Running head: FORD MOTOR AUTOMATED CAR CAPABILITY Ford Motor Automated Car Capability Natalia Cardona Southern New Hampshire University 1 FORD MOTOR AUTOMATED CAR CAPABILITY 2 Abstract In an implementation of a project plan, it is important to consider the organization’s core competencies and how the plan will be affected or is going to affect them. This paper will address various core competencies of the ford motor company and how they will affect the implementation of the plan. Additionally, the impact of plan implementation on the core competencies will also be discussed. Ford has a one ford corporate culture, and the paper will show how this corporate culture is incorporated during the implementation of the project plan. Furthermore, the paper discusses various key roles, responsibilities, and qualifications of members of the implementation team. Finally, the paper addresses the contingency plan that can be used in case the composition of the implementation team needs to be changed. FORD MOTOR AUTOMATED CAR CAPABILITY 3 Organization’s core competencies Core competencies include the prominent skills, characteristics functions as well as assets that the company is in possession. These core companies of the Ford Company make it prominent in the automobile market. The core competencies of the Ford Company help them achieve competitive advantage over their rival competitors in automobile manufacturing industry such as general motors and Toyota. Due to strong brand recognition as a key core competency of the company, it stands in a good position for the implementation of this project. The company is one of the leaders in the automobile industry, which gives it an edge and compete against other companies. This is important during the implementation of its plans and especially this project. Additionally, the Ford Company has a strong One Ford plan that enabled it to successfully escape from the dismal performance that crippled it during the 2007-2008 financial crisis. With this plan as one of the core competencies of Ford, the implementation of this plan would be easy (Flamholtz, & Randle, 2011). Ford has the ability to build a relationship with other companies which help them have strategic alliances as well as joint ventures. During the implementation of this project, the company will require the input of companies in sourcing for the required material for the project to reduce the production cost. Partnering with other companies producing the physical and technological resources required will be vital to lower the production cost. Keeping the production cost as low as possible will be a good strategy to produce cars that are relatively cheap and affordable. These core competencies of the company will enable it to have partners that are well versed in medicine that can be able to provide their systems with the information necessary such as in the field of medicine. Additionally, the company will partner with other manufacturing companies of the physical and technological resources to ensure these products are readily available at a lower price. This will ensure that the production cost of the new automated cars is not extremely high. Moreover, the companies providing different FORD MOTOR AUTOMATED CAR CAPABILITY 4 physical and technological resources will provide their expertise in incorporating the resources of the designed cars. This will ensure the shortcomings of the Ford Company’s core competences in such areas are covered. Thus, the implementation phase of this project greatly relies on the core competencies of the company for its success (Flamholtz, & Randle, 2011). Another core competency of the Ford Company is its manufacturing and distribution network because its operations are extended in over 100 countries across the world. This core competency will the project to be implemented easily due to the company’s effectiveness in manufacturing and distribution of their products. Apart from manufacturing and distribution, the lavish company designs that add to its strength and core competencies. Therefore, incorporating the automated car capabilities that can detect the health of the car occupants will be a scoop for the company. The implementation of this project will also add to its widely accepted designs and make it improve its sales across the world. Finally, the implementation of this project will be aided by the company’s quality assurance and customer service that enable the company to be excellent during their marketing campaign. Many customers would like to buy a product that assures them of quality. Quality of the Ford cars comes with different definitions. First, the customers can get the value of their money once they buy the autonomous car from Ford. Additionally, customers are able to determine the quality of the car if it performs the intended purpose and works to the set requirements. The implementation of this project will be easy because customers know they will get a car that can protect their lives and reduce road accidents. Moreover, Ford cars are of high quality due to the presence of customer service across the world. Customers associate customer service with quality and this will essential for the implementation of the project (StanFord, 2014). Corporate culture FORD MOTOR AUTOMATED CAR CAPABILITY 5 The One Ford plan forms the corporate culture of the company that will be vital for successful implementation of the project plan. This organizational culture aims at unifying the global organization to gain synergy as well as consistency. The main characteristics of the company’s corporate culture include F: Foster Functional and Technical Excellence O: Own Working Together R: Role Model Ford Values D: Deliver Results The ability of the company to foster functional, as well as technical excellence that supports innovation, will be important in the successful implementation of the plan. Ford is aware of the importance of pushing its performance high to take over the automotive market. Thus, this organizational culture will result in successful implementation of the plan from the technological improvement and training imparted to the employees. Moreover, the company is constantly encouraging and supporting its employees to improve their technical knowledge and innovation to improve organizational development. With this corporate culture, it will be easy to successfully implement the plan in an environment where technology and technical ideas are fully supported (StanFord, 2014). Furthermore, working together is an organizational culture in Ford. This would allow for teamwork when implementing this plan. It will be important for all the employees to be involved during the implementation phase of the plan. The company emphasizes on teamwork so that individual employees can also have personal development when they are involved in coming up with new products in the company. This would be the same for the implementation of the autonomous car capable of identifying health status of the driver. Thus, with combines teamwork and individual knowledge and skills, the implementation of the plan would be successful (Motavalli, 2014). FORD MOTOR AUTOMATED CAR CAPABILITY 6 Ford Motor Company requires its employees to be role models for the business as well as its values. This allows for integrity along with positive behaviors among the workers. This would be vital during the implementation of the plan. Employees would like to produce a product that sets the standard for the company high. This is because the corporate culture of the company focuses on quality and sustainability of their products. This will enable successful implementation of the plan to deliver a quality product to sustain and maintain the vision and mission of the company (Parment, 2014). Finally, delivering results is a key corporate culture of Ford. The company is effective in ensuring customer satisfaction to achieve business goals. Moreover, responsibility and accountability are also highlighted this will be important for the plan to be successfully implemented. The company will want to produce good results to satisfy its customers, which will lead to successful implementation of the plan. Key roles, responsibilities, and qualifications The success of this plan will depend on the personnel involved during the implementation phase. The cross-functional business implementation team would be aimed at team building, communication as well as proper coordination of resources to achieve efficient use of time skills as well as effort. Each individual or group will bring their expertise to ensure a successful completion of the business project plan. The team will also have a mix of balance as well as a complementary skill that ensures sensitivity and knowledge of the customer environment (Gao, Hensley, & Zielke, 2014). Project manager The project manager will have ultrasound skills and should possess good management skills. He should also be conversant with robot operating system (ROS), which is a framework used in writing robot software. I will assume this position because I am the origin of business idea and thus it will be ideological to oversee its implementation. My responsibilities will be FORD MOTOR AUTOMATED CAR CAPABILITY 7 overseeing day to day activities to ensure the project implementation is in accordance with the time frame set. I will also be coordinating customer resources for the project. Additionally, I will be formulating actions of the project plan as outlined in the schedule. I will also be building a project team along with managing the personnel in the team. Finally, I will be tasked with assigning tasks to various members of the team (Fister Gale, 2016). Project sponsor representative Ford will be the sponsor of this project, and thus it will be necessary to have a representative on the team. The project sponsor will purchase wearable technology, biometric data kit, electrocardiography reader (ECG), cameras and sensors and Effective health and wellness program applications. The individual will be tasked with initiating as well as monitoring the project. Also, the project parameters will be established in this department. He or she will also be charged with controlling costs for the project. The individual will also be tasked with identifying and resolving any impediments concerning the project. He or she will also be committing resources such as the budget as identified during scheduling. Ultrasound specialist The individual should have expertise in ultrasound sensors and other type of sensors. He also need to have experience in robotics techniques such as SLAM and sensor fusion. He will be tasked to research on different ultrasound sensors that can monitor the health of the driver and other occupants in the vehicle. Additionally, he will be working on the interface between sensors and the central computer to ensure health data is properly transmitted. He will determine the configuration