Ford hires John Dion as chief transformation officer to improve manufacturing quality

Ford CEO Jim Farley just hired a key executive who brings expertise that Farley learned during his years at Toyota.

John Dion becomes chief transformation officer at Ford on April 3 “to drive its rigorous and relentless pursuit of high quality, simplicity and low costs,” the automaker announced Tuesday.

Dion has experience using “kaizen-based Lean manufacturing and transactional systems that prioritized exceptional people and plans and repeatable processes, leading to superior execution and performance,” Ford said in a news release.

Farley has long praised the kaizen-based system as highly effective.

“Coming from Toyota, where we were always growing … there was a paranoia for trying to do better,” Farley told the Free Press in 2019 prior to becoming CEO. “I feel that people are satisfied with just growth itself and improving profits. But I’ve learned that kaizen (Toyota’s famed process for continuous improvement) means that even when things are going really well, that’s actually the most important time to feel like there’s more — more opportunity.”

Dion has implemented Lean systems at large companies and taught these approaches to others, in areas of research and development, operations, customer satisfaction and loyalty and business acquisitions and integrations, Ford said.

“Henry Ford was doing Lean manufacturing decades before anyone even defined the term,” Farley said in the news release. “High value and quality, continuous flow, rooting out waste — those things have been fundamental to who we are for more than a century. John’s an expert in all of the principles of Lean, and he and his team will provide our culture the urgency, guidance and support we need to reassert and raise Ford’s reputation for excellence, thrift and growth.”

Dion reports directly to Farley.

Ford executives have said in public remarks that quality and cost improvements are essential in 2023. Ford continues to struggle with warranty costs and recalls of new and older products, as well as launch challenges.

Dion said the chance to be part of Ford right now was “too good to pass up,” Ford said in its release.

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“Jim and everyone I met spoke with great clarity and candor about what’s possible and required to fulfill the promise of Ford+,” Dion said. “What I saw isn’t a simple program or initiative, it’s a new way of doing business — to win and create value for customers and everyone who counts on Ford.”