Ford CEO: “We’re changing the way we build vehicles.”

Production Innovation - The company is changing vehicle construction by building in three separate pieces and joining them at the end [1] - This new method allows workers to kit parts inside the vehicle, improving efficiency [1] - The new vehicle design incorporates radical simplification, reducing parts by 20-30% depending on the vehicle [2] - The company has been testing this approach for a couple of years in preparation for the next investment cycle [2] - The company innovated this new platform starting 3 years ago [3] Market & Affordability - Affordability is a major concern for customers in the automotive industry [2] - Normal car payments are approaching $7000-8000 per year ($700-800 per month) [2] - An increasing number of customers are opting for 84-month (7-year) financing [3] - The industry needs to innovate to reduce vehicle costs and maintain profitability [3] - Subsidizing car costs is too risky for workers, communities, and customers [3]