Lextreme II
Just call me "Lex"
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GM, Chrysler and Ford are in huge financial trouble. They are seeking 25 billion for a temporary bailout. Is this the solution for your automakers?
Saying Goodbye to the Big 3?
- Thread starter Lextreme II
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The 1UZFE EGR Delete Kit is available for sale here.
Now, it might be a regional thing, but how many Euro/Japanese trucks can haul a 12000 pound loaded trailer? And I'm not talking about commercial trucks, I'm talking about average, consumer based trucks. I'd be lucky if my 4Runner could tow 1500 pounds and still be able to pull on flat ground in 4th....
The thing is, our regional needs (and wants) vary alot more than the metropolis parts of Europe or JP. The Big 3 (US) automakers will be around as long as the US is an economical powerhouse. Even with this current economical situation, we STILL HAVE THE HIGHEST GDP of any single country.
The problem is that we are dedicating our money to foreign goods and services. Whether its customer service rep's in India (or engineers from the eastern hemisphere altogether) or cheaply made goods, it is hurting us overall. Because we have so few companies making certain types of goods and a minimum wage that beats the hell out of the far eastern countries we buy from, they'll always be able to undersell us.
There are so many things we could do to increase the production of American made goods its unbelievable. I'm talking about everything from the smallest made electrical parts (transistors, resistors, diodes & the like) to plastic toys, we have the ability to produce cheap goods. The issue is that with all the support we're giving these other countries, we have a hard time underselling them. We need to protect American industry.
Example:
You notice Toyota hasn't had a diesel truck in the US, ever.
Reason: Incredibly high tariff on imported diesels.
Getting around it: Toyota is moving plants to US (such as the one in San Antonio, TX) to produce these trucks. If that isn't a stab at US automakers, what is?
Imagine what we could do by placing large tariffs on imported goods again to stimulate industry. It worked during the late 1700's on British goods, why can't it work again?
The problem is completely internal. I think I could probably write a book about the things that should be done and could be done.
Just my take on it.
Eric
they have to stop building 10ltr 7000hp engine's, 50ltr deisel engines, 7 tonne "normal cars, trucks. what the hell they are like road trains" suv's. There is enough metal in 1 suv to build 3 normal japan/euro cars with some spare to build another french statue.
they have to re-evaluate their way of building cars to the consumer. one way is to make the perception that "smaller" is better, like the american waist line which has gone in the opposite direction.
jibbby
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Those are monster companies Lex and I don't see them going any where too soon despite their financial woe claims..... They still have the option to file bankruptcy or seek government aid perhaps.. At worst we may see a merger or something of that nature like the banking industries have done recently... Companies that large carry value and assets and just don't go away over night in most cases...
I could be wrong though, you never know with this ongoing suspect economy... It's funny I've been actually thinking of ways to establish business that is some what resession proof... Human necessities, medical industry, transportation, or anything along those lines... I am sure I am not the only one that is concerned and losing faith quickly in our futures economy..
I am really hoping with Obama being elected the economy would start to see signs of improvement...So far that is not the case...
I could be wrong though, you never know with this ongoing suspect economy... It's funny I've been actually thinking of ways to establish business that is some what resession proof... Human necessities, medical industry, transportation, or anything along those lines... I am sure I am not the only one that is concerned and losing faith quickly in our futures economy..
I am really hoping with Obama being elected the economy would start to see signs of improvement...So far that is not the case...
stevechumo
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They're really into troubles. I spoke to a person and she has her neece living in Detroit Michigan, where the GM headquarters reside. She said the whole town is looking like a dead town due to the massive lay-offs. Many people live there work for GM. It's a sad news for our economy so I hope there're some alternatives that can at least help them hold on to their current situation. Then when the economy picks up, they can go back to the better days. And as the consumers, we'll benefit, too.
The thing I don't like about the ways the U.S companies managing of human resources is they hire as many people as they can really quick, when the companies are growing or in the promissing stage. Then start laying off people like there's no tomorrow when the companies start going down.
