Should FORD make their own parts??
05-13-2018, 09:50 AM
#61
Sorry, sunshine, I currently manage in a Union environment, am a former Union official, and deal with the CBA constantly. Cost of labor is the main driver in most companies simply because employees are expensive, and pay is only one piece of the compensation package. I have far fewer headaches with the CBA than I do with federal law.
Ford won't compete in the parts market because it makes no business sense from a standpoint of machinery utilization, and makes more sense for them to design using spec parts inside their unique castings. I used Timken as an example earlier for good reason: The same bearings used in a Ram 1500 front end were used in the F-150, the difference in the parts was the housing casting. Makes more economic sense for Timken to make one bearing meeting the spec for several manufacturers than it does for Ford to make theirs, requiring the machinery, real estate and overhead for a bearing factory, and Chevy to do the same, and FCA to do the same, ad nauseum. Maximizing cycles and ROI on machinery provides far more of an economic reason for not manufacturing bespoke parts than labor costs ever will.
Ford won't compete in the parts market because it makes no business sense from a standpoint of machinery utilization, and makes more sense for them to design using spec parts inside their unique castings. I used Timken as an example earlier for good reason: The same bearings used in a Ram 1500 front end were used in the F-150, the difference in the parts was the housing casting. Makes more economic sense for Timken to make one bearing meeting the spec for several manufacturers than it does for Ford to make theirs, requiring the machinery, real estate and overhead for a bearing factory, and Chevy to do the same, and FCA to do the same, ad nauseum. Maximizing cycles and ROI on machinery provides far more of an economic reason for not manufacturing bespoke parts than labor costs ever will.
05-13-2018, 12:12 PM
#63
Senior Member
iTrader: (3)
It was stupid of the company to send us that book. They could have handed them out at the plants and saved a bunch of money.
05-13-2018, 01:13 PM
#64
Senior Member
Thread Starter
iTrader: (1)
My original post was NOT to incite a UNION -vs- Non-Union dispute.
I was just curious as to whether it would be a "good thing" for FORD to have control over their own parts.
Until they go back to work, from what I've read there are 7,600 folks without a job. Working people are what I am concerned about.
Do I know about UNIONS ....... ??? I know about 40+ years as a UNION carpenter. I know personally that if you didn't make the grade in the field, you were laid off.
I served as a union official, and president of my local.
IMO, a UNION may "get you a job", BUT it's up to you to keep it through your own good work ethics, talent, and abilities. I have been laid off for lack of ability, talent, or whatever you want to call it.
I was trained in safety, proper methods to build a quality product, that would last and something to be proud of.
I am proud of being able to have raised 3 kids, own a home, provide insurance for my family, drive a UNION BUILT VEHICLE, and enable my kids to be able to attend college. In short, I earned my way through it all. I can assure you that nothing was "given to me", or any special privilages were provided.
I was just curious as to whether it would be a "good thing" for FORD to have control over their own parts.
Until they go back to work, from what I've read there are 7,600 folks without a job. Working people are what I am concerned about.
Do I know about UNIONS ....... ??? I know about 40+ years as a UNION carpenter. I know personally that if you didn't make the grade in the field, you were laid off.
I served as a union official, and president of my local.
IMO, a UNION may "get you a job", BUT it's up to you to keep it through your own good work ethics, talent, and abilities. I have been laid off for lack of ability, talent, or whatever you want to call it.
I was trained in safety, proper methods to build a quality product, that would last and something to be proud of.
I am proud of being able to have raised 3 kids, own a home, provide insurance for my family, drive a UNION BUILT VEHICLE, and enable my kids to be able to attend college. In short, I earned my way through it all. I can assure you that nothing was "given to me", or any special privilages were provided.
Last edited by Sherlock; 05-13-2018 at 01:16 PM.
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05-13-2018, 03:10 PM
#65
That is not correct Sir. There are a few Ford part suppliers that are owned by stock holders. Those are not considered a privately owned company. For example; I worked for an automobile parts supplier (Microcraft) for all three major American manufacturers. They made (at the time) all of the electrically controlled side view mirror control switches. Microcraft was owned by the Brown family that I work directly for. That's not always the case. Some companies are part of a larger conglomeration of companies that are publicly owned.
05-13-2018, 03:16 PM
#66
Senior Member
That is not correct Sir. There are a few Ford part suppliers that are owned by stock holders. Those are not considered a privately owned company. For example; I worked for an automobile parts supplier (Microcraft) for all three major American manufacturers. They made (at the time) all of the electrically controlled side view mirror control switches. Microcraft was owned by the Brown family that I work directly for. That's not always the case. Some companies are part of a larger conglomeration of companies that are publicly owned.
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toddstang (05-13-2018)
05-13-2018, 10:58 PM
#69
Senior Member
iTrader: (3)
All rumors aside, i don't expect it to last past the 21st. Ford can't afford it.
05-14-2018, 08:44 AM
#70
Ford cannot compete for many reasons, you’re right. But a main one is cost of labor. Labor costs are usually the largest expense any company has.
I am against unions, and clearly you’ve never managed in a union environment or been the decision maker in a CBA negotiation.
We can agree to disagree!
Part Cost Breakdown