Today, a respected former auto colleague, Mike Jackson, wrote an article that was published in the Automotive News. I have attached it here because I could not have described Old Detroit better. Mike’s situation mimics my own at Chrysler. Granted, when I was at Chrysler I did not have the same level of leadership as Mike did at GM but I can tell you that when I arrived and Dieter Zetsche, Wolfgang Bernhardt, Jim Schroer, Jeff Bell, Ann Fandozzi and myself were asked to be part of the “change” movement, we felt very much the same way that Mike did when he arrived at GM. We had some great successes and even made money. Then, management shifts occurred and things went south in a hurry. Additionally, no one made the hard decisions necessary, at Chrysler or the other two Detroit OEMs to change the labor agreements, reduce capacity/shut down plants, reduce the dealer body so that they could be more competitive with Toyota and Honda instead of each other, and make vehicles that people really WANTED!
Julie Roehm on the GM, Chrysler bankruptcies—Part I
Given the news that GM declared bankruptcy yesterday (and Chrysler recently as well), Fox Business News contributor and \Meta CEO Julie Roehm spoke to RBR/TVBR regarding radio and TV advertising for both automakers–how does she see their marketing/ad departments evolving from this bankruptcy process? How will this affect national business in Radio and TV and also the BBDO factor, which just sent out a memo for Chrysler regarding a longer lead time for payment? Continue reading “Podcast of an interview I gave to Radio Business Bureau yesterday…” »
June 1, 2009 will be remembered by many an economist as the day General Motors (GM) filed for bankruptcy protection – marking the biggest corporate breakdown in U.S. history.
According to the Detroit Free Press, GM will be shedding 2,100 dealers. The new GM would approve “deferred termination agreements” with a majority of those dealers asked to close, giving them 17 months to wind down operations, CEO Fritz Henderson said in an SEC filing.