General Motors future
- 1. The Future of General Motors The once most prestigious automaker in the world is now on the brink of Bankruptcy
- 2. The Problem GM has too many models Divisions Name plates Dealers
- 3. Solutions Downsize to be more competitive The company is to large to contend with imports Produce a more attractive mix of fewer, more profitable class leading Products emphasize quality Jump into the Hybrid market full force, while continuing to build on the more profitable large truck segment GM only has one Hybrid vehicle in production
- 4. Evaluating Alternatives Downsizing will curb short term cost problems and enable the company to be more competitive More attention should be paid to quality and improved perception of the brand Focus on the success of top producing models such as the Cadillac Division and the Chevrolet Equinox SUV GM can refine these vehicles while improving quality The Hybrid market has great potential These vehicles are expected to outpace the sales of SUV’s pickups, and luxury models over the next five years
- 5. The Choice Concentrate on producing a more attractive mix of fewer, more profitable class leading products while emphasizing quality Break the old GM mold of overexposure to crossover brands, such as the Pontiac Torrent and the Chevrolet Equinox, which are essentially the same vehicle New breakthrough designs and styles will have to be researched and implemented Possibly Drop the Pontiac and Buick line; the two divisions with the worst sales performance
- 6. Implementing the Decision Create a more quality oriented business model Plan for Involvement Low level managers and workers would meet in brainstorming sessions to resolve obvious small day to day problems High level and Mid level managers could meet with Union workers to motivate and build trust through communication of new ideas no matter how small Create excitement / positive outlook
- 7. GM and Chevrolet Identity Restyling the ageing GM and Chevrolet logos would create a new and improved personality, raising consumer’s curiosity and hopefully bring them back to the showrooms
- 8. New Image Interpretations of the new designs are similar to the old yet are more up to date and slanted with rounded corners, which convey a sense of motion and excitement
- 9. New Identity GM could also create a more sophisticated new Identity
- 10. Evaluating the Decision GM can gage its success by constantly communicating with the customer to evaluate and address their needs for its product Evaluate projects by benchmarking themselves against the competition Appoint a team just for the purpose of monitoring the success or failures of new innovations and processes