Ford Slashes Vehicle Configurations

Ford Motor Co. is reducing the number of available order configurations on some of its top-selling models by at least 70%--and in some cases by more than 95%.

The initiative is part of Ford’s previously announced plans to eliminate $25.5 billion in costs within five years, which includes paring the number of vehicle platforms from nine to five.

One of the biggest reductions is the Fusion sedan, which has plunged from as many as 2,000 configurations to about 30—and just 12 for 85% of U.S. dealers—in recent months. Joe Hinrichs, Ford's president of global operations, says the move cut delivery time for dealer orders from Ford’s plant in Hermosillo, Mexico, from 80 days to as few as 30.

Similarly, the number of orderable combinations on the next-generation Escape crossover vehicle is expected to drop from more than 1,000 to about 25. Hinrichs says this will save $70 per vehicle by improving painting operations and overall vehicle sequencing.

Ford is standardizing some features to reduce complexity. For example, the all-new Explorer SUV due next year will get standard blind-spot monitoring and gloss black mirror caps instead of body-matching paint. This will reduce the number of exterior mirror configurations on the vehicle to 25 from 139 on the current model.

To lower homologation costs, Ford also plans to stop offering the Explorer in countries where annual sales for the vehicle are fewer than 100 units. Among the affected countries are Cuba, Egypt, Iceland, Iraq, Mongolia and Thailand.