General Motors’s outspoken VP for product development Bob Lutz shared his thoughts on GM’s recent failings with the Washington Post. “I can’t believe that we were so stupid,” Lutz said of GM. “People talk about Toyota overtaking General Motors (in global sales), as if GM were one company. But the truth is that we had not been one company for decades. We were different companies, each doing its own thing with little regard for the other. How can you run a global company like that? You can’t. It was stupid. No wonder Toyota was cleaning our clock.” He also said that a single global design and engineering budget would “put an end to badge engineering.”


03/13, 1:46 PM
posted by:
Mike
that’s like saying… i can’t believe i killed that person in front of the cop. How can you not believe you were that stupid when, anyone with decent vision, could see that breadboxes on wheels aint gonna cut it.
03/13, 1:56 PM
posted by:
chas williams
Well goodness…a revelation. It took 20 years for them to listen!? What the heck were they doing all this time? Do they drive and own these cars? I mean do they buy them? They should be forced to buy these cars!
My dad had 2 Caddy’s throughout the 90’s and they may as well have been buick’s - no slight to Buick - then bought a EX Accord and loves the thing!
Now it’ll take another 20 years for them to capitalize on that revelation…
Breadbox! HA!
03/13, 1:57 PM
posted by:
chas williams
I CAN believe they were stupid.
03/13, 2:10 PM
posted by:
Madcapp
Now that they figured out how dumb they are, it time they give themselves 600% raises to celebrate their stupidity.
03/13, 3:31 PM
posted by:
Jim
Hell, they’ve (you have; if you bought one..) have been paying Roger Smith over $1Mil. annually in retirement for those ‘wonderful’ years that lead up to these ‘wonderful’ years so Rick can fall on his Golden Sword. You GM’ers all deserve one-another.
…and Lutz hasn’t done dog droppings; ‘cept shoot his mouth off - at your expnese… if you bought one. None of them folks will ever get a half-week’s pay from me.
jim
03/13, 3:48 PM
posted by:
ss3
digitalzombie - is it necessary to use profanity when expressing an opinion? Grow up.
03/13, 4:11 PM
posted by:
Hemidakota
It is matter of time when Toyota will be the next GM POC that rolls around multi problems as I been seeing with local owners complaining about paint problems, interior fixture falling off, engine sludge, rattles noises, and so forth. When you glow at an alarming rate in short period of time, something usually gives and that is QC. Remember GM Toyota…you have reached the number five spot as the highest recalled vehicles in the US for 2005; being beaten by Honda, GMC, Ford and the number one Chevy. Never have I laughed so hard when these three talked about how great those two brands are - Consumer Report, JD Powers Report, or even now AAA.
Since 02 Toyota has been reeling from what I have been saying since 04, they are loosing ground with Quality Control and will be considered the next GM shortly. Remember Sear was top selling department store…then it was K-Mart…now it is Wal-Mart…tomorrow it is someone else. Watch the Chinese. They will out do the Japanese.
Now with GM, there is a vast difference from the latest models of the Tahoe and previous models as with quality. Wagner being sucked into a quagmire of the old regime and “build it and they will buy it� mentality, is stuck with cleaning house.
Yet, I been seeing a lot of consumer don’t do enough research when making there third biggest purchase in life…sad to see though.
03/13, 6:58 PM
posted by:
digitalzombie
ss3 yes yes it is.
03/13, 7:38 PM
posted by:
matt
first of all GM employs a lot more than Toyota. Do you think Toyota put thier profits back into the US economy? They do a little, but that is just for the publicity. Media is biased bringing up things that happened 10 or 20 years ago and not showing what is actually happening today. You need to think about supporting your fellow americans rather than japan, if you want to support japan then move there
03/13, 8:48 PM
posted by:
jim sanders
So in 10 years we’ll see a new consolidated GM. Thank goodness we won’t have to see adults driving Playskool plastic vehicles anymore. How embarassing. Give the Pontiac G6 a new front fascia and a new interior please.
03/13, 9:11 PM
posted by:
tim
Stop the presses! GM is promising to end brand engineering… again. Yawn.
03/13, 10:48 PM
posted by:
Steve
My theory: knowing you were stupid doesn’t mean you’ll start being smart.
03/13, 11:57 PM
posted by:
Thing2
it all comes down to greed. Someone should have had the sense to break up the companies into smaller ones like the Bell phone companies and with Microsoft (except those were court ordered).
03/14, 2:02 AM
posted by:
gsh
anyone taking bets on when GM goes to hell?
03/14, 3:16 AM
posted by:
digitalzombie
my economist teacher says he’ll give it 20 years. I say 15 years.
