Automotive News / Industry / Future Vehicle Discussion Automotive news and discussion about upcoming vehicles

GM marketing chief on Alpha intro: "probably in 24-30 months".

Thread Tools
 
Search this Thread
 
Old Apr 15, 2009 | 01:28 AM
  #61  
teal98's Avatar
Registered User
 
Joined: Jul 2001
Posts: 3,132
From: Santa Clara, CA
Originally Posted by Z284ever
This Sigma - Zeta thing is the meat of the matter though. On Sigma being expensive --- is that because it has those fancy SLA front control arms (I'm being sarcastic), or is it because the Lansing plant builds 65K Sigmas vs say, 300,000?

We can nitpick pros and cons of either or both, but no one can tell me that it was cheaper to have BOTH Sigma and Zeta, rather than just one or the other. What makes it worse is that Oshawa and Lansing are two of GM's most efficient plants, which will now build a fraction of their capacity, maybe 50K RWD cars each. What a waste of valuable resources. Wouldn't it have been cheaper to simply build Camaros on Sigma at Lansing? (Zeta *****--yes you Guy---don't spill your Kool-aid, I'm just using this as an example. )

Even if Sigma cost afew hundred dollars more to build than Zeta, you'll NEVER recapture any savings at these Zeta volumes.
Good points. I've seen written several times (and assumed it was correct) that Sigma was too expensive for the mass market models, or that it couldn't scale to a large enough car, but never a good explanation what it is that makes it so expensive, or why it couldn't be stretched.

But such details would be considered a corporate secret, so I didn't really expect any sort of detailed explanation...especially if the answer would be somewhat embarrassing.
Old Apr 15, 2009 | 07:56 AM
  #62  
SharpShooter_SS's Avatar
Registered User
 
Joined: Nov 2001
Posts: 766
From: Halifax, Nova Scotia, Canada
Originally Posted by teal98
Good points. I've seen written several times (and assumed it was correct) that Sigma was too expensive for the mass market models, or that it couldn't scale to a large enough car, but never a good explanation what it is that makes it so expensive, or why it couldn't be stretched.

But such details would be considered a corporate secret, so I didn't really expect any sort of detailed explanation...especially if the answer would be somewhat embarrassing.
I don't think that it being scaled up was the problem. After all, we do have the SRX and the STS (both for now) which are spawned off the SIGMA chassis - it was the scaling down for a smaller than CTS car that may have been the issue. One could also argue that ZETA isn't easily scaled down either since the Camaro, while being trimmer (in some dimensions) than the 4th gen is a fair bit heavier.

That being said ZETA has a few more variations than SIGMA - VE cars, sportwagons, longer wheelbase WM cars, Camaro which is slightly different than the VE cars and the Ute as well. Going forward SIGMA looks to be just the CTS - wagon and coupe versions notwithstanding since STS is going and the SRX is shifting to another platform.

I for one would have loved to see the SIGMA SLA front end under the Camaro nose.

Has it been said for certain why Holden opted out of the SIGMA program to develop the VE/ZETA platform? Cost difference can't be the whole picture. Is the Cadillac platform durable/robust enough to underpin Holden product in its home territory(?). ZETA by all accounts is pretty beefy - to handle Australian roads (or lack thereof).
Old Apr 15, 2009 | 08:57 AM
  #63  
FUTURE_OF_GM's Avatar
Registered User
 
Joined: Nov 2001
Posts: 632
From: NC
Corporate politics 101
Old Apr 15, 2009 | 09:07 AM
  #64  
Z284ever's Avatar
Thread Starter
Registered User
 
Joined: Nov 2000
Posts: 16,176
From: Chicagoland IL
Originally Posted by SharpShooter_SS
I don't think that it being scaled up was the problem. After all, we do have the SRX and the STS (both for now) which are spawned off the SIGMA chassis - it was the scaling down for a smaller than CTS car that may have been the issue. One could also argue that ZETA isn't easily scaled down either since the Camaro, while being trimmer (in some dimensions) than the 4th gen is a fair bit heavier.

That being said ZETA has a few more variations than SIGMA - VE cars, sportwagons, longer wheelbase WM cars, Camaro which is slightly different than the VE cars and the Ute as well. Going forward SIGMA looks to be just the CTS - wagon and coupe versions notwithstanding since STS is going and the SRX is shifting to another platform.

I for one would have loved to see the SIGMA SLA front end under the Camaro nose.

