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News .: 2002 .: 12/03/2002 - Ford's New Flexible Assembly System Will Save Up To $2 Billion Over 10 Years

12/03/2002 - Ford's New Flexible Assembly System Will Save Up To $2 Billion Over 10 Years


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Source: Ford Motor Company

DEARBORN, Mich., Dec. 3, 2002 -- Ford's three plants producing the all-new 2004 F-150 in Norfolk, Va., Kansas City, Mo., and Dearborn, Mich. will lead the company's roll out of its new flexible assembly system.

Consider equipment changeovers that once took months being accomplished in days. That's what will happen with Ford Motor Company's new next-generation flexible manufacturing system to be installed in the company's North American assembly operations. Plus, it'll be much more cost-effective than other systems.

  • Instead of paying a higher price for flexibility, as is usual in the industry, the Ford system will cost 10 percent to 15 percent less than traditional non-flexible systems, with a 50 percent savings in changeover costs. Over the next decade, Ford expects to save $1.5 billion to $2 billion with this all-new system.
  • The body shop employs an industry-first system of standardized cells, or modules, all built from a select group of components. Only product-specific tooling needs to be changed or computers and robots reprogrammed to launch new products.
  • Each flexible plant will be capable of producing two different platforms with four different models off each platform. Dearborn Truck will be the most flexible, capable of producing nine models off three platforms.
  • By mid-decade in North America, about half of Ford's body shops, trim and final assembly operations will be flexible. That number rises to 75 percent by the end of the decade.

'With increasing market segmentation, Ford's new flexible assembly system means the company can react more quickly to shifting customer demand,' said Al Ver, vice president, Ford Advanced and Manufacturing Engineering. 'The company will be able to produce a wider variety of vehicles, change the mix of products and options, and change volumes ' all with minimal investment and changeover loss.'

Ford's new system standardizes the assembly process, which improves productivity through reduced changeover downtime. Standardization helps improve quality through increased repeatability. Plus, improved ease of access results in improved safety and ergonomics for operators and maintenance crews.

Next-Generation Body Shops With Significant Cost Savings

Flexibility in the body shop is the most important component of flexible manufacturing because of the complexity and cost of the operation. Ford's new flexible body shop system will cost less than both traditional body shops and other flexible systems, which generally are at a premium.

'Ford's new system has standard components that provide greater economies of scale when purchasing equipment, with greater reuse of that equipment,' said Roman Krygier, group vice president, Ford Global Manufacturing and Quality. 'With lower investment and change-over costs, Ford expects the new system to save the company up to $2 billion over the next decade.'

Unique Building Block System

The body shop assembly process is divided into a set of 16 distinct standardized modules, or cells, with each having a specific function. As few as several hundred components are needed to build all 16 cells. These cells are arranged to create subsystems, and these sub-systems then make up a body shop.


By mid-decade in North America, about half of Ford's body shops, trim and final assembly operations will be flexible. That number rises to 75 percent by the end of the decade.

For example, one cell applies sealer or adhesives, two cells are different types of tool trays, three different cells handle welding, while a pallet cell moves the vehicle body along the assembly line. To illustrate a subsystem, several of these different functional cells are assembled to perform the bodyside welding process.


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