Bridgestone / Firestone, Inc., Paper Company Overview Bridgestone/Firestone, Inc., a subsidiary of Bridgestone Corporation, was formed in when Bridgestone U.S.A. Merged with The Firestone Tire & Rubber Company. In addition to tires, Bridgestone/Firestone produces a variety of products including air, building materials, synthetic and natural rubber, and fibers and textiles. The Nashville, Tennessee-based company has over 38 QS9000/ISO9000 Certified production facilities throughout the, along with numerous international facilities throughout the. Firestone’s company is derived from a blend of Japanese and methods, with a focus on providing products. In the of the former of Bridgestone and Firestone, Bridgestone/Firestone strives to “Serve with Products of Superior Quality” and to be the “?
Still Better Tomorrow.” Bridgestone/Firestone is best known for it’s production of tires ( than 8,000 different types and sizes), which account for more than 75 percent of its annual revenues. As a in world tire, Firestone utilizes centers in three countries and testing centers around to develop, manufacture and tires for almost every kind of vehicle. (Bridgestone/Firestone Profile) Strengths Bridgestone/Firestone finds much of its strength in having “one of the richest tire makers in the world as its parent” (Chappell, 09/11/00).
Bridgestone Corporation has been around since 1931 and has established itself as a well-known international manufacturer of tires, rubber products, automotive products, products, sporting goods, and other products (Bridgestone Annual, 1999). The and prestige of having Bridgestone as a gives Firestone an extra edge in the market.
One of Firestone’s biggest strengths is the fact Firestone’s passenger vehicle trade is not the part of Bridgestone Corp’s world profit picture. Roughly 60% of Bridgestone’s North profits came from the sale of heavy-duty truck tires. Firestone has share of market, and the Bridgestone brand holds another 6.5 percent share. Another strength for Firestone is its well-established brand name.
According to an Automotive, the Firestone brand is “positioned in such a way that even a major decline in its original-equipment automotive would not necessarily sink it” (Chappell, 09/11/00). Fact is essential to the of the company should the Firestone tire disappear as a result of the current fiasco.
Bridgestone/Firestone has also signed a with of Inc. Firestone has previously supplied approximately 75 percent of the tires to be put Honda manufactured in Ohio and Alliston, Ontario. Dunlop Tire Corporation supplied the other 25 percent. Will equip all new Civics from those with Firestone tires. Not only add to Bridgestone/Firestone’s revenues, but it also shows that Honda has in Firestone’s ability to produce quality tires (Chappell, 09/15/00). Bridgestone/Firestone also has a deal with Corporation to equip every Saturn with Firestone tires.
Kertas kerja program inklusif pendidikan khas. Some Saturn dealers say that have asked the but that have not stopped buying them of the recall. A spokeswoman for Saturn says that are not even considering choosing a different supplier. This, along with the Honda deal and a strong to helps Bridgestone/Firestone’s in that it shows that Firestone’s non-Ford customers have in the Firestone brand (Chappell, 09/11/00).
Another important strength for Bridgestone/Firestone is the fact that have survived another big recall in the. In 1978, the National Highway Admininstration forced the company, then know as Firestone Tire and Rubber Co., to recall nearly 13 tires. That recall involved the Firestone 500-series radial passenger car tires. The 1978 recall “remains the single largest product-safety action in automotive history” (, 09/16/00). Are many between the current recall and the 1978 recall. Both involved long strips of tread separating from the tires, apparently a result of a breakdown of the adhesion among the layers of the tires.
Bridgestone Firestone Employee Website
Until the recent problems began at Bridgestone/Firestone, Firestone tires were among the top selling tires. Problems/Weaknesses Problems at Bridgestone/Firestone have recently become some of the top headlines.
The three most pertinent areas of controversy include and plant safety, production problems, and the current tire recall. Threats of a union strike back in September brought to issues involving poor at Bridgestone/Firestone.
According to observers, has been a “long of labor trouble at the company – and in the tire in general” (, 09/04/00). The United Steelworkers of America had threatened to strike at nine of the Bridgestone/Firestone plants if an could not be reach by September 1,. Allegations have been made that faulty tires were made at a plant that was replacement. On September 21, however, Bridgestone/Firestone announced that three covering those nine plants had been ratified by the union (Bridgestone/Firestone Corporate News). Despite the resolution, Firestone is still in need of improving relations with its.
