Ford Increases Its Focus On Transformation Initiatives In 2020

Ford Increases Its Focus On Transformation Initiatives In 2020

 

Ford Increases Its Focus On Transformation Initiatives In 2020

 

Ford Increases Its Focus On Transformation Initiatives In 2020

11/8/20


Ford is for empowerment and transformation in all areas of automotive business…
Ford is widening the scope of its transformation initiatives and deepening involvement in the economic empowerment programmes of its dealer network in 2020.

Esther Buthelezi, Transformation Manager at Ford, says the new economic realities facing the country make transformation more important than ever, and more urgent.

The time for change is now


“This unprecedented time as a company and a country has given us pause,” she says. “Markets will remain under pressure into the foreseeable future, and competition will increase dramatically. This makes it the ideal time to implement measures that can help to promote better business.”

Buthelezi works alongside various teams that are responsible for the dealer network, procurement of suppliers and Human Resources in order to drive Ford’s South African transformation initiatives. This includes the design, evaluation and implementation of a transformation plan which achieves Ford SA’s business objectives, and represents the organisation’s interests with industry groups across Southern Africa. This includes Ford’s Broad-Based Black Economic Empowerment (B-BBEE) initiatives.

Dealerships and suppliers a key area for transformation


A key focus for the company moving forward is transformation among its dealers and component supplier network. The industry-wide transformation fund administered by the National Association of Automobile Manufacturers (NAAMSA) provides a critical platform for manufacturers to facilitate transformation something which Ford is a strong supporter of.

The fund will be operational from 2021 and will use its R6 billion in industry contributions to drive industry transformation on all levels.

“We are very excited to partner with the rest of the industry in creating this large transformation fund. With funds from the AITF, we will help develop black entrepreneurs, expand the number of black-owned dealers and component manufacturers, and create opportunities for young managers and technical staff at all levels of the automotive industry,” Buthelezi states.

Rapid acceleration of transformation expected


“Ultimately, we foresee a rapid acceleration of our transformation initiatives when business returns to normal, and we trust that it will help grow the industry and ensure our sustainability in the years ahead.”

Manufacturing transformation


The past decade has seen a complete transformation of Ford’s local manufacturing operations, at both a plant and product level. Ford has invested more than R11-billion into its Silverton Assembly Plant in Pretoria and Struandale Engine Plant in Port Elizabeth since 2009, and now has the highest-ever installed production capacity for the Ranger and Ranger Raptor pickups, and the Everest SUV.

Transforming the Ford workforce


Besides the significant transformation of its plants and product line-up, Ford has also made progress on the transformation of its workforce. Ford is actively driving the creation of employment opportunities for the youth through its innovative and extensive Skills Development and Learnership programmes, with more than R250-million spent on training initiatives since 2014.

“All original equipment manufacturers (OEMs) in the South African automotive segment are required to be Level 4 B-BBEE contributors by 2021. We are continuously working towards that goal through various initiaitves,” explains Buthelezi.

Tshwane Automotive SEZ to create more opportunities


Ford recently embarked on a landmark public-private partnership with national, provincial and local government to facilitate the creation of the Tshwane Automotive Special Economic Zone (SEZ).

“The Tshwane Automotive SEZ is an automotive component supplier industrial park that will play a significant role in bolstering further investment and job creation in the local economy, and will help businesses to become more competitive on a global scale,” Buthelezi says.

Black supplier development – Ford’s Incubation Centre


Another key focus area for Ford is the development of fully black-owned suppliers to the automotive industry. To this end, the company, in conjunction with the Automotive Industry Development Centre (AIDC), created an Incubation Centre adjacent to its Silverton manufacturing plant in 2011. The Incubation Centre assists black entrepreneurs to build small service and manufacturing businesses with the ultimate goal of integrating them into Ford’s national supply chain.

“We currently have four budding entrepreneurs in the programme. We hope that they will soon join the four other graduates who are already supplying parts and services to our vehicle assembly plant, and who benefitted from over R15-million in procurement spend in 2019,” says Buthelezi.

Investment in Dealers and Supplier networks


For the next phase of its business transformation, Ford is investing in human capital in its dealer and supplier networks. This includes working with key decision makers on succession planning for senior executives, and supporting personnel on all levels of the business.

“To ensure that our transformation plans are successful, we must identify individuals in all aspects of a dealer’s business – finance, sales, technical support and management – and support their professional development to ensure that there is a strong pipeline of future talent to help transform the dealer network,” says Buthelezi.

Ford Academy aids development


This end-to-end focus on training and development includes the Ford Academy which was established in 1998 as a sales academy for new vehicle sales staff but has since grown to cover most customer-facing designations in the dealership. Further to this Ford offers a unique Management Development Programme, which is facilitated by the Ford Academy in conjunction with the WITS Business School over a twelve month period.

To date 38 participants from various dealerships across the country have graduated from the two programmes offered in 2017/2018 and 2018/2019.

Ford Bursary Programme extended


Ford is also transforming its long-running employee bursary programme to make it more inclusive, and to benefit more employees. Previously, bursaries were only available for full qualifications. No short courses or other training courses were covered, and it was capped at three subjects per year.

Ford partners with Youth Employment Service


Ford has also partnered with the Youth Employment Service (YES), which allows it to provide temporary employment and training for young unemployed graduates. To date, Ford has accepted 205 young people into its YES programme, with the aim of absorbing many of these talented young people into its own business and that of its dealers and suppliers.

