General Motors sells its good assets and restarts with a clean slate
General Motors has long been itching to get back on its feet after a disastrous stretch that saw it come on the brink of bankruptcy. Thanks to the government’s intervention and a company-wide house-cleaning meant to give the company a fresh start, General Motors is finally ready to roll. In a move that will change the complexion of American car manufacturing, GM decided on veering away from their ‘business as usual’ approach and instead, work on a new attitude of quality over quantity, a promise made with the intent of paying more attention to its customers and vehicles.
After selling the last of its good assets to a new, government-backed automaker, GM CEO Fritz Henderson declared that GM is ready to turn another chapter in their storied history, a chapter he says will bring GM back to the top of the auto industry.
“The last 100 days has shown everyone, including ourselves, that a company not known for quick action can indeed move very fast,” he said. “Starting today, we want to take that intensity, the decisiveness and the speed of these last several weeks, and transfer it from the battlefield triage of the bankruptcy process to the day-to-day operations of the new company.”
Continued after the jump.
After losing focus on its objectives and paying dearly for them, GM went back to the drawing board and created a plan to design, build and sell the best cars money can buy – a move designed with the credo of placing importance on is customers, cars and culture.
Despite what may be the dawn of a new day for the Detroit-based manufacturer, there are as still a number of lingering concerns that the company has to deal with, particularly the job security of its employees, including which GM managers will stay with the company. Henderson has hinted on some moves in the past but has not openly acknowledged as to when – or if – these moves will be implemented.
Nevertheless, it’s beginning to look like GM is finally on the right track towards reinventing itself as an American auto-making powerhouse.
With established executives like Henderson and new GM Chairman Edward Whitacre Jr. – the former chief executive of AT&T - overseeing the company’s fresh start, General Motors just may have the right guys who can lead them back to respectability.