jg95z28 12-09-2008, 12:02 PM Any suggestions on who would be the best person to play watchdog for the Big 3?
Here are my 3 (In no particular order):
1. Lee Iacocca (84) - He saved Chrysler, so he knows a little of what it takes to turn an auto manufacturer around.
2. Ross Perot (78) - The former "Reform" party leader may have the right chops when it comes to change, plus he comes from the supplier side of the industry.
3. Carroll Shelby (85) - Always the innovator and not afraid to take chances, does the man in the black hat have enough energy left to whip Detroit into shape?
Other suggestions?
Northwest94Z 12-09-2008, 01:19 PM Funny. After reading Lutz's comments this morning regarding a "Car Czar" being imposed on the US auto industry the first thing that came to mind was Lee Iacocca. I would actually trust him to help Detroit as opposed to getting in it's way.
I think the job needs to go to a car guy and/ or someone that really knows the industry so that would rule out Perot for me.
Shelby, not good choice imo but that's because I don't think very highly of Shelby himself. To egotistical, and I'd be afraid of him having a personal agenda.
My pick would actually be Lutz. He is largely responsible for the turn around at GM regarding the quality of cars being put out and he knows the industry inside and out, plus he seems to have more energy and enthusiasm than most people at his level of the business.
Hoodshaker 12-09-2008, 01:30 PM I think we're all dreaming. Its likely to be some lawyer/accountant/polititian we've never heard of. See the description from the proposed bill-
23 (a) DESIGNATION.--The President shall designate 1 or more officers from the Executive Branch having appropriate expertise in such areas as economic stabilization, financial aid to commerce and industry, financial restructuring, energy efficiency, and environmental protection (who shall hereinafter in this Act be collectively referred to as the ''President's designee'') to carry out the purposes of this Act, including the facilitation of restructuring to achieve the long-term financial viability of the domestic automobile manufacturing industry, who shall serve at the pleasure of the President.
There is nothing in there that says you have to know anything about the auto industy specifically.
http://blogs.edmunds.com/straightline/2008/12/carnival-of-cars-special-edition-on-detroit-bailout-updated.html
guionM 12-09-2008, 01:33 PM Iacocca, most certainly! :bow:
I'd bet the farm that he'd be game for it as well. He's done exactly this type of thing before with Chrysler, right down to working under a Federal Loan Guarantee. Although he's 84, IMO it would be somewhat foolish not to include him on any potential "Car Czar" list. He has the respect & the trust, to make it work. That is a rare 100% perfect fit for the job.
Alot less so with Ross Perot. Save his brief stint as board member at GM, he really doesn't have any experience in automobiles. Plus, he strikes me as being far better at building things from the ground up than at taking an existing system and making changes that improve it. He also is a bit more of a self aggrandizing person than one would feel comfortable with in that position.
I don't feel Caroll Shelby would be a good choice either. I've met him on at least 2 occasions, and he's a great guy. He was a IMO a great race driver before he had to quit. He's the first and most successful aftermarket "Tuner". He's been consulted by 2 car companies on more than just a hand full of high performance vehicles, and he's been paid quite a bit by auto companies wanting to put his name on a car or his picture in an ad. But is he the person who could save the US auto industry? Not quite feeling that.
Instead of Shelby, I'd subsitute John Coletti, former CEO of Ford's SVT. He's risen through an automobile company & know the inner workings of it. He's extremely talented at taking next to nothing and making things work (saving the RWD Mustang and creating and sucessfully running... meaning making it very profitable... SVT). While Caroll Shelby is a celebrity in the auto world, Colletti actually worked his way up through a car company and arguably had a more successful history when you consider every Mustang Cobra, Ford Lightning, Contour, Focus, & Ford GTs SVT created and sold under him... not to mention spinoffs from SVT like the Maurader, the Mach1, Bullitt, and a lion's share of the Ford Performance Catalogue. He also has a good book out called "Iron Fist, Lead Foot" on the creation of the Terminator Mustang (good read!).
But the name I really think should be added.....
Wolfgang Bernhard (48):
Rose through the ranks at Mercedes Benz. Chief Operating officer at Chrysler. His no nonsense style caused him to be passed over for CEO of the Mercedes Group. Quit Daimler and was quickly hired to run Volkswagen. Left VW to "advise" Cerberus with newly aquired Chrysler. Walked away when he was offered a "non-executive chairman" position for "personal reasons"and hasn't been heard from since. He isn't busy today, helped turn Chrysler and VW around, seems to thrive in adversity, smart and ballsy as hell, and seems to be the type of person who'll want to bail for something else once the job's done and things get boring...... Perfect Choice (if there's no restrictions on a German national working in the US Government).
jg95z28 12-09-2008, 02:01 PM Well we may all dreaming as hoodshaker suggested. The word on the street is Paul Volker is the likely candidate. :p
99SilverSS 12-09-2008, 03:10 PM Now you know that Washington won't hand that job over to someone from the auto industry. It would seem to them like putting one of the inmates in charge of the asylum.
