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Joe Hinrichs "out" in leadership shakeup at Ford.

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On 2/8/2020 at 1:28 PM, mackinaw said:

Automotive News has a copy of the letter Hinrichs sent his team.  Well worth the read.  No subscription required.  Part of it:

 

We worked through a very difficult and costly launch of the Explorer and Aviator in Chicago. We then successfully launched Escape/Corsair in Louisville, Transit in Kansas City, Super Duty in Kentucky Truck Plant and OHAP, Puma in Craiova, Territory BEV in Nanchang, and recently Kuga (Valencia) and Escape (Chongqing). The painful lessons learned from the Explorer/Aviator launch will serve the company well in the future – including this year when you will launch so many great new products and really start to introduce the power of connected vehicles with the F-150 and Mustang Mach-E launches.

 

https://www.autonews.com/executives/hinrichs-goodbye-letter-ford-team-leadership-about-service

 

What a classy guy and interesting to read the employee's comments about Hackett!!!  The easy answer in today's world is to just fire everyone and move on but the reality is that you learn from mistakes and grow into a better manager/company-this one kind of stings for sure and will be interesting to see where he lands!

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16 minutes ago, kyle said:

 

What a classy guy and interesting to read the employee's comments about Hackett!!!  The easy answer in today's world is to just fire everyone and move on but the reality is that you learn from mistakes and grow into a better manager/company-this one kind of stings for sure and will be interesting to see where he lands!

 

To be fair we don't know what else has been happening the last 3 years.  Is he also responsible for all the warranty issues?   Maybe there were other issues at play here or maybe he just wanted out.   Maybe he wasn't willing to make the required process changes.   I'm sure the Explorer launch wasn't the only thing.

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On 2/8/2020 at 12:56 PM, akirby said:


You don’t need or want an engineer making business decisions.  You want someone who listens to the engineers and allows them to do their jobs.  

Hackett proved he was NOT that guy when this book by a "think tank guy" became MANDATORY reading for EVERYONE in management !  

Clean Disruption of Energy and Transportation: How Silicon Valley Will Make Oil, Nuclear, Natural Gas, Coal, Electric Utilities and Conventional Cars Obsolete by 2030

 

Farley worked at Toyota for almost 20 years, before coming to Ford and being put in charge of marketing. (The best thing he did there was bring back the Taurus name.)  I don't know exactly what he dis at Toyota, but I know enough about Japanese business to know that non-Japanese middle level manager are not given any authority to make decision on their own.

Edited by theoldwizard

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5 hours ago, falconlover 1 said:

The first casualty of the Explorer debacle. I said it, the failed Explorer launch was a very important factor in the dismal financial results. Hau Thai Tang: " CEO Jim Hackett that has taken on additional urgency in the wake of a poor financial performance in the fourth quarter. Much of the hit came from a poor launch of the new Ford Explorer and Lincoln Aviator at the Chicago Assembly Plant."

 

The next casualty maybe (must be, IMO) Hackett.   Bill must be looking for a new CEO right now.



 


I'm not a huge fan of him either but let's take a step back here and see what happens. 

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1 hour ago, theoldwizard said:

Hackett proved he was NOT that guy when this book by a "think tank guy" became MANDATORY reading for EVERYONE in management !  

Clean Disruption of Energy and Transportation: How Silicon Valley Will Make Oil, Nuclear, Natural Gas, Coal, Electric Utilities and Conventional Cars Obsolete by 2030

 

 

That looks like an excellent book for management to read.  Part of the problem with large companies is a lack of perspective on the work and the industry.  That's why bringing in outsiders is usually a good idea.   Good leaders seek out opposing viewpoints and criticisms.  Reading books like this - even if they're a bit sensationalized or inaccurate - helps you understand the challenges facing the company.    It's the only way to get long time Ford managers to understand the challenges and to get them to start thinking differently.   This is exactly the type of leader that Ford needs right now as the company transitions to electrification and connected cars.

 

The fact that so many Ford managers don't like it is just an indication of how badly they need this type of training and awareness.

