Auto Industry Bailout next week ?

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This blog discussed over two years ago how the US Auto industry has been ignoring the very research they funded and supported for decades.  These studies had clearly identified better supplier relations,more innovation and customer focus  as priority areas. Just handing out money is probably not going to change things  with the auto industry  leadership at Detroit. When they have successfully ignored consultants,researchers and professors for decades, it seems very unlikely that mere exhortations with bailout money will work.  In fact, unless there are decisive management changes, it is very unlikely that entrenched managers would change their ways.

Estimates of job losses in the upstream supply chain and the downstream distribution (dealer) channel are so immense that some solution must be found. When managers and company leaders neither manage nor lead-  they can bring ruin to their entire value chain partners and associated  stakeholders. In the auto industry that number could be as high as three million jobs lost. Clearly,  just too much is at stake.

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