Ford

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Sean Murray IND 408 Automotive Management Professor Noto Ford Windstar’s Cracked Rear Axles

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Transcript of Ford

Page 1: Ford

Sean MurrayIND 408

Automotive ManagementProfessor Noto

Ford Windstar’s Cracked Rear Axles

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History of FordFord was founded in 1903 by Henry FordThe Model THigh demand for vehicles1922: Lincoln1939:MercuryOne of the largest automotive manufacturesNew Technology

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Ford WindstarModel Years: 1995-20032002 JD Power most dependable

Mini-van1st Generation (1995-1998)

Anti Lock brakesDual AirbagsSeven passenger seating3.8L V6 or 3.0L V6

2nd Generation (1999-2003)3.8L and 3.0L carried overFeatured dual sliding rear doorsLimited Model including a VCR

entertainment center for rear passengers

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What is a Recall?A recall takes place when a manufacturer notifies all

owners of a specific vehicle of a condition or defect that could affect safety or safe operation of the vehicle. Work dictated by a recall is completed at no charge to the vehicle owner.

According to the National Highway Traffic Safety Administration “a safety recall involving a motor vehicle or an item of motor vehicle equipment can be independently conducted by a manufacturer or ordered by the NHTSA. In either case, the manufacturer must file a public report describing the safety-related defect or noncompliance with a Federal motor vehicle safety standard.”

The manufacture must send a letter in regards to the recall

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Ford Windstar RecallFord is recalling 1998-2003 Windstar

vehicles20 States affected!Heavy corrosion

SnowRoad salt

Corrosion has weakened the rear axle Stress causes axle to crack Fractures completely in half

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Recall ContinuedThe fractured axle can affect vehicle

handling and increase the risk of a crashRecall has affected 575,000 vehicles in the

U.S. and Canada.After two auto accidents and over 230

complaints to the NHTSA about the issue, Ford issued its report on August 26, 2010 and the recall began on October 20, 2010

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Windstar Fractured Rear Axle (Broken in half)

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What has Ford Done?Inspection of rear axleSupport bracketsIf rear axle is completely broken, the axle is

too be replacedLimited supply of axles

Solid rear axles are expected to last the life of the vehicle

If vehicle does not pass an inspection and is not fixed by Ford within 24 hours, then Ford will supply customers with a rental vehicle

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Ford’s Reinforcement Brackets

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Windstar Front Subframe Defect Ford has issued yet another

recall affecting Ford Windstars 1999-2003

Rear subframe mounts to body have signs of heavy corrosion.

A separation of both front subframe rear body mounts may result in separation of the steering intermediate shaft

This could result in reduced steering control increasing the risk of a crash

Safety recall began February 21, 2011

Ford will make necessary repairs free of charge

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Negative EffectsFord is paying out of pocket for rentalsBad customer attitudesCustomers left without proper vehicle

Minivans are replaced by smaller vehicles for rentals

Effect futures sales

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Buy Back ProgramFord is buying back WindstarsRepairs are not being completed because

there are so many vehicles and not enough supply to fix

Ford is offering trade in values to customers

They are offering $2000-$2500 incentive towards a new Ford vehicles

Up to $500 for a used vehicle in inventory

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Ford Tech Interview What kind of repairs are you seeing done?

Rear axle brackets are hardly being used because so many axle are not repairable. Axles are unavailable with such a high demand since they are not an item that is considered “wear and tear.”

How many Windstars are at your dealership? At least 40 or more

What are customers doing who are now left stranded without a minivan? Ford is offering to pay for a loaner car but they can not fix these van so

they have to just keep paying for rentals. Many customer are also not receiving vehicles that are comparable to a minivan and more the size of a focus

How could this have been prevented? Its something that untouched when the car was designed. Vehicles pass

tests when it comes to certain conditions like weather but only on a short term basis. No one could predict the outcome of this type of damage

Ford is now offering buy backs? Yes, they are giving customers somewhere around trade in value and

money towards and new vehicle which is not to bad of a deal since most of the vans that come in are nearly 10 years old, with over 100k miles. It would probably be a new time for a lot of customers but some people just can not afford a new vehicle in the economy so it’s a tough place for customers and Ford.

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In Conclusion Ford and the automotive industry Negative setback are bound to happen. Sometimes things are unexpected and failures are unpredicted What the manufacture does to solve the issues Ford did right! I stand behind Ford