of sensors along with the field of view that is provided by the configured sensors. Additionally, he will be tasked at adding a heart monitor on to the driver’s seat. Vision team FORD MOTOR AUTOMATED CAR CAPABILITY 8 The vision team will help in determining the field of view as well as accuracy of the image processing for different camera angles. Together with the technical team, they will be charged in the installation of sensors and cameras in the car. The team will also be charged with image processing algorithm such as filters and feature detectors IT specialist Implementation of this plan will need IT specialists who know various programming languages such as C++, Java and python, which are highly employed in autonomous cars. The individual will be mandated to carry out technical responsibilities in the team. He will also, coordinate with the source of health information to incorporate it into the project. Much of the automation responsibilities will be carried out by the IT specialists. He or she will be the head of the IT department. Also, he will be charged with glucose monitoring and incorporating a cloud-based health management system. He will be in charge of cloud computation, a platform that will be used in storage of car data and controls (Parsi, 2015). Technical support The personnel in technical support will be charged with operational issues of the automation. The personnel will have expertise in all the areas of automation of cars as well as software and hardware of an automation system. The group will be charged in installation of sensors and cameras in the car. The technical support team will also be charged with testing the complete automated car. Contingency plans The technical team, vison team and ultrasound team will work hand in hand later during implementation to determine the adaptability of the autonomous car in the unknown terrain. Additionally, they will determine if there if any effect of weather conditions on the functioning of electrocardiography reader (ECG), cameras and sensors. A guidance system team will be formed in case the vision and the ultrasound team are unable to determine the FORD MOTOR AUTOMATED CAR CAPABILITY 9 input of the vision and ultrasound systems. Also, the team will determine the output of the guidance system to the mobility system. Towards the completion of the implementation phase, accuracy team will be formed to mediate between the vision and the ultrasound teams. This group will ensure the vision and ultrasound systems are working together. This will increase the accuracy of the car because seeing an obstacle with ultrasound, and then performing vision processing for location determination will be done simultaneously. This will be vital in dealing with car crashes that could lead to fatal accidents. The team will also ensure that electrocardiography reader (ECG), cameras and sensors are all working together to monitor the health of the driver. An emergency team will be put in place to cater for any emergency shortcomings during the implementation of the project plan. FORD MOTOR AUTOMATED CAR CAPABILITY 10 References Fister Gale, S. (2016). Disrupting traffic: for next-gen vehicles to hit the road, project managers must take the wheel. PM Network, 30(4), 30–39. Flamholtz, E., & Randle, Y. (2011). Corporate culture: The ultimate strategic asset. StanFord, Calif: StanFord Business Books. Gao, P., Hensley, R., & Zielke, A. (2014). A road map to the future for the auto industry. McKinsey Quarterly, Oct. Motavalli, J. (2014). Forward Drive: The Race to Build the Clean Car of the Future. Routledge. Parment, A. (2014). Auto brand: Building successful car brands for the future. Kogan Page Publishers. Parsi, N. (2015). No driver necessary: self-driving vehicle project sponsors aim to make road accidents anachronistic — after they convince consumers the technology is safe. PM Network, 29(8), 6–9. StanFord, N. (2014). Organisation culture: How corporate habits can make or break a company. FORD MOTOR AUTOMATED CAR CAPABILITY 11 Running head: FORD MOTOR AUTOMATED CAR CAPABILITY Ford Motor Automated Car Capability Natalia Cardona Southern New Hampshire University 1 FORD MOTOR AUTOMATED CAR CAPABILITY Financial analysis The goal of any company or business is to make a profit. It would be important to carry out a financial analysis to determine whether the project plan is viable and profitable. The idea of automated car capable of monitoring the health status of the driver would take about years to be implemented. Since Ford is in the process of producing autonomous cars capable of navigating without human effort, it will be important to include this feature in these types of cars. The implementation of health monitoring capabilities is in line with the company’s schedule of producing their autonomous car in 2020. The company, which is the project sponsor will deliver the necessary revenue required to implement this plan. It will also be tasked to pay for physical equipment and technical resources required from other companies (Flamholtz, & Randle, 2011). Budget The budget development is focused on the business project plan milestones and tasks that are essential for the completion and launch of the by the start of 2020. In the general milestone evaluation, the project team has determined that all the activities for incorporating health monitoring capabilities into driverless cars can be completed on time and within the budget created. The implementation process will have the budget for the four processes: • Adding a heart monitor on to the driver’s seat • Glucose monitoring and incorporating a cloud-based health management system • Installation of sensors and cameras • Project Review Process. The project sponsor will purchase wearable technology, biometric data kit, electrocardiography reader (ECG), cameras and sensors and Effective health and wellness program applications. The estimated cost for the project will be at less than $20,000. This cost is in line with the company’s investment budget for the autonomous car project. The 2 FORD MOTOR AUTOMATED CAR CAPABILITY biggest expenses will be incurred during the purchase of the physical and technological resources and testing phase. Additionally, advertisement and merchandise, as well as training of staff will be acquired to meet the company’s mission and vision (Gao, Hensley, & Zielke, 2014). Assets and liabilities The project is set up with little assets that belong to the company to have little expenditure of cash. This is important to reduce production cost for the project. This business project plan remains strong due to the level of income disposal of Ford in the world market. Ford has the market for its products, and they will go an extra mile to get a quality car that can monitor their health while driving. Strategically, any remaining liquid will put the business project plan. The total current liabilities from the year 2013 are $131,585,000, $131,839,000, $102,587,000, and $108,461,000 in the annual year ending in 2016. This trend shows a reduction in current assets since 2013. But the assets increased in 2016 as compared to 2015. The reduction in assets can be attributed to developments in new designs of cars and investments into the production of autonomous cars. On the other hand, the long-term assets have tremendously increased since 2013: $202,179,000, $208,615,000, $224,925,000, and $237,951,000 in 2016. This trend shows good signs for the implementation of the business plan because the company is still growing (Wall street journal, 2017). Liabilities of the company have increased since 2013: $176,067,000, $184,177,000, $196,283,000, and $208,781,000 in 2016 (Wall street journal, 2017). Company debt has contributed a lot of this liability. However, comparing assets and liabilities, the company is doing well and making a profit. The company is therefore capable of funding this project to increase its income and sales further. Anticipated sources of funding 3 FORD MOTOR AUTOMATED CAR CAPABILITY The source of funding for this business project plan will be Ford. The company has the financial muscle to see the implementation of the plan. Additionally, the company is already funding the production of the autonomous car which is scheduled to be launched by 2020. Therefore, it will be essential to incorporate the plan so that it can be accomplished by the time the autonomous car is being launched in 2020. From the current financial statement of the company, the company can channel part of the profit into the project to improve the design. This will be within its vision to satisfy its customers with new designs and developed cars. It is also aligned with the mission of ensuring continued product development to meet customer expectations and value for their money. With the help of the sponsor representative in the implementation team, the company can be advised on how production cost is produced during the implementation of the plan (StanFord, 2014). Associated costs of attaining that capital To attain the capital for funding the company can borrow extra funds from other companies. Companies can provide physical and technological services at their own expense to be paid later. This would increase the debt of the company and overall liabilities. However, these can be compensated in increasing the sales and the current assets of the company. The implementation team has determined the plan is viable and one that would increase the market for Ford vehicles and fame across the world. Thus, after launching the autonomous car with capabilities of monitoring the health of the driver, the company will be at the forefront of other automotive companies producing driverless cars. The safety guarantee of Ford’s autonomous car will give the company a competitive advantage in the market. Being competitive will ensure more sales for this car which would be essential for the company to plough back profits. Thus, Ford will be able to pay any debts incurred during implementation (Motavalli, 2014). Financial reports 4 FORD MOTOR AUTOMATED CAR CAPABILITY Sales forecasts Sales forecast will enable the company to estimate the future sales of the company, which will be essential to plan both short and long-term performance of its operations. Ford will base its forecast on the past sales data, economic trades as well as industry-wide comparison. The company has done well in the past four years obtaining a gross income of $23.54B, $25.42B, $22.83B, from 2014 to 2016 respectively. Thus, forecast sales of $29.23B, and $23.08B from 2021 and 2022 are anticipated. This translates to a net income of $5.67B, $7.16B, and $1.23B from 2014 to 2016. Additionally, the forecasted sales are $7.37B and $4.6B for 2021 and 2022 respectively. From this trade, Ford is in a good position to make a profit every year. It can be anticipated that the company will make annual sales of above 20 billion. With these forecasted