What Would You Do?FORD MOTOR COMPANYDearborn, Michigan. As you look out the window of the “Glass House” headquarters, you comment to yourself that it has not been a fun place to work these past few years. As you contemplate the future opportunities for the company, you are left with the thought that this company will look radically different in the next few years. An icon of U.S. manufacturing, Ford Motor Company has been one of the most prominent automobile producers in the world for almost 100 years. Founded by Henry Ford and eleven business associates in 1903, Ford Motor Company pioneered the moving assembly line, in which workers remained in place performing the same job on each automobile that came down the line. Henry Ford’s vision was the production of cars that were affordable to the masses. Today, Ford’s product lines include Ford, Lincoln, Mercury, Mazda, Aston Martin, Jaguar, Land Rover, and Volvo.Despite the proliferation of nameplates, Ford Motor has been losing money for years, particularly in its North American operations. Ford produces more vehicles than it can sell and does so under very difficult personnel conditions that are part of the industry’s history. The United Auto Workers (UAW) represents most of the company’s production employees, and the contract terms over the years have been designed to provide significant long-term support to those employees. Generous conditions for retirement, benefits, and job protection, developed when the industry was doing well, now weigh down company operations. Another issue that has you concerned is the Premium Automotive Group (PAG), which makes the company’s Aston-Martin, Jaguar, Land Rover, and Volvo brands. Originally intended as the platform for the company to enter the luxury car market, this group has lost billions year after year. Although the company has substantial cash reserves (over $20 billion), operating losses are steadily diminishing the company’s financial safety net.You’ve identified four options for the company. The first is to close down older plants in an effort to realign production and sales. You don’t want to produce more cars than you sell; in fact, it might be good to produce a bit less than you could actually sell. There is an enormous cost to buying out the workers, shuttering the plants, and dealing with the political implications of a closure. Furthermore, you are concerned that a resurgence of buying would leave you with so little capacity that consumers would move to competitors’ products. A second option would be to move the company to produce only smaller cars, eliminating or sharply reducing the SUV and truck lines. This has the advantage of getting back to Henry Ford’s vision for the company as well as dealing quickly with products that are simply not selling in today’s expensive gas environment. Third, you could take the dramatic step of dramatically reducing your North American presence and focus your efforts on international markets where Ford has been very successful. Europe, South America, and China have been very receptive to Ford vehicles and the company is doing well in these markets. The fourth option is to sell the entire PAG group, letting someone else figure out how to make money selling so few vehicles a year. The hand-built PAG automobiles don’t fit the Ford way of doing things anyway.Assignment # 1 – Chapter 5 Case – “Ford Motor Company”You are to write a three to six (3-6) page report that answers the following questions:The case creates four options to choose from. Discuss at least three criteria the company should use to decide which of the four listed options is best and the reasons why each criterion should be used.In light of the possibility that market conditions can and do change, discuss at least three examples of how the company should build-in flexibility to back-up its decision-making process.Discuss how an effective action plan can be created and how progress can be monitored.List at least three steps that make-up a workable plan and explain why each is important.Discuss the option or combination of options you selected as the best course of action for Ford Motor Company and detail your reasons for selecting that option or combination of options.The format of the report is to be as follows:Typed, double spaced, Times New Roman font (size 12), one inch margins on all sides, APA format.Type the question followed by your answer to the question.In addition to the three to six (3-6) pages required, a title page is to be included. The title page is to contain the title of the assignment, your name, the instructor’s name, the course title, and the date.NOTE: One of the criteria that you will be graded on is the quality of your answers, the logic/organization of the report, your language skills, and your writing skills.The assignment will be graded using the following rubric:Outcomes AssessedExplain the multiple aspects of the managerial planning process and the application of various business and corporate level strategies. Use technology and information resources to research issues in management. Grading Rubric for Assignment # 1 – “Ford Motor Company”Criteria 0Unacceptable 20Developing 30Competent 40Exemplary1. Discuss at least three criteria the company should use to decide which of the four listed options is best and the reasons why each criterion should be used. Did not complete the assignment or insufficiently discussed at least three criteria the company