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Lean Product Development at Ford

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					            Lean Product Development and Engineering at Ford

The lean transformation of Ford‟s product development and engineering operations, a
critical driver of the iconic car company‟s turnaround in profitability, quality, and market
share, had to navigate some potholes in the early going.

“The first reaction of most of the engineers I worked with was not a positive one,”
recalled, James Morgan, director, Global Body Exterior and Stamping Business Unit
Engineering, Ford Motor Company. “There was a lot of push back. There was a lot of,
„You don‟t understand; that doesn‟t work in this environment. Our work is different.‟ ”

Morgan, who introduced lean product development concepts after joining the automaker
in 2004, will describe the lean turnaround during a plenary presentation at the 2011
Lean Transformation Summit, March 9-10, Dallas.

During a recent Lean Blog podcast with Mark Graban, Morgan said a key step in
overcoming engineers‟ doubts about using lean principles was identifying the
“tremendous amounts” of rework that existed in product development and engineering
processes.

“Engineers clearly were not fond of having to do all this rework,” Morgan said. An
example would be redesigning a hood that failed crash tests. But engineers had come
to accept that rework, a critical waste under the Toyota Production System, was just
part of the design process.

Morgan said he “made it very clear that by applying standardization to processes and to
certain product attributes and architectures, you can eliminate a lot of the rework” by
developing products that that were manufacturable and performed to appropriate levels
from the start.

In a preview of his Summit presentation, Morgan said he would cover:
     Highlights of Ford‟s renaissance in profitability, stock price, quality, market share,
       and awards-received.
     What changes were made in product development and theresults.
     How a systems-based model of high performance engineering addresses the key
       elements of people, process, tools and technologies.
     Why it is more powerful to work on an entire system rather than an aspect of the
       system.

lean.org                           Lean Enterprise Institute                                   1
      How system-based lean management applies to other fields, such as healthcare,
       the environment, economics, and more.

For More Information:
    Read more about what you‟ll learn at Morgan‟s Summit presentation, including
     how to engage engineering team members.
    Listen to the Lean Blog podcast interview.
    “Ford CEO Mulally shares Toyota's Vision” - USA Today story on Ford‟s
     turnaround.

About James Morgan
Morgan is responsible for Body Structures and Exterior Systems Engineering, as well as
Stamping Engineering, Facilities and Equipment for Ford globally. He is co-author with
Jeffrey Liker of The Toyota Product Development System: Integrating People, Process,
And Technology based on Shingo Award-winning research at the University of
Michigan. Morgan holds master‟s and doctoral degrees in engineering from the
University of Michigan.




lean.org                        Lean Enterprise Institute                            2

				
DOCUMENT INFO
Description: James Morgan, director, Global Body Exterior and Stamping Business Unit Engineering, Ford Motor Company, explains how he got skeptical engineers behind the lean transformation in product development. Morgan delivered a plenary presentation on the topic of lean in engineering and product development during the 2011 Lean Transformation Summit.