11/8/20


Ford is for empowerment and transformation in all areas of automotive business…
Ford is widening the scope of its transformation initiatives and deepening involvement in the economic empowerment programmes of its dealer network in 2020.

Esther Buthelezi, Transformation Manager at Ford, says the new economic realities facing the country make transformation more important than ever, and more urgent.

The time for change is now


“This unprecedented time as a company and a country has given us pause,” she says. “Markets will remain under pressure into the foreseeable future, and competition will increase dramatically. This makes it the ideal time to implement measures that can help to promote better business.”

Buthelezi works alongside various teams that are responsible for the dealer network, procurement of suppliers and Human Resources in order to drive Ford’s South African transformation initiatives. This includes the design, evaluation and implementation of a transformation plan which achieves Ford SA’s business objectives, and represents the organisation’s interests with industry groups across Southern Africa. This includes Ford’s Broad-Based Black Economic Empowerment (B-BBEE) initiatives.

Dealerships and suppliers a key area for transformation


A key focus for the company moving forward is transformation among its dealers and component supplier network. The industry-wide transformation fund administered by the National Association of Automobile Manufacturers (NAAMSA) provides a critical platform for manufacturers to facilitate transformation something which Ford is a strong supporter of.

The fund will be operational from 2021 and will use its R6 billion in industry contributions to drive industry transformation on all levels.

“We are very excited to partner with the rest of the industry in creating this large transformation fund. With funds from the AITF, we will help develop black entrepreneurs, expand the number of black-owned dealers and component manufacturers, and create opportunities for young managers and technical staff at all levels of the automotive industry,” Buthelezi states.

Rapid acceleration of transformation expected


“Ultimately, we foresee a rapid acceleration of our transformation initiatives when business returns to normal, and we trust that it will help grow the industry and ensure our sustainability in the years ahead.”

Manufacturing transformation


The past decade has seen a complete transformation of Ford’s local manufacturing operations, at both a plant and product level. Ford has invested more than R11-billion into its Silverton Assembly Plant in Pretoria and Struandale Engine Plant in Port Elizabeth since 2009, and now has the highest-ever installed production capacity for the Ranger and Ranger Raptor pickups, and the Everest SUV.

Transforming the Ford workforce


Besides the significant transformation of its plants and product line-up, Ford has also made progress on the transformation of its workforce. Ford is actively driving the creation of employment opportunities for the youth through its innovative and extensive Skills Development and Learnership programmes, with more than R250-million spent on training initiatives since 2014.

“All original equipment manufacturers (OEMs) in the South African automotive segment are required to be Level 4 B-BBEE contributors by 2021. We are continuously working towards that goal through various initiaitves,” explains Buthelezi.

Tshwane Automotive SEZ to create more opportunities


Ford recently embarked on a landmark public-private partnership with national, provincial and local government to facilitate the creation of the Tshwane Automotive Special Economic Zone (SEZ).

“The Tshwane Automotive SEZ is an automotive component supplier industrial park that will play a significant role in bolstering further investment and job creation in the local economy, and will help businesses to become more competitive on a global scale,” Buthelezi says.

Black supplier development – Ford’s Incubation Centre


Another key focus area for Ford is the development of fully black-owned suppliers to the automotive industry. To this end, the company, in conjunction with the Automotive Industry Development Centre (AIDC), created an Incubation Centre adjacent to its Silverton manufacturing plant in 2011. The Incubation Centre assists black entrepreneurs to build small service and manufacturing businesses with the ultimate goal of integrating them into Ford’s national supply chain.

“We currently have four budding entrepreneurs in the programme. We hope that they will soon join the four other graduates who are already supplying parts and services to our vehicle assembly plant, and who benefitted from over R15-million in procurement spend in 2019,” says Buthelezi.

Investment in Dealers and Supplier networks


For the next phase of its business transformation, Ford is investing in human capital in its dealer and supplier networks. This includes working with key decision makers on succession planning for senior executives, and supporting personnel on all levels of the business.

“To ensure that our transformation plans are successful, we must identify individuals in all aspects of a dealer’s business – finance, sales, technical support and management – and support their professional development to ensure that there is a strong pipeline of future talent to help transform the dealer network,” says Buthelezi.

Ford Academy aids development


This end-to-end focus on training and development includes the Ford Academy which was established in 1998 as a sales academy for new vehicle sales staff but has since grown to cover most customer-facing designations in the dealership. Further to this Ford offers a unique Management Development Programme, which is facilitated by the Ford Academy in conjunction with the WITS Business School over a twelve month period.

To date 38 participants from various dealerships across the country have graduated from the two programmes offered in 2017/2018 and 2018/2019.

Ford Bursary Programme extended


Ford is also transforming its long-running employee bursary programme to make it more inclusive, and to benefit more employees. Previously, bursaries were only available for full qualifications. No short courses or other training courses were covered, and it was capped at three subjects per year.

Ford partners with Youth Employment Service


Ford has also partnered with the Youth Employment Service (YES), which allows it to provide temporary employment and training for young unemployed graduates. To date, Ford has accepted 205 young people into its YES programme, with the aim of absorbing many of these talented young people into its own business and that of its dealers and suppliers.

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