By Robert Farago on December 20, 2006

img0004222.jpgGary Cowger recently sat down with Wards Automotive for a good old kvetch. GM’s group Vice President of Global Manufacturing and Labor Relations complained that news of his employer's financial woes was overshadowing their brilliant new products. Gary blamed excessive media coverage and speculation. “There’s a lot of noise in the system, and that’s because we live in an age of transparency like the world has never seen before… It’s almost too much information out there.” As you might expect from such a staunch defender of bridled free speech, Cowger has taken steps to rectify the situation– at least in-house.

In 1999, Cowger installed a “communicator” in every GM plant and office. He's charged these management mouthpieces with explaining GM's hopes, dreams and schemes to their co-workers. Gary’s convinced that his network of [dis]information specialists has already delivered big dividends. “I think the open communication with people at all levels helped facilitate our ultimate health-care deal, because everyone was convinced there was a problem and everyone was willing to work to solve it.”

At the risk of bringing the noise, note Gary’s unintended irony. Deploying a bunch of company stooges "communicators" to “convince” employees to rubber stamp a bogus health care deal window-dressed by both management and the UAW doesn’t sound like the definition of “open communication” to me. Yes, but– you gotta give Gary credit for holding his nose and dipping his e-toes into the “new media.” His department now conducts regular on-line chats with 40 GM employees from around the world.

Cowger proudly asserts that participants in his electronic confabs aren’t required to reveal their identity– at least not to each other. (Cowger selects the group.) Gary assured Wards that these “what’s up with that?” cyber chats stimulate the proverbial frank and open exchange of ideas. “They will tell you honestly and in volumes what we should be doing,” Cowger revealed. “I think it’s great for not only cutting through the clutter and getting to the heart of things, but it’s a way of building a better GM.”

A better GM. If only. In all probability, Gary’s electronic forums do nothing more than give a small group of inherently disgruntled employees a chance to blow off some steam– and raise expectations that won’t be fulfilled. Although Wards didn’t press him on this (or any other) issue, can Mr. Cowger point to a single important change in GM’s process or products that stems from his twisted take on electronic Glasnost?

While I have no doubt that ramming a faux health care concession down employees’ throats constitutes a victory of some sort ($3b health care VEBA anyone?), the methodology involved indicates that GM’s culture of paranoia, unaccountability and corporate constipation continues unabated.

In fact, I reckon nothing significant has changed over at RenCen since we began this chronicle of GM’s declining fortunes. Factories are closed. Departing workers have been paid off. Output has declined. New products have been launched. And? GM is still staggering around under the weight of the same old stodgy leadership, cannibalistic dealers, obstreperous unions, half-baked products, marketing misfires, "not an incentive really" fire-sales, Bacchinalian auto shows (how much is that Carmen in the window?), backdraft cash burn, etc.

These days, the company talks-up global platform development as The Big Change. But GM NA still consists of eight increasingly nonsensical brands– and their attendant fiefdoms– all fighting for corporate resources. The fact that they’re going to do it on an international basis isn’t a game changer. Saturn now sells an Opel-derived car alongside a rebadged Pontiac. So?

According to turnaround specialist Gregory Charleston, any business experiencing a rapid, seemingly endless decline in its market share must make radical changes. The Managing Director of Conway MacKenzie & Dunleavy says that companies facing flagging income must cut deep, across the board. While big old companies like GM are reluctant to prune their pals in middle management, prune they must.

“If you have to do things in a new way, you need new people– or less people– to do it.” So how’s that particular part of the program going over at GM? “My sense is that there’s still a LOT of room there.” 

Charleston’s focus on GM’s stultified middle management reflects his belief in the overriding importance of corporate culture. Charleston says members of GM’s entrenched bureaucracy should be pushed out the door, and fresh blood brought in. So where does that leave CEO Rick Wagoner, a man who never worked a day of his life outside GM?

“I’m always leery of corporate executives who grew up within an organization… Can Wagoner turn around GM’s corporate culture when he’s known nothing else?  I imagine that’s a question that GM’s Board of Directors has been grappling with for years.”

Or not. Maybe Gary Cowger should recruit a random sampling of blue and white collar workers and put them online with GM’s Board of Bystanders. They could discuss Rabid Rick’s ability to lead a cultural revolution within GM. Or would that be too much information?