Has it been said for certain why Holden opted out of the SIGMA program to develop the VE/ZETA platform? Cost difference can't be the whole picture. Is the Cadillac platform durable/robust enough to underpin Holden product in its home territory(?). ZETA by all accounts is pretty beefy - to handle Australian roads (or lack thereof).
*This whole thing about Zeta being built extra tough to handle Australia's primitive road system is I think a myth, and it's about time we shined a light on that. I've never been to Australia, but I have Australian friends and extended family - and it sounds to me like they use asphalt down there, just like everyone else.

*The story I hear, is that Holden wanted something abit more roomy than Sigma, so developed VE/Zeta. Hmmm.

*From what we've seen both Sigma and Zeta have demonstrated the ability to be scaled down equally (if you want to call it "scaled down"). The Camaro and 1st gen CTS have essentially the same footprint.

*So we're down to, "Sigma is so expensive". Again, for the life of me I don't see how. There is nothing especially exotic about Sigma. It's not bottom of the line, but nothing extraordinary either.

*At the end of the day, I'm sure politics played a larger role than we think here. If the BOD had told Caddy, 'hey share Sigma, it's already developed and we've already built a fancy factory to assemble them' and told Holden, 'hey use Sigma it's already developed and get over the couple of inches of rear leg room' or told Chevy, 'hey use Sigma for the Camaro, it's already developed and we have an underutilized assembly plant', GM could have saved a ton of money - maybe over a billion dollars.

Last edited by Z284ever; Apr 15, 2009 at 09:10 AM.
Old Apr 15, 2009 | 09:54 AM
  #65  
91_z28_4me's Avatar
Registered User
 
Joined: Jun 2001
Posts: 4,600
From: Pewee Valley, KY
I agree with Charlie. Sigma should have been better utilized and Zeta just shouldn't have happened. Sigma had a compact version (even if it was heavy it was developed and paid for), 2 wider versions (LWB and SWB), and an SUV. Zeta has produced 1 width LWB sedan, SWB sedan, SWB wagon, and Ute. Does this sound like a good $1 Billion investment to make?

It is fairly obvious that politics were working in both directions. With Sigma Caddy wanted to use Sigma exclusively, Holden wanted to use their own engineers/chassis. If Zeta was supposed to replace Sigma then Caddy didn't want to give up their chassis.

It is interesting when people thought the Sigma chassis would be used for Camaro, one of the big complaints was the high firewall on the CTS. Now look at the Zeta Camaro and you can see the firewall is very high, also the gun slit window look demonstrated by the 300 has made this a non-issue.
Old Apr 15, 2009 | 11:41 AM
  #66  
jg95z28's Avatar
Registered User
 
Joined: Sep 2002
Posts: 9,705
From: Oakland, California
I thought it was more like... Cadillac didn't want to give up control of Sigma to allow Holden to tinker with it for their needs, so Holden developed Zeta and then didn't want to give up control of it to allow Cadillac to tinker with it for their needs.

If someone in corporate (Mom) got the kids to play nice together, we'd probably now have one or the other but not both. I guess its just another example of the politics that has put GM in the situation they're currently in.
Old Apr 15, 2009 | 12:50 PM
  #67  
formula79's Avatar
Registered User
 
Joined: Apr 2001
Posts: 3,698
From: USA
Haha...Charlie hates Zeta like it's the Firebird reborn.
Old Apr 15, 2009 | 03:52 PM
  #68  
Z284ever's Avatar
Thread Starter
Registered User
 
Joined: Nov 2000
Posts: 16,176
From: Chicagoland IL
Originally Posted by jg95z28
I thought it was more like... Cadillac didn't want to give up control of Sigma to allow Holden to tinker with it for their needs, so Holden developed Zeta and then didn't want to give up control of it to allow Cadillac to tinker with it for their needs.
In fact, I think there's alot of truth in that statement.
Old Apr 15, 2009 | 09:58 PM
  #69  
teal98's Avatar
Registered User
 
Joined: Jul 2001
Posts: 3,132
From: Santa Clara, CA
Originally Posted by jg95z28
I thought it was more like... Cadillac didn't want to give up control of Sigma to allow Holden to tinker with it for their needs, so Holden developed Zeta and then didn't want to give up control of it to allow Cadillac to tinker with it for their needs.

