Wall Street Journal had a little post-BOD meeting chinwag with New GM’s federally-appointed Chairman of the Board. Clearly, Edward E. Whitacre Jr.’s busy not kicking ass and not taking names. Whitacre told the WSJ that “GM’s business plan needs to be ‘tweaked.’ Among areas he cited as needing rapid improvement are advertising, revenue and net income.” Do you have any idea how hard it was not to substitute the word “nipples” for “business plan”? Anyway, “Gaining market share is ‘right there at the top’ of his agenda for Chief Executive Frederick ‘Fritz’ Henderson, Mr. Whitacre said. ‘You clearly don’t want to be in a position of losing market share.'” Thanks for the [unintentional] hat tip to the U.S. taxpayer, but didn’t Eddy get the memo about GM bankrupting itself in the single-minded pursuit of market share? No, he didn’t. Make the jump for the most worrying corporate jingoism since, well, all the other GM BS.
Mr. Whitacre, a former AT&T Corp. chairman, said being No.1 is “the position we should strive for… an American company that employs hundreds of thousands of people…We just want to be No. 1.”
And girls just wanna have fun. But, you know, hungry mouths to feed and all that. The list for which now includes every man, woman and child paying taxes in these here United States—who were over 70 percent opposed to GM’s nationalization. Could Whitacre’s attitude get any worse? Yes, it could.
Referring to improving market share, Mr. Whitacre said, “I want to see it done quickly…the whole board wants to see it done quickly. We know we’ve got great products. We’ve got to create awareness out there.”
“Do you have any idea how hard it was not to substitute the word “nipples” for business plan?…
…And girls just wanna have fun.”
LOL, ahh, great writing RF.
Henry Ford is getting revenge on GM from beyond the grave.
For the benefit of non-subscribers, did the WSJ ask Mr. Whitacre if he was gonna increase GM market share by giving away cars, like in the old days?
Boff
Nope.
Among areas he cited as needing rapid improvement are advertising, revenue and net income.
Yup – I’d start with those.
It’s creepy hearing a man in his position repeat the ‘bigger is better’ mantra. Haven’t the last 5 years decades taught us anything?
Hey.. Stop beating up on Mr. Whitacre
Ed Whitacre is one of the few folks that has singlehandedly turned around massive manufacturing companies. Hard to find a guy with a better and proven track record of success in the manufacturing field.
Go ahead.. Try to name a SINGLE large manufacturing company that failed under his watch. I dare you.. Name a SINGLE one!
He is so dedicated to the little guy that a Business Week article a few years back remarked that as CEO of AT&T, he didn’t even have a computer in his office or use e-mail.
Stack it (discounts) high, watch them fly! That’s the GM Dealer’s mantra. That is all they know and that is all they get from a corporation that is all THEY know.
Out-build Honda, Toyota, Mazda, Subaru, and the other transplants? General Motors doses not grasp that concept. Never did and never will. If you are willing to settle for an inferior vehicle to save a few bucks, a General Motors car dealership is the place to go.
However, the GM price point for a 2 year old transplant can get you one very sweet ride. Calling this a “perception gap” is ridiculous.
Among areas he cited as needing rapid improvement are advertising, revenue and net income.
Good grief.
The area needing the most rapid improvement is for the designers, engineers, and product managers to understand, appreciate, and react to why each of their General Motors vehicles is fifth-in-class or lower.
Re LW:
“Hard to find a guy with a better and proven track record of success in the manufacturing field.”
Have you met Mr Mullally….?
“…as CEO of AT&T, he didn’t even have a computer in his office or use e-mail…”
And how does being a Luddite make things better? As CEO of GM does that mean he won’t drive or own a car? That’s not a manager, that’s a Mennoite.
they have no chance whatsoever with Mark LaNeve, John Smith, and Brent Dewar. same clowns, same circus.
But GM doesn’t have a portfolio of great products. It has a few pretty good products and a bunch of mediocre products.
GM still hasn’t got a marketing message worthy of mention and still has know-nothings running the show.
Lutz in charge of marketing???
Docherty running Buick-GMC?
What the heck are Buick and GMC doing in the same division anyway?
Why does GMC even continue to exist?
How is Buick going to beat the Lexus dealer experience?
Has Cadillac figured out that its customers are not BMW cross shoppers?
Why does Chevrolet have exactly ONE competitive high volume car in its portfolio?
What he should have said was:
“The most important thing we do is to firmly establish what the four brands stand for, then ensure that each vehicle fulfills the brand promise and is built to the highest level of quality possible combined with attractive design both inside and out. American consumers will again give GM vehicles a look, and a test drive, and we’ve got to win the hearts and minds of each consumer.”
Whitacre’s statement already shows he’s been bamboozled by GM management…and he clearly doesn’t understand the biz. Getting market share starts with each vehicle, each brand…and sold one unit at a time. Stating a goal for market share without solving the underlying problems sounds like Rick Wagoner and others of the “Old GM.” Some things never change…
No email or computer for a top exec? I’ve seen that ploy up close and personal, so let me explain.
Emails create an audit trail, and confirm what the exec knew and when he knew it. For a careerist, this is highly undesirable. Here’s how they do it: they have an email address, but it all gets pulled up by their secretary. The secretary prints off hard copy, and gives it to the boss. He gives a verbal reply or scrawls a note, and the secretary types the reply, beginning with “Mr. Whitacre says…”. This disconnect maintains deniability, and enhances his political flexibility. If he wants to reverse himself 180 degrees, he can. BTW, the copies are shredded, nothing is kept on file in his office.