110 Comments on “General Motors Death Watch 104: TMI?...”


  • chuck goolsbee

    In fact, nothing significant has changed over at RenCen since we began this chronicle of GM’s declining fortunes.

    Making a minor course change, much less turning around a leviathan the size of GM is tough, especially when the lines of communications from the bridge to the engine room are so convoluted and distorted as this!

    My bet is on the iceberg, not the ship. Damn both the officers on deck and the coal shovellers down below as far as I’m concerned.

    –chuck

  • starlightmica (Richard Chen)
    starlightmica (Richard Chen)

    Saturn now sells an Opel-derived car alongside a rebadged Pontiac. So?

    Translation: two Auras sitting next to each other in the showroom. Until the Astra shows up.

  • John Horner
    jthorner

    I think that in the Soviet Union the people with job’s like Cowger’s “communicators” were called Political Directors and could be found in army units, factories, local government offices and the like.

  • mike frederick
    mike frederick

    In all probability, Gary’s electronic forums do nothing more than give a small group of inherently disgruntled employees a chance to blow off a little steam– and raise expectations that won’t be fulfilled.

    I think this could be one of the better programs to take place in any company of any size.If such forums are held constructively,not a bitch session,then both upper/lower management & worker comm. could result in change…maybe…

    My meeting with Tim Lee of G.M. did alot of good.But it did fall short when I asked when to expect an El camino with a 350 small block.

  • KingElvis

    The online forums are probably a great thing: I believe what Cowger says is true, and that he believes it is true.

    The problem is that it might be too little too late.

  • Robert Farago

    The medium is not always the message.

  • CliffG

    How about if Rabid Rick had an online forum with, oh say, 40 random customers at the local Toyota dealership? Maybe 40 folks at the local Elks club to ask them why most of them don’t buy American cars anymore? Maybe 40 Hispanics (actually almost anybody come to think of it) why they will pay outrageous prices for clapped out Hondas? Maybe 40 guys at the Hertz counter driving all those domestic mid-line cars? 40 housewives at the local mall about their last time at a Chevy dealership (ooh, you’ll be amazed what kind of language those little ladies know…)?

    Sigh. Turning a battleship ain’t easy but doesn’t it start when the captain says to turn the damn thing? Well?

  • Robert Farago

    CliffG:

    Someday, that’s exactly the kind of thing that will happen. Obviously not for Rick or GM. But the ones who make it through vapor lock will get it. For sure.

  • willjames2000

    CliffG:

    As for dealership experience, the latest JD Powers Sales Satisfaction report suggests that Toyota & Honda might be well served by asking GM customers why they liked the experience at their selling (GM) stores better than their own customers. You see ALL GM divisions ranked better than industry average, while both Toyota and Honda ranked worse. Maybe its just that dumb ‘mericans can’t do the job. Prolly should import Japanese salespeople too.

    2) Cadillac
    6) Saturn
    7) Buick
    11) Hummer
    16) Chevrolet
    17) GMC
    20) SAAB
    21) Pontiac
    23) INDUSRY AVERAGE
    25) Honda
    29) Toyota

    Source: J.D. Power and Associates 2006 Sales Satisfaction Index (SSI) StudySM

  • Terry Parkhurst

    Gary Cowger and his “communicators” reminds me of those “town meeting” forums that President Bush had, across America, in 2005. As everyone heard who read the papers or the Internet, the people in the audience were reportedly carefully screened. But somehow, there was a college professor, in North Carolina as I recall, who wasn’t screened too carefully, and took the president to task. That’s what Mr. Cowger needs, methinks; as the president has (sadly) found out, you don’t make the necessary change in course, or thinking, by surrounding oneself with yes-men (or yes-women). It’s too bad that GM didn’t allow Carlos Ghosn to take them over; of course, asking Renault/Nissan to pay a premium to take them over, wasn’t the worst the idea the General ever had, but close.