In the opposite way, the Japanese companies handle the human resources better. The employers are much more loyal to their employees. They don't hire people as quick as the U.S companies do, but they don't lay off people that quick. I think that's a more ethical way to handle human resources and economy. No wonder the Japanese only took a few decades from scratches (after WWII) to catch up to the U.S.
The thing I don't like about the ways the U.S companies managing of human resources is they hire as many people as they can really quick, when the companies are growing or in the promissing stage. Then start laying off people like there's no tomorrow when the companies start going down.
In the opposite way, the Japanese companies handle the human resources better. The employers are much more loyal to their employees. They don't hire people as quick as the U.S companies do, but they don't lay off people that quick. I think that's a more ethical way to handle human resources and economy. No wonder the Japanese only took a few decades from scratches (after WWII) to catch up to the U.S.
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crushu
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I hope for your sakes that the big 3 don't go down to chute, 10% of the US population is employed by the big 3, or by an employer that relies on them.
If all 3 shut the doors overnight, there would be 30 million more people scratching their asses.
Not nearly as bad here, but wouldn't be too far off. Holden, Ford, Mitsubishi and Toyota all employ thousands of people, directly and indirectly.
If all 3 shut the doors overnight, there would be 30 million more people scratching their asses.
Not nearly as bad here, but wouldn't be too far off. Holden, Ford, Mitsubishi and Toyota all employ thousands of people, directly and indirectly.
jibbby
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Steve, I think it's really a matter of dollars and cents...If a big company is in the red they will need to down size to run more effeciently in an attempt to make the company more profitable... If sales are down less product is needed to be manufactured which inturn means less employees are needed to manufacture the product.. That's the sad truth.....
I'm not so sure it's a human resource or loyalty issue when a big company starts to go under and lay off their employees... When the CEO's of these large companies start selling off all their own personal shares prematurely in that company, then employees of that same company later lose their jobs, pensions and retirement 401k's plans then that is a different matter entirely......I have a brother that works for a big company and is head of the human resources department..He just let off 30 people last week and feels so bad about it... That was done for company profitability and not for lack of loyalty..
What is really recently disturbing to me is that I had lost my bank ATM card to access cash and had to use my Discover credit card twice for cash advances from the ATM machines ($300 twice).. Keep in mind I have a perfect credit rating and a week later the Discover card company sends me a letter saying "after recent review of your account we have reduced your credit limit from $12,000 down to $6000"... I run my credit after receiving that notice and all of the three credit reports show my credit as being impecable...
That to me is a very scary sign of things to come.. This leads me to believe many people are defaulting on their credit cards and the credit card companies are raising red flag alerts... I have never experienced a reduction in credit in my life.. My fica is in the 800's..
I'm not so sure it's a human resource or loyalty issue when a big company starts to go under and lay off their employees... When the CEO's of these large companies start selling off all their own personal shares prematurely in that company, then employees of that same company later lose their jobs, pensions and retirement 401k's plans then that is a different matter entirely......I have a brother that works for a big company and is head of the human resources department..He just let off 30 people last week and feels so bad about it... That was done for company profitability and not for lack of loyalty..
What is really recently disturbing to me is that I had lost my bank ATM card to access cash and had to use my Discover credit card twice for cash advances from the ATM machines ($300 twice).. Keep in mind I have a perfect credit rating and a week later the Discover card company sends me a letter saying "after recent review of your account we have reduced your credit limit from $12,000 down to $6000"... I run my credit after receiving that notice and all of the three credit reports show my credit as being impecable...
That to me is a very scary sign of things to come.. This leads me to believe many people are defaulting on their credit cards and the credit card companies are raising red flag alerts... I have never experienced a reduction in credit in my life.. My fica is in the 800's..
Deuce
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I don't have any sympathy for the big 3 who have enjoyed a cosy relationship with each other for decades. Look at what happened to the Tucker ( a much more technically advanced car in its day.) In case you have forgotten, go and hire the DVD again to jog your memory. If the automotive industry gets a bail out, next it will be the aviation industry and then...... where will it end?