They will pick someone who fits a political agenda and can impose what I perceive is a stern stance from Washington.
SCNGENNFTHGEN 12-09-2008, 03:20 PM Me?
SCNGENNFTHGEN 12-09-2008, 03:23 PM Now you know that Washington won't hand that job over to someone from the auto industry. It would seem to them like putting one of the inmates in charge of the asylum.
They will pick someone who fits a political agenda and can impose what I perceive is a stern stance from Washington.
Which means nothing good for US. The enthusiasts! Furthermore if it isn't a car guy, it's all over for US, and GM as we know it.....
99SilverSS 12-09-2008, 05:51 PM Which means nothing good for US. The enthusiasts! Furthermore if it isn't a car guy, it's all over for US, and GM as we know it.....
Well I think whoever takes the job will evaluate all programs currently being produced and those in the pipeline on their own cost vs. profit merit. They will also be looking to strictly enforce CAFE as the big 3 will have little ground to stand on in fighting it now.
The current Camaro should be ok as the money is spent but a 6th Gen as we would like to know it may be in serious trouble.
Ford and the Mustang should be ok too especially if Ford never has to tap into the $9B in secured loans they have asked for.
From a performance enthusiast standpoint I really cringe at what a Washington appointed car czar would think of the cars and programs that we like. But consumer demands and sales can drive anything especially if the car czar is truly interested in getting the loan paid back.
Chuck! 12-09-2008, 06:18 PM 99SilverSS: bingo. He's gotta look at the CBA for the programs, even the performance ones. And with the amount of work he (or she, I should say) is going to have between GM, Chrysler, and potentially Ford in the future, they have to boil it down to something easy... A=potential amt of cars sold, B=cost of project, C=profit per car. If A*C>B, then do it but keep an eye on A that sales are meeting projections.
That's just one small aspect of the job.
My pick? Jack Welch. There's no one in the world who has more experience divesting divisions, esp. with his proven track record. And I'd be willing to bet he'd turn it around quick.
Eric Bryant 12-09-2008, 06:38 PM If you think that the Big 3 are capable of making good products...
... then you do not want to see a "car guy" as the "car czar"!
What Detroit needs is someone who knows how to run the back-office stuff - financials, purchasing, and so on. The existing car guys need to figure out how to design and build product, and each company needs to have its own marketing gurus to figure out what the public wants.
You do not want the "car czar" to have veto power over the Bob Lutzes of the industry. You want to give that guy veto power over the Wagoners and Nardellis.
I suspect that few people here are involved in a business at a high enough level to understand that it takes all types - gearheads and financial geeks - to make a successful company run properly.
jg95z28 12-09-2008, 07:05 PM Now you know that Washington won't hand that job over to someone from the auto industry. It would seem to them like putting one of the inmates in charge of the asylum.
They will pick someone who fits a political agenda and can impose what I perceive is a stern stance from Washington.
:yes:
If you think that the Big 3 are capable of making good products...
... then you do not want to see a "car guy" as the "car czar"!
What Detroit needs is someone who knows how to run the back-office stuff - financials, purchasing, and so on. The existing car guys need to figure out how to design and build product, and each company needs to have its own marketing gurus to figure out what the public wants.
You do not want the "car czar" to have veto power over the Bob Lutzes of the industry. You want to give that guy veto power over the Wagoners and Nardellis.
I suspect that few people here are involved in a business at a high enough level to understand that it takes all types - gearheads and financial geeks - to make a successful company run properly.
But do we really need another "beancounter" calling all the shots? Aren't they the ones that got GM into all this mess in the first place?
formula79 12-09-2008, 11:02 PM Well I think that there needs to be a determination how much this guy has his hand in product. I mean..I am down with someone playing cop and making the automakers playing by the rules like the banks have. However if your gonna give someone say so over product at all 3 car companies...you might as well nationalize the auto indusrty and call it a day. As long as there are imported cars who don't have to play by these rules, Detroit will be playing handicapped and never fully recover. Basically they will be stuck building cars the government wants vs. what the consumer wants. Toyota will finally be able to move Tundra's and Sequioa's.
bossco 12-10-2008, 02:16 AM I read car czar and all I can think is unmitigated disaster, then I read about a provision to barring car companies from litigation in California and other states wanting to adopt stricter emmissions standards and thought "wow, this really wont end well :( " but at least the anti-litigation provision might be dropped (I know California wanted to adopt carbon limits). Still not feeling good about the deal since the car czar could demand the money back if the companies taking the loan money can't prove they will be by the time march rolls around. The article I read also mentioned reps in the senate are opposed to the bill thinking that bankruptcy is a better way forward.
guionM 12-10-2008, 04:56 AM :yes:
But do we really need another "beancounter" calling all the shots? Aren't they the ones that got GM into all this mess in the first place?
