[CS] - Ford Assembly Plant, Wayne

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7 Terms

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[Intro] What and where is the Ford Assembly Plant?

A manufacturing industry that produces automobiles in Wayne, Michigan

→ It is an area w/ long history of manufacturing, with a highly skilled workforce, abundant natural resources, and well-developed transportation infrastructure.

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What are the inputs of the Ford Assembly Plant?

1) Raw materials - steel, aluminium, & plastic

2) Auto parts - engines & electrical systems

3) Energy supply - electricity, natural gas, & other fuels to power manufacturing process

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What are the processes of the Ford Assembly Plant?

1) Stamping

2) Welding

3) Painting

4) Final assembly

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What are the outputs of the Ford Assembly Plant?

Main: automobiles

2) By-products

3) Waste materials (scrap metals, wastewater)

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[P1 - Educated labour pool] - Why does this influence their decision to locate here?

P: There are many colleges & universities nearby in Detroit, creating a skilled & educated labour pool

E: An example is Wayne State University, which provides engineering courses - equipping skills to work in Ford Assembly Plant

E: This provides a steady supply of workers to be recruited to assemble vehicle parts, operate machinery etc.

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[P2 - Raw materials] - Why does this influence their decision to locate here?

P: The Ford Assembly Plant receives raw materials from over 2600 Michigan suppliers, (e.g. steel, aluminium, automotive parts)

E: An example is Wescast Industries, which supplies exhaust manifolds for Ford’s vehicles

E: Proximity to these suppliers reduce transportation costs & bulky so easier to deliver back to factory

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[P3 - Markets] - Why does this influence their decision to locate here?

P: The Detroit area is a significant market due to its large population & financial stability, where Ford can sell its cars via dealerships

E: 4.34 million people who have an median household income of ~USD 57,000

→ large clientele capable of affording & high demand for cars

E: Market’s proximity to the factory reduces transportation costs & accessible routes (e.g. highways)

→ quicker delivery to consumers