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Priorities of Ford Motor Company - Essay Example

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This essay declares that organizations select the most appropriate course of action from a number of listed alternatives depending on different decision-making criteria. Priorities would set the tone of the recommendations depending on short-term and long-term plans of the company. …
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Priorities of Ford Motor Company
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"Priorities of Ford Motor Company"

Download file to see previous pages From among the enumerated criteria, Ford Motor Company should use measures of value, priorities, and importance of elements to decide which of the four listed options is best. The measures of value should use a cost-benefit analysis of all the options and select the option that would maximize profits. Means of judging would determine the capacities of the decision-makers (board of directors or the president) in arriving at the chosen alternative or courses of action. Priorities would set the tone of the recommendations depending on short-term and long-term plans of the company. Finally, the importance of elements would incorporate internal resources (personnel, union, and policies, among others) and external factors (competitors, markets). If market conditions can and do change, Ford Motor Company should build-in flexibility to back-up its decision-making process by considering the following approaches: design back-up plans for courses of action that are opted to be second-best alternatives. For example, if the goal of the company for the short-term is to cut-down on losses, the alternative courses of action would focus on cutting down on costs and in streamlining operations. However, if demand for cars suddenly increases due to an economic boom, then a backup plan should consider giving personnel incentives (overtime pay) for requiring them to work excess hours to meet increases in demand. Focus on research and scanning the environment to anticipate changes and incorporate deviations from actual plans at specified time frames. For example, if the long-term plan is to close down the plants that produce trucks and SUVs within two years, but an increase in demand is seen due to growths of emerging markets in Asia (particularly China) within two years, then, the long-term plan of closing the identified plants could be delayed, as needed.  ...Download file to see next pagesRead More
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