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IntegratedSupplyChainManagementSolutionsforFordChinaOperationsAndGlobalSourcingDevelopmentJackyX.WangSeniorManagerMaterialPlanning&LogisticsFordMotorChinaOperationsJuly,2003福特汽车中国制造业及全球采购物流供给链的整合0AgendaIntroductionFordMotorCompanyOverview福特汽车公司概况FordMaterialPlanning&Logistics(MP&L)福特汽车物流简介FordChinaOperationsSupport-福特汽车中国各企业的物流支持FordGlobalSourcingStrategyandLaunchSupport
-福特汽车在华全球采购战略的实施及相关物流支持OptimalChinaLogisticsSolution-中国总体物流的整合方案1Fordfacts100yearshistory–establishedin1903.1stcarfornormalpeople–ModelTproducedin1908withsalesrecordof15millionunits1stassemblylineintheworldin1913#4ontheFortune500#4ontheGlobal50012%globalmarketshare2ndlargestmanufacturerinworldOver375,000employeesworldwide110assemblyandmanufacturingsitesworldwidein40countriesProduced7.7Mncarsin2001ABriefIntroductionToFordFord MazdaVolvo MercuryLincoln LandRover JaguarAstonMartin 5,627,000841,000411,000364,000186,000164,000128,0001,0002001Production(numberofunits)2FordMotorInChina
1913-FordModelTcarexportedtoChina.1928-AFordSales/ServicebranchwassetinSH1980-Launchedvisitingengineeringprogram1992-FordsetuprepofficeinChina1994-Fordstartedtosetup6componentsJVs1995-FordMotor(China)Ltd(Holdingcompany)established.Fordacquired20%equityfromJianglingMotor1996-FordMotorCreditRepOfficeestablishedinBeijing1997-The1stFordTransitvehicleproducedinJianglingMotor1998-Fordincreasedto30%equityofJinglingMotor2000-FordChinalaunchedconservationandenvironmentalprogram.2001-FordMotor(Tianjin)InternationalTradeCo.setupinFTZ.2001-Ford1stpassengercarJV–ChanganFordwassetupinChongqing2002-FordGlobalSourcingCenterwasestablishedinShanghai2003-ChanganFordfirst2productsFiestaandMondeorolledofftheline.3OurLogisticsTarget
RighttimeRightpartsRightvolumeRightplaceLowestcostEverytime
4FordMP&LImpactsAllKeySuccessFactorsForAutomotiveIndustryMP&LProductsCustomersatisfactionQualityCost5FordPlantOperationOrganizationPresidentM&SS
MFGMP&LPurchPDFinanceHRPA/GAIT(PL)Remark:1.Businessprocess---functionalR/R2.Communications---criticaltosuccess3.MP&Lplaysakeyrolethroughwholeoperationprocess6PlantMP&LInternalOrganizationChartMP&LDirector/ManagerProductionSchedulingMgrPre-ProductionPlanningMgrSupplychainManagementMgrMaterialHandlingMgrCustoms&LogisticsMgrAdm.AsstSystemssupport-VBOMmaintain-E.C.C.
