Track: Operations Management

Abstract

Automotive manufacturing is a highly profitable industry. To ensure production effectiveness and efficiency, the manufacturer must plan ten important operational management decisions. Generally, the plan will help to maintain a competitive advantage for respective companies. The sector has become increasingly competitive globally including the United States as new firms enter the market with more vehicle options and specialisation. General Motors and Ford are the two most successful automakers in the United States. GM has become a significant rival to Ford since it overtook Ford in 1929. Through the years until today, Ford is still unable to compete with GM in the USA. Therefore,
the paper is an effort to compare the strategies planned by GM and Ford in maintaining their competitive advantage in the automotive industry in the U.S. The study focused on strategic planning through only two critical decisions viz product design and quality management. A qualitative design was used to build a comprehensive theory, then supplemented with literature review findings. In addition, various strategies for achieving the mission were assessed,
including research into how well the already undertaken approaches are performing. This paper examines the new business strategy following more stringent rules and regulations for environmental protection, advanced technology, and customer preferences. These results will assist relevant stakeholders in gaining a deeper understanding of the dynamics in the automotive industry. They will uncover a meaningful difference between the two companies' approaches while attempting to ascertain the precise reasons for GM and Ford's rivalry  in the US.