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Where now for the US Auto Makers?
As GM CEO Rick Wagoner is asked to stand down by President Obama, where does this leave the auto giant?
Sadly, there has been compelling evidence for over a decade that the global auto industry is over capacity. Compounded by the fact that GM, Ford and Chrysler failed to reflect the trends in the industry for economic, beautiful and high tech vehicles, there seems to be very little that can be done without some very tough decisions:
1. Three auto makers is one too many. It looks like the President is slowly coming to the view that consolidation has to be achieved if the US is to retain an auto industry.
2. Expansion of early supplier involvement in design and innovation is critical to the success of the remaining OEMS
3. The impact of world class manufacturing and supply chain practices needs to be increased a pace - Korean and Japanese companies are demonstrating a passion for continuous improvement which really has not been grasped fully by American (and European) manufacturers.
Sadly, there has been compelling evidence for over a decade that the global auto industry is over capacity. Compounded by the fact that GM, Ford and Chrysler failed to reflect the trends in the industry for economic, beautiful and high tech vehicles, there seems to be very little that can be done without some very tough decisions:
1. Three auto makers is one too many. It looks like the President is slowly coming to the view that consolidation has to be achieved if the US is to retain an auto industry.
2. Expansion of early supplier involvement in design and innovation is critical to the success of the remaining OEMS
3. The impact of world class manufacturing and supply chain practices needs to be increased a pace - Korean and Japanese companies are demonstrating a passion for continuous improvement which really has not been grasped fully by American (and European) manufacturers.
(Anonymous)
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