You choose, we deliver
If you are interested in this story, you might be interested in others from The Journal Gazette. Go to www.journalgazette.net/newsletter and pick the subjects you care most about. We'll deliver your customized daily news report at 3 a.m. Fort Wayne time, right to your email.

Business

  • Ford's sleek new pony off and running
    Ford began production of the all-new 2015 Mustang on Thursday, and if it sells well the Flat Rock, Michigan, assembly plant could add a third shift.There are some hurdles to overcome first.
  • Consumer spending drops as car sales stall
    WASHINGTON – U.S. consumer spending fell in July, with a drop in auto purchases accounting for most of the weakness. Income growth also slowed.Consumer spending edged down 0.1 percent last month after a 0.
  • Soaring stocks, dueling forecasts
    NEW YORK – Is it time to cash out of stocks?The market has nearly tripled in a little over five years, and the Standard & Poor’s 500 index closed above 2,000 for the first time on Tuesday.
Advertisement
McClatchy-Tribune
Alan Mulally says he will remain involved with Ford Motor Co. after his retirement Tuesday as CEO of the second-largest U.S. automaker.

Mulally says Ford ‘just getting started’

– Outgoing Ford CEO Alan Mulally says he’ll continue to advise his successor, Mark Fields, and will remain in touch with the company after he steps down next month.

“I’m going to stay close to Ford going forward,” Mulally said in an interview with Matt Miller on Bloomberg Television.

“Mark would like to call me and I said, ‘Absolutely, any time.’”

Mulally, 68, declined to reveal what else he’ll do after retiring from the second-largest U.S. automaker. Last month, Ford said Mulally had decided to depart six months earlier than planned to make way for Fields, 53, chief operating officer and a 25-year veteran of the company.

Mulally has been lining up a corporate position, probably as a board director or chairman, people with knowledge of his plans have said.

“I’ve fallen in love with Ford, it’s a great company,” Mulally said in the interview, which followed his final town hall meeting Monday with employees at the automaker’s headquarters in Dearborn. “I’ll maintain many of the great relationships I have.”

Mulally, who came to Ford from Boeing in 2006, engineered a turnaround at the automaker and avoided the bankruptcies and bailouts that befell General Motors and Chrysler.

He created a collaborative culture, gathering top executives for a mandatory meeting every Thursday morning, where they were required to hash out problems and find solutions together.

“It’s served everybody well,” Mulally said. “And I think Mark is going to continue those major processes.”

Asked if that approach would work at other companies or government agencies, Mulally said: “That works in profit, nonprofit, any organization that is trying to deliver something that is really important.”

Mulally, who retires Tuesday, said he’s contemplating important issues facing society. Asked by Miller whether he would consider a job such as head of the Department of Veterans Affairs, which has a $160 billion budget and is the fifth-largest of any federal agency, he wouldn’t say.

Eric Shinseki resigned as secretary of the department on May 30 after an internal audit found systemic mismanagement and delays in medical care for U.S. military veterans.

“What I’d like to do is call you on July 2 and tell you what I’m thinking about,” Mulally said. “And I’ll probably call you from a Starbucks.”

Under his stewardship, Ford earned $42.3 billion in the past five years after losing $30.1 billion from 2006 to 2008.

Surging sales of Escape SUVs, F-Series pickups and Fusion sedans drove up Ford’s U.S. sales 11 percent last year. In China, the world’s largest car market, Ford now outsells Toyota.

Fields, also replacing Mulally on Ford’s board, became an early acolyte of Mulally’s culture of collaboration and candor. Before becoming COO in 2012, he revived Ford’s North America business, which earned a record operating profit of $8.78 billion last year.

Mulally, who was among the candidates late last year to be the new CEO of Microsoft Corp., said in January that he would stay at Ford through the end of 2014.

At the town hall meeting, attended by Fields and Executive Chairman Bill Ford, Mulally received a prolonged standing ovation.

Ford will play a role in addressing the biggest challenges the world faces, such as economic development, congestion and pollution, Mulally said.

“We’re going to continue to see a very large migration into the larger cities worldwide,” Mulally said. “Personal mobility and integrated transportations systems, I think that’s going to continue to be very, very important. And Ford, as a transportation technology company, has such a great opportunity to serve in that way.”

In describing Ford’s opportunities, Mulally said, “We’re just getting started.”

Advertisement