In this competitive and rather aggressive business world, one of the major purposes of the lion share of the business entities is represented by establishment of the distinctive or unique capabilities to gain a competitive advantage in the marketplace through utilizing the most of their core competencies.
The core competitive advantages of Ford Motor Company are the following: low manufacturing costs; smaller fuel efficient vehicles; centralized system of decision making online process of manufacturing (Stead et al 122).
The major competencies of the Ford Motor Company in this case, may be represented as the following - the fundamental knowledge and database, which belongs to the organization ( for instance the know-how, knowledge, experience, unique information and innovation-related data). In addition, in order to be distinguishing, the top management of this company does not confine to the functional domains, it cuts across the organizational boundaries of Ford Motor Company.
Currently, the business enterprises, operating in the developed countries, face with the more complicated as well as more demanding environment in terms of existing rules and regulations for doing business. That is why, the strategic task in this case implies creation of the distinctive way ahead, while applying into the practice the existing resources as well as the major competencies, which are available for its top management against the impact and the set of underlying issues, associated with its environment. The sustainable competitive advantage is gained by the organization through the set of these distinctive capabilities.
It is essential to note that the competition in the set of foreign as well as in the domestic markets, enters the new phase of its development - in terms of structure and the major features. It means that additional importance is attributed to the managerial performance as well as the product quality, while this emphasis is shifted from the price-related activities. In such cases, the core essence of the competitive advantage is represented by the effective management of the process of development of the new products.
That is why, there is an obligatory need of reviewing the strategic capabilities – in the case if they are to be in line with the demands of the changing managerial practices. This paper would assess the strategic capabilities of Ford Motor Company from the perspectives of the ever-stiffening competition in the industry of vehicle production - as the tool for the further improvement and strengthening of the company’s position in its market.
There are additional competencies, which are represented by the top management of this organization and may be furthermore applied for gaining advantages over their competitors – and at some point occupy the leader’s positions in the automotive market (instead of General Motors).
One of the major competencies is the proper approach towards management of the brand; this fact has led to the following global tend - Ford vehicles are widely recognized all over the world, even in those countries, where care are not the most popular means of transportation least developed countries ). One more competency of this organization is properly-organized and maintained supply chain management, which is integrated into ability of the organization’s managers to maintain the stream of raw materials which comes to this enterprise for manufacturing of the vehicles. The core reason for such trend is the durable and fruitful collaboration of Ford Motor Company with their suppliers of plastic, glass, steel, and other raw materials, needed for the process of manufacturing.
The properly-organized and coordinated system of logistics, which is maintained by the outsourced firms, may be also referred as one of the business competencies of this entity – as it creates an option of excellent inventory management as well as properly-scheduled production activities.
The ability of the management for moving assembly line is one more competitive advantage of this enterprise – as it is the pioneer of such system mass manufacturing. At the initial stage of its development, this competency has enabled the top management of Ford Motor Company to win the competition as well as save significant monetary and time resources.
While taking into account the fact that Ford Motor Company is focused on its technology of product development, it is essential to emphasize on the recently-launched program of single product-information-management, which, in turn, is mainly grounded on the incorporation of the products and their standardization.
In the case of considering the sustainable development as a mean of achieving the highest potential of the enterprise, there is a need of its integration with the systems of measuring and planning. For this purpose, there is a need of articulation of the concept in such context, which is clear and familiar to the leaders of this business entity. It is stated by the experts in the area of management that the rate to which the major stakeholders (such as end clients, investors or NGOs) insist on the need of taking the social and environmental costs, is directly interrelated with the actual rate of taking the purely financial costs by them.
Works cited
Stead, W. E., Stead, J.G., Starik, M.Sustainable Strategic Management. M.E. Sharpe, 2004. Print
