Aug 2021

Ford Moving Toward “Build-to-Order”

The pandemic and the resulting chip shortage have changed how Americans buy cars, and Ford thinks that a build-to-order process is the right way to go moving forward. People are now choosing to do more communication online, and they’re expressing less insistence on going out to take a test drive. Ford CEO Jim Farley said on a conference call.

“We are really committed to going to an order-based system and keeping inventories at 50 to 60 days’ supply,” he said. “I know we are wasting money on incentives.” “It’s a really exciting way for us to sell vehicles in partnership with our dealers,” Galhotra said. “You can start building your vehicle, pricing it, put it in the cart, and you can go all the way to make a transaction. Ford Credit can approve the customer’s credit in seconds, and you can make the payment and the dealer can deliver the car to your home.”