Comments on: Overpaid Dummies Voting with their Feet at Ford http://www.leanblog.org/2006/11/overpaid-dummies-voting-with-their/ Mark Graban's leanblog.org - Lean Healthcare, Lean Thinking, Lean Manufacturing, Toyota Production System Thu, 09 Feb 2012 22:59:58 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: GM to try to Inspect Quality In After Letting Experience Walk Out the Door — Lean Blog http://www.leanblog.org/2006/11/overpaid-dummies-voting-with-their/#comment-22787 GM to try to Inspect Quality In After Letting Experience Walk Out the Door — Lean Blog Thu, 28 Jul 2011 03:14:30 +0000 http://leanblog.bigbigdesign.net/2006/11/overpaid-dummies-voting-with-their-feet-at-ford/#comment-22787 [...] them with cheaper ones. Or maybe it’s already called the “Circuit City Method.” Ford has been doing the same thing, as have other auto suppliers. It’s the standard playbook anymore, unless you’re Toyota [...] [...] them with cheaper ones. Or maybe it’s already called the “Circuit City Method.” Ford has been doing the same thing, as have other auto suppliers. It’s the standard playbook anymore, unless you’re Toyota [...]

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]]> By: Mr Ford http://www.leanblog.org/2006/11/overpaid-dummies-voting-with-their/#comment-3348 Mr Ford Sat, 29 Mar 2008 02:04:00 +0000 http://leanblog.bigbigdesign.net/2006/11/overpaid-dummies-voting-with-their-feet-at-ford/#comment-3348 I just read a great new book on Ford - Ford and the American Dream - Founded on Right Decisions by Clifton Lambreth. Mr. Lambreth discusses Ford's failed strategies and the difficult balancing act with the UAW. He does the best job ever of giving the average person an inside look at Corporate America and Ford. This is a must read for every business person around the world! I just read a great new book on Ford – Ford and the American Dream – Founded on Right Decisions by Clifton Lambreth. Mr. Lambreth discusses Ford’s failed strategies and the difficult balancing act with the UAW. He does the best job ever of giving the average person an inside look at Corporate America and Ford. This is a must read for every business person around the world!

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]]> By: Karen Wilhelm http://www.leanblog.org/2006/11/overpaid-dummies-voting-with-their/#comment-1307 Karen Wilhelm Sat, 02 Dec 2006 16:32:00 +0000 http://leanblog.bigbigdesign.net/2006/11/overpaid-dummies-voting-with-their-feet-at-ford/#comment-1307 As long as "labor" is a separate cost category in the product, and salaries are rolled into "indirect costs" or G&A, blue collar workers are going to be targeted. <br/><br/>I'm not sure temp labor is the driver, because you do need fewer workers when you close plants.<br/><br/>And don't forget, retirements are attractive because you pay the same people out of a different pocket, somehow making everything all right.<br/><br/>I'm not a financial person, so I might have gotten some of the cost accounting jargon wrong, but I think there are a lot of people who would agree that wrong-headed thinking is at the root of the mass layoffs.<br/><br/>By the way, there's a large category of white-collar buyout offers that will be conditional. If too many people choose to go, the conditional buyout offers can be withdrawn. As long as “labor” is a separate cost category in the product, and salaries are rolled into “indirect costs” or G&A, blue collar workers are going to be targeted.

I’m not sure temp labor is the driver, because you do need fewer workers when you close plants.

And don’t forget, retirements are attractive because you pay the same people out of a different pocket, somehow making everything all right.

I’m not a financial person, so I might have gotten some of the cost accounting jargon wrong, but I think there are a lot of people who would agree that wrong-headed thinking is at the root of the mass layoffs.

By the way, there’s a large category of white-collar buyout offers that will be conditional. If too many people choose to go, the conditional buyout offers can be withdrawn.