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8 hours ago, akirby said:

 

That looks like an excellent book for management to read. 

 

I strongly suggest you watch one on of Tony Seba's presentations on YouTube.  This guy is predicting the end of internal combustion engines by 2030 !  Like every other futurist he thinks we can "grow" enough "clean" electrical energy to power MASSIVE quantities of electric vehicles.  This would take TRILLIONS of dollars world wide and there is no real incentive (as far as the people holding the money are concerned) to make that commitment !

 

8 hours ago, akirby said:

 

Part of the problem with large companies is a lack of perspective on the work and the industry.  That's why bringing in outsiders is usually a good idea.   Good leaders seek out opposing viewpoints and criticisms.  Reading books like this - even if they're a bit sensationalized or inaccurate - helps you understand the challenges facing the company.  

 

You COULD look at it from that direction, but most everyone in the company is looking at it as a "hard 90° turn" !  How wants to keep working on internal combustion engines ?

 

8 hours ago, akirby said:

The fact that so many Ford managers don't like it is just an indication of how badly they need this type of training and awareness.

 

Notice I said this was a bunch of middle level retired engineering managers.  None would disagree the the future is going to including electric vehicles and possibly self driving vehicles.  It takes a "steady hand" at the wheel of an "aircraft carrier" to change course.  What good did it do to publicly come out and tell the world "we aren't going to be making cars any more !"  It certainly hurt sales short term.  They did not stop the following day and people were then forced to work on a "dead man walking" (2020 Fusion) to get it out the door.  That really is not very "inspiring" !

 

The success of new products (Ranger, Explorer, Bronco, Mach-E) is dependent upon the "cash cow" that have been keeping the blood flowing.

 

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On 2/8/2020 at 1:28 PM, mackinaw said:

Automotive News has a copy of the letter Hinrichs sent his team.  Well worth the read.  No subscription required.  Part of it:

 

We worked through a very difficult and costly launch of the Explorer and Aviator in Chicago. We then successfully launched Escape/Corsair in Louisville, Transit in Kansas City, Super Duty in Kentucky Truck Plant and OHAP, Puma in Craiova, Territory BEV in Nanchang, and recently Kuga (Valencia) and Escape (Chongqing). The painful lessons learned from the Explorer/Aviator launch will serve the company well in the future – including this year when you will launch so many great new products and really start to introduce the power of connected vehicles with the F-150 and Mustang Mach-E launches.

 

https://www.autonews.com/executives/hinrichs-goodbye-letter-ford-team-leadership-about-service

 

The Detroit Free Press expanded on this Joe Hinrichs writes to his Ford team: 'I do have one last request'

 

Here is an excerpt that I found interesting

Quote

 

In the minutes after Ford announced the departure, employees posted numerous well wishes on an internal company website. The list of comments goes on and on. In addition, comments included criticism of Hackett:

  • "It's sad to see a truly great and humble guy take the axe."
  • "Very sad to see Joe being pushed out."
  • "In the last couple years I did not see even one person who supported Hackett."
  • "Thanks Joe. Too bad you're the sacrificial lamb on this one. Lots of people think Jim Hackett should be the one to go."
  • "Extremely disappointed in this decision to push Joe out."
  • "Very bad news that Joe Hinrichs will leave the company."
  • "Bummer to see Joe go, sounds like someone got pushed out for Explorer woes ..."
  • "Getting scary when all the good guys seem to run to the door."
  • "Joe Hinrichs = The Fall Guy ... Thanx for taking one for the team ... wrong guy/poor decision."
  • "Best of luck wherever you land ... hopefully not with our competition."

Ford internal policy requires postings be listed by name, not anonymously. And the outpouring of support for Hinrichs reportedly took Hackett by surprise.

 

 

Some people really stretched their neck out for that guy !

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3 minutes ago, theoldwizard said:

 

I strongly suggest you watch one on of Tony Seba's presentations on YouTube.  This guy is predicting the end of internal combustion engines by 2030 !  Like every other futurist he thinks we can "grow" enough "clean" electrical energy to power MASSIVE quantities of electric vehicles.  This would take TRILLIONS of dollars world wide and there is no real incentive (as far as the people holding the money are concerned) to make that commitment !

