Hot off the press… constraints on modular front bumper, 2.3L engine, 10-speed auto transmission and 4x4 system

[Lxatoledo]

I wish they would stop calling it a 2021...………..with arrivals in 2022 and 2023 and recalls on the top, seems a bit disingenuous. Looking at a car out of Nashville...may re buy a Cayman and drive it for two years instead of wishful hoping having to use a Diesel as a daily driver until Ford gets is shit together.

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[Punisher4135]

did you mean to say 22s?....or 23s?

I guess 23 would be better

 

[Zimm]

And the UAW came along which made the cost of a vertical supply chain much more than spinning off every part except sheet metal, engines and transmissions.

Not Really. Spinning off the production of various assemblies lowers costs because the you don't have to maintain entire division. You are free to ride out waxing and waning sales cycles without carrying the load, and a subcontractor can diversify by supplying other manufacturers. Early Automobiles had the frame and motors made by the automobile company, and outside contractors built the bodies. Hell, Rochester (GM) made Qjets, subbed to Carter to ensure a constant supply, and they ended up on Ford 429's...

Bosch doesn't supply electronic and fuel systems to Mercedes, VW, BMW etc because of UAW costs.

Now, people will blame legacy costs for the failure of Delphi when GM spun it off, and there is much to that, but, ultimately Delphi was put on its own with one major customer, GM. the technology was there, as evidenced by the fact it survives under BW, but the idea of benefiting shareholders by giving them the value of another supply company sounded better than what it was considering the lack of customer base.

 

[HBTFD]

Not Really. Spinning off the production of various assemblies lowers costs because the you don't have to maintain entire division. You are free to ride out waxing and waning sales cycles without carrying the load, and a subcontractor can diversify by supplying other manufacturers. Early Automobiles had the frame and motors made by the automobile company, and outside contractors built the bodies. Hell, Rochester (GM) made Qjets, subbed to Carter to ensure a constant supply, and they ended up on Ford 429's...

Bosch doesn't supply electronic and fuel systems to Mercedes, VW, BMW etc because of UAW costs.

Now, people will blame legacy costs for the failure of Delphi when GM spun it off, and there is much to that, but, ultimately Delphi was put on its own with one major customer, GM. the technology was there, as evidenced by the fact it survives under BW, but the idea of benefiting shareholders by giving them the value of another supply company sounded better than what it was considering the lack of customer base.

The main driver was the wage and benefit costs of Ford employees vs non Ford and or non UAW. No different than manufacturers moving production to Mexico or China.

 

[Wolfie272]

I love my Badlands Bronco Sport. I've taken her on some light forest trails and sandy areas and she's great. I really love her. I didn't intend to get a Sport but my Escape was having issues in January and I needed to replace it. Ordered the Sport at the end of January and took delivery in early May. Couldn't be happier.

Then I went ahead and spent my Bronco down payment wad on a Mustang GT Convertible last month. I couldn't help it. I just couldn't wait another year for my open air experience. I'm glad I pulled the trigger on that one too.

I still have my Bronco reservation (2DR Badlands, I 99'd it) but now I don't get worked up about all the bad news coming out. I feel I dodged a bullet in the short term. And now I get to see how things shake out in the next year and decide then how to proceed. However, I do feel bad for everyone who's waiting for their dream Bronco.

I'm not a sports car guy.. and even less on Mustangs usually... But that thing is sharp. Looks like you are doing just fine. Nice rigs!

 

[edgeflyer]

Good lord! Maybe I’ll get my 2021 by 2023! Next it’s gonna be more problems with the Delta variant and more variants to come! I’ll have this thing paid off before I receive it!

There are many more variants planned, I promise you.

 

[Wolfie272]

I wish they would stop calling it a 2021...………..with arrivals in 2022 and 2023 and recalls on the top, seems a bit disingenuous. Looking at a car out of Nashville...may re buy a Cayman and drive it for two years instead of wishful hoping having to use a Diesel as a daily driver until Ford gets is shit together.