Working conditions and plant safety is another area that needs improvement. A series of at Firestone plants has also caused problems for Bridgestone/Firestone. One worker in an Oklahoma City plant died when the tire-assembly machine he was working on turned on and crushed his head. Two welders also died in oil explosions at a factory in in 1994. Two plants in Tennessee were given citations by state OSHA officials that year for “failing to ensure that was disconnected from its source before repairs” (, 09/18/00).
The recent recall of certain Firestone tires is definitely the company’s biggest problem. The recall began on August 9, 2000, and applies to the Radial 9235/75R15 ATX, ATXII, and Wilderness tires. The ATX and ATXII tires were produced at plants in the U.S., and; the Wilderness tires come from the Decatur, Illinois plant.
As of October 16, 2000, 119 deaths in the U.S. Have resulted from problems with these Firestone tires. Experts say there may be as many as 250 deaths and over 3,000 injuries related to the recall. Accidents occur when layers of tread peel off from the tires, often causing the vehicle to roll over.
These accidents have occurred most often with Explorers equipped with Firestone tires. “Ford officials estimate the defect rate is 241 tires per million for 15-inch ATX and ATXII tires” (Firestone Tire Recall Legal Center). The of the tread separation is still a source of controversy for Bridgestone/Firestone. Bridgestone/Firestone denies that the tires are defective. Firestone also claims that high temperatures and high speeds encourage the tread separation, speculating that consumers may be at fault.
High heat and humidity in some of may also have caused the breakdown of the. The lack of air conditioning in some areas has been linked to the corrosion of the brass-coated steel in the steel-belted radials. Prior to the official recall of the Firestone tires, former at the Decatur plant gave depositions regarding the allegations against Bridgestone/Firestone. Each of the employees had worked at the plant for over 30 years and had retired after a bitter strike in the mid-1990’s.
The employees that outdated materials were used to make tires, that often encouraged shoddy practices such as bursting bubbles in the tires to cover up the, and that emphasis was placed on production rather than quality. One of the employees had been an inspector at the plant and claims that high production quotas made it difficult to sufficiently inspect the tires before they left the plant.
He also claims that the “green tire,” the carcass of the tire on which the steel belts and treads were applied, were often set on the ground, causing debris to stick to the green tire and up in the final product. Claims were also made that the chemical used refresh the adhesiveness may actually have directly caused damage to the rubber (United International, 08/14/00). Opportunities Because Bridgestone/Firestone is not dependent on its original-equipment business for its survival, Firestone’s is not as dismal as some may think. Sales of heavy-duty truck tires account for more profits than the passenger car tire sales. Also, if Firestone’s North American business suddenly plummeted, the excess capacity could be aimed toward, Bridgestone has been increasingly picking up market share. Threats As a result of the many problems that Firestone has a number of have. Firestone’s competitors are rapidly increasing production to grab replacement business.
On September 29, 2000, Ford decided to equip the 2002 Explorer with Michelin tires rather than Firestone tires. Ford eventually plans on letting dealers and customers choose of tires they want on their vehicles. The is becoming increasingly skittish about any of Firestone’s tires although the vast majority of them are safe. The public only sees this as a Firestone problem and not as an isolated incident of production. These threats are imperatively damaging to Firestone’s and business transactions. Recommendations We recommend that Firestone take specific steps to accomplish faith and quality back to their consumers. Firestone will need to focus on the market as a major buyer of their products and emphasize the passenger car market.
Working to build better OEM relations and upgrading plants will not only push them to better technology but will create a “checks and balances” type. They will need to from the bottom up, creating new to coexist with the upgrade of the plant. We recommend for their relations with consumers to concentrate on rebuilding market share in the U.S. By initiating a PR campaign that brings to light Firestone’s ISO 9000 certification and focus on product quality and safety. Implementation Years 1-5 Car manufacturers account for a large portion of the tire market. For this we feel that Firestone should to build better OEM relations. This will help Firestone to maintain its profits and market share while going through this turbulent stage.
