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March 27, 2008

What will it take for GM to wake up?

This analysis is solely the work of the author. It has not been edited or endorsed by GLG.
Analysis By:
James "Jim" Rippy, Senior VP of ManufacturingJames "Jim" Rippy
FormerSenior VP of Manufacturing, Continental Tire North America, Inc.
Implications: I am convinced that this company cannot prosper with the present leadership in place. A complete house cleaning is probably the only hope for this company. How do the top guys continue to not only keep their jobs, but continue to be paid bonuses for the abysmal performance. Some of these players have been in their current positions for several years with track records that would have eliminated their team from the tournament long ago.

Analysis:  The past and current performance of GM is a text book example of the damage that ineffective leaders can have on a once great company. Their Board of Directors and leadership of the UAW share the blame. Their ineptitude not only jeopardizes the jobs and livelihood of their employees, but does similar, if not greater damage, on their supply chain. The examples of their recent decisions to offer buy-outs to their hourly employees is like trying to use a band-aid for arterial bleeding. I would need a calculator to add the "reasons" that GM would give for why Toyota can continue to build plants in the US while GM is negotiating closures with the UAW. I am not trying to sell books, but I wrote a short book in 2000 describing the sickness that exists in failing companies such as GM. I only wish that a more competent author had tackled the subject. Companies sick with "Executivitis" cause tremendous human suffering.
http://www.leadership64.homestead.com/leadership64.html

Other Analyses of the Same Source Article:
GM Will Never Meet It's Turnaround Goals With An Eight Brand Lineup.
March 31, 2008, Author: Jack Sayer, Managing Partner, Sayer Partners LLC

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