Ford Emphasizing New Technologies, Cost-Cutting; Nothing Is Off The Table Says Automaker
DEARBORN (WWJ) - Promising cost-cutting measures and an emphasis on new technologies, the head of Ford Motor Company saying change is inevitable.
Ford CEO Jim Hackett promising a lot of change as he laid out his future plan to Wall Street analysts Tuesday.
"Almost every long-lived company felt that ... and we're no exception," said Hackett.
Ford shifting spending from cars to SUV's, cutting engineering costs. No job cuts announced, but "everything is on the table" more @wwj950
— Jeff Gilbert (@jefferygilbert) October 3, 2017
WWJ Auto Beat Reporter Jeff Gilbert says Ford cuts will include $10 billion from material costs and $4 billion from engineering. The cost-costing measures will include a shift of $7 billion in car development to utility development. Other plans include having all their cars in the U.S. 'connected' by 2019 and a self-driving vehicle by 2021.
The goal is to fundamentally transform the company says Hackett. He tells Wall Street analysts success in the past doesn't guarantee Ford's success in the future and Ford has to get both leaner and prepare for a future of electrification, automotive, and connectivity -- no job cuts were announced in the presentation but nothing is off the table according the auto maker.