JBrady
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Well, things are definitely going to CHANGE...
The management of the big 3 has been disgusting. Arrogance and ignorance has created a leadership disaster.
On top of that we have the unions that have leeched as much productivity as possible for so long that things are finaly grinding to a halt.
Here is an excerpt from a quick search I did for the average hourly wage for an autoworker. Keep in mind that EVERYONE in the union gets these wages including lawn maintenance and janitors (news to me) and roughly 12,000 "workers" who do NOTHING but are paid full wages waiting on a possible job in the future.
Average COST to employ an autoworker is apx $65/hour!!!!
"According to the Indianapolis Star:
Base wages average about $28 an hour. GM officials say the average reaches $39.68 an hour, including base pay, cost-of-living adjustments, night-shift premiums, overtime, holiday and vacation pay. Health-care, pension and other benefits average another $33.58 an hour, GM says. - September 26, 2007 UNITED AUTO WORKERS OFF THE JOB, Striking back at globalization. By Ted Evanoff"
"but on Planet Big Five, these jobs get the same wages as any auto line-worker: an average $26 an hour ($60,000 a year) plus benefits that bring the company's total cost per worker to a staggering $65 an hour"
http://malaysia.answers.yahoo.com/question/index?qid=20070924073107AAuGk8O
The management of the big 3 has been disgusting. Arrogance and ignorance has created a leadership disaster.
On top of that we have the unions that have leeched as much productivity as possible for so long that things are finaly grinding to a halt.
Here is an excerpt from a quick search I did for the average hourly wage for an autoworker. Keep in mind that EVERYONE in the union gets these wages including lawn maintenance and janitors (news to me) and roughly 12,000 "workers" who do NOTHING but are paid full wages waiting on a possible job in the future.
Average COST to employ an autoworker is apx $65/hour!!!!
"According to the Indianapolis Star:
Base wages average about $28 an hour. GM officials say the average reaches $39.68 an hour, including base pay, cost-of-living adjustments, night-shift premiums, overtime, holiday and vacation pay. Health-care, pension and other benefits average another $33.58 an hour, GM says. - September 26, 2007 UNITED AUTO WORKERS OFF THE JOB, Striking back at globalization. By Ted Evanoff"
"but on Planet Big Five, these jobs get the same wages as any auto line-worker: an average $26 an hour ($60,000 a year) plus benefits that bring the company's total cost per worker to a staggering $65 an hour"
http://malaysia.answers.yahoo.com/question/index?qid=20070924073107AAuGk8O
Lextreme II
Just call me "Lex"
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Without changing business plan and restructure the whole US auto industry, the 25B will just delay death. B3 need to focus on more energy and enviromental friendly cars/trucks. Alternative fuel like hybrids and electric will be a great direction. Get rid of the union.
4000GT
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By Big 3 do you mean Toyota, GM and VW? 
The US Big 3 will never be the worlds Big 3 again... really their market is mostly selling cars to Americans, while Europe and Japan sell cars to the world. It was always going to fall over when the US economy gets a beating the US Big 3 will suffer most.
The US Big 3 will never be the worlds Big 3 again... really their market is mostly selling cars to Americans, while Europe and Japan sell cars to the world. It was always going to fall over when the US economy gets a beating the US Big 3 will suffer most.
91_4x4runner
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Now, it might be a regional thing, but how many Euro/Japanese trucks can haul a 12000 pound loaded trailer? And I'm not talking about commercial trucks, I'm talking about average, consumer based trucks. I'd be lucky if my 4Runner could tow 1500 pounds and still be able to pull on flat ground in 4th....
The thing is, our regional needs (and wants) vary alot more than the metropolis parts of Europe or JP. The Big 3 (US) automakers will be around as long as the US is an economical powerhouse. Even with this current economical situation, we STILL HAVE THE HIGHEST GDP of any single country.