  • gerald weber
    jerry weber

    I now believe the domestic three have the identical structural problems. Your see, ford, gm and chrysler can't be very much different. They have the same focus, employee types, management types and best of all pattern union contracts. The union made the three american companies near clones and it is now evident that the downhill spiral is a shared thing as well.I have said before in these blogs the day honda got to set up Marysville Ohio (25-30 years ago?) non-union was the beginning of the end for detroit.

    In Europe everyone is union, thus no one is ahead of the game in any quantum way. However, with the uaw unable to unionize any of the transplants here in the states, the differential in mfg. costs becomes the 800 lb gorilla in the room. This is not just wages, it is work rules, fringes, total legacy costs of a smaller younger work force, even sunbelt locations in states that have bid millions for these new plants.

    A typical foreign plant coming here gets: tax abatement, job training, access roads and other site work, mortgage money and an unwritten promise that the nasty old yankee union won't make it here around the new plant. This is what Iacocca never envisioned when he said let's level the field and make the foreigners build here.

    There is more; with maybe 20-25% as many dealers, each outlet is selling like toyota 1oo+ a month new. These dealers are strong, well financed and located. Many small towns don't have any foreign dealers and they still sell well from major population hubs. Look at mini. A few dealers per state, and no discounts, little advertising, no overstocking and a rating of the highest resale in the US. They limit the us to about 30,000 minis a year and are proof that you can make money in small cars.

  • TriBlack987S

    Look at what vehicle Cowger is poised in front of in the photo. Doesn’t that say it all? What did they call that discontinued POS? I can’t even remember and I’m a car guy. Corvette is the only thing GM has going for it IMHO. At least Ford has some product, albeit few and far between. The Focus was pretty good in 2000…..though long in the tooth now, and the Fusion and its derivitives aren’t bad currently. Go drive a Mazda 3 and it tells the story of what’s wrong with American Car Companies. They just don’t get it!

  • Javier Alajandra
    Rastus

    This will probably go down as the least commented on GMDW.

    But that’s quite OK….Death IS a-knocking.

    For Whom the Bell Tolls this Holiday Season…why, GM of course!!

    I wish this jackass Cowger would be forced to drive a GM vehicle non-stop for 5 years…only then would he have a true understanding of the crap GM continues to this day to produce. And furthermore, he should be forced to pay out of his pockets for repairs, upkeep, etc. Forget the “executive” annual new car…make him keep the damn thing…so he can truly replicate the hell everyone else goes through.

    At that point, there is no need for these ridiculous communications. When he has to pay $1200 for some illiterate grease-monkey at GM to replace his transmission…then maybe he’ll wake up! Or better yet, offer his $4000 trade-in for his $30,000 joy on wheels.

    Cowger, please ….PLEASE let me provide you some much-needed “customer” feedback. Hell, better yet, come buy the POS from me…I’ll be more than happy to drop the thing off at your doorstep…assuming it will last the journey.

    Hyundai…you are my next purchase. GM, you’ve succumbed to third-tier status behind the Koreans…by a long shot.

    Merry Christmas and a nappy New Year to you and your thugs at GM.

    Fight the Power…and never, I repeat NEVER settle for the crap GM has the nerve to call “product”.

  • James McMahon
    HawaiiJim

    A few thoughts, RF, on your editorial:

    It is very difficult to determine the level of trust and quality of communication within an organization like GM without being inside the organization. When you say that the selected communicators in GM are “[dis]information specialists” or hint that they are “company stooges,” do you know that for a fact?

    One of the central tenets of good management is to inform employees of the company’s dreams and visions. That’s what Cowger claims he is doing. Are you simply speculating that the “communicator” system is not working…or can you prove your conclusion?

    I bet I’m not the only loyal TTAC reader who wants you to continue to strive constantly to set a sky-high standard for your site’s commentary. As a former management analyst, I learned how important is the “tone at the top” of an organization. You set the tone, and the rest of us will follow with comments that will never require you to delete a post for failing to adhere to your standard.

  • M B
    Luther

    I now believe the domestic three have the identical structural problems. Your see, ford, gm and chrysler can’t be very much different.