This should be pursued throughout the implementation and may become a permanent part of Firestone’s program. Years 1-4 We feel that Firestone should implement these over a five-year.
The first step in implementing these changes will be to focus on the European market where Firestone has seen an increase in market.Firestone’s problems have received much less publicity in the European market and the potential for increasing market share is much better than in market. While focusing on the European market, emphasis should be moved from the light truck market to the passenger car market. Firestone’s recent problems have been confined to their light truck tires with no damage done to their reputation as a quality passenger car tire manufacturer.
Firestone’s growth potential lies in the passenger car section of the European market. Years 2-4 These changes should be implemented in years 2 through 4.
This should allow Firestone enough to secure the required for this phase of the implementation process. The next step in the implementation process is to upgrade outdated machinery in existing plants. This will help to insure that problems with product quality do not arise in. This may also to a reduction in manufacturing costs and increased profitability. As plants are upgraded, an effort should be made to rewrite plant procedures from the bottom up. A “bottom up” process should help to increase and result in a higher quality product. This may also help Firestone avoid future labor relation problems.
Year 5 We feel that over the next five years the recall be by most US consumers and Firestone can begin to rebuild market share in the US. This will be done through a massive PR campaign. The campaign should focus on Firestone’s ISO 9000 certification, product quality and safety. Educating consumers on the level of quality needed to attain an ISO 9000 certification should help to alleviate consumer doubts on Firestone’s product quality.
Other measures taken to increase product quality, such as plant remodeling, should also be focused on. Through out this “rebuilding” process a panel of from Firestone’s financial, manufacturing, marketing, and departments will be appointed to oversee and evaluate each stage.
This team will make quarterly assessments of the plan’s and results, which will be to the company’s senior executives. They should also make recommendations as to any modifications that should be made to the plan. Bibliography Sources: Chappell, Lindsay. Automotive News, 2000 v75 i5893 p46.
“Analysts: Future OK for Firestone.” Chappell, Lindsay. Automotive News, September 11, 2000 v75 i5893 p47. “Firestone’s Non-Ford Customers Show Little Concern Over Recall.” Chappell, Lindsay. Automotive News, September 25, 2000 v75 i5895 p8. “More Firestones for Honda Civic” “3 suppliers may sell tires for next Explorer.” Automotive News, Sept 4, 2000 v75 i5892 p8.
“The tire flap: feeding frenzy.” Business Week, October 16, 2000 i3703 p126. Firestone Tire Recall Legal Information Center, Grimaldi, James V. And Caroline Mayer, Post, “4 Former Firestone Workers Deposed,” August 24, 2000, pE01. National, September 16, 2000 v32 i38 p2896. “Firestone’s Other Tire Debacle.” “A Company Under: Did Firestone do Enough to Protect Its Own Workers?,” Newsweek, September 18, 2000 p30.
“Ford, Fireston knew of tire problems for years.” United Press International, September 29, 2000 p10. “Testimony Indicates at Firestone,” United Press International, August 14, 2000 p10. Automotive News, September 4, 2000 v75 i5892 p8. “Labor Unrest Adds to Bridgestone/Firestone’s Problems”.
Bridgestone/Firestone Company Overview Bridgestone/Firestone, Inc., a subsidiary of Bridgestone Corporation, was formed in 1990 when Bridgestone U.S.A. Merged with The Firestone Tire & Rubber Company. In addition to manufacturing tires, Bridgestone/Firestone produces a variety of products including air springs, building materials, synthetic and natural rubber, and industrial fibers and textiles. The Nashville, Tennessee-based company has over 38 QS9000/ISO9000 Certified production facilities throughout the Americas, along with numerous international facilities throughout the world.
Firestone's company philosophy is derived from a blend of Japanese and Americans methods, with a focus on providing quality products. In the words.
This fact is essential to the survival of the company should the Firestone tire business disappear as a result of the current recall fiasco. El poder del discurso materno laura gutman libro pdf. Bridgestone/Firestone has also signed a new deal with Honda of America Manufacturing Inc. Firestone has previously supplied approximately 75 percent of the tires to be put on the Honda Civics manufactured in Ohio and Alliston, Ontario. Dunlop Tire Corporation supplied the other 25 percent. The new deal will equip all new Civics from those plants with Firestone tires.