sales, ford can budget for the project and predict the achievable sales after the launch of the idea. It will also help in allocating resources efficiently for this project idea along with others to achieve business goals. Therefore, it is possible for the company and the project team to plan for future growth. Cash flow statements The cash flow statement of Ford will provide the information about a company's cash receipts as well as cash payments. “The cash flow statement is made up of three parts: cash flows provided by (used in) operating activities, cash flows provided by (used in) investing activities, and cash flows provided by (used in) financing activities” (Dickie, 2006, p204). It can be estimated that the company will receive a net cash flow of 5.67 and 7.16 billion dollars in 2012 and 2022 respectively after the launch of the autonomous car capable of detecting the health of the driver. This gives the company and the project team the green light to go on with the implementation of the business project idea because it is bound to increase the net income cash flow of the company in future. Income projections 5 FORD MOTOR AUTOMATED CAR CAPABILITY The Ford company has a projected goal; “driven by our planned investments in emerging opportunities, and to improve in future” (Brigham, & Daves, 2013, p311). It has set its pretax profit at $10.04 billion for 2018, and thus it would project an estimate of $12 billion after two years of selling the autonomous car. Additionally, the company will maintain its forecast pretax profit for Ford credit at around $1.5 billion, which could be improved after 2020. Business development The launch of this business project idea would see a steady increase of 6% - 8% of Ford sales. This will strengthen the position of the company as the leading producer in the automotive industry. The labor forecasts of the company are projected to increase by four percent over the first two years after launching the new project. The increased cost of supplies and other products will lead to increased cost of the vehicle. 6 FORD MOTOR AUTOMATED CAR CAPABILITY References Flamholtz, E., & Randle, Y. (2011). Corporate culture: The ultimate strategic asset. StanFord, Calif: StanFord Business Books. Gao, P., Hensley, R., & Zielke, A. (2014). A road map to the future for the auto industry. McKinsey Quarterly, Oct. Motavalli, J. (2014). Forward Drive: The Race to Build the Clean Car of the Future. Routledge. Parment, A. (2014). Auto brand: Building successful car brands for the future. Kogan Page Publishers. StanFord, N. (2014). Organisation culture: How corporate habits can make or break a company. Wall street journal (2017). Ford Annual income statement. Retrieved from http://quotes.wsj.com/F/financials/annual/cash-flow Brigham, E. F., & Daves, P. R. (2013). Intermediate financial management. Dickie, R. B. (2006). Financial statement analysis and business valuation for the practical lawyer. Chicago, IL: ABA Section of Business Law, American Bar Association. 7 FORD MOTOR AUTOMATED CAR CAPABILITY 8 Appendix Annual Income Statement (values in 000's) Period Ending: Cash and Cash Equivalents Short-Term Investments Net Receivables Inventory Other Current Assets Total Current Assets Long-Term Investments Fixed Assets Goodwill Intangible Assets Other Assets Deferred Asset Charges Total Assets 12/31/2016 $15,905,000 12/31/2015 $14,272,000 12/31/2014 $10,757,000 12/31/2013 $14,468,000 $22,922,000 $57,368,000 $8,898,000 $3,368,000 $108,461,000 $53,228,000 $60,901,000 $0 $0 $5,656,000 $9,705,000 $237,951,000 $20,904,000 $56,179,000 $8,319,000 $2,913,000 $102,587,000 $48,778,000 $57,256,000 $0 $0 $4,795,000 $11,509,000 $224,925,000 $20,393,000 $92,819,000 $7,870,000 $0 $131,839,000 $3,357,000 $53,343,000 $0 $0 $6,052,000 $14,024,000 $208,615,000 $22,100,000 $87,309,000 $7,708,000 $0 $131,585,000 $3,679,000 $47,600,000 $0 $0 $5,847,000 $13,468,000 $202,179,000 Current liabilities Accounts Payable Short-Term Debt / Current Portion of Long-Term Debt Other Current Liabilities Total Current Liabilities Long-Term Debt Other Liabilities Deferred Liability Charges Misc. Stocks Minority Interest Total Liabilities $21,296,000 $49,669,000 $20,272,000 $42,975,000 $20,035,000 $0 $19,531,000 $0 $19,316,000 $19,089,000 $0 $0 $90,281,000 $82,336,000 l$20,035,000 $19,531,000 $93,301,000 $24,395,000 $691,000 $89,879,000 $23,457,000 $502,000 $119,171,000 $114,688,000 $44,032,000 $40,886,000 $570,000 $598,000 $96,000 $94,000 $342,000 $331,000 $17,000 $15,000 $27,000 $33,000 $208,781,000 $196,283,000 $184,177,000 $176,067,000 Annual Financials for Ford Motor Co. Fiscal year is January-December. All values USD millions. Sales/Revenue Cost of Goods Sold (COGS) incl. D&A 2013 2014 2015 2016 2021 2022 146.92B 144.08B 149.56B 151.8B 133.56B 146.92B 121.5B 121.25B 120.33B 128.73B 110.02B 121.5B FORD MOTOR AUTOMATED CAR CAPABILITY COGS excluding D&A Depreciation & Amortization Expense Depreciation Amortization of Intangibles Gross Income SG&A Expense Research & Development Other SG&A Other Operating Expense Unusual Expense EBIT after Unusual Expense Non Operating Income/Expense Non-Operating Interest Income Equity in Affiliates (Pretax) Interest Expense Gross Interest Expense Interest Capitalized Pretax Income Income Tax Income Tax - Current Domestic Income Tax - Current Foreign Income Tax - Deferred Domestic Income Tax - Deferred Foreign Income Tax Credits Equity in Affiliates Other After Tax Income (Expense) Consolidated Net Income Minority Interest Expense Net Income 9 114.99B 113.83B 112.36B 120.01B 104.53B 114.99B 6.52B 7.42B 7.97B 8.72B 5.5B 6.52B 6.5B 11M 25.42B 7.39B 38M 22.83B 7.99B (27M) 29.23B 9.02B (306M) 23.08B 2014 2015 2016 2021 2022 21.74B 6.7B 15.04B 305M 1.41B (1.41B) 21.7B 6.7B 15B 417M (969M) 8.08B 19.5B 7.3B 12.2B (1.16B) 4.74B 17.14B 5.5B 11.64B 77M (124M) 124M 18.54B 6.4B 12.14B 208M 1.38B 5.29B 1.11B 1.19B 1.24B 1.06B 1.26B 244M 309M 291M 342M 213M 1.6B 1.82B 1.78B 588M 1.07B 1.1B 1.12B 21M 1.23B 4M (24M) 1.14B 1.16B 20M 10.25B 2.88B 92M 1.26B 1.29B 27M 6.8B 2.19B (110M) 713M 717M 4M 7.72B 2.06B 7M 829M 847M 18M 7B (147M) (59M) 389M 572M 630M 270M 302M (521M) 1.75B 1.55B 1.91B (711M) 160M 472M 121M (126M) 321M - - - - - 1.23B (1M) 1.23B 7.37B (2M) 7.37B 4.61B 11M 4.6B 5.66B (1M) 5.67B 7.15B (7M) 7.16B 5.49B 10M 23.54B 6.5B 11M 25.42B 2015 7.37B 2014 3.19B Ford Cash flow Fiscal year is Jan - Dec. Ford Net Income Cash Flow 2022 7.16B 2021 5.67B 2016 4.61B FORD MOTOR AUTOMATED CAR CAPABILITY Ford Net Cash from (used by) Operating Activities Ford Net Cash from (used by) Investment Activities 10 19.44B 19.05B 19.79B 16.17B 14.51B 19.73B 14.29B 25.35B 26.16B 21.12B Running head: FORD MOTOR AUTOMATED CAR CAPABILITY Ford Motor Automated Car Capability Natalia Cardona Southern New Hampshire University 1 FORD MOTOR AUTOMATED CAR CAPABILITY Abstract This paper discusses how the automated cars with health monitoring technology and other assistive in-vehicle technology such as autonomous and unmanned ground driving technologies will impact the Ford Motor Company. This is ground breaking technology that once developed will enable Ford to develop some of the safest cars in the world. This paper presents the opportunities that lie in this, as well as the justification for the development of this technology. This is in an attempt to show how this technology can be beneficial to the company. Additionally, the market to be targeted by this technology is covered in the discussion. In any business, completion is an essential factor to be addressed, and the paper points how this technology is going to make the Ford, a more competitive company in the world of automotive. Vision and mission of the company are also reviewed in the paper to show how the technology fits into the company. Finally, the paper addresses reasons why this technology is an innovation such as improving the safety of the driver and reduction of road accidents. 2 FORD MOTOR AUTOMATED CAR CAPABILITY 3 Rationale Ford Motor Company is operating in a market characterized by stiff competitions globally. The Porter's five forces seem to work at the disadvantage of the company, giving the customers, competitors, and suppliers more strength in determining the overall activities of the company. This has adversely affected the provision of quality products to its customers despite the fact that Ford Motor has done all within its reach to remain a successful automobile manufacture globally (Kirkpatrick, Wofford & Baum, 2014). To ensure that the company remains at the top of its game, the company is always investing in new research and development projects to make sure it introduces innovations and products that will help the company reach new heights. Ford intends to introduce technology that can be able to monitor the health of the person behind the wheel. This will be through introducing some wearable devices in conjunction with some assistive technologies that will help track the health of driver and respond effectively in cases of distress. It can for instance be able to point out when the driver is sleepy or under a lot of stress (Safe car news, 2016). This technology will be incorporated with the already existing autonomous driving which exempts the driver the driving responsibilities in case he or she is not feeling well. Additionally, the unmanned ground technology will enable the vehicle to detect the ground for safe driving. Most accidents that occur on the road are as a result of human error. Human beings are very easily distracted especially when they are under immense pressure. This may cause them to not be able to focus on the road and the small mistakes can be the difference between life and death. With this technology however, the risk is greatly lowered because the technology will link vital health information with vehicle technologies such as the blind spot information system and the lane keeping assist. For instance if the wearable devices notices that the driver has not FORD MOTOR AUTOMATED CAR CAPABILITY 4 received enough sleep, it will link up with the cruise control and ensure that the driver keeps enough distance from the other vehicles to ensure that an accident does not occur (Safe car news, 2016). This invention will also provide a solution to the financial debt that led to the imminent collapse of the company by providing an alternative mechanism through which the company can improve stock prices and valuation in the stock market. The invention also offers a way through which the company can protect its position as well as ensure it increases its market share. This will result in increased revenue (Smith, 2014). As a result, this invention offers a means by which Ford can develop breakthrough technologies that will assert its dominance in the market. Problem or Opportunity This invention presents a great opportunity for Ford. This is because the technology is not widely used in common vehicles but rather in