    Right. The 1935 Wagner Act transfered control of companies from the rightful owners (Shareholders) to Labor Unions (Non-owning Employees). The UAW controls Ford, GM, Chrysler so hence they are run very similarly. If you think about this then you will come to the conclusion that Ron “The Middle” Gettelfinger (The real Political Director?) ultimately calls the shots at 2.5. Wagoner, Lasorda, Mulally work for Gettelfinger. Unionization also stifles technological advancement and creativity while encouraging conformity/mediocrity (Solidarity) across the entire industry. The Airline industry is in the same mess sans Southwest.

  • CAHIBOstep

    Part of me thinks that the GM chat sessions are a good idea, and part of me thinks that they are pathetic. I don’t understand why GM doesn’t hear the extremely loud feedback coming from the most important person in the equation: the consumer.

    Many are actively looking for a reason to buy GM, and not enough find an answer. Even with huge incentives! GM has more going for it than just the Corvette: it has the Northstar engine, the Corvette, the H-1, the Bonneville V-8, the Suburban, the Corvette…the company has a lot of particularly excellent, albeit mostly impractical vehicles and designs. And then a lot of $%@& in between.

    It is inevitable that gas prices will become an issue for car owners again. No matter what happens in the Middle East in the foreseeable future, it will affect gas prices. 16 MPG in the city just doesn’t do it.

    I think that any chance there is for some muckety-muck at GM to hear the truth from someone in the trenches, the better. But GM is so far out of touch, it seems like they purposely want to be that way.

    Actually, what they want is to live by the sword, and die by the sword. I respect that, but it doesn’t fly in our economy right now.

  • tms1999

    communicator, management mouthpiece, I experienced that (in a totally different industry): it promotes distrust and cynicism.

    The last thing you need is an internal shill for corporate propaganda. Corporate culture always comes from the top and is always imposed by example. Acting in a certain way allows your ’subordinates’ to act that way too.

    The boss is a grinch: everyone is a grinch. The boss listens to you, accept criticism, applies and rewards your good ideas, explains truthfully the reason for his decisions: you are in good shape.

    Employees can’t be manipulated (for too long), almost everyone reads between the lines. If we (i.e. Robert Farago, lots of commenters) can pinpoint all GM’s problems, so can GM’s management. They’re not dumb. They are not dumb at all. They are just unable to change. Unable too see the writing on the wall because their nose is stuck on the wall.

    1. Build competitive products with *one* winning point (best mileage, best acceleration, best styling, best choices of color) just pick one and make it the best in its class. Note to self: hold the accountants at bay. Reward your engineers. Promote engineers to management, not mbas.

    2. Build just enough of them. Maybe a smidgen not enough. Listen to what people want. Don’t forcefeed option packages. But by all means, don’t build without orders. Note to self: need flexible production.

    3. Rental companies can kiss my ass. Unless they pay full price for well equiped vehicles, no production alotment for rentals. They can buy Sebrings for all I care. Rentals are killing resale value. Resale value is *very* important.

    4. Engineer flexible platforms. Make a compact-midsize FWD/AWD transversal platform. Use Holden’s RWD as is. You’ve been selling a RWD Lumina with a 6L v8 for years in the middle east, what made you think it would not sell here? 300c? 3 years later and still nothing? Maybe 2008?

    And that’s just the main points. And I’m just a guy. And nothing I wrote is that outrageous.

    Personally I hope GM survives. I would be happier if they would survive by changing themselves, but I have little hope for that.

  • HEATHROI

    My meeting with Tim Lee of G.M. did alot of good.But it did fall short when I asked when to expect an El Camino with a 350 small block.

    you mean like this?

    http://www.holdencampaign.com.au/thunder/content.html

  • James McMahon
    HawaiiJim

    tms1999:

    Of the many right-on-target ideas in your commentary, the one about promoting engineers, not mbas, to management causes me ask a question: Do we know whether the Asian and European auto companies do that? Or do they simply listen to their engineers more? I’m curious, because an engineer may or may not be a good manager.

  • Robert Farago

    HawaiiJim:

    Obviously, I’m not the best judge of my own work. Which is one reason TTAC has a comments section. I read every comment on every post. And if I miss something, Frank Williams has got my back.

    There have been two occasions when I’ve withdrawn one of my own posts because commentators convinced me it was, um, poorly argued. And Frank’s got no problem stabbing me in my figurative back as and when needed.

