Commenting on Sid Mookerjee’s Post on Fords Future Plans

Ford is back at it. The original inventor of the assembly line is working tirelessly to cut costs, increase revenue, increase job satisfaction, increase supply, and create producer and consumer surplus. Ford pushes to increase production to reach optimal efficiency at the minimum efficiency scale. They plan to do so through the addition of new factories, technological advances, and longer working hours. As Sid Mookerjee points out the increase in working hours, especially in a factory environment, can have a detrimental toll on the employees. It could greatly hurt their overall productivity as well as limit quality control, something Ford prides itself on.  Mr. Mookerjee spoke briefly about the possibility of workers demanding extra pay. This would increase costs and completely undermine the entirety Fords plan. The plan to increase production by a third is certainly a radical one and will take a great amount of effort by both the top management as well as factory workers. I agree with Mr. Mookerjee when he states that, “Ford needs to consider the ethical implications of such a move.” By increasing production at such a rapid pace, employee job satisfaction will certainly decrease as a result of long weeks and lower quality work. The working environment is sure to go down at Ford. The questions is, is this the right move for Ford?  Will this shift increase total profit or just hinder the driving force behind the firm’s production.

Image: http://www.hhca.ca/14661/discovery-ford

https://blogs.ubc.ca/sidmookerjee/

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