In an extensive interview published in Condé Nast Portfolio magazine, Bill Ford talks about what will go down as one of the worse periods ever for the US auto industry. In the summer of 2006, Mr. Ford was shopping for a CEO for the Ford Motor Company. He had come to realize that he didn’t have the energy or the personality needed to turn Ford’s dysfunctional corporate culture inside out, but he also desired someone who knew and respected the contributions and importance of the company founded by his great grandfather.
Ford selected Alan Mulally because he wanted a CEO who not only understood manufacture and dealing with the union, but also recognized Ford’s historic achievements and importance to the country. Having helped turn around Boeing, a highly unionized aircraft manufacturer with its own unique place in American history and culture (707, 747 anybody?) Ford felt Mulally would be perfect for the job.
Mulally turned him down (he would later accept the position) and Ford spent that next entire weekend sitting in a living room chair staring at a blank notepad in his lap, exhausted and out of ideas to save the company after Alan Mulally turned him down to become CEO of Ford Motor Company. Ford said he was “silent and devastated. I had no plan B.”
The year was only going to get worse. The headlines of the latter part of 2006 (Kerkorian’s attempt to take over GM was rattling the entire industry, skyrocketing gas prices put SUV sales on the skids, and his way forward plan seemingly stuck in reverse) had Ford so down some mornings he didn’t even want to get out of bed.
Bill Ford discusses his battles with Ford’s infamous divisional structure recalling orders that he had given out, thought had been carried out, to find out that slow-walked by the company’s impermeable bureaucracy. When he started to become involved in the day to day activities at Ford after the company’s operating officer retired, he found “a lot of lip service and robust PowerPoints but not a lot of action.”
[Full Story: Driven to the Brink / Condé Nast Portfolio]



04/18, 9:12 AM
posted by:
whitelite5460
this is truly a rough time for american autoworks.
04/18, 9:47 AM
posted by:
buenos
But a truly well-written and informative article.
I can’t help thinking in reading it, and in reading some of the previous articles on GM and Chrysler, that it’s like the whole auto industry turns right, except for the North American manufacturers that turn left, but then look in the mirror and go, ‘Oh crap, we turned the wrong way again” and then it’s like trying to turn a cruise ship around using only a canoe paddle.
04/18, 10:05 AM
posted by:
F451
“I had no plan B” WTF? I did have high hopes for Ford, but with Mulally’s highly publicized pay package, and the slipping moral of the Ford employees (Geez, where do I get a Mulally package?) it seems Ford will further struggle until its bitter end. Oh well, it looks like a few people in Ford will still be rich.
04/18, 10:24 AM
posted by:
global_lightning
Very good piece for a managament story. The main issue Bill Ford has to deal with is he’s too emotionally connected to the company to make the bitter decisions.
Mulally’s implementing basics: metrics, accountability, forcing transparancy; what’s needed is an overall vision.
What I’ve always have found baffling about Ford is the sheer number of dealerships they have. Sometimes it seems like they’re competing against each other for sales rather than with other brands. This drives down the price and ultimate profitablity. Then throw in overlapping vehicles from Mercury, Lincoln, etc… and Ford is it’s own biggest competitor. I’d analyze which markets is Ford over-represented in and drop the lowest performing dealers until supply balances demand.
I really hope Ford turns things around
04/18, 10:26 AM
posted by:
gbb
Its a shame Bill Ford couldnt make it happen. He just didnt have the brains, will, a big enough pair of stones and right size ass kicking shoes to make it happen.
04/18, 10:32 AM
posted by:
CARnut
global_lightning
Me too.
04/18, 10:37 AM
posted by:
PrimeGTP
I hate to break it to you Ford, but you STILL don’t have a plan.
04/18, 11:33 AM
posted by:
Jazz
Personally, I really hope they get it right.
04/18, 11:46 AM
posted by:
anonymous 2
the american auto industry recent troubles is just another example of what happens when too much ego takes over.
04/18, 11:50 AM
posted by:
CTS DRIVER
i have one question…….do you think he drives a ford in that little picture above?
04/18, 11:53 AM
posted by:
raben
In the past 20 years, I’ve owned five Ford or Mercury products. With each successive purchase, they got better. I moved to Buick when the only choices at Ford were a Taurus (which I’d driven as a company car in 77 and 2004 and found it profoundly poor) and the new Focus, which was experiencing major recalls every few weeks. After 4 years of crappy reliabilty in a Buick Regal, I purchased an 07 Focus last month. It is, without a doubt, the best Ford I’ve ever owned. However, part of the reason for moving back to Ford is that I want them to survive and that I believe in them. People just need to be open for a test drive. However, Ford dealerships could be more helpful because it’s the little things that count. After one year of ownership, new car purchasers at my Ford dealer have to pay a yearly fee to get a “free loaner”. That, folks, is stupid.
04/18, 11:53 AM
posted by:
CTS DRIVER
What is missing in their structures that their product planning seems to be so off kilter?
Comment by buenos, posted on April18 at 11:04 am
its the same marketing strategy the same people used 30 years ago, once the old men die or retire and get some young current minded people in they will just float in the current, they lost the canoe paddle in the 70`s.
04/18, 12:26 PM
posted by:
global_lightning
@CTS DRIVER:
That’s a Ford Mustang Convertible.
04/18, 12:34 PM
posted by:
Madcapp
No plan “B”, and he doesn’t want to do the work to fix the company because he is too lazy? Sounds like a perfect candidate for a pink slip and a $300 million dollar golden parachute.