    Anyway, rest assured I have eyes and ears throughout Detroit; people who CAN read the writing on the wall and/or want to tell the truth.

  • Bruce Coulter
    Queensmet

    Normally, I understand what is said in the GMDW The opinions are based on information readily available to all and are therefore, informed. Whether they are misguided or not reamoins to be seen.

    However, this time I have an issue. It appears that the majority of posters to this editorial believe that that this “communicator” is just an arm of the GM Politburo. . In the old days these people were called PR people. and everyone had someone doing this. Since when did PR become anti-American.

  • Sid Vicious

    We’re not talking PR – Public Relations. These are internal relations. Shoveling the B.S. like the guys shoveling coal in the belly of the Titanic.

    My experience is not GM, but I can tell you that the people invited to “skip-level” meetings in the domestic industry are hand picked suck-asses (industry term.) This was my first impression of the Bush town hall meetings as well. The Republicans don’t invite Democrats to have dinner with the Pres. And vice-versa.

    And the people that work for Cowger are of course top of their graduating class suck-asses. I believe the old school term is “yes men.” Disagreement, dissention and open honest dialogue are strongly discouraged. Otherwise how would they get promoted?

  • rodster205

    I do have to stick up for the some of the dealers here.

    For the first time in years I spent time in domestic dealers as well as Honda & Toyota. The domestic guys were falling all over themselves to be as pleasant and helpful as possible. It was clear… JUST BUY OUR CAR PLEEEASE!

    I did find one Chry/Dog/Geep snake pit though, but two others were great. In the Honda and Toyota shops they could care less. They would wander out and go through the motions but didn't really care. You could tell from the questions they were trying to figure out if you were buying TODAY and were ready to cut and run to the next guy (who was probably buying today) as soon as you gave any indication you were just looking.

    Bottom line… if your product is **** and you are on commission you HAVE to give great service or you will STARVE!

  • UnclePete

    tms1999 said: Use Holden’s RWD as is. You’ve been selling a RWD Lumina with a 6L v8 for years in the middle east, what made you think it would not sell here?
    Well, they did sell the Lumina SS here as the Pontiac GTO but (as we all know) made a hash of it. GM gave it a name that offended the purists and then never really marketed the car. It was built as a stopgap/halo car, but they never really put their heart into it.

    I own a GTO and love it. I’ve given rides to so many people who go “This is a Pontiac? I didn’t think they could build something so nice.” It is not perfect for sure but a damn sight better than almost all of the General’s current US cars. I can assure you I would have bought nothing else in the Pontiac lot.

  • Erik Jacobson
    ejacobs

    Maybe GM should simplify:

    Chevy: Keep the Corvette, take the new Saturns (and Sky) by making the rest of the cars Opels, keep the trucks (obviously)…
    Saturn: kill
    Pontiac: please kill
    Buick: (for God’s sake) kill
    Hummer: keep as Jeep alternative (or kill)
    Caddy: keep
    Saab: give back to the Swedes or (have mercy) kill
    GMC: please kill

  • mikey

    RF You nailed it in paragraph 6,7 and 8.I can safely say in the last 2 yrs I have seen no change at all in the climate or culture at GM
    I do believe we are making a better product.I think that some of the dealers are finally getting the message.
    In my plant we have hand picked comunicaters[we have other names for them but its not fit for TTAC]
    When they are not comunicating they have other asingments.
    One of thier duties,I am not making this up they keep the plant managers,and his 3 flunkys company vehicles washed and full of gas.
    I work in a small plant by GM standards,We have 9 hourly people to every salary person you could easily axe 1/2 of the salary work force and you wouldn’t notice.
    Any way good D.W I hope the shareholders read it

  • Anthony Caruso
    nino

    As for dealership experience, the latest JD Powers Sales Satisfaction report suggests that Toyota & Honda might be well served by asking GM customers why they liked the experience at their selling (GM) stores better than their own customers. You see ALL GM divisions ranked better than industry average, while both Toyota and Honda ranked worse. Maybe its just that dumb ‘mericans can’t do the job. Prolly should import Japanese salespeople too.