The problem is that we are dedicating our money to foreign goods and services. Whether its customer service rep's in India (or engineers from the eastern hemisphere altogether) or cheaply made goods, it is hurting us overall. Because we have so few companies making certain types of goods and a minimum wage that beats the hell out of the far eastern countries we buy from, they'll always be able to undersell us.
There are so many things we could do to increase the production of American made goods its unbelievable. I'm talking about everything from the smallest made electrical parts (transistors, resistors, diodes & the like) to plastic toys, we have the ability to produce cheap goods. The issue is that with all the support we're giving these other countries, we have a hard time underselling them. We need to protect American industry.
Example:
You notice Toyota hasn't had a diesel truck in the US, ever.
Reason: Incredibly high tariff on imported diesels.
Getting around it: Toyota is moving plants to US (such as the one in San Antonio, TX) to produce these trucks. If that isn't a stab at US automakers, what is?
Imagine what we could do by placing large tariffs on imported goods again to stimulate industry. It worked during the late 1700's on British goods, why can't it work again?
The problem is completely internal. I think I could probably write a book about the things that should be done and could be done.
Just my take on it.
Eric
v8soarer_1991
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By Big 3 do you mean Toyota, GM and VW?
The US Big 3 will never be the worlds Big 3 again... really their market is mostly selling cars to Americans, while Europe and Japan sell cars to the world. It was always going to fall over when the US economy gets a beating the US Big 3 will suffer most.
they have to stop building 10ltr 7000hp engine's, 50ltr deisel engines, 7 tonne "normal cars, trucks. what the hell they are like road trains" suv's. There is enough metal in 1 suv to build 3 normal japan/euro cars with some spare to build another french statue.
they have to re-evaluate their way of building cars to the consumer. one way is to make the perception that "smaller" is better, like the american waist line which has gone in the opposite direction.
jibbby
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Well, I just came back from one of the worlds largest car auto shows today.. THE LOS ANGELES CONVENTION AUTO SHOW..
Toyota is the front runner in car sales and popularity as far as could tell..
Toyota and Honda currently have two of the most fuel and cost effecient economy vehicles on the market today and they both sell very well. Honda has the Civid HB and the popular Toyota Prius.. Both around the $25,000USD range and both get around 40 miles to the gallon.. I didn't see any Chevy or Ford advertising these types of cars anywhere... I saw Chevy and their Corvettes and Ford and their Mustangs.. Yeah, the Suv's and work utility trucks are big still for both, but I don't see them marketing any smaller cars for cost and fuel effeciency like Toyota and Honda...
Lexus looks strong with their luxury vehicles, and I really liked their newest SUV model the Lexus LX570... Very cosy ride...
To tell you the truth though each and every car market is currently suffering and it is not only the big 3 from what the representives are saying..
My top three top cars in the world to look at a drool over every year are still the Austin Martin Vanquish, Top model Lamborgini's, and the Ferrari 430's... Those are my big three...HE HE...
Merc's., Bentley's, Porsche's, etc.. Don't quite make the grade in my opinion..
My Favorite SUV overall is the newest Supercharged Range Rover SE... A very nice SUV for around $95,000.. The Cadilac Escalade, Lincoln Navigator, and Lexus LX570 are hard to beat for pure luxury and confort though..
Toyota is the front runner in car sales and popularity as far as could tell..
Toyota and Honda currently have two of the most fuel and cost effecient economy vehicles on the market today and they both sell very well. Honda has the Civid HB and the popular Toyota Prius.. Both around the $25,000USD range and both get around 40 miles to the gallon.. I didn't see any Chevy or Ford advertising these types of cars anywhere... I saw Chevy and their Corvettes and Ford and their Mustangs.. Yeah, the Suv's and work utility trucks are big still for both, but I don't see them marketing any smaller cars for cost and fuel effeciency like Toyota and Honda...
