Table of Contents
I. Introduction....................................................................................................................2
II. Market Analysis........................................................................................3
1. Technology and Digitalization..................................................................3
Cyber-attack...............................................................................................3
2. Stress and coping in the workplace..........................................................4
Psychological distress (PD).......................................................................4
III. Resource Analysis.....................................................................................5
1. Security Development Lifecycle (SDL)....................................................5
2. Integrating external EAP.........................................................................6
IV. Conclusion................................................................................................7
V. Reference.....................................................................................................8
VI. Appendix.................................................................................................12
Strategy
I. Introduction report
Ford Motor is car manufacturer based in Detroit that has escalated to become a giant in the
cluster since its inception in 1903, thanks to Ford’s extraordinary navigation of succession of
technological discontinuity and dominant designs (Ford Motor n.d; Minin, Ferrigno and Zordan
2019). As one of the dominant players in the automotive industry, Ford possessed a 5.1%
market share worldwide taking the 4th position with a revenue of approximately 121 billion USD
in fiscal 2020 (Statista 2021). In fact, referring to the US market, the car manufacturer stood tall
as the biggest carmaker owning a 13.86% market share, thanks to an overall 2.044.744 car sales
in the home country in 2020 (Wayland 2021; Carlier 2022). Ford Motor Company owns 2 more
automotive brands which are Lincoln and Troller contributing to the tremendous volume of car
sales worldwide (Akin Ford n.d). This MNC operates in 39 markets including Vietnam,
meanwhile, the two largest markets of Ford Motor are US and China with a whoop of 1.7 million
and 624.000 units sold respectively, in 2021 (Ford 2021; Statista 2022).
Operating in a dynamic corporate world brimming with chaos and turbulence, where
unpredictability and cyclone of change are inevitable, Ford Motor has shown signs of stagnation
(Sinha and Sinha 2020). In response to such VUCA era, the automaker has strived to be in a state
of flux (Digitalization, restructuring workforce, etc) to acclimatize and thrive in the dynamic
environment, which might bring on potent contemporary issues related to digitalization,
workplace stress. In fact, the problematic challenges are anticipated to be a complex hindrance
for the company to achieve its strategic objectives while detrimentally affecting employee
motivation and performance (Eke 2018).
This paper will elaborate on Ford Motor’s contemporary problems entailing cyber-attack, and
employee psychological stress. As a result, a variety of literature reviews will be provided to
show these problems, as well as several recommendations for overcoming those hurdles to build
a sustainable working environment.
II. Market Analysis
1. Technology and Digitalization
Digitalization has arisen as a major trend among firms, which instills visible and ubiquitous
impacts on the organizations’ operation, strategic plan, and performance (Verhoef et al. 2021). In
fact, scholars have considered digitalization as an enabler of Ford sustainable development,
regarding its transformational capability (Isensee et al. 2020). However, the technological
evolution is associated with the progress of cyberthreat, which creates new attack types, tools
that allow attackers to access more complicated or well-controlled environments and do harm to
Ford Motor and its workforce (Bendovschi 2015).
Cyber-attack
Cyber-attack is an inescapable and problematic threat as firms undergo digital transformation,
(Teoh and Mahmood 2017; Aldasaro et al. 2022). Massive growth in digital technology has
presented businesses with various malware attacks causing data breaches triggering exposure in
customer/employee profiles, and confidential data/information (Brown 2016; Meisner 2018).
FBI estimated approximately 4000 ransomware attacks are launched on organizations every day
in US while a tremendous 330000 malware applications are generated daily (Hasan et al. 2021).
Ford Motor is also highly exposed to the risk of cyber-attack, considering the automaker’s
reliance on digital technology and loose management of cyber security. Recently, UK
TrustFord-a prolific dealer group owned by Ford has undergone Conti ransomware attack
instilling a detrimental outage on the IT system (Beer 2022). Furthermore, digitization and
technology have transformed Ford automobile into a highly complex cyber-physical system with
a permanent connection to the Internet that in return makes Ford cars become exposed to
cyberthreat (Haas and Möller 2017). Cyber-attacks have cost Ford substantial financial loss and a
serious leak of sensitive information (company plan, product design, financial records, etc) (Lee
2012; Welburn and Strong 2021; Leebody 2022).
Ford’s susceptibility to the cyber-attack has been not only caused by digital transformation but
also by the weaknesses in Ford cyber security management. The number of vulnerabilities,
faults and defects confronted by Ford Motor software and IT system has surged significantly
while the software-based issues like buffer overflow attack, SQL injection, Cross site scripting
(XSS), and Denial of service attack (DoS) have not been well-managed (Indushree et al. 2022).