    2) Cadillac
    6) Saturn
    7) Buick
    11) Hummer
    16) Chevrolet
    17) GMC
    20) SAAB
    21) Pontiac
    23) INDUSRY AVERAGE
    25) Honda
    29) Toyota

    Source: J.D. Power and Associates 2006 Sales Satisfaction Index (SSI) StudySM

    Does this take into account the after sales experience at these dealers?

    With all due respect, many of the domestic dealers have a LONG way to go and that includes Cadillac.

    That reminds me of the “special kink in the frame for better handling” story.

  • Facebook User

    Just another example of GM's wasteful nature . Just another way to say, see we're really doing something, without really doing anything. These are the new age feel good sort of things that get floated in the government sector, but serve no real purpose because nothing constructive ever comes of them. I also agree that anybody who has worked for one particular company (or the government) has no ability to make real changes in the way things are done.

    I work for a government agency at this time, but that isn't how its always been for me. I have a pretty good idea from working in the private sector just how a "this is the way we do it" attitude will not only result in poorer service/production but will also demoralize the people who have to try to work in that type of atmosphere, particularly the ones who know there is a better way.

    The people that I work with who have never worked outside the government just can't seem to see that there are other ways, better ways, of operating, that its all right to question a rule. As I've said before, I've got a relative who works for Delphi, and the roadblocks against change that he tells me about remind me all too much of what I see in the government. I can't see any real change coming from within at GM.

    In my opinion, the only thing that could turn them around would be some sort of takeover or possibly bringing in someone from outside the company and giving them the power to change the way GM does business, including reorginization of the management structure and elimination of redundant or unneeded managers.

  • willjames2000

    rodster205: "Bottom line… if your product is crap and you are on commission you HAVE to give great service or you will STARVE! "

    Rastus: "Fight the Power…and never, I repeat NEVER settle for the crap GM has the nerve to call “product”.

    Both old, tired arguments, hardly based in the "truth" According to the latest JD Powers surveys: Initial Quality: There is difference of just over 1 "problem" per vehicle from top (Porsche & Lexus) to bottom (Isuzu & Land Rover). Take out these highs and the lows, and the difference shrinks to .89 "problems" per vehicle.

    But who cares about Initial Quality? How about longer-term? 3-Year Vehicle Dependability: A top (Lexus) to bottom (Land Rover) difference of about 3 "problems" per vehicle over three years. Without them, the difference shrinks to 1.7 "problems" per vehicle over three years. But perception is reality. JD Powers APEAL survey (measures how "gratifying" a new vehicle is to own and drive) finds almost no relationship between a model’s overall APEAL score and its IQS design score.

  • Pat Tripodi
    finger

    “I wish this jackass Cowger would be forced to drive a GM vehicle non-stop for 5 years…only then would he have a true understanding of the crap GM continues to this day to produce. And furthermore, he should be forced to pay out of his pockets for repairs, upkeep, etc. Forget the “executive” annual new car…make him keep the damn thing…so he can truly replicate the hell everyone else goes through.”

    Obviously, this is a smear job by an uninformed person. How did he get a computer?

  • M B
    Luther

    I wish this jackass Cowger would be forced to drive a GM vehicle non-stop for 5 years

    Agreed finger. I think DCX Shareholders should force Lasorda/Gettelfinger to drive a Sebring as well. Perhaps alternate days between an Accord and a Sebring.

    JD Power is getting real “nit-picky” these days. Automobiles are becoming so good that the difference between 1st and last place is becoming negligible. JD Power is working themselves out of their jobs.

  • Darwin Hatheway
    dhathewa

    “JD Power… blah… blah… blah dealer satisfaction … blah blah blah… Toyota and Honda at the bottom.” – Luther

    Maybe Toyota and Honda owners have really high standards. If I’d never owned my Volvos, I would have given my Fords and Chevvys OK marks for reliability, etc. If I’d never owned my Toyotas, I’d have given my Volvos HIGH marks for reliability, etc. As it is, I now consider Volvos to be of mediocre reliability. Toyota raised the bar for us in that regard. Maybe it’s that way with the dealerships.

  • willjames2000

    And how long has it been since you owned your fords/chevys/volvos?? Early asian imports were not of high quality, yet they improved, learned, and earned (for the most part) their current reputation vs the domestic and euopeans. But times do change. Or do you still have your liesure suit?

