Forget the bailout, GM. Here is what you should do (and should have done 15 years ago):
- Forget the game of being #1 in the world. Your focus needs to be on survival. Put the egos aside for now.
- Discontinue production of all cars except Volt, Corvette and Cadillacs (yes, that includes dumping Camaro and Solstice).
- As a result, discontinue Pontiac, Buick, Saturn and GMC. Keep Chevy for Volt, Corvette, SUVs and trucks.
- Sell off Hummer and Saab.
- Get moving on hybrid, electric and CNG technologies.
- Keep minimal SUV models and any that are kept need fuel efficiency improvements. Ideally, all should be hybrid or have cylinder-cutoff technology.
- Get rid of union work. As that will probably never happen, get rid of the paycheck-while-laid-off policy (what is it, they get 96% of their paycheck while laid off?!)
- Change your obviously flawed philosophy of “they will want/buy what we build.” Pay attention to trends and build what people want.
- Better quality control. It’s gotten better, but you are lacking as always. You’ve had three decades to admit that you have inferior products and work to resolve that. This is the number one reason you are in the position you are in now.
November 27, 2008