Actually, you DO want a beancounter running a company.
More specifically, you want a "Systems Guy" with heavy emphasis on finance and/or manufacturing.
Businesses are all about money. The "Car people" are the ones in the trenches working with the products. Without money, everything comes to a grinding halt.
In it's final years, Studebaker was run almost exclusively by car guys.
What you really want is a beancounter with enough common sense to put the right people in key positions, enough respect to be able to streamline an organization against entrenched inside opposition, enough wisdom to know he or she doesn't know it all and will go to the right people for answers, and enough balls to stand up for their people.
Rick Wagoner is a very smart guy by every account. He has also demonstrated a strong talent for attracting some amazing talent. He obviously has some unmatched persuasion powers (name anyone else who would have as much board and rank and file support (let alone a job) under the same situations GM is under right now. At the moment, he's the only CEO of a US automobile company who actually has experience in automobiles.
The only issue with Mr Wagoner is that he's taken a "go-slow" approach that hasn't served GM well, and he's been almost painfully timid in making the effort in changing GM's culture and bureaucracy (hopefully it's that and not a desire to stick to the self destructive status-quo).
1fastdog 12-10-2008, 10:13 AM The only issue with Mr Wagoner is that he's taken a "go-slow" approach that hasn't served GM well, and he's been almost painfully timid in making the effort in changing GM's culture and bureaucracy (hopefully it's that and not a desire to stick to the self destructive status-quo).
Any government oversight lead person should be concerned with whether approved action plans are being followed, and keep an eye on the interest of the taxpayers. Specifics? Make sure the loan is repaid on time. Advice from any "Car Czar" should be to lawmakers regarding any barriers in existing state laws are reviewed which will hamper downsizing of dealer networks or shuttering plants without the associated costs of labor which will hamper the return of funds to the taxpayers.
It's my hope that the economic downturn will encourage some dealers to get out, some dealers to add lines which will allow a competitive lineup which can stop the rebadge engineering expense. Chevy, Cadillac, PBG... will work in the context of a profitable 20% of the market.
Eric Bryant 12-10-2008, 10:38 AM But do we really need another "beancounter" calling all the shots? Aren't they the ones that got GM into all this mess in the first place?
"Bad" finance leadership did indeed get the Big 3 into the current mess - there was far too much emphasis on the short-term bottom line.
However, businesses have to make money in order to continue operation, and to do that, there needs to be a strict set of financial controls that allows management to understand exactly where the money is coming from, and where it's going. Without that, it's all guesswork - and one would want to minimize the amount of guesswork when there's $200B in annual revenue to track!
Go do some reading on Ford's "Whiz Kids" - they provided an excellent example of how to run a big business (at least for the first 20 years of their run). There's a chapter or two in "6 Men Who Changed The Auto Industry" on these guys. BTW, that book should be required reading for anyone who's interested in the auto industry - it's one hell of a documentary of the post-WWII auto industry and the men that build it (Ford II, Lutz, Honda, Iacocca, von Kuenheim, and Piech).
JakeRobb 12-10-2008, 11:00 AM Businesses are all about money. The "Car people" are the ones in the trenches working with the products. Without money, everything comes to a grinding halt.
True. You just need to make sure that whoever it is keeps long term profitability in mind, and isn't just pandering to Wall Street for short-term gains.
Long term profitability, in the car business, seems to involve letting car guys make most of the product decisions.
routesixtysixer 12-11-2008, 01:09 PM Angus over at Motor Trend thinks Roger Penske would be a great choice... and I agree.
jg95z28 12-11-2008, 01:44 PM The more I think about it, the more I think we need an idea guy who knows the financial end but is also a car guy.
How about Bill Gates?
TheV6Bird 12-11-2008, 02:47 PM Jay Leno! :D
jg95z28 12-11-2008, 03:26 PM Jay Leno! :D
He was joking about it last night, I'm not sure exactly what he said.