    My point is that perception is much harder to turn around than the reality of the overall improvement in quality seen by (most) all manufacturers. And it is fact that domestics have come farther (and they had farther to come). Maybe they haven’t totally caught up, but NEVER is a long time.

  • Robert Farago

    On October 14th, it was widely reported that Chrysler’s top 250 execs were test driving three-year-old vehicles in a LaSorda ordered reality check.

    First, 250 execs? Jesus! Talk about top heavy. Second, the test only consisted of two 10-day loans. Third, the vehicles involved were the Jeep Grand Cherokee, Chrysler Town and Country minivan, Dodge Caravan minivan, Chrysler Pacifica crossover and Dodge Ram pickup. No competitor’s products.

    That’s about as good (bad?) as it gets in Detroit. Why would the new media– or anything else– ruin GM’s Gulfstream insularity?

  • Patrick Purrenhage
    GMrefugee

    As you point out, a big issue facing GM to change is the lack of new blood coming into the company. Most of the outsiders hired back around 1998 for the brand management debacle and in 1999 for the eGM experiment have all either been forced out or left in one of the buyout waves. Most of the replacement employees have been contract. How much change do you think they intend to drive? As for the folks “left” at GM, they made it this far, why rock the boat now?

  • John

    ‘Cause how ya gonna make some time
    When all you got is one thin dime?
    And one thin dime won’t even shine your shoes

    All the REAL cures for domestic automakers take lots of money. REAL design and REAL development are expensive and previous DW’s have covered it. Apparently, GM is looking for solutions involving free coffee mugs.

  • starlightmica (Richard Chen)
    starlightmica (Richard Chen)

    In my plant we have hand picked comunicaters[we have other names for them but its not fit for TTAC]

    Judas?
    Monica Lewinsky?
    Benedict Arnold?
    Quisling?

    Inquiring minds want to know!

  • willjames2000

    If you bought a Japanese import in the first few years they were offered in the US you probably were not impressed with any aspect other than low initial cost. They learned, improved, and (mostly) earned their reputation. They continue to improve, but so does (mostly) the whole industry. And it seems that the domstics, including GM have come farther (and had farther to come). Are they there yet? Maybe not quite, but in many ways, yes. Statistically anyhow.

  • mikey

    To answer starlightmica Monica L would be the closest I dare say. Lets say these guyS share many of Monicas talents.

  • Brian Hendrickson
    ZoomZoom

    I found this quote instructive:

    “There’s a lot of noise in the system, and that’s because we live in an age of transparency like the world has never seen before… It’s almost too much information out there.” – Gary Cowger

    What’s he saying, that we’re not smart enough as consumers? That we are too stupid to sort things out for ourselves and that we’re too easily confused by all of that wild and rampant information?

    What arrogance! Boy oh boy, have I got some bad language and a few gestures for him!

  • M B
    Luther

    Maybe Chris Paine should make himself useful to humanity by starting an electric car company. Dontcha just love the monday-morning, couch-sitting, quarterback types in the broadcast media? Its like watching a really bad/obnoxious Monty Python movie.

    3 cheers for Ernest Bastien.

    A business has but one purpose: To satisfy consumer demand and therefor make profits for its Shareholders.
    If consumers demanded Camel Crap Sandwiches then Subway would produce them. Subway does not produce said sandwhich and demand that consumers demand them. This is something the granola-munching/change-the-world/anti-business/collectivist twits in the broadcast media cant (wont?) understand.

  • Art Farazon
    Ar-Pharazon

    ZoomZoom,

    Posters here notwithstanding, the fact is that many (most?) consumers are too stupid to sort through things on their own. Remember, as a literate, internet savvy computer user with the wherewithall to post on a blog, you are probably in a very small minority of people in this country. Perhaps his comment is arrogant, but it’s not far off the mark.

    To paraphrase Agent Kay in Men In Black . . . “a person may be smart . . . but people are stupid.”

