Ford Pinto
Ford Pinto - Executive Summary
MGT216
12/06/2010
Executive Summary Ford Motor Company introduced the Ford Pinto into the consumer market place and the end result was profit over human life. Ford Motor Company analyzed the cost of replacing an inexpensive part and found that it was cheaper to pay for suits resulting in accidental deaths and injuries. This summary will provide details and the factors surrounding the Ford Pinto case, the results of the production of the car and how Ford Motor Company changed its mission, values and guiding principles. The Ford Motor Company created what they felt would bring them a lot of profit, and in the end cost them more that just money, but their reputation.
People are faced with making …show more content…
Ford Motor Company manufactured supposedly an affordable car for the typical American. Unfortunately safety issues were overlooked which could have prevented the loss of innocent lives. An internal corporate struggle between two executives on which vehicles to market for the company and keeping up with the foreign competition, resulted in not only financial losses but the loss of human lives due to corporate greed. (De George, 2010 p. 13).
Ford’s production of the Pinto was solely responsible for injuries and deaths which resulted in lawsuits. Ford’s approach on handling business matters was about the bottom line. They overlooked standards and neglected the customer. These actions tainted there reputation. Senior executives, like Lee Iaccoca should have taken the utilitarianism approach of making an ethical decision of producing the Pinto with the appropriate parts, making it safe. Instead they took the short cut by literally cutting corners in making this vehicle for company profit.
As Ford stated in their Mission Statement, “Our mission is to improve continually …show more content…
Ultimately it cost them, what is really astounding is the corporate culture which allowed for this to happen. I was raised to honor and value lives, and to think of the end results. There is no price for a human life, even though Ford felt there was a price!” “I say honesty and integrity earns the trust of the consumers. I also think that honesty builds strong working relationships between companies and consumers. Effective communication is important especially working in getting the message or information across and has to be clear and concise. Ford overlooked standards and was focused on making a quick buck. They tainted their reputation and in the end were dishonest and showed lack of integrity.” Ford Motor Company paid a hefty price for its lack of integrity, ethics and values. A business must have these qualities in order to survive and remain competitive, as individuals our team agreed on these qualities and felt that Ford was completely wrong. In the end there is no price for the loss of human life, and that should be what matters in
MGT216
12/06/2010
Executive Summary Ford Motor Company introduced the Ford Pinto into the consumer market place and the end result was profit over human life. Ford Motor Company analyzed the cost of replacing an inexpensive part and found that it was cheaper to pay for suits resulting in accidental deaths and injuries. This summary will provide details and the factors surrounding the Ford Pinto case, the results of the production of the car and how Ford Motor Company changed its mission, values and guiding principles. The Ford Motor Company created what they felt would bring them a lot of profit, and in the end cost them more that just money, but their reputation.
People are faced with making …show more content…
Ford Motor Company manufactured supposedly an affordable car for the typical American. Unfortunately safety issues were overlooked which could have prevented the loss of innocent lives. An internal corporate struggle between two executives on which vehicles to market for the company and keeping up with the foreign competition, resulted in not only financial losses but the loss of human lives due to corporate greed. (De George, 2010 p. 13).
Ford’s production of the Pinto was solely responsible for injuries and deaths which resulted in lawsuits. Ford’s approach on handling business matters was about the bottom line. They overlooked standards and neglected the customer. These actions tainted there reputation. Senior executives, like Lee Iaccoca should have taken the utilitarianism approach of making an ethical decision of producing the Pinto with the appropriate parts, making it safe. Instead they took the short cut by literally cutting corners in making this vehicle for company profit.
As Ford stated in their Mission Statement, “Our mission is to improve continually …show more content…
Ultimately it cost them, what is really astounding is the corporate culture which allowed for this to happen. I was raised to honor and value lives, and to think of the end results. There is no price for a human life, even though Ford felt there was a price!” “I say honesty and integrity earns the trust of the consumers. I also think that honesty builds strong working relationships between companies and consumers. Effective communication is important especially working in getting the message or information across and has to be clear and concise. Ford overlooked standards and was focused on making a quick buck. They tainted their reputation and in the end were dishonest and showed lack of integrity.” Ford Motor Company paid a hefty price for its lack of integrity, ethics and values. A business must have these qualities in order to survive and remain competitive, as individuals our team agreed on these qualities and felt that Ford was completely wrong. In the end there is no price for the loss of human life, and that should be what matters in