race cars. This will give the company some kind of monopoly before the other competitors in the market are able to catch up with them. The current statistics show that over a million people die globally every year as a result of road accident. An additional 20-50 million people are injured or disabled. This is a problem that will be addressed by this technology and it would save many lives. Ford may have the problem of safety guarantee in the market but with this technology, it will be a great selling point. If Ford were to have the safest car in the world, then this would give them a competitive edge over their competitors. People will want to do all they can so that they can be sure that they are safer on the road (Safe car news, 2016). Advertising for this car is another opportunity because it will be very easy and appealing to the customers since the car basically sells itself. It already has a great basis and this advertising campaign will be used all over the world. The company does not have to sit down FORD MOTOR AUTOMATED CAR CAPABILITY 5 and strategize so as to be able to develop marketing campaigns that will increase the sales of this car. The technology is ground breaking and would put Ford at the top of the hierarchy when it comes to the car market. The company must therefore take advantage of this opportunity and invest in the research and development of this technology. Another opportunity is that the development of this technology would do wonders for the company’s image. It would be clear that the company has invested in the welfare of its customers, as it is dedicated to ensure that their cars are as safest as they can be. This will make customers to perceive the company more positively and therefore be more willing to purchase the company’s products. This will eventually increase the company’s market share and bring in more revenues. Investing in this technology would thereby not go down the drain as the company will make more than it invested. Studies show that road accident is the 9th leading cause of death in the world and by addressing this issue they will most likely get a lot of publicity all over the world. It also happens that the most of the people who die every year are the youth aged 15-29. The youth have their whole lives ahead of them and deserve the opportunity to be able to live out their lives. This invention would therefore be doing a lot of good for the image of the company (Safe car news, 2016). Market Ford Motor Target Markets are differentiated to create more market segment where the company can sell its products. The company has come up with different marketing mix for each market segments to increase its sales and revenues. Thus, it has managed to satisfy different needs, expectations, and preferences since its products appeal to different categories of consumers (Long & Vickers-Koch, 2015). The market segmentation variables used by Ford Motor comprise of geographic, psychographic, demographic and behavioral market FORD MOTOR AUTOMATED CAR CAPABILITY 6 segmentation. It has different products for the UK market, Africa, Malaysia and Indonesia. It has also considered gender and income level of its customers when designing and developing its products. Safety, fuel consumption, loyalty, lifestyle, level of income and age have also been used in segmenting the market of Ford Motor products (Smith, 2014). The market segment profiles are divided into the composition of ownership, organizational structure, and segments which determine the sales of its products. The target market of Ford Motor is all ages, races, gender, all levels of income, social status and all customers located in all parts of the world. The new invention will also be another unifying factor as safety is a concern for people of all ages, sex, economic status and geographical location. Competition The key features that set the product or service apart from the competition in the car industry is that it is unique and ground breaking (Keller, 2014). This product also endears well with the United States market which forms the largest portion of its global market share. Besides, the product is also very necessary as it will solve a problem that is very persistent. Thousands of road accidents happen every day in the United States alone and with this technology, these numbers will be brought under control. The technology is also expected to be very popular, admirable and is expected to earn customer confidence and loyalty, giving Ford a competitive edge over its rivals in the market. This car will be modeled, designed and manufactured using the latest innovative and creative technology that is difficult to imitate. The expertise will be brought about by the research and development that the company has invested in and this will lead to a very competitive product in the market. The competitiveness of these cars will give them an edge over the cheap second hand cars that have flooded the market nowadays. The problem why these used cars are getting a lot of FORD MOTOR AUTOMATED CAR CAPABILITY 7 market apart from their low price is the fact that vehicle manufacturers are coming up with new inventions to outdo the vehicles already manufactured. If companies upgrade their cars, no one would want to buy a second hand junk just because it is cheap. Company This innovation will help Ford Motor maintain its position as the fifth most valuable automotive brand in the global automotive market or perhaps even rise in ranking. This is because, the innovation will lead to an increase Ford Motor sales across the globe and it is expected that the market share of the company will increase drastically. Besides, implementing this innovation will help Ford Motor be a global leader in automotive research and development (Ford Motor Company, 2017). This product is also aligned with the mission of ensuring continued product development to meet customer expectations and value for their money. The invention has also taken into consideration the key values of Ford Motor such as profit-driven, people-centered and product focused design and development. In this regard, the concept has been anchored on the principle of quality first and focusing on the consumers in the production process (Ford Motor Company, 2017). Moreover, the invention has put in the considerations of the best interests of the consumers of Ford and this has maintained the integrity of the brand’s image and reputation of the company, perhaps even improved it. The invention will also enhance the company's slogan of building automotive products for the road ahead and demonstrates the passionate commitment of the company to provide all people with the work mobility. Innovation This technology is innovative in the sense the health monitoring technology will improve the design of the Fords cars to give guaranteed safety to its customers. Combining Autonomous FORD MOTOR AUTOMATED CAR CAPABILITY car technology, and unmanned ground technology with the ability to determine the health condition of the driver will result in safest modern car that is still affordable to the clients. This will ensures that Ford Motor acquire competitive leverage and outdoes its competitors in the global automotive market (Bartkus, Glassman & McAfee, 2014). The idea is also innovative because it solves a real problem of increased road accidents (Bartkus, Glassman & McAfee, 2014). 8 FORD MOTOR AUTOMATED CAR CAPABILITY 9 References Bartkus, B., Glassman, M., & McAfee, B. (2014). Improving Production quality and financial Performance. European Management Journal, 24(1), 86-94. Ford Motor Company (2017). About Us. Available at https://corporate.ford.com/company.html. Accessed on 24/11/2017 Keller, K. (2014). 'Strategic Brand Management: Building, Measuring, and Managing Brand Equity', Journal of Consumer Marketing, 17, (3), p263-72. Kirkpatrick, S. A., Wofford, J. C., & Baum, J. R. (2014). Using Technology to Enhancing Productivity The Leadership Quarterly, 13(2), 139-150. Long, C., & Vickers-Koch, M. (2015). Market Segmentation. The Journal for Marking Research , 17(3), 74. Smith, W (2014). 'Product differentiation and market segmentation as alternative marketing strategies', Journal of Marketing, 21, p3-8. Rahmani, K., Emamisaleh, K., & Yadegari, R. (2015). Quality Function Deployment and New Product Development with a focus on Marketing Mix 4P model. Asian Journal of Research in Marketing, 4(2), 98-108. Ford combines driver health monitoring and ADAS. (2016, January 12). Retrieved November 30, 2017, from http://safecarnews.com/ford-combines-driver-health-monitoring-andadas_ja7126/ Running head: FORD MOTOR BUSINESS IMPLEMENTATION PLAN Ford Motor Automated Car Capability Natalia Cardona Southern New Hampshire University 1 FORD MOTOR BUSINESS IMPLEMENTATION PLAN 2 Abstract Ford has always been interested in increasing the relationship between car functionality and driver awareness. This is in an attempt to reduce road accidents and produce safer cars for travel. In line with this, the proposed implementation is of a car that links automated features within the Ford cars with technologies that will enable the assessment of the health of the driver to ensure that they are in good health when handling the car. The paper discusses implementation plan from inception to completion of the concept. Some of the elements discussed include physical and technological resources needed for the implementation of the concept. The paper discusses how these resources will improve the operations of the automated car. The schedule for implementing the plan is also analyzed as well as project review process and indicators of success. Finally, the paper addresses how entrepreneurship is factored into the plan as well as protection steps for the brand and other intellectual property. FORD MOTOR BUSINESS IMPLEMENTATION PLAN 3 Physical and technological resources Before this product is launched a lot of research is necessary to ensure that Ford covers all the basis. The company might be liable if it were to make a promise on something it may be unable to deliver on. This is because it may put people’s lives in danger. The company thereby needs to invest heavily in this project to ensure that the team involved can develop a foolproof product. For this project to be successful there is need to develop a kind of wearable technology which can be linked to the vehicle to allow for biometric data to stream continuously. This technology will then alert the relevant driver assist program which will intervene once the health of the driver is compromised. Another physical resource that is needed is the addition of an electrocardiography reader (ECG) which will be fixed onto the car seat to be able to monitor the heart rate of the driver. An electrocardiography reader will be sourced from a hospitals and electrodes will be attached at the end. Additionally, there is the need for infrared cameras and sensors to