IMPLEMENTING DESIGN-FOR-ASSEMBLY FOR THE NEXT GENERATION MUSTANG
Since 2011, the average assembly cost of a Ford vehicle has increased by 33%. While this trend can be largely attributed to advanced features being added to vehicles to meet consumer demands, the increase in labor costs has cut into Ford’s profit margins and become an area of concern.
The Tauber team analyzed the current Mustang so that their findings could be implemented in time for the initiation of the next generation Mustang’s development program. Additionally, the Tauber team was tasked to develop a DFA process to lower assembly costs across Ford’s family of vehicles. The Tauber team’s proposals reduced the required labor on the next generation Mustang door and IP assembly line by 20%. Ford is expected to reduce its annual costs by $5.5M and fixed costs by $500K by reducing required labor, management, tooling, screw, and part costs on the door and IP assembly lines.
Read the 2017 Ford Motor Company Team Project Executive Summary in the 2017 SPOTLIGHT! book.
Ben Herrmann–Master of Supply Chain Management
Alexander Kim–Master of Business Administration
Bob Garnham–Industrial Engineering Supervisor
Doug Rickert–Industrial Engineering Manager
Amy Cohn–College of Engineering
Sanjeev Kumar–Ross School of Business
About Tauber Team Projects:
The 2017 Tauber Team Projects resulted in $575 million in savings according to sponsoring company calculations, an average of $18.5 million per project over 3 years.