The automotive supply chain is one of the most complicated of any industry. Automakers like us rely on thousands of suppliers to provide the materials, parts and services necessary to make our final products. (See Supply Chain Profile.) Many suppliers serve numerous automakers, and each of those suppliers, in turn, has multiple suppliers. There are often six to 10 levels of suppliers between an automaker and the source of raw materials that eventually enter the manufacturing process. The breadth, depth and interconnectedness of the automotive supply chain make it challenging to effectively manage business and sustainability issues.
In today’s economic environment, achieving lower costs, improving quality and meeting sustainability goals require an unprecedented level of cooperation with suppliers, as well as strong supplier relationships. Ford and its suppliers must work jointly to deliver great products, have a strong business and make a better world.
This section describes our overall approach to developing a sustainable supply chain, including building strong relationships with our suppliers, developing supplier capability to manage sustainability issues, and collaborating with others in our industry on supply chain sustainability. It also describes our efforts to:
Since 2003, we have conducted more than 900 third-party audits of existing and prospective Tier 1 suppliers on issues relating to ethics and human rights and working conditions.
In 2013, we exceeded our goal to source at least 10% of U.S. purchases from minority- and women-owned businesses annually.
© 2014 Ford Motor Company