 

The thing is that the reason there isn't more charging stations is that there is a lack of demand-not to mention your typical commuter will be charging at home 90% of the time. I know people who have invested in Solar panels to off set costs of charging at home. 

 

This isn't going to be a lightswitch where in 2030 we will all be driving BEVs instead of ICE products. 2030 will be the infection point that ICE starts shrinking and never recovers. 

 

The thing you seem to be forgetting is that the auto industry of today was basically started anywhere from 24 months to 5 years ago. 

 

Just look at this way-the Mustang is getting a refresh soon and heavy update in 2022/23, with an expectation of a new platform post 2025.

 

What will Ford do? Will they merge the Mach E and Mustang into a single platform that is BEV only? Its possible. 

 

I don't see any major investments in any new ICE engines going forward-only updates/upgrades, because to spend a billion or two on a new ICE engine (for light duty use at least) isn't going to pay for itself over the next 15 years (using 2035 as an example) with the expectations that BEV will be at least 50% of the market in 2030. 

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1 hour ago, theoldwizard said:

 

The Detroit Free Press expanded on this Joe Hinrichs writes to his Ford team: 'I do have one last request'

 

Here is an excerpt that I found interesting

 

Some people really stretched their neck out for that guy !

And this is why we should take everything said in public about his departure with a grain of salt. There’s a giant knife wound in Hinrich’s back, this is what “speedy delivery“ and minimum plant down time  gets you.

 

The feelings for Jim Hackett inside ford is very mixed, much like his press statements.

Edited by jpd80

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2 hours ago, silvrsvt said:

 

with the expectations that BEV will be at least 50% of the market in 2030. 

I highly doubt many in the auto industry believe that statement. 

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10 hours ago, Trader 10 said:

I highly doubt many in the auto industry believe that statement. 

 

The thing is that yeah that might be high, but at what point do you divest yourself of investing in ICE? I have my doubts it will be that high myself considering that average age of a car is now 12 years old. So something bought today will still be used in 2032 or so.

 

Given that car/CUVs are becoming unafforable for many buyers, used car and ages of vehicles will keep going higher and higher-so the actual number of new cars being bought will shrink with a larger portion of them being BEVs that will be leases or what not.

 

That is what is keeping car makers up at night-how to balance all of that going forward till a new normal takes over. 

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On 2/10/2020 at 7:59 PM, silvrsvt said:

This isn't going to be a lightswitch where in 2030 we will all be driving BEVs instead of ICE products. 2030 will be the infection point that ICE starts shrinking and never recovers. 

 

You clearly have not watched any of Tony Seba's lectures.  His point is the "inflection point" is now if you want to be a player after 2030.

 

While I do see that some large cities may ban/heavily tax ICE by that time (London effectively does already), I see this as affecting maybe a dozen cities world wide, and NONE of them in the US !

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On 2/10/2020 at 7:59 PM, silvrsvt said:

The thing is that the reason there isn't more charging stations is that there is a lack of demand-not to mention your typical commuter will be charging at home 90% of the time. I know people who have invested in Solar panels to off set costs of charging at home. 

Visit the Pacific Northwest, or most of the Great Lakes ares in Winter.  Not much sun !  Where are the people in NYC supposed to hang panels ?

Edited by theoldwizard

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2 hours ago, theoldwizard said:

Visit the Pacific Northwest, or most of the Great Lakes ares in Winter.  Not much sun !  Where are the people in NPC supposed to hang panels ?

 

I live in the Northeast and we don't have much sun either during the winter-but what it boils down to is that your electrical needs go up in the summer (for cooling) but guess what? You have more sun then. Your also not completely removed from the grid either, so you can still get power that way too. 

 

Ultimately it boils down to how long it takes pay off where your saving money on your electric-last time I looked at that in my state, it was about 7 years, which was one of the better ones. 

