CEO: Ford's 'business is computing,' not just making cars
DETROIT -- Ford Motor CEO Jim Hackett says the automaker is an evolving data company rather than just a mobility or transportation company.
"Now my vehicle is a rolling computer," he told a capacity crowd Thursday in the ballroom of the Westin Book Cadillac hotel in this city's downtown for the Business Leaders for Michigan CEO Summit. “I'm going to tell you my business is computing."
Hackett emphasized the challenge of using artificial intelligence to make roads safer. He noted that "women tell the truth" more than men about their apprehension toward driverless cars.
"Ford’s future is not about giving up the car. I’m here to tell you that. I’ve told the company that. But there are no dumb cars in the future.”
At Ford, the team considers how technology and robotics potentially impact people, including job loss. The company is especially careful not to compromise the trust consumers feel toward Ford, Hackett said.
He wondered if the trust grew from Ford's decision to decline government aid during the economic downturn or that board chairman Bill Ford is a constant presence in the family business.
He opened the talk, titled “Liberate the Human Journey,” with mention of his age (62) and accomplishments. He said he didn't seek the Ford CEO role he assumed in May.
“This wasn’t something I was after," Hackett said. "This was not pre-meditated in any way. I can tell you today, I’m so happy I did it.”
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He noted that when he had to lay off people as CEO at Steelcase, the manufacturer of office furniture based in Grand Rapids, Mich., he spent more money on job placement and severance packages than shareholders may have liked.
“These people are suffering because I’m making decisions to let them go," he said Thursday, adding such decisions were harder, given his Catholic upbringing.
The 35-minute discussion included a nod to former Apple CEO Steve Jobs (“I miss him”) and navigating uncertain times.
He noted that Ford has 13,000 employees in the United Kingdom directly impacted by Brexit and the uncertainty that has followed the country's vote to leave the European Union.
After the talk, attendees said they were inspired and intrigued.
Belinda Tate, executive director of the Kalamazoo Institute of Arts, said Hackett emphasized the urgency of understanding the rapid pace of technology.
“Computing is the basis of business for today and tomorrow," Tate said. "So if you’re not thinking about the role of computing in your business, you’re going to be left behind.”
Barbara Whittaker, president of BW Limited, a business development consultancy, said she liked that Hackett is looking at the future, but wondered if Ford's vision of that future is clear.