He is a GM guy, typically. However, Jay has been known to be foolish with his money on cars. Heck we'd probably end up with a push for steam power. :p
He is a GM guy, typically. However, Jay has been known to be foolish with his money on cars. Heck we'd probably end up with a push for steam power. :p
How would that do in the winter?
mdenz3 12-11-2008, 03:40 PM G.W.B.
He would be very good at completing Congresses bid to destory American manufacturing.
JakeRobb 12-11-2008, 04:20 PM How would that do in the winter?
Probably not much worse than diesel or ethanol.
routesixtysixer 12-11-2008, 06:09 PM Al Gore.... ;)
jg95z28 12-11-2008, 08:16 PM Al Gore.... ;)
He'd probably say he invented the Chevy Volt. :p
Fbodfather 12-12-2008, 12:20 AM My thoughts:
Bob Lutz
Jim Perkins
Roger Penske
Lee Iacocca
Z284ever 12-12-2008, 12:32 AM My thoughts:
Bob Lutz
Jim Perkins
Roger Penske
Lee Iacocca
Those are all fine to me. Of course, those picks would make too much sense - so forget it.
routesixtysixer 12-12-2008, 10:21 AM He'd probably say he invented the Chevy Volt. :p
:lol:
Z28Wilson 12-12-2008, 10:26 AM My thoughts:
Bob Lutz
Jim Perkins
Roger Penske
Lee Iacocca
My guess is that they'd want someone not currently employed by one of the Big 3 (and I could certainly understand why), so that would eliminate Lutz. I think Iacocca would be a fine choice.
1fastdog 12-12-2008, 10:39 AM My guess is that they'd want someone not currently employed by one of the Big 3 (and I could certainly understand why), so that would eliminate Lutz. I think Iacocca would be a fine choice.
I'd choose none, but Penske is a sharp guy and knows the business.
If one is chosen, it will be a politician and a bureaucrat. Probably a Treasury or Fed Reserve hack...;)
Doug Harden 12-12-2008, 10:43 AM What about Rep. Thaddeus McCotter from MI.?
1fastdog 12-12-2008, 10:47 AM What about Rep. Thaddeus McCotter from MI.?
Yoo much of a good choice.:lol:
Chuck! 12-12-2008, 11:17 AM Penske has been on the GE board of directors for 14 years, and look at the profits over that time. I could get behind a pick like that, but it'll probably be a bureaucrat :(
JakeRobb 12-12-2008, 11:51 AM Jim Perkins
I didn't know this name, and so did some Googling. It's a pretty common name; I assume you mean this one?
http://www.corvettemuseum.com/library-archives/hof/perkins.shtml
1fastdog 12-12-2008, 12:09 PM I didn't know this name, and so did some Googling. It's a pretty common name; I assume you mean this one?
http://www.corvettemuseum.com/library-archives/hof/perkins.shtml
That's him Jake...
Jimmy Perkins is someone I really like. First rate motivational speaker. True blue car guy and southern as well...
Fbodfather 12-12-2008, 02:55 PM what about rep. Thaddeus mccotter from mi.?
yes!
Fbodfather 12-12-2008, 03:11 PM I didn't know this name, and so did some Googling. It's a pretty common name; I assume you mean this one?
http://www.corvettemuseum.com/library-archives/hof/perkins.shtml
I have the privilege of talking to Jim every couple of months -- and every time I talk to him, I say "OK Jim - how many BILLIONS do we have to pay you to come back???" -- and he just laughs..........
I would crawl thru ground glass and fire for Jim Perkins.
Let me relate three quick stories:
When we planned the Camaro Unveil on January 9, 2006, a big part of the unveil was to invite 250 Camaro/Firebird Enthusiasts to Detroit to witness the unveil. As part of the trip, we held a Reception at the GM Heritage Center --
I invited Jim -- thinking "wow -- I sure hope he can make it - and while he's retired from GM, I know he's busy working for Rick H. ...."
I got a telephone call from him three days later saying " Nothing can stop me from being there! " He was the fourth person to show up at the door (early) -- and one of the last to leave -- Most executives put in appearances that last, perhaps 15-20 minutes - Not Jim! He talked to everyone at the event - and was the perfect gentleman -- yet you could feel his excitement!
Story #2 -- When Jim came back as VP of GM and GM of Chevy, he had "Chevrolet Proud" lapel pins designed and produced - -- they were the Gold chevy Bowtie with "proud"written over the Chevy Bowtie....... and he gave them to every employee asking that we'd always wear it with pride.
My father passed very suddenly in early October of 1994 -- My father was so very proud to be a Chevy Dealer and to sell Chevrolets for many years. I put my "Chevy Proud" pin on his lapel at the funeral home -- and he was buried wearing it -- with pride....