be able to track the vital signs of the driver (Coppola & Morisio, 2016). Ford will contract a company that deals with these type of cameras and sensors to provide them at a cheaper price. Applications are also necessary to enable the car to be able to carry out these functions. These applications will have to contain all the information relating to an effective health and wellness program that will cover patients of all ages and conditions. This is in synchronization with Ford’s plan to increase their connectivity, mobility, autonomy, and customer experience and data analytics. These applications need to be able to measure wakefulness, heart rate and blood sugar in conjunction with the in-vehicle technology. The car features can however not be fully autonomous. This is because there are some instances where a human behind the wheel may be required for instance, in cases of roadblocks or construction. As a result there is need for a FORD MOTOR BUSINESS IMPLEMENTATION PLAN 4 feature that allows for the switch back to human control. This will be done by expanding the services of Ford Sync which is already in use for infotainment purposes and enable the company to be able to develop monitoring capabilities. For instance, Ford sync can be able to give alerts when it comes to location-based allergies and pollen alerts. The system also needs to have a voice command system as it is not advisable to operate manually when a person is driving. Additionally, cloud-based health management systems should be incorporated. It will be important for the company to with partners that are well versed in medicine that can be able to provide their systems with the information necessary so as to enable the Ford sync features to be able to respond accordingly in cases of heart attacks, asthma attacks or even allergy attacks. Additionally, the company will contract other manufacturing companies of the physical and technological resources to ensure these products are readily available at a cheaper price. This will ensure that the production cost of the new automated cars is not extremely high. Additionally, the companies providing different physical and technological resources will provide their expertise in incorporating the resources into the designed cars. This will ensure the shortcomings of the Ford Company’s core competences in such areas are covered. Partnering with other companies producing the physical and technological resources required will be vital to lower the production cost. Keeping the production cost as low as possible will be a good strategy to produce cars that are relatively cheap and affordable. This strategy will enable the company to sell its automated cars at $100, 000-200, 000, which will be a coup for customers. Customers like to get value for their money and this is what the automated cars from Ford will give them. The company will therefore ensure that customers get the best price and value relations for purchasing a worthy car. FORD MOTOR BUSINESS IMPLEMENTATION PLAN 5 Implementation I. Adding a heart monitor on to the driver’s seat There is to be a heart monitor in the driver’s seat. This will be through adding an electrocardiography reader to the driver’s seat. An electrocardiography reader is often used in hospitals, however, in this case, electrodes are usually attached at the end. However in this case, a remote system will be used and the ECG can be able to assess the driver’s condition through their clothes. To be effective however, it is important for the driver not to wear very heavy clothes as this may end up blocking the signal. This ECG will thereby monitor the heart rates of these patients, and in cases of emergencies, the system can be able to use driver assist programs that will help the driver navigate safely so that he or she is not involved in an accident. It will also save on time as patients already suffering from a heart condition do not have to take time every morning to measure their condition, they can do this as they drive and this will be more convenient (Parment, 2014). This is expected to take a period of one year as there will be a lot of testing and retesting to make sure that the ECG works. The company needs to test it over clothing of different kind to ensure that it works properly and come up with the right kind of clothing which we can recommend to drivers. This will be done by the engineers as they understand the cars design better. II. Glucose monitoring and incorporating a cloud-based health management system The second stage of the implementation of this technology is the glucose monitor data which will be displayed on the car’s dashboard. This will involve wearing some kind of device perhaps a smart watch which will communicate with other apps linked to Ford sync and this will put this information on the car’s central display screen. People suffering from diabetes have a FORD MOTOR BUSINESS IMPLEMENTATION PLAN 6 very hard time as their glucose level fluctuate constantly depending on their eating habits. When the glucose levels are too low, the patients can even pass out even when they are on the road. With this system however they can be informed when their blood sugar levels are too low, and they can, as a result, take a snack to be able to get them back under control. Monitoring systems for people with diabetes are already in use, and there are wearables they use which can send data to their smartphones when their condition is critical. This system can also be used within the car. This does not only work for the driver it can also be used for any other passenger, for instance: a mother could be carrying a child from school, and they may not realize they have passed out from low glucose level, they may just think they are sleeping. However, with this system, the mother can be able to monitor the child’s glucose levels on the dashboard of the car. This is a relatively straightforward process and may take two weeks maximum. Most of the supporting technology is already in use, and there is only need to add a few extra things. The Ford Sync crew will be responsible for this task as this is their area of specialization (Cowgill & Zitzewitz, 2015). Another two weeks may, however, be needed to partner up with a company working in medicine which will link their data to Ford Sync and ensure that the system works effectively. III. Installation of sensors and cameras The final stage of implementation is the use of sensors and cameras that can assess individual’s vital signs. The cars to be produced are to be connected to the internet, and this information can then be sent to the doctor. Telemedicine is the future. Determining whether a person’s vital signs are in order, involves the use of infrared cameras and sensors connected to FORD MOTOR BUSINESS IMPLEMENTATION PLAN 7 the seats that will be connected to the seats and around the car. This feature can for instance measure a person’s respiration and heart rate (Gao, Hensley & Zielke, 2014). This will enable people to be able to keep their health in check more often, and one can do this more conveniently without having to visit the doctor more often. This is expected to take six to eight months as it is very complicated. The sensors and cameras have to be attached in strategic places, and there is need to make sure that they can correctly identify distress signals in a driver. This task will be done by the engineers in conjunction with the software development department because both elements are encompassed. Project Review Process To ensure that the project is successful it will be tested at every stage of implementation. In the first case, the implementation team will use a diverse test group: one suffering from a heart condition and a control group that is not. It will monitor how the system responds and whether the ECG can read a person’s heart condition and through their clothing. This will indicate whether the system is working properly. If it is not, the team will be able to note the challenges and go back to the drawing board. On the second stage it is expected that by designing a smartwatch, we can be able to track the blood sugar through the skin. This will be a rather easy test as we will only need to test someone who has diabetes after they have not eaten for a while. All the precautions will, however, be taken to ensure the person does not come into any danger. By doing this, the team will be able to tell whether, in instances of low blood sugar, the smartwatch can read this and relay this information to the dashboard screen. FORD MOTOR BUSINESS IMPLEMENTATION PLAN 8 Finally, for the final case, the team will use a simulation on a dummy to test whether the cameras and the sensor can detect the distress and report this to an online doctor who will assess the symptoms and determine the actions the patient should take. This will determine whether the project is successful or not. Entrepreneurship and protection of the brand For this project to succeed, the company will need to exercise entrepreneurship during its implementation. Some qualities of entrepreneurship such as delegation of tasks, time management, goals and success visualization, strong work ethic, creativity, confidence, and seeking of help when needed will be required for successful implementation of this project. To ensure that this project is protected, it will be highly confidential. Only those who need to know about it will be kept in the loop. This is an attempt to prevent corporate sabotage, imitation or reverse engineering. Competitors may want to copy this and be able to beat Ford into the market. This would put the company at a disadvantage (Motavalli, 2014). Also, in case the project is not successful, it may be important to keep this under wrap as a failure during tests may impact the perception the product receives in the market and this could affect sales negatively. The car could fail even before manufacturing begins. FORD MOTOR BUSINESS IMPLEMENTATION PLAN References Coppola, R., & Morisio, M. (2016). Connected car: technologies, issues, future trends. ACM Computing Surveys (CSUR), 49(3), 46. Cowgill, B., & Zitzewitz, E. (2015). Corporate prediction markets: Evidence from google, ford, and firm x. The Review of Economic Studies, 82(4), 1309-1341. Gao, P., Hensley, R., & Zielke, A. (2014). A road map to the future for the auto industry. McKinsey Quarterly, Oct. Motavalli, J. (2014). Forward Drive: The Race to Build the Clean Car of the Future. Routledge. Parment, A. (2014). Auto brand: Building successful car brands for the future. Kogan Page Publishers. 