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1 hour ago, silvrsvt said:

 

I live in the Northeast and we don't have much sun either during the winter-but what it boils down to is that your electrical needs go up in the summer (for cooling) but guess what? You have more sun then. Your also not completely removed from the grid either, so you can still get power that way too. 

 

Ultimately it boils down to how long it takes pay off where your saving money on your electric-last time I looked at that in my state, it was about 7 years, which was one of the better ones. 

 

I have trees shading my roof for most of the day during the summer. I doubt I could recoup the cost before the panels needed replacing.

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23 minutes ago, Trailhiker said:

 

I have trees shading my roof for most of the day during the summer. I doubt I could recoup the cost before the panels needed replacing.

 

if your curious, check this out

 

https://www.google.com/get/sunroof

 

 

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51 minutes ago, Trailhiker said:

 

I have trees shading my roof for most of the day during the summer. I doubt I could recoup the cost before the panels needed replacing.

 

Right, it doesn't work for you.  Solar, like BEVs, doesn't work for everyone.  Solar is great for me...my garage roof faces nearly due south, was built at a higher pitch just for solar, and holds 11.7kW of solar panels (36-325W panels).  During the summer, my electric cost is normally just what the connection charge is...$27 for an all-electric house.

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38 minutes ago, fordmantpw said:

 

Sorry, Project Sunroof hasn't reached that address yet.

 

Thats what you get for being in the sticks ;)

 

I did it for my address and I could support about 13KW a year. The slightly interesting thing was you kept going further and further down my street, the effectiveness kept going down, mostly due the easement that my property has behind it. The back of my house faces SSW

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32 minutes ago, silvrsvt said:

 

Thats what you get for being in the sticks ;)

 

I did it for my address and I could support about 13KW a year. The slightly interesting thing was you kept going further and further down my street, the effectiveness kept going down, mostly due the easement that my property has behind it. The back of my house faces SSW

 

Yeah, I didn't figure it was available.

 

SSW is about perfect!  The direction your roof faces plays a HUGE part in how effective solar is.  Of course, this winter, with zero sun and snow every week, it hasn't mattered much here.

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58 minutes ago, fordmantpw said:

SSW is about perfect!  The direction your roof faces plays a HUGE part in how effective solar is.  Of course, this winter, with zero sun and snow every week, it hasn't mattered much here.

 

Its been the polar opposite here-we've had almost no snow and its been a mild winter for us-mostly in the 40s and in the 50s on a good day-we've had a 60 degree day about two weeks ago (I was in TX and it was 85 at the time LOL) 

 

Supposed to be 15 degrees on Friday though :( 

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2 hours ago, silvrsvt said:

 

Its been the polar opposite here-we've had almost no snow and its been a mild winter for us-mostly in the 40s and in the 50s on a good day-we've had a 60 degree day about two weeks ago (I was in TX and it was 85 at the time LOL) 

 

Supposed to be 15 degrees on Friday though :( 

 

We haven't had any cold weather either, just no sun to speak of.  Very few days below freezing.  Much of our snow has come when it's 33-34 degrees, stays for a day or two, then it's gone.  And only a couple inches at a time, just enough to make a frickin mess.  It's supposed to be down to single digits tomorrow night, then 60 on the weekend again.  What a crazy winter.

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54 minutes ago, fordmantpw said:

 

We haven't had any cold weather either, just no sun to speak of.  Very few days below freezing.  Much of our snow has come when it's 33-34 degrees, stays for a day or two, then it's gone.  And only a couple inches at a time, just enough to make a frickin mess.  It's supposed to be down to single digits tomorrow night, then 60 on the weekend again.  What a crazy winter.

With all the rain we had this week, I'd still be shoveling if it was snow!

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Got 7" of snow on Sunday, some areas nearby got up to 16".

 

Now the wind is gusting to 40mph so, ground blizzard.

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6 hours ago, Trailhiker said:

 

I have trees shading my roof for most of the day during the summer. I doubt I could recoup the cost before the panels needed replacing.

You need these:

 

https://smartflower.com/

pearl-smartflower-sprite-original.png

Edited by MY93SHO

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