rumors fly.

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So, oil prices go down, compact sales go down too. Should Gov't force fuel prices up, then?

 

Wait til prices go back up, which they will.

 

 

 

Bill Ford has repeatedly supported that idea. From 2009: http://www.blueovalforums.com/forums/index.php?/topic/31845-bill-ford-calls-for-gas-tax/

 

Its not like we have raised the federal gas tax in the last 22 years.

Edited by Biker16
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No one will EVER win an election saying "We need to raise gas tax, so everyone will buy manual transmission, brown, diesel, station wagons as everyone in EU does"!

 

Maybe "we"* should protest the oil companies demanding higher prices, since it is preventing buyers from buying "manual transmission, brown diesel station wagons"

 

 

*The ones wanting the US to become the USEU so that we all will drive "manual transmission, brown diesel station wagons".

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Y'all, can we get back to MAP laying off several hundred workers and how the obvious solution to the problem is to move another product to the plant so it can be overbuilt and then sold at blowout prices in a couple of months just so Ford can keep the plant running at full speed at the cost of net profitability?

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