Want to make the shlitlist of a boss that works this way? Send him written reports about problems. He will hate you, because he wants everything to be verbal. He refuses to be pinned down, or held to his word – which is worthless in any event.
“He is so dedicated to the little guy that a Business Week article a few years back remarked that as CEO of AT&T, he didn’t even have a computer in his office or use e-mail.”
Geez, he sounds like a member of Congress.
“Among areas he cited as needing rapid improvement are advertising, revenue and net income.”
After reading these idiotic quotes, I’d say the first thing needing “rapid improvement” is the damn Board of Directors! Yeah, GM is in great hands. Nothing to see here, folks. Move along.
He is so dedicated to the little guy that a Business Week article a few years back remarked that as CEO of AT&T, he didn’t even have a computer in his office or use e-mail.
I have to assume this is sarcasm. What “little guy” are we talking about and how on earth does not having an f’ing working email address show dedication to said small person? That’s like a co-worker who refuses to accept meeting invites in MS Outlook. It doesn’t matter why they refuse (principle, hatred of Bill Gates, etc), it is disrespectful to the people who count on you (and who you count on).
If you’re not selling something that can stand on it’s own merits, no amount of advertising will help in the long run. If it’s garbage to begin with it will still be garbage.
GM has to embrace it’s designers and engineers and build something interesting, something compelling that people want to have.
I’m sure if they delved down into their personnel they would find lots of people who want to do this, and have wanted to do since before the bean counters took control.
@ tparkit
+1
Might I recommend Dilbert and the Way of the Weasel.
Why shouldn’t a chairman want the company he serves to be on top of the pile?
“Among areas he cited as needing rapid improvement are advertising, revenue and net income.”
Good thing he didn’t mention “quality”, because, as we all know, GM’s quality does not need improvement, rapid or otherwise.
GM is the new AMTRAK. Government owned and will never make a profit, nor will it ever be put to rest.
He just might be the guy we need to rid us of this blot on the automotive landscape.
Rick tried but was thwarted by Prez Goodwrench.
Go Fritz und Ed, get it over with.
Funny, I thought the guys in BPODs drank something stronger than Kool-aid. Then again, GMs flavor seems to be a pretty potent halcinogenic.
Bunter
@Mike in Canada
Go read Ed’s bio and you’ll see what I mean. I’ll even raise the stakes.
Go find me a single manufacturing company that has had an unprofitable quarter up to 5 years AFTER fast Eddy Whitacre left.
I don’t know about Whitacre’s ability to translate success at AT&T to GM. GM had a former chairman from P&G (Smale), they also “manufacture” consumer goods, and that was a failure.
I don’t think of AT&T as a manufacturer. AT&T’s primary business is providing local and long distance phone service. Add in cell service and a growing fiber optic TV business. Sure, they make phones, but that’s a secondary business.
Does he have other industry experience?
You could put Richard Branson in as the Chairman of GM. He too would be treated skeptically with equally low appeal or credibility unless and until he changed every manager down to shop floor supervisor.
Completely off topic so my apologies in advance. I’m originally from LA and used to be a huge Howie Long fan. How can that guy do all those Chevy commercials with a straight face? Everytime I see one of those now my immediate thought is “run Howie, run! As far and as fast as you can, run away before you completely lose your credibility as a human being. Do what Tiger did with Buick and save what is left of your public image.”
Whatta Plan! To make more money, first we have to increase our revenue. This is like that old idiot’s recipe for how to make pancakes. First, you start with some pancakes. Then . . .
The more things change, the more they stay the same.
You gotta wonder about these guys — are they really as clueless as they sound?
Whiteacre is nothing but a Bell-head, which is someone who grew up in the monopoly culture of the old Bell System, with government-guaranteed profits, essentially zero risk. Of course, the deregulation of telecom has tossed them out of bed, and they have responded predictably — by getting bigger through acquisition and by clinging to what’s left of their old monopoly.
Why the administration thought this guy would bring anything to the table with respect to GM is almost a mystery. I say “almost” because Steve Rattner’s investment banking business was focused on the communications industry. Rattner undoubtedly had relationships with Whiteacre, and, until recently, he was running the auto industry bailout for the administration.
One would hope that a new board would sit down with management and start asking questions, beginning with “Why have you guys been getting your ass kicked for decades — and don’t tell us you haven’t or blame it on ‘outside forces beyond your control, etc.’ We’re not interested in excuses; we’re interested in fixing what is broken.”
In our dreams, right?
;-(
Hmmm
BRUCE from DC..
I have to agree.. GM is definately clueless to the poing of bringing in a telecom CEO to head a AUTOMAKER. Id love to have been at those meetings.
As for as Whitlees goes..
Someone needs to show him the bankruptcy filings, and how the company is going as we speak. Id still like to know what that dingus drives. (Let me guess.. Lexus LS.) Driving just as clueless as how he acts.
I forget who said this..
ITS THE PRODUCT STUPID.
Thats where they need to focus.
Compare and contrast with Akio Toyoda’s speech on June 25:
http://www2.toyota.co.jp/en/about_toyota/message/index.html
Two organizations with very different philosophies at the top. Anyone want to be which one will be more successful?