Lexus looks strong with their luxury vehicles, and I really liked their newest SUV model the Lexus LX570... Very cosy ride...
To tell you the truth though each and every car market is currently suffering and it is not only the big 3 from what the representives are saying..
My top three top cars in the world to look at a drool over every year are still the Austin Martin Vanquish, Top model Lamborgini's, and the Ferrari 430's... Those are my big three...HE HE...
Merc's., Bentley's, Porsche's, etc.. Don't quite make the grade in my opinion..
My Favorite SUV overall is the newest Supercharged Range Rover SE... A very nice SUV for around $95,000.. The Cadilac Escalade, Lincoln Navigator, and Lexus LX570 are hard to beat for pure luxury and confort though..
91_4x4runner
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As long as we're on the topic of fuel economy....
Prius, 25K - 40mpg estimate - 2700lbs empty
My Honda 599 - 2K - 55mpg measured - 550lbs wet + me
My dad's 2001 3/4ton Dodge (Cummins and NV5600) - 25K - 19-20mpg measured - over 6000 lbs empty
My bicycle - $100 - infinite mpg... just pointing it out, i know it isn't as decent for long hauls :tongue2:...
OK. Lets break this down a bit more.
Prius, "around" 40mpg... We can't take this at face value. EPA estimates of 40MPG are still high. So lets knock off 3mpg (probably average amount to knock off). So 37mpg, still not shabby.
But what are we looking at really? It's a car shaped like a big 1/2 egg. Aerodynamic no doubt. 2700lbs according to wikipedia. 1.5L 60 horse engine.... The problem isn't with the fact that their car has all this amazing technology with the electric motors and high end batteries and CVT. The problem is that all this stuff adds weight.
If you can beat the weight off any aerodynamic car and throw in an excessively low displacement engine, you can beat the Prius numbers. Look at the Miata. 2100lbs from the factory. 1.8L motor pumping out over twice the horsepower (130 flywheel). Correct me if I'm wrong, but don't you think a detuned Miata with milder cams and the works could get 40mpg?
It really comes down to weight. Look at my bike 400lbs wet, + 150lbs of me and it gets 55. 599cc engine making 95 horses. Even this could be detuned for better fuel economy.
Now though, contrary to my argument, there's only so much you can do. More so, there's only so much the government regulations will let you do. Safety requirements also add weight (gotta pass crash tests, gotta have airbags, etc).
Perhaps these vehicles should switch to a more efficient fuel? A friggin' 3L turbo diesel could make the same power that the prius does and get better fuel economy. All without the expensive special electronics.
Look at the numbers I posted for fuel economy.
My dad's truck, at over twice the weight of a Prius gets just under 1/2 the economy and that sucker has a 5.9L iron block cummins.
Fuel efficiencies?
Prius, 25K - 40mpg estimate - 2700lbs empty
My Honda 599 - 2K - 55mpg measured - 550lbs wet + me
My dad's 2001 3/4ton Dodge (Cummins and NV5600) - 25K - 19-20mpg measured - over 6000 lbs empty
My bicycle - $100 - infinite mpg... just pointing it out, i know it isn't as decent for long hauls :tongue2:...
OK. Lets break this down a bit more.
Prius, "around" 40mpg... We can't take this at face value. EPA estimates of 40MPG are still high. So lets knock off 3mpg (probably average amount to knock off). So 37mpg, still not shabby.
But what are we looking at really? It's a car shaped like a big 1/2 egg. Aerodynamic no doubt. 2700lbs according to wikipedia. 1.5L 60 horse engine.... The problem isn't with the fact that their car has all this amazing technology with the electric motors and high end batteries and CVT. The problem is that all this stuff adds weight.
If you can beat the weight off any aerodynamic car and throw in an excessively low displacement engine, you can beat the Prius numbers. Look at the Miata. 2100lbs from the factory. 1.8L motor pumping out over twice the horsepower (130 flywheel). Correct me if I'm wrong, but don't you think a detuned Miata with milder cams and the works could get 40mpg?
