Photo: Ford
Since the debut of the chip crunch in 2020, the carmakers out there have tried all kinds of approaches to reduce the disruptions caused in their manufacturing operations.
At first, most of them turned to temporary halts of the production at certain facilities. Then, they switched to building vehicles and keeping them parked until the necessary chips were delivered by suppliers.
Some ended up shipping vehicles without certain non-critical systems, while others decided to wait a little bit longer until the required chips became available.
Ford is one of the companies that turned to this strategy, with the company building a large inventory of vehicles that are now sitting and waiting to get their chips.
In the latest earnings call with analysts, John Lawler, the company’s Chief Financial Officer, actually provided a clearer picture of the existing inventory of unfinished vehicles.
Lawler says Ford currently has “about 53,000 vehicles on wheels, completed but awaiting installation of components affected by the semiconductor supply shortage.”
The Ford executive later revealed that the F-Series and the Explorer are among the models that are part of this sitting inventory.
Ford has recently revealed another strategy to deal with the chip shortage, as the company says it’s directing all of its resources to its most profitable models. In other words, the models that are bringing home the bacon are getting the necessary chips, while those that are selling in small volumes would wait for even more for the semiconductors they need to power certain systems.
You don’t have to be a rocket scientist to figure out what are Ford’s most profitable models, as the lineup includes the F-150, the Explorer, and the Mustang Mach-E. But on the other hand, those who ordered a less popular model would have to wait for even more to get their hands on their vehicle, with some customers claiming the waiting times are now reaching 9 to 12 months.
Some ended up shipping vehicles without certain non-critical systems, while others decided to wait a little bit longer until the required chips became available.
Ford is one of the companies that turned to this strategy, with the company building a large inventory of vehicles that are now sitting and waiting to get their chips.
In the latest earnings call with analysts, John Lawler, the company’s Chief Financial Officer, actually provided a clearer picture of the existing inventory of unfinished vehicles.
Lawler says Ford currently has “about 53,000 vehicles on wheels, completed but awaiting installation of components affected by the semiconductor supply shortage.”
The Ford executive later revealed that the F-Series and the Explorer are among the models that are part of this sitting inventory.
Ford has recently revealed another strategy to deal with the chip shortage, as the company says it’s directing all of its resources to its most profitable models. In other words, the models that are bringing home the bacon are getting the necessary chips, while those that are selling in small volumes would wait for even more for the semiconductors they need to power certain systems.
You don’t have to be a rocket scientist to figure out what are Ford’s most profitable models, as the lineup includes the F-150, the Explorer, and the Mustang Mach-E. But on the other hand, those who ordered a less popular model would have to wait for even more to get their hands on their vehicle, with some customers claiming the waiting times are now reaching 9 to 12 months.
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