Ford—The Value of Values
Of the three Detroit automakers, Ford is the only one going forward (and quite successfully) without government assistance. There are many reasons for their success. The products, the people, and their brand vison, mission and values. In a recent FORTUNE article, Fixing Up Ford, we get a behind the scenes look at how the new CEO, Alan Mulally has transformed Ford over the last 3 years.
It is clear that Mulally knows the value of brands and the value of values. On his first day, when reviewing the future product lineup, he noticed that the Taurus was missing. He asked why. The reply was that they had “made a couple that looked like a football…and they didn’t sell well, so we stopped it (using the brand) .” Mulally’s comment was “How many billions of dolalrs does it cost to build brand loyalty around a name?” The marching orders following the meeting was for the product team to “make the coolest vehicle that you can possibly make (and name it the Taurus).” His point was that poor product can easily damage or even destroy a brand and instead of abandoning the name, go and fix the real problem. And yet, the old Ford was willing to give up on the investment it had made in the Taurus brand for over 20 years and begin the process again of building brand loyalty around a new name. What waste.
Now two years later the payoff arrives with the new Taurus which has been met with postive reviews in the automotive press. Finally, the right product to deliver on the promise of the Taurus brand. The learning here is is that product and brand are inextricably linked. Both need to be in harmony with product leading the conversation. As I’ve been know to share with others, my observation is that until you get the product right, you have no brand.
Mulally also knows that for a company and brand (in this case the Ford brand) to succeed, requires focus and dedication to one vision, one mission and one set of values. He calls it ONE Ford, with the mission statement and four goals (expected behaviors) printed on two sides of a plastic card (business-card size). Every employee has one. As Mulally says, “…I wrote it, It’s what I believe in. You can’t make this shit up.” Right-on!
And finally, what has made me a fan of Mulally is his openness and complete transparency. And he uses a sentence, I’ve come to embrace. At at early meeting with employees upon joining Ford in 2006, the question on everyone’s mind was “Will Ford make it?” His reply was “I don’t know.” “But we have a plan…”
