Like all automakers Ford has adopted extensive market research and surveys to conquer the heart of the drivers. But Mike Cavaretta, project leader for the predictive analytics at Ford feels that it does not give a holistic picture. He feels that data needs to be standardized to enable comparisons. For specific information and customer reviews the social media is observed. The officials at Ford come to a meeting with sufficient data and information. They strongly feel that the perspectives are drawn from essential metrics and statistics. Every business strategy which Ford undertakes are substantiated with data analysis. The analytics team helps the company to forecast price of commodities, analyze consumer demand and build a strong business.
200 analytics experts work at the analytics center of excellence at Ford. They undertake market research and contribute largely to strategic decision making and project work. The projects are elated to the brands, which need to be discontinued, and places from which the car parts can be obtained. They also revolve around issues such as how dealers can pull up their sales. In the year 2009, Ford introduced 25 new vehicle lines and sold a record high of 2.3 million cars and trucks in United States that year. Since 2007, it became the first brand to rank first in the 2 million mark United States sale.
Data analytics is an important tool for the automobile manufacturers. It helps companies to gain an understanding of the consumer demand and product usage. It helps to know the preferences of the consumer and the areas in which the brand is ahead of its rivals. Ford has clearly gained in three areas with analytics investment. It has helped them to establish the demands of the customers handle vehicle complexity and deliver the right cars to the right dealers with perfect features and details. Social media has helped Ford immensely. Social media allow users to express themselves freely. Customer feedback was obtained and was taken into account when new products were launched.
To earn a profit it is essential that the dealers have the right cars to sell to consumers. Indeed customer satisfaction is important but along with it the dealers should have the right vehicle at the right time. Ford research scientist Bryan Goodman, who works on an analytic system that supports sales and marketing states that they have the right vehicle with the right engine and is enhanced with the right set of features. Ford maintains the Smart Inventory Management System (SIMS). It helps to analyze data streams. At Ford data related to what has been built and sold is integrated.
SIMS is recognized as the vital factor which has given rise to the growth and success of Ford. It has played a significant role in Ford’s turnaround and has contributed to Mullaly’s “One Ford Strategy”. With the global supply chain, the company aims at meeting the customer wants and satisfaction. Today the consumers are spoilt with choices as Ford can now offer a large variety of aesthetically designed combinations. The company customizes the productions according to the preferences of the customers. Goodman feels that SIMS has proved very beneficial. The dealers who have subscribed to SIMS can sell cars quickly at higher rates.