Will GM's Strategic Plan Lead to Future Success
Case Analysis #1
“Will GM's Strategic Plan Lead to Future Success?"
By: Stephanie Perry
Principles of Management
Prof. R. Lodde (1) I would have to say that GM is a defender. Even though they downsized a lot of their operations, the company still managed to re-claim their title from Toyota. General Motors are experts at what they make and I am sure they would use the slogan “We're sticking with the basics.” GM is focusing their planning on cutting down the number of platforms they use in order to better save money. They can save money because with fewer platforms, they are able to cut out more of the engineering aspects of the company. Fewer platforms, I would also imagine would mean for much more stable and consistent work meaning more precise works.
When a company makes a conscious decision about what strategy they are going to use and they choose Defender, they are signaling to the world and their competitors that they are confident in their product. When GM made the decision to use a Defender Strategy, they took a huge weight on their shoulders because since they focus on ‘what they know best’ then there product had better be the best.
(2) Based on the reading, I would think that GM's vision is to make fewer platforms but use the same basic parts for each car. The goal: “One goal is fewer auto platforms” is even stated in the essay itself. This essentially means that GM is going to try to accomplish to build vehicles all over the world in their various plants. They want to make these cars with the same basic parts and assemble these cars in plants that use the same tools. By doing this, GM is for all intents and purposes, will be thus “wringing savings out of its massive engineering budget.”
Like any goal, the main point of them is to achieve them and find a way to do such. Because GM is already taking action on these goals and finding ways to implement then, this particular vision plan is a very realistic one. I think it is
“Will GM's Strategic Plan Lead to Future Success?"
By: Stephanie Perry
Principles of Management
Prof. R. Lodde (1) I would have to say that GM is a defender. Even though they downsized a lot of their operations, the company still managed to re-claim their title from Toyota. General Motors are experts at what they make and I am sure they would use the slogan “We're sticking with the basics.” GM is focusing their planning on cutting down the number of platforms they use in order to better save money. They can save money because with fewer platforms, they are able to cut out more of the engineering aspects of the company. Fewer platforms, I would also imagine would mean for much more stable and consistent work meaning more precise works.
When a company makes a conscious decision about what strategy they are going to use and they choose Defender, they are signaling to the world and their competitors that they are confident in their product. When GM made the decision to use a Defender Strategy, they took a huge weight on their shoulders because since they focus on ‘what they know best’ then there product had better be the best.
(2) Based on the reading, I would think that GM's vision is to make fewer platforms but use the same basic parts for each car. The goal: “One goal is fewer auto platforms” is even stated in the essay itself. This essentially means that GM is going to try to accomplish to build vehicles all over the world in their various plants. They want to make these cars with the same basic parts and assemble these cars in plants that use the same tools. By doing this, GM is for all intents and purposes, will be thus “wringing savings out of its massive engineering budget.”
Like any goal, the main point of them is to achieve them and find a way to do such. Because GM is already taking action on these goals and finding ways to implement then, this particular vision plan is a very realistic one. I think it is