[AMC-list] GM & Toyota

[Joe Smith <know_ware@xxxxxxxxx>]

   A Modern  Parable.

A Japanese company ( Toyota )  and an American company (General 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: GM 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 GM racked up 9 billion in  losses.

GM folks are  still scratching their heads, collecting  bonuses... and
accepting bailouts.

IF THIS  WEREN'T SO TRUE IT MIGHT BE FUNNY



 
 






      
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