The Detroit News reports: Mulally's Job One: Global overhaul. "I love the product so much, I bought the company!" Oh, wait. "I bought a Lexus! Now I work for Ford. ... Good job, Ally ol' boy!" (slaps head)
Ford Motor Co. President and CEO Alan Mulally said Friday that he plans to weld Ford's disparate regional divisions and brands into a single global operation capable of competing with the company he most admires in the world: Toyota Motor Corp.The article continuesMulally, who joined Ford six weeks ago, delivered the message in an hour-long interview Friday with The Detroit News that covered the myriad challenges facing Ford today and his plan for reversing crippling financial losses that threaten the company's future.
Mulally said the company must turn around its struggling North American operations by 2009 or risk running out of cash. To do that, he will need concessions from the United Auto Workers next year as he works to erase a $3,400 per vehicle cost disadvantage. Mulally said he is prepared to take his case directly to union workers if need be to get them on board.Look, man... The unions aren't perfect, but the cost has nothing to do with the decline of Detroit. You don't hear folks saying, "Wow, these Fords are friggin' sweet, but I just can't swing one." No, they say, "Jesus, this God-damned Ford broke down again. I'm never buying another Ford." Prices are important, but they had nothing to do with the decline of Detroit. Detroit did this themselves.
Hey, we're glad that some products coming out of Detroit are improving (according to Consumer Reports) and we hope it's not too late for Detroit to turn it around.
We were going to show a snap of a Ford Fusion, but we're so tired of posting the same pic, we skipped it instead.
I just stumbled upon your blog. Unfortunatey, it's hard to believe anything you say. Why?
You are a bunch of shitheads. Why would anyone be nuts enough to give you possession of an expensive vehicle to drive.
Posted by: dennis schauer | Wednesday, April 09, 2008 at 11:52 AM
The costs of placating the unions are, in part, why Detroit cars aren't "friggin' sweet".
I don't know if his numbers are accurate. Let's pretend they are. For $3400 per car Toyota take $1000 profit and put $2400 of "friggin' sweetness" into their cars.
That's a pretty significant disadvantage the domestic carmakers have to overcome.
Now don't get me wrong. It's a pickle they put themselves in by pandering to unions for the last bazillion years.
Posted by: hmm.... | Monday, November 13, 2006 at 05:44 PM
True, but the big 2.5 will need larger margins to funnel back into R&D, in order to create products the public wants to buy again. Sort of a chicken/egg paradox.
Posted by: JD | Monday, November 13, 2006 at 02:07 PM