Topic: A Modern Parable (The Auto Industry)

[Dr.Maxwe001]

A Japanese company (Toyota ) and an American company (Ford Motors) decided to have a canoe race on the Missouri River . Both teams practiced long and hard to reach their peak performance before the race. On the big day, the Japanese won by a mile. The Americans, very discouraged and depressed, decided to investigate the reason for the crushing defeat. A management team made up of senior management was formed to investigate and recommend appropriate action. Their conclusion was the Japanese had 8 people rowing and 1 person steering,while the American team had 7 people steering and 2 people rowing.Feeling a deeper study was in order, American management hired a consulting company and paid them a large amount of money for a second opinion. They advised, of course, that too many people were steering the boat, while not enough people were rowing. Not sure of how to utilize that information, but wanting to prevent another loss to the Japanese, the rowing team's management structure was totally reorganized to 4 steering supervisors, 2 area steering superintendents and 1 assistant superintendent steering manager. They also implemented a new performance system that would give the 2 people rowing the boat greater incentive to work harder. It was called the 'Rowing Team Quality First Program,' with meetings, dinners and free pens for the rowers. There was discussion of getting new paddles, canoes and other equipment, extra vacation days for practices and bonuses. The pension program was trimmed to 'equal the competition' and some of the resultant savings were channeled into morale-boosting programs and teamwork posters. The next year the Japanese won by two miles. Humiliated, the American management laid off one rower, halted development of a new canoe, sold all the paddles, and canceled all capital investments for new equipment. The money saved was distributed to the Senior Executives as bonuses. The next year, try as he might, the lone designated rower was unable to even finish the race (having no paddles,) so he was laid off for unacceptable performance, all canoe equipment was sold and the next year's racing team was out-sourced to India .



Sadly, the End.



Here's something else to think about: Ford has spent the last thirty years moving all its factories out of the US , claiming they can't make money paying American wages. TOYOTA has spent the last thirty years building more than a dozen plants inside the US . The last quarter's results:

TOYOTA makes 4 billion in profits while Ford racked up 9 billion in losses.

Ford folks are still scratching their heads, collecting bonuses... and asking for a "bail-out"...



IF THIS WEREN'T SO TRUE IT MIGHT BE FUNNY

[NorCalToy]

well written. and true...whats happening with ford and GM now?

[gmack192]

I SAY LET THE OIL COMPANIES BAIL OUT THE BIG 3     THEY'RE IN BED TOGETHER ANY WAY

[blackdiamond]

Ironically, Toyota is going to end up keeping NASCAR going 

I read the other day that Ford employs more people outside the US than it does inside the US. 

[SteveB]

Did anyone hear about the big three getting chewed out at the bailout hearing?

After requesting billions of dollars in OUR bailout money, the speaker asked them if they had taken extravagant private company jets to get to the conference. He then asked if anyone had taken a commercial airline to raise their hand. No one did.

[ToYocRawleR]

IF THIS WEREN'T SO TRUE IT MIGHT BE FUNNY

 

[DTB]

ehhh yup pretty much sums everything up

[79coyotefrg]

i just sent this to my congressmen

[red]

my personal opinion, the concept of a bailout makes some sense but congress has gone about it all wrong by sending money to just the top level. why not have the bailout pay for say, 10k in loans that each taxpayer owes (or money into their savings after that). paying off those loans would help the companies, which would end up helping all levels and the economy instead of just lining the pockets of the money rollers.

with the big 3, the executives screwed it all up for the longest time and need to be replaced. no other way to put it.

[kneedownnate]

We've been having dicussions about this at work a lot lately.  The big 3 are idiots about the way they run businesses.  Red's right, strip it down from the top down, tell the line workers who make $70 or more an hour that they'll be paid a reasonable wage, like the $40ish an hour toyota workers make.  That's still a great wage in this country.  Tell the execs they're all fired and will have to re-apply for their postions, which means they'll have to go through the same interviews most people have to. 

I love the ignorant mentality that you're supporting our country and being more patriotic by buying american vehicles over japanese.  The same people who make these statements don't seem to know, or aren't willing to admit, that the same vehicles they tout as being american and contributing to our economy are made somewhere else.  Is chevy still building their trucks in mexico or canada? 

About 15 years or so ago I thought the big 3 were finally starting to realize they should pay attention to how the japanese auto makers did business, but they're still stuck in their hard headed, sedentary ways.

[gmack192]

I HAD A 79 FORD TRUCK  (MADE IN CANADA) I ALSO HAD A 05 TOYOTA TACOMA (MADE IN THE USofA) I TRADED THE TOYOTA FOR A SUBARU TRIBECA (MADE IN THE USofA)    THE SUBY IS FOR THE WIFE    SHE LET ME GET A 83 TOY   (LOVE IT)   I DO AGREE THE BIG 3 HAVE GONE ASTRAY   WHEN WE WERE LOOKING FOR A NEW CAR    WE TEST DROVE EVERY COMPARIBLE MODEL   FORD, GM, CHRYSLER, SATURN, EVEN CADILLAC COULD NOT COMPETE    DOLLAR WISE OR QUALITY             SAD

[abnormaltoy]

Chapter 11...reorganize, renegotiate reasonable contracts with the unions (comp wages, no job bank) and a new plan for the retiree healthcare. New management, new business model.


NO CAR CZAR!!! Congress can't run itself, why does anyone think they can run a car company?

[Stocker]

Congress can't run itself, why does anyone think they can run a car company?

[Dr.Maxwe001 [OP]]

 

 

MAYBE WE CAN FIGURE IT OUT IN THE NEW YEAR   

[kneedownnate]

They said on the news this morning that the deal fell through?

[Dr.Maxwe001 [OP]]

well then maybe we can figure it out by watching the japaneese they seem to know what it takes  

[kneedownnate]

I'd like to see them be forced to run their businesses using the toyota format.  I wish I'd snagged it, but when I used to have to go to a laundromat I found a business magazine that had a big article profiling how toyota is run.  It was a very interesting read, and to this day I kick myself for not grabbing it.

[Dr.Maxwe001 [OP]]

its not Only Toyota that knows whats the "run of the day" so to speak its also Honda, midsubishi and ALL OF THE OTHERS that are making "foreign" vehicles  I herd from some where that lamborgini was to UP there production by this time 2010 heck yeah I'll drive a lambo. to work over my chevrolet

Clutch
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Every
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Rattles
Oil leaks
Engine-
Ticks      truck