It really comes down to weight. Look at my bike 400lbs wet, + 150lbs of me and it gets 55. 599cc engine making 95 horses. Even this could be detuned for better fuel economy.
Now though, contrary to my argument, there's only so much you can do. More so, there's only so much the government regulations will let you do. Safety requirements also add weight (gotta pass crash tests, gotta have airbags, etc).
Perhaps these vehicles should switch to a more efficient fuel? A friggin' 3L turbo diesel could make the same power that the prius does and get better fuel economy. All without the expensive special electronics.
Look at the numbers I posted for fuel economy.
My dad's truck, at over twice the weight of a Prius gets just under 1/2 the economy and that sucker has a 5.9L iron block cummins.
Fuel efficiencies?
jibbby
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The Prius is garbage, I sat in it and it is crap...So cheap on the inside, and yes it looks horrible... But it sells.... It does get closer to 50 miles to the gallon if we must state the facts..
The Honda Civic Hybrid is a much better looking and feeling ride but that gets closer to 40 miles to the gallon...
I take the Honda all day long...
The Honda Civic Hybrid is a much better looking and feeling ride but that gets closer to 40 miles to the gallon...
I take the Honda all day long...
XR8tt
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I drove the Prius at work for a week.. It went through heaps of fuel if you push them!! If you drive like Ms Daisy ?? Yes and let the elect engine work. They can be economical.. From what I hear, Toyota actually loose money on these cars...
The top three need to make cars that people want !! Not large ass limos.. Yes keep the SUV's but obviously cars like the Camry are so popular..
The top three need to make cars that people want !! Not large ass limos.. Yes keep the SUV's but obviously cars like the Camry are so popular..
jibbby
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I can't speak intelegently with solid facts for all the auto companies for past sales and future sales.. I just relate what I was told at the auto shows from the automotive representatives of each Company..
My take for what it is worth in regards to economy vehicles - Chevy, Ford and Chyrstler economy cars of the past and future carry a very bad reputation overall even hear in the States..... Consumers remember the lemons of the past, the Escorts, Cavaliers, etc........Where as Toyota and other imports have a much better reputation for their economy cars....Camery, Civic's etc... I think that alone effects sales...
My take for what it is worth in regards to economy vehicles - Chevy, Ford and Chyrstler economy cars of the past and future carry a very bad reputation overall even hear in the States..... Consumers remember the lemons of the past, the Escorts, Cavaliers, etc........Where as Toyota and other imports have a much better reputation for their economy cars....Camery, Civic's etc... I think that alone effects sales...
Mrpickles15
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The fact of the matter is, if the big three went out of business, Japanese and European car sales would go through the roof. So to offset the spike in demand they would start producing cars over here, which means moving into the factories left behind by the big three and hiring most of the work force back. Sure it wouldn't be exactly the same, or right away. But it certainly would help to offset some of America's unemployment.
I dunno, just what I think would happen.
I dunno, just what I think would happen.
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Change takes time and I don't think the time is available for the US big 3. These big old fat companies move so slowly and re tooling takes such a long time not to mention the added expense.
Peoples attitudes will change when they can no longer buy their big old tech trucks that can tow a 120,000 lb trailer to pick up bread and milk and drop the kids off to school.
Poor old motor town has seen the good times come and go.
Peoples attitudes will change when they can no longer buy their big old tech trucks that can tow a 120,000 lb trailer to pick up bread and milk and drop the kids off to school.
Poor old motor town has seen the good times come and go.
Jake Breyck
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On this same related note this was posted on another forum im on. so enjoy.....
A Modern Parable.
A Japanese company ( Toyota ) and an American company (Ford Motors) decided to have a canoe race on the Missouri River . Both teams practiced long and hard to reach their peak performance before the race.
On the big day, the Japanese won by a mile.
The Americans, very discouraged and depressed, decided to investigate the reason for the crushing defeat. A management team made up of senior management was formed to investigate and recommend appropriate action.