I don't know how Jim knew that I'd done that -- but when I got back to work, there was a letter of Sympathy from Jim in the mail - with another "Chevy Proud" pin................
Story #3 -- Jim ALWAYS drove Camaros. As GM of Chevy, he could drive anything - -and yes, he'd drive Corvettes and anything that was 'new' -- but invariably there would be a Black Z28 in the company fleet -- and most nights, that's what he'd drive to and from home. We have a very strict speed limit on the Tech Center grounds -- but you could always see Jim -- behind the wheel of a Black Camaro - and usually he didn't notice the speed limit signs............
He's a Car Guy thru and thru..............
ol'93formula 12-12-2008, 03:20 PM Don't get your hope up.
It will probably be someone like Ralph Nader.
1fastdog 12-12-2008, 03:31 PM I have the privilege of talking to Jim every couple of months -- and every time I talk to him, I say "OK Jim - how many BILLIONS do we have to pay you to come back???" -- and he just laughs..........
I would crawl thru ground glass and fire for Jim Perkins.
Let me relate three quick stories:
When we planned the Camaro Unveil on January 9, 2006, a big part of the unveil was to invite 250 Camaro/Firebird Enthusiasts to Detroit to witness the unveil. As part of the trip, we held a Reception at the GM Heritage Center --
I invited Jim -- thinking "wow -- I sure hope he can make it - and while he's retired from GM, I know he's busy working for Rick H. ...."
I got a telephone call from him three days later saying " Nothing can stop me from being there! " He was the fourth person to show up at the door (early) -- and one of the last to leave -- Most executives put in appearances that last, perhaps 15-20 minutes - Not Jim! He talked to everyone at the event - and was the perfect gentleman -- yet you could feel his excitement!
Story #2 -- When Jim came back as VP of GM and GM of Chevy, he had "Chevrolet Proud" lapel pins designed and produced - -- they were the Gold chevy Bowtie with "proud"written over the Chevy Bowtie....... and he gave them to every employee asking that we'd always wear it with pride.
My father passed very suddenly in early October of 1994 -- My father was so very proud to be a Chevy Dealer and to sell Chevrolets for many years. I put my "Chevy Proud" pin on his lapel at the funeral home -- and he was buried wearing it -- with pride....
I don't know how Jim knew that I'd done that -- but when I got back to work, there was a letter of Sympathy from Jim in the mail - with another "Chevy Proud" pin................
Story #3 -- Jim ALWAYS drove Camaros. As GM of Chevy, he could drive anything - -and yes, he'd drive Corvettes and anything that was 'new' -- but invariably there would be a Black Z28 in the company fleet -- and most nights, that's what he'd drive to and from home. We have a very strict speed limit on the Tech Center grounds -- but you could always see Jim -- behind the wheel of a Black Camaro - and usually he didn't notice the speed limit signs............
He's a Car Guy thru and thru..............
He's a GIANT. You and he gave the best speeches at the Heritage Center. Jim is still connected to the folk that salute their experience with GM and Chevy ownership.
I personally thank Jim for making the FRC Corvette and it's later Z06 iteration possible.
It certainly wasn't what Jim had in mind to begin with, but it made the extreme enthusiast Corvette owner something on the radar which couldn't be ignored. Were it not for Jim I would have never bought an FRC or Z06.
He is one of the old guard that didn't stumble. There are many I still count among my pals, like Dave Horchler and Jerry Thompson, etc..
It's unfortunate that so much ink was given to DeLorean and to a lesser extent Bunkie, as far as drifting among some GM guys is concerned.
But Jimmy, and so many others were and are giants. Gib, is another that comes to mind. There are many who still walk the halls of the Ren Center, Tech Center, Milford, etc. So many folks I respect at GM. I think about them when I set to work.
My previous boss allowed me to attend the Camaro unveil with the caveat that I deliver a personal note to Perkins. Gracious man that he is, Jimmy whispered a personal reply to take home with me.
Nothing beats walking among giants as they can inspire your own ethos to meet challenges.:yes:
JakeRobb 12-12-2008, 03:36 PM Let me relate three quick stories:
Thanks for posting, Scott. Jim sounds like a great guy. :)
SCNGENNFTHGEN 12-13-2008, 04:50 PM I will hope for Jim Perkins, rather than ralph nader!
SRFCTY 12-13-2008, 04:57 PM I would crawl thru ground glass and fire for Jim Perkins.
Maybe we could sell tickets to see that and help with the bailout! ;)
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