Ford Motor Co Supply Chain Strategy Case Solution

Case Solution

Describes Ford's study of their logistics to examine if the organization should virtually integrate round the Dell Personal computers model.

Excel Calculations

Questions Covered

Consider the experience that you have had in buy a car; compare these to the experience of buying a computer online. (If you’ve never done this, go to Dell’s website –www.dell.com—and explore how online computer buying works.) What do you think explains the differences?

What advantages does Dell derive from virtual integration? How important are these advantages in the auto business?

What challenges does Ford face that are not also faced by Dell? How should Ford deal with these challenges?

If you were Teri Takai, what would you recommend to senior executives? To what degree sho uld Ford emulate Dell’s business model? Provide support for your recommendation.