Ford is to reorganise its operations – and split off its EV venture to create a new division separate to its internal combustion engine (ICE) business.

The company said that the business units – called Ford Blue for the ICE division, and Ford Model e for the EV division – together with its Ford Pro commercial unit, will drive its growth plan (called Ford+) and will position Ford to ‘outperform both legacy automakers and new EV competitors’.

“Ford Model e will be Ford’s centre of innovation and growth, a team of the world’s best software, electrical and automotive talent turned loose to create truly incredible electric vehicles and digital experiences for new generations of Ford customers,” said Jim Farley, Ford President and CEO in a statement.

“Ford Blue’s mission is to deliver a more profitable and vibrant ICE business, strengthen our successful and iconic vehicle families and earn greater loyalty by delivering incredible service and experiences. It’s about harnessing a century of hardware mastery to help build the future. This team will be hellbent on delivering leading quality, attacking waste in every corner of the business, maximising cash flow and optimising our industrial footprint.”

Ford Model e and Ford Blue will be run as distinct businesses, but also support each other and Ford Pro – another unit designed to deliver a one-stop shop for commercial and government customers with a range of conventional and electric vehicles and a full suite of software, charging, financing, services and support on Ford and non-Ford products.

The goal of Ford Model e is to accelerate innovation and delivery of breakthrough electric vehicles at scale and develop software and connected vehicle technologies and services for all of Ford.

“We have made tremendous progress in a short period of time. We have launched a series of hit products globally and demand for our new EVs like F-150 Lightning and Mustang Mach-E is off the charts,” said Farley. “But our ambition with Ford+ is to become a truly great, world-changing company again, and that requires focus. We are going all in, creating separate but complementary businesses that give us start-up speed and unbridled innovation in Ford Model e together with Ford Blue’s industrial know-how, volume and iconic brands like Bronco, that start-ups can only dream about.”

The company said it expects to produce more than 2 million electric vehicles annually by 2026, representing about one-third of Ford’s global volume, rising to half by 2030. It also reiterated its commitment to achieve carbon neutrality by 2050, and to use 100 per cent local, renewable electricity in all of its manufacturing operations by 2035.

VIDOE: ACCELERATING TRANSFORMATION | FORD+

Source: Motor Trader e-Magazine (March 2022) 

20 March 2022