-ProductionPlan-Partsorders-Inventorytracking-Emergencyorder-Orderrelease-Ordertrack-Suppliersmagnt-Emergencyorder-Supplierperfor-mancereview-Packaging/rack-Materialreceiving-Feedtheline-Inventorymagnt-InprocessMaterial-Non-productionmaterialmagnt-I/E,Customs-logisticsmagnt-Logisticsanalysis-BUdeliveryPDM&S/MFGSTA/PurchasingSuppliers/logisticsLLPvendorsSuppliers/MFG/QLtSuppliers/dealersCustoms,LLP,Logisticsvendors7MP&LMajorRoleforFordChinaCAFJianglingMotorsCo.(Ford30%)FordCreditChinaRepresentativesOfficeFordMotor(China)Ltd(HoldingCompany)
FordMotorInternationalTradingCo.,Ltd(FTZ)(100%)TaiwanFordLioHo(70/30JV)Changan-Ford
(50/50%JV)FordoperationsChinaSourcingOfficeBeijingTianjinShanghaiNanchangChongqing-Suppliersassessment,traininganddevelopment.-LLPmonitoring&management-Overallprocesscoordination-BUimporthandling-Customs/logisticsPlantMP&LsetupDailyproduction&inboundoutboundoperationsupport-BU&parts,officestuffsI/E,customs,logistics-Annualautoshow&otherM&Sevents-MP&Lstrategyandcostanalysisfornewproject-MaintaingoodrelationshipswithGovernmentofficialslikeMOFTEC,CUSTOMS,..-Countrycoordinationwithglobalresource
LogisticsintegrationforwholeChinaOperations
8TradingCo.MP&LIn-plantWorkProcess
(Chinaexample)LocalpartssupplyQualityMarketing&SalesMP&LMP&LMP&LMP&LMFGVehicle
DealerForecastPlanningOrderingReceivingLinefeedingProductiontodelivery
CustomerCustomsFinanceSystems/ITMRPEDI/DDLCMMSVISForeignsuppliers
PDIdentifypartsVBOME.C.C.LocalizationForeignpartssupply
LocalsuppliersCustomerdemandInbound/OutboundChallengesPurchasing(STA/Commercial)*Identifysuppliers*Confirmprice&commercialterms*Suppliercostreduction9Marketing&salesMP&LplaysakeyroleforplantoperationandlogisticsmanagementDealers1PurchasingProductDevelopmentManufacturingFinanceQuality
ITDealer2Dealer3FordtradingcompanyForeignsupplier1Foreignsupplier2Foreignsupplier3Localsupplier1Localsupplier3Localsupplier2MP&LShortdeliverytimeLowshippingcostShortleadtimeLowshippingcostRDCSupplierParksJITorfrequentdelivery10WhatisFordLookingforinChina?WorldClassQualityCostAdvantage,DeliveredtoAssemblyAllPartsStrongExportTrackRecordCommitmenttoCorporateResponsibility11BenefitsforSuppliersinChinaIncreasedexportsImprovedscaleExposuretomultiplepotentialcustomersinFord’sglobalautomotivebusinessesImprovedsupplychaincapabilitiesAccesstolongertermtechnologicaladvancementsPotentialtoparticipateinfuturelocalizationopportunitieswithFordChinaImprovedglobalcompetitiveness12BuyingProduction Material Non-Production MaterialSupplierTechnicalAssistance(STA)MP&LProductDevelopmentManufacturingFORDGLOBALPURCHASINGORGANIZATIONDraftCSO**EstablishChinaSourcingTeamGlobalSourcingDevelopmentTeamTonyBrown,GlobalPurchasingViceCorporatePresidentMeiweiChengFordChina,Chairman&CEOCorporateVicePresident**Identifyanddevelophighlycapablesuppliers13MP&LFunctionIsLinkedIn
ThroughoutTheSourcingProcessCommodityfocusSupplierfocusRFQDevelopsupplierMovePrioritizecommoditiestosourcefromChinaIdentifyandvalidatepotentialsuppliersforprioritycommoditiesAssesscompetitivenessofsuppliersEstablishsuppliertoconductbusinesswithFordStartshipmentofcommoditiesOngoingsupportProvideinputsonwhatisfeasibletoshipfromChinaAssesslogisticscapabilitiesofsuppliersIdentifylogisticsresourcesrequiredDeterminelogisticsspecificationsBenchmarklogisticscostsinRFQ’sIdentifyconcernsEstablishsuppliersinlogisticsnetworkSupportprototypeandtestproductionLiaisewith3PLsOngoinginterfacewithsuppliersand3PL’sRoleoflogisticsfunctionDevelopingexportlogisticssolutionforChinaSourcingprocess14MajorChinaExportCommercialTermsEx-worksFCAC&FportCIFport
DDUDDPSuppliersSuppliersPortPortDe-ConsolidationCustomerseCustomersCustomersLandedFOBLogisticsroles,responsibilitiesandriskanalysisTimeCostCenter15Example:LogisticsCostManagementInExportSupplyChainMulti-stepprocess......NeedscarefulanalysisCarefullybenchmarkcosts3PL/LLPCommoditysupplierFordinternalestimatesAccurateestimatesofleadtimesAssessdeliveryriskSupplierConsolidationPortPortCustomsNAorEUHubWarehousePickUpAir/OceanCarriersDeliverySupplierpackagingOverlandtransportationConsolidationOverlandtoportTradingcompanycostsSupplychainmanage
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