Their conclusion was the Japanese had 8 people rowing and 1 person steering, while the American team had 7 people steering and 2 people rowing.
Feeling a deeper study was in order, American management hired a consulting company and paid them a large amount of money for a second opinion.
They advised, of course, that too many people were steering the boat, while not enough people were rowing.
Not sure of how to utilize that information, but wanting to prevent another loss to the Japanese, the rowing team's management structure was totally reorganized to 4 steering supervisors, 2 area steering superintendents and 1 assistant superintendent steering manager.
They also implemented a new performance system that would give the 2 people rowing the boat greater incentive to work harder. It was called the 'Rowing Team Quality First Program,' with meetings, dinners and free pens for the rowers. There was discussion of getting new paddles, canoes and other equipment, extra vacation days for practices and bonuses. The pension program was trimmed to 'equal the competition' and some of the resultant savings were channeled into morale-boosting programs and teamwork posters.
The next year the Japanese won by two miles.
Humiliated, the American management laid off one rower, halted development of a new canoe, sold all the paddles, and canceled all capital investments for new equipment. The money saved was distributed to the Senior Executives as bonuses.
The next year, try as he might, the lone designated rower was unable to even finish the race (having no paddles,) so he was laid off for unacceptable performance, all canoe equipment was sold and the next year's racing team was out-sourced to India .
Sadly, the End.
Here's something else to think about: Ford has spent the last thirty years moving all its factories out of the US , claiming they can't make money paying American wages.
TOYOTA has spent the last thirty years building more than a dozen plants inside the US . The last quarter's results:
TOYOTA makes 4 billion in profits while Ford racked up 9 billion in losses.
Ford folks are still scratching their heads, and collecting bonuses...
IF THIS WEREN'T SO TRUE IT MIGHT BE FUNNY
A Modern Parable.
A Japanese company ( Toyota ) and an American company (Ford Motors) decided to have a canoe race on the Missouri River . Both teams practiced long and hard to reach their peak performance before the race.
On the big day, the Japanese won by a mile.
The Americans, very discouraged and depressed, decided to investigate the reason for the crushing defeat. A management team made up of senior management was formed to investigate and recommend appropriate action.
Their conclusion was the Japanese had 8 people rowing and 1 person steering, while the American team had 7 people steering and 2 people rowing.
Feeling a deeper study was in order, American management hired a consulting company and paid them a large amount of money for a second opinion.
They advised, of course, that too many people were steering the boat, while not enough people were rowing.
Not sure of how to utilize that information, but wanting to prevent another loss to the Japanese, the rowing team's management structure was totally reorganized to 4 steering supervisors, 2 area steering superintendents and 1 assistant superintendent steering manager.
They also implemented a new performance system that would give the 2 people rowing the boat greater incentive to work harder. It was called the 'Rowing Team Quality First Program,' with meetings, dinners and free pens for the rowers. There was discussion of getting new paddles, canoes and other equipment, extra vacation days for practices and bonuses. The pension program was trimmed to 'equal the competition' and some of the resultant savings were channeled into morale-boosting programs and teamwork posters.
The next year the Japanese won by two miles.
Humiliated, the American management laid off one rower, halted development of a new canoe, sold all the paddles, and canceled all capital investments for new equipment. The money saved was distributed to the Senior Executives as bonuses.
The next year, try as he might, the lone designated rower was unable to even finish the race (having no paddles,) so he was laid off for unacceptable performance, all canoe equipment was sold and the next year's racing team was out-sourced to India .
Sadly, the End.
Here's something else to think about: Ford has spent the last thirty years moving all its factories out of the US , claiming they can't make money paying American wages.
TOYOTA has spent the last thirty years building more than a dozen plants inside the US . The last quarter's results:
TOYOTA makes 4 billion in profits while Ford racked up 9 billion in losses.
Ford folks are still scratching their heads, and collecting bonuses...
IF THIS WEREN'T SO TRUE IT MIGHT BE FUNNY