9 Running head: FORD MOTOR AUTOMATED CAR CAPABILITY Ford Motor Automated Car Capability Natalia Cardona Southern New Hampshire University 1 FORD MOTOR AUTOMATED CAR CAPABILITY 2 Abstract In an implementation of a project plan, it is important to consider the organization’s core competencies and how the plan will be affected or is going to affect them. This paper will address various core competencies of the ford motor company and how they will affect the implementation of the plan. Additionally, the impact of plan implementation on the core competencies will also be discussed. Ford has a one ford corporate culture, and the paper will show how this corporate culture is incorporated during the implementation of the project plan. Furthermore, the paper discusses various key roles, responsibilities, and qualifications of members of the implementation team. Finally, the paper addresses the contingency plan that can be used in case the composition of the implementation team needs to be changed. FORD MOTOR AUTOMATED CAR CAPABILITY 3 Organization’s core competencies Core competencies include the prominent skills, characteristics functions as well as assets that the company is in possession. These core companies of the Ford Company make it prominent in the automobile market. The core competencies of the Ford Company help them achieve competitive advantage over their rival competitors in automobile manufacturing industry such as general motors and Toyota. Due to strong brand recognition as a key core competency of the company, it stands in a good position for the implementation of this project. The company is one of the leaders in the automobile industry, which gives it an edge and compete against other companies. This is important during the implementation of its plans and especially this project. Additionally, the Ford Company has a strong One Ford plan that enabled it to successfully escape from the dismal performance that crippled it during the 2007-2008 financial crisis. With this plan as one of the core competencies of Ford, the implementation of this plan would be easy (Flamholtz, & Randle, 2011). Ford has the ability to build a relationship with other companies which help them have strategic alliances as well as joint ventures. During the implementation of this project, the company will require the input of companies in sourcing for the required material for the project to reduce the production cost. Partnering with other companies producing the physical and technological resources required will be vital to lower the production cost. Keeping the production cost as low as possible will be a good strategy to produce cars that are relatively cheap and affordable. These core competencies of the company will enable it to have partners that are well versed in medicine that can be able to provide their systems with the information necessary such as in the field of medicine. Additionally, the company will partner with other manufacturing companies of the physical and technological resources to ensure these products are readily available at a lower price. This will ensure that the production cost of the new automated cars is not extremely high. Moreover, the companies providing different FORD MOTOR AUTOMATED CAR CAPABILITY 4 physical and technological resources will provide their expertise in incorporating the resources of the designed cars. This will ensure the shortcomings of the Ford Company’s core competences in such areas are covered. Thus, the implementation phase of this project greatly relies on the core competencies of the company for its success (Flamholtz, & Randle, 2011). Another core competency of the Ford Company is its manufacturing and distribution network because its operations are extended in over 100 countries across the world. This core competency will the project to be implemented easily due to the company’s effectiveness in manufacturing and distribution of their products. Apart from manufacturing and distribution, the lavish company designs that add to its strength and core competencies. Therefore, incorporating the automated car capabilities that can detect the health of the car occupants will be a scoop for the company. The implementation of this project will also add to its widely accepted designs and make it improve its sales across the world. Finally, the implementation of this project will be aided by the company’s quality assurance and customer service that enable the company to be excellent during their marketing campaign. Many customers would like to buy a product that assures them of quality. Quality of the Ford cars comes with different definitions. First, the customers can get the value of their money once they buy the autonomous car from Ford. Additionally, customers are able to determine the quality of the car if it performs the intended purpose and works to the set requirements. The implementation of this project will be easy because customers know they will get a car that can protect their lives and reduce road accidents. Moreover, Ford cars are of high quality due to the presence of customer service across the world. Customers associate customer service with quality and this will essential for the implementation of the project (StanFord, 2014). Corporate culture FORD MOTOR AUTOMATED CAR CAPABILITY 5 The One Ford plan forms the corporate culture of the company that will be vital for successful implementation of the project plan. This organizational culture aims at unifying the global organization to gain synergy as well as consistency. The main characteristics of the company’s corporate culture include F: Foster Functional and Technical Excellence O: Own Working Together R: Role Model Ford Values D: Deliver Results The ability of the company to foster functional, as well as technical excellence that supports innovation, will be important in the successful implementation of the plan. Ford is aware of the importance of pushing its performance high to take over the automotive market. Thus, this organizational culture will result in successful implementation of the plan from the technological improvement and training imparted to the employees. Moreover, the company is constantly encouraging and supporting its employees to improve their technical knowledge and innovation to improve organizational development. With this corporate culture, it will be easy to successfully implement the plan in an environment where technology and technical ideas are fully supported (StanFord, 2014). Furthermore, working together is an organizational culture in Ford. This would allow for teamwork when implementing this plan. It will be important for all the employees to be involved during the implementation phase of the plan. The company emphasizes on teamwork so that individual employees can also have personal development when they are involved in coming up with new products in the company. This would be the same for the implementation of the autonomous car capable of identifying health status of the driver. Thus, with combines teamwork and individual knowledge and skills, the implementation of the plan would be successful (Motavalli, 2014). FORD MOTOR AUTOMATED CAR CAPABILITY 6 Ford Motor Company requires its employees to be role models for the business as well as its values. This allows for integrity along with positive behaviors among the workers. This would be vital during the implementation of the plan. Employees would like to produce a product that sets the standard for the company high. This is because the corporate culture of the company focuses on quality and sustainability of their products. This will enable successful implementation of the plan to deliver a quality product to sustain and maintain the vision and mission of the company (Parment, 2014). Finally, delivering results is a key corporate culture of Ford. The company is effective in ensuring customer satisfaction to achieve business goals. Moreover, responsibility and accountability are also highlighted this will be important for the plan to be successfully implemented. The company will want to produce good results to satisfy its customers, which will lead to successful implementation of the plan. Key roles, responsibilities, and qualifications The success of this plan will depend on the personnel involved during the implementation phase. The cross-functional business implementation team would be aimed at team building, communication as well as proper coordination of resources to achieve efficient use of time skills as well as effort. Each individual or group will bring their expertise to ensure a successful completion of the business project plan. The team will also have a mix of balance as well as a complementary skill that ensures sensitivity and knowledge of the customer environment (Gao, Hensley, & Zielke, 2014). Project manager The project manager will have ultrasound skills and should possess good management skills. He should also be conversant with robot operating system (ROS), which is a framework used in writing robot software. I will assume this position because I am the origin of business idea and thus it will be ideological to oversee its implementation. My responsibilities will be FORD MOTOR AUTOMATED CAR CAPABILITY 7 overseeing day to day activities to ensure the project implementation is in accordance with the time frame set. I will also be coordinating customer resources for the project. Additionally, I will be formulating actions of the project plan as outlined in the schedule. I will also be building a project team along with managing the personnel in the team. Finally, I will be tasked with assigning tasks to various members of the team (Fister Gale, 2016). Project sponsor representative Ford will be the sponsor of this project, and thus it will be necessary to have a representative on the team. The project sponsor will purchase wearable technology, biometric data kit, electrocardiography reader (ECG), cameras and sensors and Effective health and wellness program applications. The individual will be tasked with initiating as well as monitoring the project. Also, the project parameters will be established in this department. He or she will also be charged with controlling costs for the project. The individual will also be tasked with identifying and resolving any impediments concerning the project. He or she will also be committing resources such as the budget as identified during scheduling. Ultrasound specialist The individual should have expertise in ultrasound sensors and other type of sensors. He also need to have experience in robotics techniques such as SLAM and sensor fusion. He will be tasked to research on different ultrasound sensors that can monitor the health of the driver and other occupants in the vehicle. Additionally, he will be working on the interface between sensors and the central computer to ensure health data is properly transmitted. He will determine the configuration of sensors along with the field of view that is provided by the configured sensors. Additionally, he will be tasked at adding a heart monitor on to the driver’s seat. Vision team FORD MOTOR AUTOMATED CAR CAPABILITY 8 The vision team will help in determining the field of view as well as accuracy of the image processing for different camera