1. General Motors Group # 10 Kyle Hendrick Chris Redford Aaron Jenkins

2. Problem Statement General Motors is losing it’s dominance to foreign automakers, because they lack competitiveness and are losing market share. –In 2007, GM lost 39 billion dollars, which is the largest annual loss ever by any automaker

3. Company Overview & History General Motors was founded in 1908 in Flint Michigan. Has been the most dominate automaker since 1931 284,000 Employees –About 74,000 are union employees Manufacture Cars & Trucks in 35 Countries

4. Company Overview & History Global Headquarters is located in Detroit, Michigan As of 2007, General Motors is the fifth largest company in the world (behind Wal- Mart Stores, Exxon Mobil, Royal Dutch Shell, and BP.)

5. SWOT Analysis Internal StrengthsWeaknesses Product Development-Offers 87 Different Makes and models this year -It takes GM 33% longer to bring cars into production Productivity-Employ 284,000 People World Wide -Relationship with UAW Dealerships-Name Recognition -Greater vehicle selection -Too Many, each dealership makes low profits -Too much inventory Quality-GM Offers 8 top of the line brands -Safety Recalls and Complaints

6. SWOT Analysis External Opportunities Threats Product Development-Faster and Cheaper Path to the Showroom -Companies Average 3 Years to production Productivity-Process and assemble more vehicles quickly -Faster assembly for other companies makes production for them cheaper Dealerships-Reducing the number of dealerships can reduce costs caused by inventory sitting on the lot. -Companies with less dealerships are more exclusive and have less inventory Quality-Improving quality can boost sales and customer satisfaction -Companies with less makes & models to show higher quality

7. Alternative Solution 1 Improving GM Quality In the eyes of most consumers today, foreign auto manufacturers hold a higher image of quality. The consumer report for reliability placed 9 foreign automotive companies in the top 10 most reliable companies. (consumerreports.org) Many GM companies are classified as less than average reliability. (Hummer, Cadillac, Pontiac, Chevrolet, and GMC)

8. Alternative Solution 1 Improving GM Quality In 2005 GM recalled over 2 million vehicles, mostly SUVs. Problems ranged from brake problems, to overheating of certain wires, to seat belt issues Most recently, in 2007 GM recalled 275,936 Cadillac, Pontiac and Saturn sedans and crossovers due to a problem in the rear-axle pinion seal that could lead to a fluid leak and cause drivers to lose control of their vehicles.

9. Alternative Solution 1 Improving GM Quality GM needs: –Increased image of quality. GM needs to concentrate on increasing reliability while developing new vehicles and models. GM can also decrease the use of plastic and vinyl to give a feel of better quality.

10. Alternative Solution 2 Shrinking GM’s Dealership Network GM currently manufactures 48 different models within 8 companies. (Chevrolet, Pontiac, Hummer, Cadillac, etc.) With this many models, GM has an extensive dealership network. In the last year, GM reduced its network by almost 1000 dealers. This downsizing needs to continue in a big way. Toyota, with only 1244 dealerships, sold as many cars as Chevrolet who has 4000.

11. Alternative Solution 3 Productivity GM takes too long to assemble its vehicles, which is leading to greater costs per vehicle, due to increased labor and time in the factories. Working with the United Auto Workers union to change their labor law requirements to allow GM to reduce manufacturing costs and time.

12. Alternative Solution 3 Productivity Harbour Consulting can also help GM increase its productivity. Harbour Consulting is a manufacturing and management consulting firm focused on improving the overall competitiveness of manufacturing companies.

13. Alternative Solution 3 Productivity According to Harbour Consulting, this is how GM compares. These are company averages. *2003

14. Alternative Solution 3 Productivity GM, however does have 4 of the 10 most productive assembly plants in 2007. Oshawa No. 2 averaged 15.68 Hrs./car Oshawa No. 1 averaged 16.34 Fairfax, Kansas averaged 17.89 Lordstown, Ohio averaged 19.17 All of GM’s Plants need to be averaging these production times.

15. Alternative Solution 4 Product Development Decrease the time and cost needed to take a car from the drawing board to the show room. According to our research, it should take about 3 years to accomplish this, while it take General Motors about 4 years.

16. Alternative Solution 4 Invest in the help from the company Infosys

17. Infosys-Company What is Infosys? Infosys is a global leader in the "next generation" of IT and consulting with revenues of over US$ 3 billion. Infosys defines, designs and delivers technology-enabled business solutions. Infosys is based in Bangalore, India

18. Where Infosys can help? Infosys can help in every phase of the product development process –Ideation –Research and development –Optimization –Testing –Pre-Production prototyping –Production Control –Post-Production Lifestyle Monitoring –Support

19. What Infosys Offers

20. Parts that can be improved

21. Results from Infosys

22. GM Commercial http://youtube.com/watch?v=B3NGN4t4h m4http://youtube.com/watch?v=B3NGN4t4h m4