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Re: How to Save GM
Posted by KevinM (more from KevinM) on Wed, 12 Nov 2008 17:19:24
In Reply to: How to Save GM, OKSaabs, Wed, 12 Nov 2008 05:10:13
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Did anyone see the movie, "No Country for Old Men" in which the bad guy made life or death decisions for his victims by flipping a coin? His premise is that people go through their lives making life or death decisions without knowing it. So he helpfully makes the choice explicit.
That's what this situation reminds me of, more or less.
The basic problem is that auto manufacturers are "mature industries," as they used to say in business 101 -- i,e., they've grown enough and gained enough people inside that they are more responsive to internal demands than customers. Everybody grew fat and cynical.
Prolly they knew this couldn't go on forever, but they also thought delay would allow them to dodge the fateful moment when it fell apart. The delaying strategy wasn't a cure, just a temporary escape.
The usual cure for mature business bloat is to get rid of the status quo. Slim down. Find redundancies and eliminate them. Take out most of the people at the top, half the people in the middle and lots of people on the manufacturing floors. Then you have to figure out a sales strategy based on products customers want to buy. It isn't pretty or popular.
A brand new U.S. president will likely make it harder, because this is a situation in which the pain has been delayed and dodged and delayed again -- but now it's here. No more delaying. No more dodging. The coin has been flipped, and the only choices are unbearably painful, painful and mildly excruciating. This doesn't make a great first day on the job.
posted by 68.14.129...
Posts in this Thread:
- How to Save GM, OKSaabs, Wed, 12 Nov 2008 05:10:13
- GM needs to make cars that people want to buy, J, Mon, 17 Nov 2008 07:44:38
- Re: How to Save GM, Red93SEInBrklyn, Wed, 12 Nov 2008 21:41:12
- Re: How to Save GM, KevinM, Wed, 12 Nov 2008 17:19:24 <-- Viewing This Message
- Consolidate platforms, unify US and European products, Paul H, Wed, 12 Nov 2008 15:10:07
- Re: How to Save GM, DivrDon
, Wed, 12 Nov 2008 08:43:06
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