GM bankruptcy was predicted by me long back and from the first time Bush Doled out the first billion dollars package and then came the next tranche from Obama and now GM becomes the nationalized company with 60% Government owned .
If I was to just do a simple maths and work out the Dollars that were doled out to the GM to save the company. It would well have worked giving the Employees that much sum for Job Loss Compensation and people would have made hundreds of other small profitable businesses then saving a Junk Old company which anyway should have sunk under its own weight.
This reminds me of the film made by an American Documentary producer, who filmed the very first GM plant that was shut and moved to Mexico ( by the joker Robert Smitch, then MD ) and the plight of the people there. I guess the curse of people was so strong that today GM will be a History chapter.
No surprise for me , when such Mega Giant companies fail. The management structure of these companies is so inherently defective that most of the time, there is a war between the management functions itself. Finance against marketing against manufacturing against logistics etc etc. As for the Customer is concerned, he is the Top on the Holy Cow on all the slogans , but factually is only a Milking Cow. Suck it dry and leave it bones only.
Not that Toyoda cars were any great, but Toyoda is a far more disciplined organization. The cars have reliability built in it. Never will a car stop in the middle of nowhere for a component failure , nor is it a fuel guzzler , nor beast looking.
Well, GM fall is a very very long subject. But coming back, companies of this size are sure to sink, whether it is Enron or GM or DuPont or CitiBank.
I sent a mail to DuPont for a sample of Fluropolymer for my next product and now is more then a month, but the sales guy has not reverted, this is despite several reminders.
No wonder, DuPont Exited all the Textile fibre business, but it is not so far from being another GM.
CitiBank is still worse. The bank believes that it is bigger then its customers. Nothing can stop its collapse. Just watch for more time.
More on this subject later
No comments:
Post a Comment