Ford Announces Separate "Model e" EV Division and "Ford Blue" Internal Combustion Division

[ab13]

• Accelerates Ford+ plan to unlock growth and create value...

See, that's the problem, right there. Why did Ford lock its growth and value in the first place? Never do that! They teach you that in Business 101.
[/QUOTE]

I don't believe they meant it was locked, it was just a small department in the whole company and had to rely on other groups to function. What it says now is it functions independent of the other group so it doesn't need to rely on them or wait for them. So they should be filling in all necessary positions separately.

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[hybrid2bev]

Which part of the company will you be falling under now? Or will your unit be part of the middle that services both divisions?

No changes for me as far as I know. We've got our fingers in all the pies.

 

[Mathington]

I am curious to know what specific benefits this will give them. They will still be using the same suppliers and possibly factories. Maybe this will let them bypass the dealership model, like Tesla does?

 

[TheSteelRider]

IMHO, there is only 1 reason to separate the P&L for the two divisions. That step is done prior to a disposition (Have been involved in one of these before for a company). Before this announcement, the internets.com was awash in rumors that Ford was spinning off the EV business, but now that I read the announcement I bet they are starting preparations now to eventually, in fact, spin off the ICE business. Probably not for years, but eventually.

Disclaimer: I am not an accountant and don't know what I'm talking about, so any CPAs out there chime in! What would other reasons be for separating all the financials?

 

[phil]

I don't believe they meant it was locked, it was just a small department in the whole company and had to rely on other groups to function. What it says now is it functions independent of the other group so it doesn't need to rely on them or wait for them. So they should be filling in all necessary positions separately.

Yes, no doubt you are correct. I was just poking a little good-natured fun at Ford's trendy business jargon.

 

[kikibop]

First of all, @Administrator the title of this thread is wrong. There is no "Model Blue", it is "Ford Blue", says so right there in the press release you posted.

Secondly and even more important. Does creation of the Model E unit mean that I'll be getting my Blue Cruise update any sooner? Because if not, then I can say for sure that this is all smoke and mirrors and a big waste of effort.

 

[hybrid2bev]

I am curious to know what specific benefits this will give them. They will still be using the same suppliers and possibly factories. Maybe this will let them bypass the dealership model, like Tesla does?

It sounds more like a way to reduce internal bureaucracy and allow for faster decision making.

No impact to the dealer model because it's ultimately still the same Ford.

 

[ab13]

Yes, no doubt you are correct. I was just poking a little good-natured fun at Ford's trendy business jargon.

It helped the stock price, so why not. Lol

 

[Psalm139]

My guess is it will allow the "E" division to invest in gaining market share and developing technology without ruining profits for the "Blue" division.
I'm sure there were many meeting in which leadership laid out how many software engineers it needed to hire and what it needed to pay them as well as what it need to pay to retool old factories/build battery plants, and the plan was met with skeptism. You might have to lose money for a bit to grow the electric brand. Making electric vehicles is hard.

And lets me honest, if the Lightening has the issues the Mach-e does, Ford could be in trouble. Most of us are EV fans that are willing to take cold temperature battery loss, software glitches, and "pull over" notifications in stride. Lightening buyers might be a little different.
It is time for all hands on deck for the electric future. The Drive ran an article a few weeks ago about Ford "going to battle" for software engineers. That costs money.

What changes for us?
Maybe better software support?

 

[RosarioM]

Now I have questions…


3. Will Ford admit I was right all along about the Mach-E not being a Mustang?

What is it about it for you that does not make it a Mustang. Is it the 4 doors? The fact that it’s a suv? Is it the performance?

Is the base ICE Mustang a mustang? If Ford released the base mustang coupe as a CVT would that make it not a Mustang anymore?

If Ford decided to release an ICE crossover Mustang would that be a Mustang?

 

[astronut325]

Maybe I missed it. What's the timeline for this? Is my Mach-E going to be a Ford Model E Mustang Mach-E? (Ordered early December 2021)

 

[JoeDimwit]

What is it about it for you that does not make it a Mustang. Is it the 4 doors? The fact that it’s a suv? Is it the performance?

Is the base ICE Mustang a mustang? If Ford released the base mustang coupe as a CVT would that make it not a Mustang anymore?

If Ford decided to release an ICE crossover Mustang would that be a Mustang?

For me, the issue is that the Mustang has always been a coupe.

 

[SigSauer]

Will this "restructuring" get our MME's delivered any sooner? Ordered August 5, 2021 and still waiting!

 

[llinthicum1]

What is it about it for you that does not make it a Mustang. Is it the 4 doors? The fact that it’s a suv? Is it the performance?

Is the base ICE Mustang a mustang? If Ford released the base mustang coupe as a CVT would that make it not a Mustang anymore?

If Ford decided to release an ICE crossover Mustang would that be a Mustang?

Three things. The Mach-e is a suv. If it had been introduced as a 2 door coupe / convertible, I don't think the electric drivetrain would have been controversial. Secondly, the interior of the Mach-e is too much Tesla and not enough Mustang particularly the big info screen (take look at Ranger Raptor to see how a larger screen can be integrated into dash / instrumentation to make sporty appearance.). Thirdly, the cost for the Mach-e is much higher than traditional Mustang buyers are used too. But, regardless, Ford calls the Mach-e a Mustang, so it's a Mustang.

 

[TheSteelRider]

Three things. The Mach-e is a suv. If it had been introduced as a 2 door coupe / convertible, I don't think the electric drivetrain would have been controversial. Secondly, the interior of the Mach-e is too much Tesla and not enough Mustang particularly the big info screen (take look at Ranger Raptor to see how a larger screen can be integrated into dash / instrumentation to make sporty appearance.). Thirdly, the cost for the Mach-e is much higher than traditional Mustang buyers are used too. But, regardless, Ford calls the Mach-e a Mustang, so it's a Mustang.

Clearly, you haven't mustang shopped for quite a while ...

https://www.caranddriver.com/ford/mustang-shelby-gt350-gt350r

Yes, I realize those are more lofty models, but you made this particular bed so there you go Always be wary of those blanket statements ...

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