should use to decide which of the four listed options is best and the reasons why each criterion should be used; omitted key information and/or included irrelevant information. Discussed partially 1-2 criteria the company should use to decide which of the four listed options is best and the reasons why each criterion should be used; omitted key information. Discussed with 60 – 79% accuracy and thoroughness. Discussed sufficiently 2-3 criteria the company should use to decide which of the four listed options is best and the reasons why each criterion should be used. Discussed with 80 – 89% accuracy and thoroughness. Discussed fully 3 or more criteria the company should use to decide which of the four listed options is best and the reasons why each criterion should be used. Discussed with 90 – 100% accuracy and thoroughness.2. Discuss at least three examples of how the company should build-in flexibility to back-up its decision-making process. Did not complete the assignment or insufficiently discussed at least three examples of how the company should build-in flexibility to back-up its decision-making process; omitted key information and/or included irrelevant information. Discussed partially 1-2 examples of how the company should build-in flexibility to back-up its decision-making process; omitted key information. Discussed with 60 – 79% accuracy and thoroughness. Discussed sufficiently 2-3 examples of how the company should build-in flexibility to back-up its decision-making process. Discussed with 80 – 89% accuracy and thoroughness. Discussed fully 3 or more examples of how the company should build-in flexibility to back-up its decision-making process. Discussed with 90 – 100% accuracy and thoroughness.3. Discuss how an effective action plan can be created and how progress can be monitored. Did not complete the assignment or insufficiently discussed how an effective action plan can be created and how progress can be monitored; omitted key information and/or included irrelevant information. Discussed partially how an effective action plan can be created and how progress can be monitored; omitted key information. Discussed with 60 – 79% accuracy and thoroughness. Discussed sufficiently how an effective action plan can be created and how progress can be monitored. Discussed with 80 – 89% accuracy and thoroughness. Discussed fully how an effective action plan can be created and how progress can be monitored. Discussed with 90 – 100% accuracy and thoroughness.4. List at least three steps that make-up a workable plan and explain why each is important. Did not complete the assignment or insufficiently listed at least three steps that make-up a workable plan and explain why each is important; omitted key information and/or included irrelevant information. Listed partially 1-2 steps that make-up a workable plan and explained partially why each is important; omitted key information. Completed with 60 – 79% accuracy and thoroughness. Listed sufficiently 2-3 steps that make-up a workable plan and explained sufficiently why each is important. Completed with 80 – 89% accuracy and thoroughness. Listed fully 3 or more steps that make-up a workable plan and explained fully why each is important. Completed with 90 – 100% accuracy and thoroughness.5. Discuss the option or combination of options you selected as the best course of action for Ford Motor Company and detail your reasons for selecting that option or combination of options. Did not complete the assignment or insufficiently discussed the option or combination of options selected as the best course of action for Ford Motor Company and detailed reasons for selecting that option or combination of options; omitted key information and/or included irrelevant information. Discussed partially the option or combination of options selected as the best course of action for Ford Motor Company and detailed reasons for selecting that option or combination of options; omitted key information. Discussed with 60 – 79% accuracy and thoroughness. Discussed sufficiently the option or combination of options selected as the best course of action for Ford Motor Company and detailed reasons for selecting that option or combination of options. Discussed with 80 – 89% accuracy and thoroughness. Discussed fully the option or combination of options selected as the best course of action for Ford Motor Company and detailed reasons for selecting that option or combination of options. Discussed with 90 – 100% accuracy and thoroughness.6. Clarity Did not complete the assignment or explanations are unclear and not organized. (Major issues) Explanations generally unclear and not well organized. (Many issues) Explanations generally clear and/or organized. (Minor issues) Explanations very clear and well organized.(Added helpful details.)7. Writing – Grammar, sentence structure, paragraph structure, spelling, punctuation, APA usage. Did not complete the assignment or had 8 or more different errors in grammar, sentence structure, paragraph structure, spelling, punctuation, or APA usage. (Major issues) Had 6 – 7 different errors in grammar, sentence structure, paragraph structure, spelling, punctuation, or APA usage. (Many issues) Had 4 – 5 different errors in grammar, sentence structure, paragraph structure, spelling, punctuation, or APA usage. (Minor issues) Had 0 – 3 different errors in grammar, sentence structure, paragraph structure, spelling, punctuation, or APA usage.