04/18, 1:46 PM
posted by:
Impulsive
This incompetent should never have been put at the helm.
04/18, 2:03 PM
posted by:
HoosierHero
I agree with most of the above. A lack of vision, planning, and bureaucracy is eating away at American companies in general. I don’t they get that. You have the UAW, which is an industry dinosaur, sucking American automakers dry and management, who bogs everything down on pet projects and money-wasters. Unfortunately, today you have to pay CEOs who are worth their salt NBA money. That’s just how it goes. You’ll have some that do great things, and others that are a bust. But if you get one that does perform well, then they are definitely worth those millions of dollars in salary, bonuses, and perks.
04/18, 5:27 PM
posted by:
theshadow
The problem wasn’t a personality one, it was to do with bureaucracy. You can’t just kick on some cowboy boots and whip out a megaphone and dictate to a multibillion dollar company with tens of thousands of employees.
Dealing with the conflicting interests on unions, product planners, engineers, accountants, lawyers, dealers, marketing gurus (not to mention layers upon layers of career administration), shareholders and customers isn’t so easy. Navigating and managing a complex system like that takes rare skill.
IMHO, Bill Ford showed great wisdom, and a rare lack of ego, when he admitted to himself that he wasn’t the best person for the job.
Mulally’s transparency and accountability measures are just the groundwork being laid for when he shakes the carpet and gets rid of all the dust. After that, hopefully Ford can begin to manoeuvre more strategically and decicively in the marketplace.
Just hope they can do it quick enough, and manage to actually build some great cars along the way.
04/18, 6:16 PM
posted by:
autolover
PrimeGTP…
What plan do you have to save Ford? Why don’t you refer to your CEO instruction manual, you may even get a job at Ford! then you could really make a difference…
04/18, 9:01 PM
posted by:
flathead.com
Why did Ford sell their “big truck” line?
Why did Ford buy all those European auto manufacturers?
Why didn’t Ford update periodically their 90s T-bird, Taurus, & Crown Victoria?
Why isn’t the Crown Vic downsized w/ a 5.4 engine added?
Why doesn’t the F-150 have a 400 h.p. engine?
Why aren’t the F-150s/SUVs more economical?
04/19, 4:32 PM
posted by:
bigjob
we do thank you for not living here homeboooooooy. I’m sure where you do live, they are thrilled to have you FSAH
04/20, 9:06 PM
posted by:
Diel
So somebody bought an 07 Focus a car that has barely changed since 2000?
04/21, 12:06 PM
posted by:
FordTaurusForever
Raben your an idiot. Why I admire your patriotism. Your a moron. There was no Ford Taurus back in 1977 you idiot. Wake up! First off the Taurus came into existence back in 1985 you retard. Now The Taurus which Ford threw in the dust pile a year ago and has been brought back to life unceremoniously like the Phoenix Bird from the Ashes in its new life as a stupid Dumbkopf Ford 500. What Ford needs to do is make the Taurus a kick ass car again. You know GM is doing a better job at making Futuristic versions of the Taurus than Ford is!? Chevy Impala, G6, Buick, Cadillac- notice something anyone. The same company complaining and telling everyone that Jellybean shaped cars don’t sell or look ridiculous is doing it. Meanwhile Ford has been playing dumb that’s because the Ford children the ingrates they are. Don’t know how to manage or whom is best to manage their great grandfather company!
04/22, 11:39 AM
posted by:
Scott Kempton
Homeboy234— I know you’ll probably never see this post since it’s in response to an old subject, but I can’t help myself.
First off, I know you claim to live in Europe, but I have my doubts. Your name, and your speaking style sure sounds American to me, but not the GOOD American. You sound like very poor, ignorant, pitiful trash. But even if you DO live in Europe, I wish you’d take pitty on us poor, ignorant, pitiful Americans; we’re not all as lucky as you to live in an economically and intellectually superior country.
I also wish you’d keep in mind that this is a PUBLIC forum for discussing automobiles, not bashing anyone’s country. Why don’t you prove to us all what a suave and sophisticated European you are and keep your potty mouth under control as you discuss CARS. I promise you’ll feel better about yourself if you do.
Thanks for your cooperation.
By the way, just out of curiosity; what country DO you live in, what do YOU drive, that places you so high that you are able to hurl such epithets at us lowly Americans?
04/22, 2:02 PM
posted by:
Rompn4x
Good thing Homeboy you dont live in America because you would have to deal with people like me…And I don’t think you have the brains or muscle to throw down.
04/22, 2:11 PM
posted by:
Rompn4x
There is nothing really superior about Europe… Every country has their faults. Remember the world doesn’t just look at what kind of car(s) a country makes but everything in whole. And America is at the forefront with technological innovation and engineering. You Europeans will probably write back a poor retaliation comment on either a PC running American designed Windows or a American designed MAC =P I wouldn’t bash on America too much when your country has ran to us for help all the time in the past.
04/22, 2:16 PM
posted by:
LamborghiniZ
Lets stop threatening people we’ll never meet, over the internet of all things, and that goes for everyone.
Regarding this article, all I can say is I’m not surprised in the least. Ford has been going down the hole for a while now, and its not making much headway
04/24, 3:30 PM
posted by:
Rompn4x
Its okay Lambo… Homeboy just showed his mentality to us all. He pretty much is just some kid who spends 8 hours a day playing video games and has no concept of reality. You sure came back with a pointless comeback…now go play some video games and stay stupid the world needs more janitors.