Not only does this add to Bridgestone/Firestone's revenues, but it also shows that Honda has confidence in Firestone's ability to produce quality tires (Chappell, 09/15/00). Bridgestone/Firestone also has a deal with Saturn Corporation to equip every Saturn with Firestone tires. Some Saturn dealers say that customers have asked about the recall but that customers have not stopped buying them because of the recall. A spokeswoman for Saturn says that they are not even considering choosing a different supplier. This, along with the Honda deal and a strong commitment to Toyota helps Bridgestone/Firestone's image in that it shows that Firestone's non-Ford customers have faith in the Firestone brand (Chappell, 09/11/00). Another important strength for Bridgestone/Firestone is the fact that they have survived another big recall in the past.
Bridgestone Firestone Benefits
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Still reeling from a huge tire recall and the end of its long relationship with the Ford Motor Company, Bridgestone/Firestone Inc. Said today that it planned to close one of its biggest tire factories.
Bridgestone Firestone Employee Insurance
The factory, in Decatur, Ill., was singled out last August when Firestone recalled about 6.5 million tires after growing concerns about crashes of Ford Explorers equipped with its products. About 1,500 employees, mostly union workers and many with more than 20 years of experience, will probably lose their jobs. The closing of the plant, which can produce more than seven million tires a year and accounts for 10 percent of the company's production, underscores just how difficult business has become for Bridgestone/Firestone, which is facing an industrywide downturn and persistent questions about the safety of its tires. Company officials said the decision to close the factory was driven solely by economics and not because Decatur had once been cited as a major source of problem tires.
The company said that it had too much capacity and that Decatur was the oldest of its eight plants and would be the most expensive to upgrade. Firestone spent about $60 million in improvements for the sprawling plant in recent years. At a news conference in Tokyo today, where the plant closing was first announced, Hiroshi Kanai, the managing director in charge of finance at Bridgestone, said it would be too costly to retain a 59-year-old plant. 'You are talking about a plant where if you don't do anything, the roof will fall down,' he said. Bridgestone/Firestone said it would take a $210 million charge to cover the cost of closing the Decatur factory. To complete the shutdown by December, as planned, the company must negotiate terms with the United Steelworkers of America, which represents the tire makers.
Bridgestone/Firestone laid off about 1,100 factory workers, or about 10 percent of its work force in the United States, seven months ago. And a month ago, Ford announced that it would spend $3 billion to replace about 13 million Firestone tires because of safety concerns. Ford's action led to a sharp rebuke from Firestone, which insists its tires are safe. Firestone executives said Ford ignored evidence that indicated the instability of the Ford Explorer played a crucial role in bringing about 174 deaths in numerous accidents the last few years. Firestone also decided to stop selling tires to Ford, ending a century-old relationship.
Because of the corporate breakup, demand for Firestone tires has plummeted, and consumers appear to be losing confidence in the Firestone brand. Wall Street analysts said they had been bracing for today's announcement. 'I always thought that from the time Firestone severed its relations with Ford that at least one plant had to go,' said Stephen Haggerty, a tire industry analyst at Merrill Lynch. 'My sense is the Firestone brand is weakening in the replacement market, and this could lead to the need for a second plant's closing.' ' Bridgestone/Firestone, which is based in Nashville, has said it has no plans to abandon the Firestone brand. Advertisement Company officials also say the Decatur closing will improve efficiency at some of the company's seven other tire plants in the United States. The steel workers union said today that it would try to prevent the plant's closing.
But union officials were not optimistic. 'We would like to avert a shutdown, but if we can't, we'd like to negotiate the best package we can,' said Roger Gates, president of the United Steelworkers Local 713 in Decatur. Several workers said they were unfairly blamed.
'I kind of saw this coming,' said Randy Adkins, a 49-year-old tire maker who has worked at the plant for 29 years. 'I've been preparing myself. I wanted to get to 30 years and then get out because the 12-hour days have not been good for anyone. And that's taxing.' Gates said that the workers were simply the lowest on the totem pole.
'Ford put the blame on Firestone and then Firestone scapegoated the Decatur plant,' Mr. 'And now, we're the ones who pay the piper.'
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