Recently, there was a bug named CVE-2021-27653 which was discovered in Ford software that
could have provided hackers with sets of opportunities to get access to Ford’s sensitive systems
and cause havoc (CyberTalk 2021). Moreover, following Upguard, Ford cybersecurity is rated
below 700 (684/900) which is relatively low and vulnerable, there are various vulnerabilities and
missing of cybersecurity mechanisms including HTTP Strict Transport Security, HttpOnly
Cookies, Secure Cookies, DNSSEC, etc. Regarding the score of Ford biggest competitors: Tesla
(874), Nissan (817) and Toyota (770), Ford is lopsided in terms of cyber security management.
Linking to ECST issues
The cyber-attack is regarded as illegal and critically unethical issues, considering attacks carried
out only for the sake of enjoyment or bragging rights and personal attacks such as system
infiltration to leak sensitive information (customer/employees’ profile, trade secret of
organization, etc) and steal credit card numbers (Denning 2008:407-428). Moreover, denial-of-
service attacks aimed at sabotage competitor websites and IT system is also deemed unethical
cyber-attack (Uma and Padmavathi 2013).
2. Stress and coping in the workplace
Workplace stress is referred to employee adverse mental state in response to working
environment presenting pressures and threats (Colligan MSW and Higgins 2006). As for
businesses, coping strategies for workplace stress cost them a substantial amount of money,
moreover, the organization is likely to suffer high employee turnover, low productivity which are
the ramifications of stressful workplace (Burton, Hoobler and Scheuer 2012). Individually,
constant stress can instill negative impacts on employees physical and mental health, emotion,
feeling etc (Wolever et al. 2012). Workplace stress statistics reveal that 83% of American
workers experience work-related stress, and American businesses lose up to $300 billion each
year due to workplace stress (Life 2019). Specific to Ford, the US automaker potentially cope
with psychological distress among workforce, which is caused by Ford frequent layoffs leading
to employee feeling of job insecurity (Jiang and Probst 2019).
Psychological distress (PD)
PD is a condition of emotional anguish marked by symptoms of depression (e.g., loss of interest;
melancholy; despair) and anxiety (e.g., restlessness; tenseness) (Barry et al. 2020). In workplace,
employee layoff is anticipated to be the actor causing PD, following a survey to 139 employees,
two-third of them admitted suffering anxiety and depress during the layoff (Østhus 2012; Schnall
1982). In fact, the researchers also stated employee who survived in the layoff witnessed a
significant escalate in psychological distress due to the typical mindset “the next shoe to drop is
theirs" after employee cutdown (Aenlle 2009). As such, Ford is very likely to encounter PD in its
workforce, regarding its frequent layoffs to meet the target of workforce restructuring plan. In
2019, Ford reduced 10% of global workforce to serve its 11 billion USD restructuring plan, the
layoffs have lasted until now (Siegel 2019). Recently, Ford CEO has highlighted the under-
earning of the automaker and hinted for the next major restructuring to save cost (Naughton
2022). Therefore, Ford might face serious PD caused by its organization culture particularly
restructure strategy.
Linking to ESCT issues: Researchers refers PD to the social and ethical issue as it makes
employee become susceptible to chronic diseases including arthritis, cardiovascular disease,
chronic obstructive pulmonary disease, and diabetes (McLachlan and Gale 2018). Moreover,
rising in heart rate and blood pressure are also attributed to PD. According to Choi and Dinnito
(2011), people suffering PD are prone to social issues including heavy smoking, alcohol intake,
aggressive behaviors and attitude leading to misconduct.
III. Resource Analysis
1. Security Development Lifecycle (SDL)
Reducing vulnerabilities and bugs help minimize the probability of cyber threat, meanwhile,
SDL is regarded as one of the most pertinent methods to eliminate software defect (2). SDL is a
rigorous set of methodology (framework) that supports software designers, engineers in building
a robust and secure software, the practice has been effectively employed by Microsoft Word.
Stephen Lamp-the technical advisor of Microsoft UK has admitted witnessing the massive drop
in software bugs since the adoption of SDL (Lamp 2006). In fact, the efficiency of SDL was also
underscored by researchers as prior to the introduction of SDL, SQL server 2000 had many
vulnerabilities in the system; however, with the release of SDL, the new version of SQL server
2005 that used SDL had fewer vulnerabilities (Aslan 2016) (Appendix 4). The framework entails
7 phases: Training, Requirement, Design, Implementation, Verification, Release and Response
which offer step-by-step methods to operate Ford secure software development (Lipner 2010).
Such stringent procedure enables Ford Motor to reduce the amount of security vulnerabilities in
design, code, and documentation. Moreover, by conducting modelling threat in “Design” phase,
bugs like CVE-2021-27653 will be discovered and eliminated as early in the development
lifecycle as feasible (De win et al. 2009).
