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Author Topic: Auto Industry analogy  (Read 4372 times)

sisu

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Auto Industry analogy
« on: September 16, 2007, 09:23:59 AM »

A Japanese company (Toyota) and an  American company (General Motors)
decided to have a canoe race on the Missouri River.  Both teams
practiced long and hard to reach their peak performance before the race.
Japanese won by a  mile.

The Americans, very discouraged and  depressed, decided to investigate
the reason for the crushing defeat.  A management team made up of senior
management was formed to investigate and recommend appropriate action.
Their conclusion was the Japanese had 8 people rowing and 1 person
steering, while the American team had 8 people steering and 1 person
rowing.

Feeling a deeper study was in order, American management hired a
consulting company and paid them a large amount of money for a second
opinion.  They advised, of course, that too many people were steering
the boat, while not enough people were rowing.

Not sure of how to utilize that information, but wanting to prevent
another loss to the Japanese, the rowing team's management structure was
totally reorganized to 4 steering supervisors, 3 area steering
superintendents and 1 assistant superintendent steering manager.  They
also implemented a new performance system that would give the 1 person
rowing the boat greater incentive to work harder.  It was called the
'Rowing Team Quality First Program,' with meetings, dinners and free
pens and a certificate of completion for the rower.  There was
discussion of  getting new paddles, canoes and other equipment, and
awarding the rower extra vacation days for practices and bonuses for
exemplary performance if they won the race.

The next year the Japanese won by two miles

Humiliated, the American management laid off the rower (a reduction in
workforce) for poor performance, halted development of a new canoe, sold
the paddles, and canceled all capital investments for new equipment.
The money saved was distributed to the Senior Executives as bonuses and
the next year's racing team was "outsourced" to  India.

Sadly, The End.

However, sad, but oh so true!  Here's something else to think about:

Ford has spent the last thirty years moving all its factories out of the
US,
claiming they can't make money paying American wages.

Toyota has spent the last thirty years building more than a dozen plants

inside the US.

The last quarter's results:
Toyota makes 4 billion in profits while Ford racked up 9 billion in
losses.
Ford folks are still scratching their  heads.


IF THIS WASN'T SO SAD, IT MIGHT BE FUNNY!

Offline Coasthunterjay

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Re: Auto Industry analogy
« Reply #1 on: September 16, 2007, 09:45:06 AM »
This is so sad ...................... :'( I drive a big jacked up FORD F-250 :chuckle:

sisu

  • Guest
Re: Auto Industry analogy
« Reply #2 on: September 16, 2007, 11:25:08 AM »
It is sad I have one Toyota, one Ford and one Dodge vehicle.
Toyota's reputation is nearly bullet proof there are the exceptions of course with every company and model. You take a look at the light weight truck business 1/2 ton...the Tundra is fast becoming the #1 leader in the pack. If they built a 1 ton diesel I'd probably buy one but they don't, so a Dodge Cummins is in the future for us.
The point of the article is that American companies see fit to outsource when in fact they could get the same or even better quality here in America. The CEOs want to blame the unions and that is BS. Take a look at any enterprise; federal government, state government, local school districts, private big business etc. TOO MANY CHIEFS...I thought that private business would be different when my wife started working for a multimillion dollar outdoor company. It was no different than the government side of things and in fact it seemed worse in some respects. benefits and raises for the leaders of the pack and nothing but scraps for the worker bees. In fact some of the benefits that this particular company had for years and years for the lowly worker have been eroded to the point that the special quality of being one of their employees has lost its luster.
WHY? I blame it on the greed of the leaders. They want and have sailing vessels parked in the marinas of Seattle, winter condo in Sun Valley, 100K car in the parking lot, board membership to airlines,nannys and maids that get paid more than middle management of the company I am talking about, I could go on and on but the point is why has the American business model forgotten the worker bee?

Shadow Cat

  • Guest
Re: Auto Industry analogy
« Reply #3 on: September 16, 2007, 10:01:29 PM »
Because it is not "economical" to remember them. You know, there are more where "they" came from!  >:(

 


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