If someone in corporate (Mom) got the kids to play nice together, we'd probably now have one or the other but not both. I guess its just another example of the politics that has put GM in the situation they're currently in.
Yeah, I could see both Cadillac not wanting to share Sigma and Holden wanting to do their own thing. 'Not Invented Here' + 'Mine Mine Mine'

I hope that's not what happened and that there is actually a good reason.
Old Apr 16, 2009 | 12:00 AM
  #70  
SSbaby's Avatar
Registered User
 
Joined: Mar 2005
Posts: 3,123
From: Melbourne, Australia
Originally Posted by teal98
Yeah, I could see both Cadillac not wanting to share Sigma and Holden wanting to do their own thing. 'Not Invented Here' + 'Mine Mine Mine'

I hope that's not what happened and that there is actually a good reason.
There is. Sigma was deemed too expensive for the 'average' mass produced offering that Pontiac/Chev/Buick/Holden needed.
Old Apr 16, 2009 | 12:04 AM
  #71  
teal98's Avatar
Registered User
 
Joined: Jul 2001
Posts: 3,132
From: Santa Clara, CA
Originally Posted by SSbaby
There is. Sigma was deemed too expensive for the 'average' mass produced offering that Pontiac/Chev/Buick/Holden needed.
That has been the standard answer. But it's being questioned in this thread. Do you know what made it too expensive?
Old Apr 16, 2009 | 06:58 AM
  #72  
SharpShooter_SS's Avatar
Registered User
 
Joined: Nov 2001
Posts: 766
From: Halifax, Nova Scotia, Canada
Originally Posted by teal98
That has been the standard answer. But it's being questioned in this thread. Do you know what made it too expensive?
I think it has been the defacto answer too, but never has really been qualified or explored. Yo SS, I'm not implying or saying that you know - maybe nobody really knows and the actual answer is lost in the byzantine decision making apparatus that is GM. Truth be told, I wouldn't be surprised it probably did come down to divisional egos and turf; it wouldn't be the first time.

Z284ever has some valid points about SIGMA not being overly special in so far as what it is, to make it so "expensive". Surely the SLA front end can't be it - it looks to me, at least visually to my non-engineer eye to be primarily a holdover design from the 4th gen F-body and nothing completely new. It's not materials, it seems to be pretty standard fare there too.

Personally, I'm not knocking VE/ZETA, I think the cars are top notch and deserve much more success in the NA market than achieved so far - I would love to have one.
Old Apr 16, 2009 | 08:58 AM
  #73  
91_z28_4me's Avatar
Registered User
 
Joined: Jun 2001
Posts: 4,600
From: Pewee Valley, KY
Originally Posted by SSbaby
There is. Sigma was deemed too expensive for the 'average' mass produced offering that Pontiac/Chev/Buick/Holden needed.
We hear this being stated quite a bit. But at the same time was Sigma so expensive that it justifies the $1 Billion spent on Zeta, in addition to tooling for new materials and updates?

The 1st gen CTS selling at $28k should have still been making a profit. The car was smaller than the STS, SRX, and current CTS but one would assume that it wasn't selling at a loss. The higher cost Sigma vehicles should have helped make up the bulk of the chassis' profits. But would not the volumes of scale (distribution of the development costs especially) have brought the costs down enough for a $25k V6 Camaro/Impala/Commodore? Even when you consider the increased costs associated with the LWB version (the 2005 STS V6 started at $41k and the V8 costs $48k) I am sure that it wasn't financially worth spending $1 Billion to develop an all new chassis. That amount of money could have been better spent subsidizing Sigma or re-engineering the chassis for volume versions than starting clean sheet.
Old Apr 16, 2009 | 02:22 PM
  #74  
Z284ever's Avatar
Thread Starter
Registered User
 
Joined: Nov 2000
Posts: 16,176
From: Chicagoland IL
Originally Posted by teal98
That has been the standard answer.
Originally Posted by SharpShooter_SS
I think it has been the defacto answer too, but never has really been qualified or explored. .
Originally Posted by 91_z28_4me
We hear this being stated quite a bit.
Yup, like I said, politics and infighting.


Hopefully Alpha can escape that kind of wasteful BS in whatever company the "New GM" becomes. The goal here is to have one assembly line, which builds many cars on the same architecture, vs multiple underutilized assembly lines, building cars on various, but interchangeable architectures.

Cadillac Alphas, Chevrolet Alphas, maybe even Buick Alphas - all on the same assembly line. Seems to me, that makes good business sense.

Last edited by Z284ever; Apr 16, 2009 at 04:42 PM.
Old Apr 17, 2009 | 10:19 AM
  #75  
Z284ever's Avatar
Thread Starter
Registered User
 
Joined: Nov 2000
Posts: 16,176
From: Chicagoland IL
And this.....


Apparently, there are reports that GM is working on a stretched version of Alpha as a Sigma/CTS replacement for 2014.

Last edited by Z284ever; Apr 17, 2009 at 01:23 PM.



All times are GMT -5. The time now is 06:29 PM.