Ford ’s improved quality could save the automaker $300 million in warranty costs next year, a new report finds. Ford was able to save $900 million this year through fewer dealer repairs.
“The numbers that we’re targeting, probably another $200 to $300 million, would be in line, certainly in line with the substantial improvement we made this year,” said Ford’s Vice President, Bennie Fowler.
Improved quality is a key portion of Ford ’s North American turnaround plan. According to The Detroit News, the automaker has seen 11 consecutive years of U.S. market share declines.
Ford had four of the top ten brands in J.D. Power & Associates’ annual initial-quality survey released in June.
The savings are currently being used to off-set Ford’s $12.6 billion shortfall last year, but will soon be used to develop future models.