angles. Together with the technical team, they will be charged in the installation of sensors and cameras in the car. The team will also be charged with image processing algorithm such as filters and feature detectors IT specialist Implementation of this plan will need IT specialists who know various programming languages such as C++, Java and python, which are highly employed in autonomous cars. The individual will be mandated to carry out technical responsibilities in the team. He will also, coordinate with the source of health information to incorporate it into the project. Much of the automation responsibilities will be carried out by the IT specialists. He or she will be the head of the IT department. Also, he will be charged with glucose monitoring and incorporating a cloud-based health management system. He will be in charge of cloud computation, a platform that will be used in storage of car data and controls (Parsi, 2015). Technical support The personnel in technical support will be charged with operational issues of the automation. The personnel will have expertise in all the areas of automation of cars as well as software and hardware of an automation system. The group will be charged in installation of sensors and cameras in the car. The technical support team will also be charged with testing the complete automated car. Contingency plans The technical team, vison team and ultrasound team will work hand in hand later during implementation to determine the adaptability of the autonomous car in the unknown terrain. Additionally, they will determine if there if any effect of weather conditions on the functioning of electrocardiography reader (ECG), cameras and sensors. A guidance system team will be formed in case the vision and the ultrasound team are unable to determine the FORD MOTOR AUTOMATED CAR CAPABILITY 9 input of the vision and ultrasound systems. Also, the team will determine the output of the guidance system to the mobility system. Towards the completion of the implementation phase, accuracy team will be formed to mediate between the vision and the ultrasound teams. This group will ensure the vision and ultrasound systems are working together. This will increase the accuracy of the car because seeing an obstacle with ultrasound, and then performing vision processing for location determination will be done simultaneously. This will be vital in dealing with car crashes that could lead to fatal accidents. The team will also ensure that electrocardiography reader (ECG), cameras and sensors are all working together to monitor the health of the driver. An emergency team will be put in place to cater for any emergency shortcomings during the implementation of the project plan. FORD MOTOR AUTOMATED CAR CAPABILITY 10 References Fister Gale, S. (2016). Disrupting traffic: for next-gen vehicles to hit the road, project managers must take the wheel. PM Network, 30(4), 30–39. Flamholtz, E., & Randle, Y. (2011). Corporate culture: The ultimate strategic asset. StanFord, Calif: StanFord Business Books. Gao, P., Hensley, R., & Zielke, A. (2014). A road map to the future for the auto industry. McKinsey Quarterly, Oct. Motavalli, J. (2014). Forward Drive: The Race to Build the Clean Car of the Future. Routledge. Parment, A. (2014). Auto brand: Building successful car brands for the future. Kogan Page Publishers. Parsi, N. (2015). No driver necessary: self-driving vehicle project sponsors aim to make road accidents anachronistic — after they convince consumers the technology is safe. PM Network, 29(8), 6–9. StanFord, N. (2014). Organisation culture: How corporate habits can make or break a company. FORD MOTOR AUTOMATED CAR CAPABILITY 11 Running head: FORD MOTOR AUTOMATED CAR CAPABILITY Ford Motor Automated Car Capability Natalia Cardona Southern New Hampshire University 1 FORD MOTOR AUTOMATED CAR CAPABILITY Financial analysis The goal of any company or business is to make a profit. It would be important to carry out a financial analysis to determine whether the project plan is viable and profitable. The idea of automated car capable of monitoring the health status of the driver would take about years to be implemented. Since Ford is in the process of producing autonomous cars capable of navigating without human effort, it will be important to include this feature in these types of cars. The implementation of health monitoring capabilities is in line with the company’s schedule of producing their autonomous car in 2020. The company, which is the project sponsor will deliver the necessary revenue required to implement this plan. It will also be tasked to pay for physical equipment and technical resources required from other companies (Flamholtz, & Randle, 2011). Budget The budget development is focused on the business project plan milestones and tasks that are essential for the completion and launch of the by the start of 2020. In the general milestone evaluation, the project team has determined that all the activities for incorporating health monitoring capabilities into driverless cars can be completed on time and within the budget created. The implementation process will have the budget for the four processes: • Adding a heart monitor on to the driver’s seat • Glucose monitoring and incorporating a cloud-based health management system • Installation of sensors and cameras • Project Review Process. The project sponsor will purchase wearable technology, biometric data kit, electrocardiography reader (ECG), cameras and sensors and Effective health and wellness program applications. The estimated cost for the project will be at less than $20,000. This cost is in line with the company’s investment budget for the autonomous car project. The 2 FORD MOTOR AUTOMATED CAR CAPABILITY biggest expenses will be incurred during the purchase of the physical and technological resources and testing phase. Additionally, advertisement and merchandise, as well as training of staff will be acquired to meet the company’s mission and vision (Gao, Hensley, & Zielke, 2014). Assets and liabilities The project is set up with little assets that belong to the company to have little expenditure of cash. This is important to reduce production cost for the project. This business project plan remains strong due to the level of income disposal of Ford in the world market. Ford has the market for its products, and they will go an extra mile to get a quality car that can monitor their health while driving. Strategically, any remaining liquid will put the business project plan. The total current liabilities from the year 2013 are $131,585,000, $131,839,000, $102,587,000, and $108,461,000 in the annual year ending in 2016. This trend shows a reduction in current assets since 2013. But the assets increased in 2016 as compared to 2015. The reduction in assets can be attributed to developments in new designs of cars and investments into the production of autonomous cars. On the other hand, the long-term assets have tremendously increased since 2013: $202,179,000, $208,615,000, $224,925,000, and $237,951,000 in 2016. This trend shows good signs for the implementation of the business plan because the company is still growing (Wall street journal, 2017). Liabilities of the company have increased since 2013: $176,067,000, $184,177,000, $196,283,000, and $208,781,000 in 2016 (Wall street journal, 2017). Company debt has contributed a lot of this liability. However, comparing assets and liabilities, the company is doing well and making a profit. The company is therefore capable of funding this project to increase its income and sales further. Anticipated sources of funding 3 FORD MOTOR AUTOMATED CAR CAPABILITY The source of funding for this business project plan will be Ford. The company has the financial muscle to see the implementation of the plan. Additionally, the company is already funding the production of the autonomous car which is scheduled to be launched by 2020. Therefore, it will be essential to incorporate the plan so that it can be accomplished by the time the autonomous car is being launched in 2020. From the current financial statement of the company, the company can channel part of the profit into the project to improve the design. This will be within its vision to satisfy its customers with new designs and developed cars. It is also aligned with the mission of ensuring continued product development to meet customer expectations and value for their money. With the help of the sponsor representative in the implementation team, the company can be advised on how production cost is produced during the implementation of the plan (StanFord, 2014). Associated costs of attaining that capital To attain the capital for funding the company can borrow extra funds from other companies. Companies can provide physical and technological services at their own expense to be paid later. This would increase the debt of the company and overall liabilities. However, these can be compensated in increasing the sales and the current assets of the company. The implementation team has determined the plan is viable and one that would increase the market for Ford vehicles and fame across the world. Thus, after launching the autonomous car with capabilities of monitoring the health of the driver, the company will be at the forefront of other automotive companies producing driverless cars. The safety guarantee of Ford’s autonomous car will give the company a competitive advantage in the market. Being competitive will ensure more sales for this car which would be essential for the company to plough back profits. Thus, Ford will be able to pay any debts incurred during implementation (Motavalli, 2014). Financial reports 4 FORD MOTOR AUTOMATED CAR CAPABILITY Sales forecasts Sales forecast will enable the company to estimate the future sales of the company, which will be essential to plan both short and long-term performance of its operations. Ford will base its forecast on the past sales data, economic trades as well as industry-wide comparison. The company has done well in the past four years obtaining a gross income of $23.54B, $25.42B, $22.83B, from 2014 to 2016 respectively. Thus, forecast sales of $29.23B, and $23.08B from 2021 and 2022 are anticipated. This translates to a net income of $5.67B, $7.16B, and $1.23B from 2014 to 2016. Additionally, the forecasted sales are $7.37B and $4.6B for 2021 and 2022 respectively. From this trade, Ford is in a good position to make a profit every year. It can be anticipated that the company will make annual sales of above 20 billion. With these forecasted sales, ford can budget for the project and predict the achievable sales after the launch of the idea. It will also help in allocating resources efficiently for this project idea along with others to achieve business goals. Therefore, it is possible for the company and the project team to plan for future growth. Cash flow statements The cash flow