Year In Review

Letter from William Clay Ford, Jr. and Mark Fields

William Clay Ford, Jr., Executive Chairman

Mark Fields, President and Chief Executive Officer

It has been 15 years since we published our first report addressing the economic, environmental and social impacts of our products and operations around the world. During that time, throughout a variety of economic conditions, business cycles and social transformations, we have been reporting on the progress of our sustainability efforts.

We’re proud of how we have been transforming our company, from the vehicles we make to the way in which we make them. From water use to human rights to carbon dioxide emissions, we have moved forward and made substantial progress toward a suite of goals and commitments we have set for ourselves.

Between 2000 and 2014, for example, we cut our total global water use by 62 percent, or more than 10 billion gallons, and achieved our original water-reduction goal two years ahead of schedule.

More than 10 years ago, we introduced the world’s first hybrid SUV, and today we remain committed to offering customers the “power of choice” for fuel efficiency. In early 2015, we built our 5 millionth EcoBoost®-powered gasoline vehicle. Our fuel-saving EcoBoost technology is now available in every region where we operate and offered on more than 80 percent of our global nameplates.

We also have led our industry in groundbreaking work to reduce environmental impacts, and we were the first automaker to take on the issue of human rights to enhance working conditions in the supply chain.

Our efforts were acknowledged in 2014 when we were named by Interbrand as the Best Global Green Brand in the world – the number one company not just in the automotive industry but among all types of businesses. Further validation came in 2015 when we were named to the Ethisphere Institute’s list of the World’s Most Ethical Companies for the sixth year in a row, the only automaker to earn the recognition in each of the last six years.

We are honored to receive these recognitions. Nonetheless, we know our sustainability journey is far from over, and we are determined to go further, particularly as our industry is evolving faster than ever before.

Our Priorities

As we build on our strong foundation and continue to transform to meet the needs of the future, we are driven by three priorities:

  • Accelerating our pace of progress on the One Ford plan
  • Delivering product excellence with passion
  • Driving innovation in every part of our business

Ford is a growth company in a growing global industry. The past five years mark one of the most consistently profitable periods in our recent history, and we are poised to accelerate our progress in all areas of our business.

We also are a proven innovator, in a period of swift technological advancement. Already, technology has enabled rapid evolution in our vehicles. However, revolutions in connectivity and technology, as well as the changing needs and desires of our customers, are opening avenues for entirely new ways of thinking about our business. It’s not only about cars and trucks. It’s about helping people and things move seamlessly and efficiently using all available modes of transportation.

Ford Smart Mobility

In 2012, we announced our Blueprint for Mobility, which defines our vision for what transportation will look like in 2025 and beyond, and the technologies, business models and partnerships needed to get there. Our plan outlines a future of connected cars that communicate with each other and the world around them to make driving safer, ease traffic congestion and sustain the environment. We already have put in place many of the building blocks of this future.

Earlier this year, we introduced Ford Smart Mobility, which is our plan to operationalize that vision and use innovation to take Ford to the next level in connectivity, mobility, autonomous vehicles, the customer experience and big data. We also announced more than 25 mobility experiments around the world to test breakthrough transportation ideas to create better customer experiences, more flexible usership models and social collaboration that can reward customers. You can find more details on the exciting experiments we are conducting, as well as the global megatrends that are driving our thinking, elsewhere in this report.

We’re pursuing Ford Smart Mobility in line with our bedrock conviction that the benefits of breakthrough technologies should be democratized. Our goal is to make connectivity, mobility and autonomous vehicles accessible to millions of people – not just a select few.

Changing the Way the World Moves

Without question, we are embarking on one of the most transformative periods in our history.

We understand that the winners will be the innovators, the disruptors and those willing to break with tradition and find new solutions. That’s why we are pushing ourselves even harder to think, act and disrupt like a startup company.

We are driving to be both a product company and a mobility company. Our vision is nothing less than to change the way the world moves.

At Ford, we view this as the ultimate opportunity. In fact, it is as big of an opportunity as when our founder put the world on wheels more than a century ago. Henry Ford believed that a good business makes excellent products and earns a healthy return. But he proved that a great business does all that while creating a better world.

That is what continues to drive us each day.

Our Blueprint for Sustainability, which focuses on our products and global environmental footprint, brings to life our pledge to build a strong business, deliver great products and create a better world – and to make this pledge relevant in a future that will be very different from the past.”

William Clay Ford, Jr., Executive Chairman

Mark Fields, President and Chief Executive Officer