At Least Toyota & Hyundai Are Creating Jobs


    GM Plans to Cut 25,000 U.S. Jobs by 2008 – Yahoo! News

    I'm starting to get sick of beating up on GM. I hate to say it, as a former GM employee, but I agree with the UAW on this one completely.

    “The UAW is not convinced that GM can simply shrink its way out of its current problems. What's needed is an intense focus on rebuilding GM's U.S. market share, and the way to get there is by offering the right product mix of vehicles with world-class design and quality,” said UAW Vice President Richard Shoemaker, who directs negotiations with GM.

    Will Rick Wagonner take responsibility for the mess, or will he and the execs continue to rake in big paychecks for continuing the company down the death spiral?

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    Mark Graban
    Mark Graban is an internationally-recognized consultant, author, and professional speaker, and podcaster with experience in healthcare, manufacturing, and startups. Mark's new book is The Mistakes That Make Us: Cultivating a Culture of Learning and Innovation. He is also the author of Measures of Success: React Less, Lead Better, Improve More, the Shingo Award-winning books Lean Hospitals and Healthcare Kaizen, and the anthology Practicing Lean. Mark is also a Senior Advisor to the technology company KaiNexus.


    1. From other news:

      The company has demand for 5 million of its cars and trucks, while its factories have the capacity to make 6 million. GM may make a decision on its plants in the next two quarters.

      The automaker cut North American production 12 percent in the first quarter and plans a 10 percent reduction this quarter. Another 9 percent drop is slated in the third quarter after U.S. sales in May fell for the fourth month in five this year.

      GM used about 85 percent of potential capacity at 30 North American assembly and parts plants in 2004, according to a Harbour Consulting survey released last week. Toyota’s plant utilization was 107 percent at 6 plants, according to the annual survey of auto plants. Carmakers can produce more than their stated capacity if employees put in overtime.

    2. I agree. The problem is not their costs, it’s their products. After the “you pay what we pay” thing came out, I looked at the line-up. There’s basically not a single vehicle that GM makes that I would like to own! Too many sorry products for too many years leaves me with a bad emotional reaction to most GM brands anyway. I’d like to buy American, but it’s the Japanese names that appeal to me right now.


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