The Friday, November 20, 2009 Wall Street Journal had a report by this title by Sharon Terlep. It seems that Chairman Edward Whitacre was disappointed in findings by Consumers Reports of GM vehicle reliability and value. His solution was to call the 200 people who took advantage of a 60-day money-back guarantee offer and find out why they returned their cars. I believe it is folly to look at such an extreme set of data, especially without an understanding of variation.
Mark Reuss, the one charged with this task was recently promoted to head North American operations. Mark Phelan, in his article in the December 5th Detroit News incredulously remarked that the move "...echoes the leadership structure that served GM well for decades: a finance expert as CEO, with an engineer at his right hand."
Mr. Phelan must simply have had his chart upside down all these years. How else could he not notice the decades of decline during which GM literally ran into the ground. Reversing his chart might also reverse his recommendation. Maybe what is needed is an engineer at the helm with a finance expert at his right hand.
The engineer might understand the importance of quality and long-term thinking.