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]]> By: Anonymous http://www.leanblog.org/2006/11/overpaid-dummies-voting-with-their/#comment-1304 Anonymous Fri, 01 Dec 2006 19:21:00 +0000 http://leanblog.bigbigdesign.net/2006/11/overpaid-dummies-voting-with-their-feet-at-ford/#comment-1304 That rigorous training at Toyota, as opposed to Dell where, in a busy season, they would bring temps in off the street and have them building computers without much training. At least that was true a while ago.... one reason they aren't really a TPS company although people like to call them "lean." They are lean if "lean" means low inventory and fast response, but there's more to it than that. That rigorous training at Toyota, as opposed to Dell where, in a busy season, they would bring temps in off the street and have them building computers without much training. At least that was true a while ago…. one reason they aren’t really a TPS company although people like to call them “lean.” They are lean if “lean” means low inventory and fast response, but there’s more to it than that.

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]]> By: Anonymous http://www.leanblog.org/2006/11/overpaid-dummies-voting-with-their/#comment-1303 Anonymous Fri, 01 Dec 2006 19:17:00 +0000 http://leanblog.bigbigdesign.net/2006/11/overpaid-dummies-voting-with-their-feet-at-ford/#comment-1303 Your comment about "bring in any temp worker off the street to do the job" reminds me of an (apocryphal) story that I heard in the Toyota Motor Sales cafeteria a few years back – about a reason why Toyota had fewer manufacturing facilities in Mexico than the US. Apparently there exists a cultural standard that, when an employee wants to take time off, a relative will show up to cover that employee’s job. Since Toyota Associates must complete months of training before actually working in vehicle assembly, that doesn’t work at a Toyota plant. I cannot vouch for the veracity of the story, but the rigorous training for Associates is true. Your comment about “bring in any temp worker off the street to do the job” reminds me of an (apocryphal) story that I heard in the Toyota Motor Sales cafeteria a few years back – about a reason why Toyota had fewer manufacturing facilities in Mexico than the US. Apparently there exists a cultural standard that, when an employee wants to take time off, a relative will show up to cover that employee’s job. Since Toyota Associates must complete months of training before actually working in vehicle assembly, that doesn’t work at a Toyota plant. I cannot vouch for the veracity of the story, but the rigorous training for Associates is true.

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]]> By: Mark Graban http://www.leanblog.org/2006/11/overpaid-dummies-voting-with-their/#comment-1300 Mark Graban Fri, 01 Dec 2006 04:19:00 +0000 http://leanblog.bigbigdesign.net/2006/11/overpaid-dummies-voting-with-their-feet-at-ford/#comment-1300 I thought I was being clear.... it's Ford management who considers these workers dummies. I think the workers are smart for leaving -- assuming they can find a job where they'll be respected more than they were at Ford. If a company is willing to let experienced employees walk so they can hire cheaper replacements.... it's Ford management who thinks they had dummies and they can get cheaper dummies to do the same jobs. I thought I was being clear…. it’s Ford management who considers these workers dummies. I think the workers are smart for leaving — assuming they can find a job where they’ll be respected more than they were at Ford. If a company is willing to let experienced employees walk so they can hire cheaper replacements…. it’s Ford management who thinks they had dummies and they can get cheaper dummies to do the same jobs.

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]]> By: Anonymous http://www.leanblog.org/2006/11/overpaid-dummies-voting-with-their/#comment-1299 Anonymous Fri, 01 Dec 2006 03:04:00 +0000 http://leanblog.bigbigdesign.net/2006/11/overpaid-dummies-voting-with-their-feet-at-ford/#comment-1299 Why do you call the people leaving dummies? Why do you call the people leaving dummies?

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]]> By: Anonymous http://www.leanblog.org/2006/11/overpaid-dummies-voting-with-their/#comment-1298 Anonymous Thu, 30 Nov 2006 18:12:00 +0000 http://leanblog.bigbigdesign.net/2006/11/overpaid-dummies-voting-with-their-feet-at-ford/#comment-1298 Thanks for your sympathy to those of us still in the automotive business, Mark. We aren't all like Ford (or GM or Delphi), though. Some of us are doing quite well her in the US by learning, doing, and improving--just like good old Toyota. I hope some of the Ford employees who took the buyout show up at my door because I will value their talent and experience enough to offer them a job. Thanks for your sympathy to those of us still in the automotive business, Mark. We aren’t all like Ford (or GM or Delphi), though. Some of us are doing quite well her in the US by learning, doing, and improving–just like good old Toyota. I hope some of the Ford employees who took the buyout show up at my door because I will value their talent and experience enough to offer them a job.

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