They are still hoping for more 2021's, because they just don't know.. Don't get me wrong, I think communication have been horrible, and it's a botched launch. Don't get me started on all the previous delays. They cannot provide accurate dates right now. I work for a manufacturing company. A big one, b's not m's. If you have demand for 100% production of X this month, you order 100%. You will get anywhere from 0%, to I don't know, 40%. 60%? Who knows. You can provide someone with a date, but its a moving target. Might get better (unlikely), might get worse. And we are one step closer, we manufacture things, ordering raw materials rather than receiving finished product.
I will say, we do provide dates, and explain that this is very much subject to change. Ford seems to be going the silent route.
No, I do not work for Webasto. Or anything connected to this Bronco process, at least as far as I know. Just trying to get ahead of the trolls
Ford cannot give you a date, as frustrating as that is. Aside from the inexplicable top situation, I don't think they know exactly when or how many constrained items they will get. It is either give a date and go back on it (hmm already tried that route?) Don't give a date and maintain radio silence. If they go option 3 and just admit things are jacked, everyone goes nuts with the confirmation, news media picks it up and stock goes down, etc. No win.

 

[UtahLars]

the idea of benefiting shareholders by giving them the value of another supply company sounded better than what it was considering the lack of customer base.

Spins are usually more about getting rid of a business that is seen to be dragging down the financial results and/or growth of the company - say, one that requires large capex, has high costs, low ROI, low growth prospects, lots of competition with little differentiation and/or a low price to earnings multiple. The idea is that by removing the dog what is left behind is positioned to grow faster and trade at a higher P/E. That helps management drive the financial metrics upon which their incentive pay is usually based.

This is different than the justifications that are given the shareholders, which are generally (1) management "fit and focus" is improved by separating the businesses which will somehow lead to a higher combined value and (2) separation allows specialized shareholder groups to own a business that is more specifically tailored to their investment theses than the combined company, and they will pay a higher P/E multiple for that. Of course, often precisely the opposite story is told when mergers and acquisitions are mooted.

In GM's case, ultimately it made more sense to outsource more because unaffiliated parts specialists, many overseas, had a lower cost basis that it could achieve. A lot of that had to do with legacy labor costs, including costs imposed by the legal regime around unions and pensions in the US. Delphi relieved GM of nearly 40,000 UAW employees, whose earnings averaged $45 an hour at a time when competitor parts companies were paying their employees in the mid $20s.

 

[flip]

The report OP posted is called a AM Preview. I've never looked at it until today but understand what it is now. This breaks down orders in WBDO by vehicle line, body, order number, priority code then lists all of the G codes and the item(s) causing the problem. The "All" weeks may be a default since all of our orders have "All" in that column.

Not going to try to make statements as to what is happening but body codes E5A (2 door) and E5B (4 door) are both Standard 4x4. E5C and E5D are the Advanced 4x4. Almost all of my 2 doors have a constraint on with one of the well known commodity probs (tow, paint protection and modular bumper). Also, 2.7 is showing up a lot as well as 2.3. Is this a function of their powertrain supplier getting a little behind? I don't know. Could be a combo of a few different things but MIC is not called out on this report.

I'm trying to be cautious with my words but I don't think all of this is new or foreshadowing. Something might drop in the near future that I'm not aware of such as 'rona round deaux or one of the up chain suppliers getting behind.

While this report is new here and honestly, to me, I'm not inclined to go full panic yet. We know more shutdowns are probably coming, we know about tops, 2D, commodity restrictions and that we'll likely see more oh sh!ts from the plant based on how things have gone so far.

 

[PrepVet]

The report OP posted is called a AM Preview. I've never looked at it until today but understand what it is now. This breaks down orders in WBDO by vehicle line, body, order number, priority code then lists all of the G codes and the item(s) causing the problem. The "All" weeks may be a default since all of our orders have "All" in that column.

