Krystal Wein p. 333 1. There are two forces for change that are causing GM to undertake major organizational change. The most important is definitely social and political pressures. GM has a lot to prove. They are trying to boost sales due to losing 88 billion in the last 5 years. They still owe 2 billion to different government after their bailout. Whitacre thinks by changing management it will help boost sales. Another force of change is market changes. Let’s face it the market isn’t anywhere close to what it used to be. For houses and cars especially. It is hard to get people to buy new cars these days. 2. Gm is focusing on two areas of change. The first one is changing people. First the government hired a new CEO for the company. Then, there were over 20 people brought in from outside sources to fill top management positions. The whole upper level management team has been reconstructed. Second the changing of strategy. GM is no longer offering huge rebates and incentives that take away directly from the profit of the
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This note was uploaded on 11/08/2011 for the course BUS 120 taught by Professor Paulbuffa during the Spring '10 term at Jefferson College.