statement of Ford will provide the information about a company's cash receipts as well as cash payments. “The cash flow statement is made up of three parts: cash flows provided by (used in) operating activities, cash flows provided by (used in) investing activities, and cash flows provided by (used in) financing activities” (Dickie, 2006, p204). It can be estimated that the company will receive a net cash flow of 5.67 and 7.16 billion dollars in 2012 and 2022 respectively after the launch of the autonomous car capable of detecting the health of the driver. This gives the company and the project team the green light to go on with the implementation of the business project idea because it is bound to increase the net income cash flow of the company in future. Income projections 5 FORD MOTOR AUTOMATED CAR CAPABILITY The Ford company has a projected goal; “driven by our planned investments in emerging opportunities, and to improve in future” (Brigham, & Daves, 2013, p311). It has set its pretax profit at $10.04 billion for 2018, and thus it would project an estimate of $12 billion after two years of selling the autonomous car. Additionally, the company will maintain its forecast pretax profit for Ford credit at around $1.5 billion, which could be improved after 2020. Business development The launch of this business project idea would see a steady increase of 6% - 8% of Ford sales. This will strengthen the position of the company as the leading producer in the automotive industry. The labor forecasts of the company are projected to increase by four percent over the first two years after launching the new project. The increased cost of supplies and other products will lead to increased cost of the vehicle. 6 FORD MOTOR AUTOMATED CAR CAPABILITY References Flamholtz, E., & Randle, Y. (2011). Corporate culture: The ultimate strategic asset. StanFord, Calif: StanFord Business Books. Gao, P., Hensley, R., & Zielke, A. (2014). A road map to the future for the auto industry. McKinsey Quarterly, Oct. Motavalli, J. (2014). Forward Drive: The Race to Build the Clean Car of the Future. Routledge. Parment, A. (2014). Auto brand: Building successful car brands for the future. Kogan Page Publishers. StanFord, N. (2014). Organisation culture: How corporate habits can make or break a company. Wall street journal (2017). Ford Annual income statement. Retrieved from http://quotes.wsj.com/F/financials/annual/cash-flow Brigham, E. F., & Daves, P. R. (2013). Intermediate financial management. Dickie, R. B. (2006). Financial statement analysis and business valuation for the practical lawyer. Chicago, IL: ABA Section of Business Law, American Bar Association. 7 FORD MOTOR AUTOMATED CAR CAPABILITY 8 Appendix Annual Income Statement (values in 000's) Period Ending: Cash and Cash Equivalents Short-Term Investments Net Receivables Inventory Other Current Assets Total Current Assets Long-Term Investments Fixed Assets Goodwill Intangible Assets Other Assets Deferred Asset Charges Total Assets 12/31/2016 $15,905,000 12/31/2015 $14,272,000 12/31/2014 $10,757,000 12/31/2013 $14,468,000 $22,922,000 $57,368,000 $8,898,000 $3,368,000 $108,461,000 $53,228,000 $60,901,000 $0 $0 $5,656,000 $9,705,000 $237,951,000 $20,904,000 $56,179,000 $8,319,000 $2,913,000 $102,587,000 $48,778,000 $57,256,000 $0 $0 $4,795,000 $11,509,000 $224,925,000 $20,393,000 $92,819,000 $7,870,000 $0 $131,839,000 $3,357,000 $53,343,000 $0 $0 $6,052,000 $14,024,000 $208,615,000 $22,100,000 $87,309,000 $7,708,000 $0 $131,585,000 $3,679,000 $47,600,000 $0 $0 $5,847,000 $13,468,000 $202,179,000 Current liabilities Accounts Payable Short-Term Debt / Current Portion of Long-Term Debt Other Current Liabilities Total Current Liabilities Long-Term Debt Other Liabilities Deferred Liability Charges Misc. Stocks Minority Interest Total Liabilities $21,296,000 $49,669,000 $20,272,000 $42,975,000 $20,035,000 $0 $19,531,000 $0 $19,316,000 $19,089,000 $0 $0 $90,281,000 $82,336,000 l$20,035,000 $19,531,000 $93,301,000 $24,395,000 $691,000 $89,879,000 $23,457,000 $502,000 $119,171,000 $114,688,000 $44,032,000 $40,886,000 $570,000 $598,000 $96,000 $94,000 $342,000 $331,000 $17,000 $15,000 $27,000 $33,000 $208,781,000 $196,283,000 $184,177,000 $176,067,000 Annual Financials for Ford Motor Co. Fiscal year is January-December. All values USD millions. Sales/Revenue Cost of Goods Sold (COGS) incl. D&A 2013 2014 2015 2016 2021 2022 146.92B 144.08B 149.56B 151.8B 133.56B 146.92B 121.5B 121.25B 120.33B 128.73B 110.02B 121.5B FORD MOTOR AUTOMATED CAR CAPABILITY COGS excluding D&A Depreciation & Amortization Expense Depreciation Amortization of Intangibles Gross Income SG&A Expense Research & Development Other SG&A Other Operating Expense Unusual Expense EBIT after Unusual Expense Non Operating Income/Expense Non-Operating Interest Income Equity in Affiliates (Pretax) Interest Expense Gross Interest Expense Interest Capitalized Pretax Income Income Tax Income Tax - Current Domestic Income Tax - Current Foreign Income Tax - Deferred Domestic Income Tax - Deferred Foreign Income Tax Credits Equity in Affiliates Other After Tax Income (Expense) Consolidated Net Income Minority Interest Expense Net Income 9 114.99B 113.83B 112.36B 120.01B 104.53B 114.99B 6.52B 7.42B 7.97B 8.72B 5.5B 6.52B 6.5B 11M 25.42B 7.39B 38M 22.83B 7.99B (27M) 29.23B 9.02B (306M) 23.08B 2014 2015 2016 2021 2022 21.74B 6.7B 15.04B 305M 1.41B (1.41B) 21.7B 6.7B 15B 417M (969M) 8.08B 19.5B 7.3B 12.2B (1.16B) 4.74B 17.14B 5.5B 11.64B 77M (124M) 124M 18.54B 6.4B 12.14B 208M 1.38B 5.29B 1.11B 1.19B 1.24B 1.06B 1.26B 244M 309M 291M 342M 213M 1.6B 1.82B 1.78B 588M 1.07B 1.1B 1.12B 21M 1.23B 4M (24M) 1.14B 1.16B 20M 10.25B 2.88B 92M 1.26B 1.29B 27M 6.8B 2.19B (110M) 713M 717M 4M 7.72B 2.06B 7M 829M 847M 18M 7B (147M) (59M) 389M 572M 630M 270M 302M (521M) 1.75B 1.55B 1.91B (711M) 160M 472M 121M (126M) 321M - - - - - 1.23B (1M) 1.23B 7.37B (2M) 7.37B 4.61B 11M 4.6B 5.66B (1M) 5.67B 7.15B (7M) 7.16B 5.49B 10M 23.54B 6.5B 11M 25.42B 2015 7.37B 2014 3.19B Ford Cash flow Fiscal year is Jan - Dec. Ford Net Income Cash Flow 2022 7.16B 2021 5.67B 2016 4.61B FORD MOTOR AUTOMATED CAR CAPABILITY Ford Net Cash from (used by) Operating Activities Ford Net Cash from (used by) Investment Activities 10 19.44B 19.05B 19.79B 16.17B 14.51B 19.73B 14.29B 25.35B 26.16B 21.12B MBA 705 Milestone Five Guidelines and Rubric Overview: For the capstone assessment, you will create a business implementation plan and audiovisual presentation for the product, service, or idea you have been developing throughout your MBA coursework. In Milestone Five, you will submit the assumptions and contingency planning, in which you will clearly explain the assumptions you have made in creating your business implementation plan, any factors that may affect those assumptions or the success of the project, and how you have planned for those contingencies. At a minimum, you should discuss any cross-cultural, economic, and geopolitical factors that may impact the business environment and concept; how you will ensure that the project operates in a legally and ethically compliant environment, including relevant laws, regulations, or patents or permits that may need to be obtained; plans for incorporating stakeholder and customer diversity into planning and implementation of the concept; and the role corporate social responsibility will play in the implementation of you concept. Critical Elements:  Explain the assumptions you have made in creating your business implementation plan, including a discussion of any factors that may affect the assumptions or success of the project, and how you have planned for those contingencies.  Discuss any cross-cultural, economic, and geopolitical factors that may impact the business environment and concept.  Explain how you will ensure that the project operates in a legally and ethically compliant environment, including relevant laws, regulations, or patents or permits that may need to be obtained.  Outline plans for incorporating stakeholder and customer diversity into planning and implementation of the concept.  Discuss the role that corporate social responsibility will play in the implementation of your concept. Guidelines for Submission: Your draft must contain all of the elements listed above. It should be 5 to 8 pages in length (excluding the title page, references, and appendices) using 12-point Times New Roman font, with one-inch margins. You may include summary pictures, charts, graphs, or other explanatory diagrams as needed to successfully explain the concept and implementation, but should use appendices for detailed supporting documentation. Your paper should follow APA guidelines. You must include at least 5 scholarly sources. Cite your sources within the text of your paper and on the reference page. Critical Elements Main Elements Critical Thinking Assumptions Cross-Cultural, Economic, and Geopolitical Factors Proficient (100%) Includes most of the main elements Provides logical conclusions and defends with examples Explains the assumptions behind the plan and includes a discussion of any factors that may affect the assumptions or success of the project and contingency planning Discusses cross-cultural, economic, and geopolitical factors that may impact the business environment and concept Not Proficient (0%) Does not include any of the main elements Does not provide logical conclusions Does not explain the assumptions behind the plan and include discussion of any factors that may affect the assumptions or success of the project Does not discuss cross-cultural, economic, and geopolitical factors that may impact the business environment and concept Value 15 15 12 12 Legally and Ethically Compliant Environment Stakeholder and Customer Diversity Corporate Social Responsibility Articulation of Response Explains how the project will operate in a legally and ethically compliant environment, including relevant laws, regulations, or patents or permits that may need to be obtained Outlines plans for incorporating stakeholder and customer diversity into planning and implementation of the concept Discusses the role corporate social responsibility will play in the implementation of the concept Submission does not have critical errors related to citations, grammar, spelling, syntax, or organization that prevent understanding of ideas Does not explain how the project will operate in a legally and ethically compliant environment, including relevant laws, regulations, or patents or permits that may need to be obtained Does not outline plans for incorporating stakeholder and customer diversity into planning and implementation of the concept Does not discuss the role corporate social responsibility will play in the implementation of the concept Submission has critical errors related to citations, grammar, spelling, syntax, or organization that prevent understanding of ideas Total 12 12 12 10 100% 
Purchase answer to see full attachment