  • CliffG

    WJ2000. My comment on folk at the Toyota dealership wasn’t a reference to the dealership itself, it was why were those folks at the Toyota dealership in the first place (in my area there are two Toyota dealerships literally within 7 miles of each other, one is fantastic and the other I wouldn’t send enemies to…). My first experience with Toyota was a 1967 Corolla, I was astonished at how well that thing was put together. A ‘73 Civic was atrocious, but my ‘77 Accord probably sold at least 15 Hondas to friends and relatives over the last almost 30 years. When was the last time you bought a domestic that friends/relatives lined up to buy (and thanked you afterwards)?

    Given the horrifying relationships between management and workers at GM over the last 6 decades, these little powwows can’t hurt, even if everyone pretends the gorilla in the room (the UAW) isn’t there. My point is that the problem with GM is no longer merely labor, it is their competition and people’s experiences with GM products over the last 30 years. And JD Powers is like Consumer Reports. It may be accurate, it may also be total bullshit. Think of exit polling….

  • Darwin Hatheway
    dhathewa

    One of the basics of customer retention is customer satisfaction. Part of what made my GM and Ford experience miserable was their “tough luck” attitude. A Ford rep as much as told me that they didn’t care if I ever bought another Ford. How many sales did crappy gaskets cost GM? What would it have been worth in long-term customer relationships to do whatever was necessary to “make it right?”

    For this, we can not hold Wagoner directly accountable, GM is paying for the sins of former CEOs. But, for many of us, Wagoner’s new 5/100 warranty is seen not as reassurance but as a gambit. Wagoner’s betting that few enough of us will put 100K miles on the cars that it’s essentially a 5/60 warranty.

  • Pat Tripodi
    finger

    “But, for many of us, Wagoner’s new 5/100 warranty is seen not as reassurance but as a gambit. Wagoner’s betting that few enough of us will put 100K miles on the cars that it’s essentially a 5/60 warranty.”

    I guess that “us” would be those that say the glass is half empty…

  • Paul Niedermeyer
    Paul Niedermeyer

    finger: depends on how you define crap. Anyway, it’s largely irrelevant if GM products are really crap or not, because it’s the perception that counts. And if you examine GM’s sales and market share trend over the past 24 months or 24 years, the picture is crystal clear.

  • Malcom Brooklin
    ucanthandlethetruth

    “But, for many of us, Wagoner’s new 5/100 warranty is seen not as reassurance but as a gambit. Wagoner’s betting that few enough of us will put 100K miles on the cars that it’s essentially a 5/60 warranty.”

    And for mnay of us that drive 15k/year a 36 month /36,000 warranty is actually only a 30 month warranty. Too good of a warranty, another great excuse to kick the General.

    If Toyota did it you’d say it was genius. Heck, they’re so well built they could offer 5 years or 100,000 miles, whichever comes LAST. That way all driving habits would be covered.

    Funny thing is my local Toyota dealers service department always seems quite busy. I wonder if that’s because owners love paying high-dollar for routine maintenance, or maybe sometimes the damn things actually break?

  • Pat Tripodi
    finger

    I agree, perception is reality. Market share over the last 24 years? How much of a factor was Hyundai, Lexus, Scion, Infiniti, Kia etc back in 1982?

  • Pat Tripodi
    finger

    From consumeraffairs.com …

    Is Toyota’s quality slipping? The company lost ground in an annual vehicle value survey. While many consumers still give the Japanese automaker high marks, some analysts are suggesting the auto giant is growing too fast in its pursuit of General Motors.

    San Diego-based Strategic Vision surveyed more than 64,000 people who purchased new vehicles from October 2005 to March 2006. Consumers were surveyed after 90 days of ownership and asked if they thought they got their money?s worth.

    Toyota, which had seven segment winners in 2005, took only three categories in the new study and has been moving slower than other brands when it comes to innovation, according to an auto industry analyst.

    Can I now say that all Toyotas are junk?

  • Paul Niedermeyer
    Paul Niedermeyer

    finger: you can say anything you want. It neither makes it the truth or relevant. Are you seeing a drop in Toyota’s sales? Are we seeing increase in Big 2.5 sales? That’s the final truth.

    The real reason Kia, Hyundai, etc. are investing in the US, and succeeding is because they know the Big 2.5 are vulnerable, and that their own products are competitive. Do you see the Big 2.5 investing/competing in Japan? Korea? Europe? No. They tried (feebly), and got nowhere. China, yes, because it was a wide open market without competition.


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