Resources: In terms of financial resources, the above-mentioned approaches require Ford
Motor to own a stable budget. Compared to outsourcing CrowdStrike, implementing SDL is
more complicated that demands a substantial amount of money (Eckhart et al. 2019). According
to Koussa (n.d), 90000 USD is not enough to integrate the framework, meanwhile, such figure
can buy an aggregation of (2) 2022 Ford Escape. Moreover, in-house training and education
program is mandatory to get the employees adapt to new implementations (Lipner 2004). For
SDL, training is more vital as it is the fundamental phase of the methodology. During this
phase, even security specialists, software developers, managers, and executives are educated on
basic security issues, SDL concept and benefits, recent trends in security and privacy (Viega
2011). That way, before moving on to the next step, the employee have a general understanding
of SDL, required cybersecurity tools, and other associated concerns (Aslan 2016). Furthermore,
Ford must strictly follow the guidance of SDL phases to successfully implement the framework
(Appendix 5). Beside from financial resources, there is also the need for special resources like
fuzzing tools, scanners for static-analysis codes, etc to adopt SDL. Not to mention, according to
survey conducted by Geer (2011), SDL is quite time-consuming, thus, time is also a crucial
resource required to accomplish the phases of SDL.
2. Integrating external EAP
Employee Assistance Programs (EAP) is a holistic approach to enhance workers' personal well-
being (Joseph et al. 2018). Such method provides employees with a means of communicating,
processing, and working through personal and work-related concerns (Nobrega et al. 2010). EAP
is widely used by multinational corporations including Ford Motor However, instead of only
using in-house EAP, Ford should consider integrating external (outsource) EAP to be more
efficient in coping PD caused by layoff (job insecurity). The in-house EAP biggest challenge is
employees hesitation to consult with people in the same workplace for advice, therapy.
Moreover, businesses might face difficulty in recruiting qualified and proficient experts (Singh
2015). Conversely, external EAP is accustomed to dealing with anxiety and depression caused
by layoff (Aenlle 2009). Not to mention, in external EAP, there are numerous counselors
specializing in RIF (reduction in force) who own CID (Critical Incident Debriefing) expertise
that can help alleviate the emotional suffering of employees (Lowe 2017). Employees might be
motivated to seek help from external EAP services for not just extreme confidentiality but also
24-hour accessibility (Singh 2015).
Resources: To implement the proposal successfully, Ford must source for the most proper EAP
provider with profound expertise. Considering the investment in sourcing, hiring third parties
and using their services, the engagement of Ford’s finance department and fee allocation is also
necessary (Kono and Barnes 2010). Beside from financial resources, time is required to procure
the appropriate EAP supplier and demonstrate company current situations, stress coping plans
and target to the EAP providers.
IV. Conclusion
The report shed light on the contemporary challenges that Ford potentially face and offer
initiatives to help the automaker overcome the challenge.
Acknowledging digitalization and technology is essential and indispensable to become
competitive-advantage and sustainable, Ford Motor adopts various digital technologies to the
cars, workplace (IT system, software, etc). The automaker has firmly established itself as a major
innovator thriving digital economy - both today and in the future - with its dedication to cutting-
edge technologies like as collaborative robotics, 3D printing, augmented and virtual reality
(Kapetaniou et al. 2018). Moreover, the company establish partnership with Stripe to scale its e-
commerce while initiating sales channel on social media and websites which make the company
well-placed to thrive in the digital era (Bellan 2022). However, according to literature reviews,
the application of technologies has contributed to the high possibility of suffering cyberattack
which is considered as the unethical and unacceptable action causing damage and disruption to
Ford and its people through the leak of sensitive information. Meanwhile, Ford loose
cybersecurity management is also at fault making the company prone to cyberthreat. The
proposal for Ford is utilizing SDL which is regarded as helpful methodology to build stable
software with little vulnerabilities that can stand against cyberattack. In return, Ford must follow
the 7 fundamental phases of SDL while investing substantial money to train the software
engineers, builders through training program, workshop to get accustomed to SDL and its
requirement. Furthermore, Ford needs to be patient as implementing SDL is time-consuming,
necessary tools to accomplish SDL phases like fuzzing tools, scanners for static-analysis codes,
etc should be made available by Ford.
In terms of workplace stress, there is high probability that Ford employees suffer psychological
distress that caused by Ford major layoffs leading to job insecurity. The distress is deemed a
serious ethical and social issues as it causes harm to the mental and physical health of
employees, provoking them to misconduct and misbehave. The problem needs to be addressed
immediately as the PD can be detrimental to the Ford culture leading to low performance and
productivity. Ford Motor can consider integrating external EAP with proficient and qualified
experts with experience of dealing with stressed caused by RIF, the external EAP with high
confidentiality and accessibility can motivate employees to seek for help. However, time is the
most crucial resource to apply the proposal, the external EAP needs time to comprehend the
current situation of Ford and assess the PD level of the employees while Ford requires time to
procure the appropriate external EAP. Furthermore, Ford should create a budget to source and
hire EAP providers.
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VI. Appendix
Appendix 1: Ford Motor cybersecurity management is rated by Upguard
Appendix 3: number of software vulnerabilities has significantly increased
Appendix 5: Step-by-step direction offered by SDL phases