03/14, 3:33 AM
posted by:
DaveO
This keeps happening lately. GM spokespeople making statements about how bad/ugly/underdeveloped their cars were compared to now. Sorry, but this doesn’t make me feel better about your current product. Makes me think you are cutting corners now and have found different ways to hide it.
Admitting that you knowingly manufactured and sold a substandard products doesn’t earn you the self-depreciative sympathy you think it does.
03/14, 9:03 AM
posted by:
chas williams
Don’t like American products, leave?
Japanese are on top in automotive and manufacturing period because W E Demming (post war Japan)…
http://japan.osu.edu/p-12/lessons/3_JapansPlaceintheWorld/Economic%20Miracle/industry.pdf
…showed them how to do things better. The US auto industry has also been behind since they shunned fuel injection. Now they feel the ripple. A few years back the big 3 laughed at ossilating ac vents and Lexus is cleaning up on it.
Next thing is we are now out of the industrial age and into the information age meaning people get rich off info and not stamping out widgets. That’s why jobs are being sold off (see bk. Who Moved My Cheese) to other places and we’re in a global economy. If another nationality is better at making cars let them do it. Let us get paid off something else with less overhead.
Bottom line is US cars need work lots of it and you can’t deny that. You can get a lemon from any brand as evident w/ Toyota. GM sells more so thier parts per defect are by default much lower. I took a ride in a cavalier last year and a civic will beat the heck out of it in quality. The ecotec is up and coming I know but reliability and maintainability need be stepped up a good deal. I’ll buy an american auto when they step it up.
Keep the faith, it takes us all.
03/14, 11:50 AM
posted by:
Lewis Salem
This is true. A lack of innovation and investment in the future is what is killing them. Product. A “buy american” campaign is useless. The Acura TL uses 65% North American parts and 5% Japanese parts and is built in Ohio. All cars are global vehicles now.
Product!
03/14, 2:19 PM
posted by:
chas williams
Now on the other hand, my wife has a pt cruiser an inexpensive, economical vehicle. Though owned by Daimler, chrysler parts are in there. This car is nearly comperable to my 4cyl accord in gas mileage and we aren’t looking to win any races besides it was a gift from her dad and I am greatful. Long and short is it’s a decent vehicle (had a couple recalls) with some novelty to it and if maintained, which I do, it’ll crank daily. GM was way behind on its retro vehicles.
Isn’t the Pacifica a R class benz? Hmm.
03/14, 2:23 PM
posted by:
chas williams
http://www.automedia.com/2006/Mercedes-Benz/R-Class/rts20051001rc/1/
R class and pacifica and dodge car are same platform I think but well done.
03/18, 2:33 PM
posted by:
Aaron
First and foremost, I’d like to thank Steve for maybe the best comment I’ve seen regarding the GM catastrophe. Second, GM needs to think LESS about what might be trendy, or hip in the next 3 years, and think more about their roots. This is not to say that GM should only design retro cars (even though, look at the sucesses of retro’s; can we say Ford Mustang, Chrysler 300C, PT Cruiser, or the new Challenger, which has gotten loads of positive press). GM is faced witht the quintessential ‘easy say, hard do’ situation. What GM needs is the ‘Jones” cars of the 1950’s. What I mean by that is if your neighbor in those days bought the newest buick, it was the envy of the entire block. It seems sad to say, but other than niche market ((read: low production) vehicles, GM hasn’t really had a line of desirable to the everyman cars in decades. Either the cars they sell are just plain ugly,(Pontiac Aztek) have a stigma attached (Chevy Cavalier, either cutesy teen or poor as all-get-out), or can be purchased from a Japanese manufacturer for lesser cost with higher quality (Cadillac compared to Infinity, Lexus, or Acura). GM needs to return to the Harley Earle-esque days of production, where their cars where not only at the forefront of design and technology, but also the envy of the world. It might take a man such as Lee Iococca, who is willing to take calculated risks, and (finally) put his own fortune behind the sucess of his company(wouldnt that make more sense anyway, if you suceed, you’ve made more money, if you fail, you still have a mountain of cash). Even though this is from the standpoint of a seventeen year old, in my opinion GM still has to stand and take notice of what the consumer wants, not what the latest demographic study indicates the consumer may want.
03/19, 5:18 PM
posted by:
Chevy Guy
GM will never go under. Even if they say they are bankrupt they are never going to collaps they are too big and employ too many people. The goverment will just keep giving them money untill they get back on their feet.
Plus i want them to make that new Camaro.
03/27, 9:35 AM
posted by:
Hoppy
Agree with Chevy Guy on this one - GM will never go under. Anyone notice how many times the Airlines have gone bankrupt over the years? Yet the government will continue to fund them and keep them in business. GM may close some doors on certain automakes (why does Saturn still live? It has not turned a profit since inception), it will never completely fold.