Not going to try to make statements as to what is happening but body codes E5A (2 door) and E5B (4 door) are both Standard 4x4. E5C and E5D are the Advanced 4x4. Almost all of my 2 doors have a constraint on with one of the well known commodity probs (tow, paint protection and modular bumper). Also, 2.7 is showing up a lot as well as 2.3. Is this a function of their powertrain supplier getting a little behind? I don't know. Could be a combo of a few different things but MIC is not called out on this report.

I'm trying to be cautious with my words but I don't think all of this is new or foreshadowing. Something might drop in the near future that I'm not aware of such as 'rona round deaux or one of the up chain suppliers getting behind.

While this report is new here and honestly, to me, I'm not inclined to go full panic yet. We know more shutdowns are probably coming, we know about tops, 2D, commodity restrictions and that we'll likely see more oh sh!ts from the plant based on how things have gone so far.

Thank you for some very solid insight on this.

 

[flip]

Thank you for some very solid insight on this.

Hey, just remember I put the disclaimer in there. I was told a lot of dealers don't even look at this regularly. Not that it's new info. it just lists some of the big things hanging an order up.

 

[Major_Bullsteak]

The report OP posted is called a AM Preview. I've never looked at it until today but understand what it is now. This breaks down orders in WBDO by vehicle line, body, order number, priority code then lists all of the G codes and the item(s) causing the problem. The "All" weeks may be a default since all of our orders have "All" in that column.

Not going to try to make statements as to what is happening but body codes E5A (2 door) and E5B (4 door) are both Standard 4x4. E5C and E5D are the Advanced 4x4. Almost all of my 2 doors have a constraint on with one of the well known commodity probs (tow, paint protection and modular bumper). Also, 2.7 is showing up a lot as well as 2.3. Is this a function of their powertrain supplier getting a little behind? I don't know. Could be a combo of a few different things but MIC is not called out on this report.

I'm trying to be cautious with my words but I don't think all of this is new or foreshadowing. Something might drop in the near future that I'm not aware of such as 'rona round deaux or one of the up chain suppliers getting behind.

While this report is new here and honestly, to me, I'm not inclined to go full panic yet. We know more shutdowns are probably coming, we know about tops, 2D, commodity restrictions and that we'll likely see more oh sh!ts from the plant based on how things have gone so far.

Thanks for the info. Where were you 25 pages ago??

 

[P52Ranch]

The report OP posted is called a AM Preview. I've never looked at it until today but understand what it is now. This breaks down orders in WBDO by vehicle line, body, order number, priority code then lists all of the G codes and the item(s) causing the problem. The "All" weeks may be a default since all of our orders have "All" in that column.

Not going to try to make statements as to what is happening but body codes E5A (2 door) and E5B (4 door) are both Standard 4x4. E5C and E5D are the Advanced 4x4. Almost all of my 2 doors have a constraint on with one of the well known commodity probs (tow, paint protection and modular bumper). Also, 2.7 is showing up a lot as well as 2.3. Is this a function of their powertrain supplier getting a little behind? I don't know. Could be a combo of a few different things but MIC is not called out on this report.

I'm trying to be cautious with my words but I don't think all of this is new or foreshadowing. Something might drop in the near future that I'm not aware of such as 'rona round deaux or one of the up chain suppliers getting behind.

While this report is new here and honestly, to me, I'm not inclined to go full panic yet. We know more shutdowns are probably coming, we know about tops, 2D, commodity restrictions and that we'll likely see more oh sh!ts from the plant based on how things have gone so far.

Yea. It only took 383 posts and 26 pages on this thread to get an answer to questions about the report. Thank you Phil.

 

[Gloff]

Hey, just remember I put the disclaimer in there. I was told a lot of dealers don't even look at this regularly. Not that it's new info. it just lists some of the big things hanging an order up.

That's why I tagged you on it. The Preview means exactly squat this week since there's no scheduling.

 

[flip]

That's why I tagged you on it. The Preview means exactly squat this week since there's no scheduling.

It would be nice if they would just say, powertrain backlog, instead of no scheduling this week.

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