GM Reorganization That Does Not Involve the Container Store



After last Tuesday's removal of Fritz Henderson as GM's CEO, Robert Lutz, GM's marketing and product guru, does not have a place or the staff to call home. While GM said Lutz will serve in an advisory role, there is no such indication of what advice will be dispensed from the 77 year-old former Ford employee. Ed Whitacre, acting CEO, is looking to freshen the face of GM by placing some youngsters in charge of strategic operations in North America, Europe, and Asia. With an infusion of new blood, the hope is to revitalize the brand and promote fresh ideas from all of the ranks, not just executive management. It should also be noted that the new management team publicized its first official meeting today.

What does this mean for GM? That there is some serious consideration being made about its place in the automotive world, its reputation, and how it will compete in the "May the best car win" race. I have to commend Whitacre for working with GM's board and making such a powerful and decisive move. Am I impressed? Absolutely. Let's see just how much turbulence the system can tolerate during the course of this shake up. In this survival race, it was a necessary strategy for GM to muse over and execute. Next stop, paying the Fed those billions of dollars back!




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