English


2019 . 7  
Su Mo Tu We Th Fr Sa
1 2 3 4 5 6
7 8 9 10 11 12 13
14 15 16 17 18 19 20
21 22 23 24 25 26 27
28 29 30 31
: (Wed Jul 24, 2019)


druckerinstitute



?

Shortcut

PrevPrev Article

NextNext Article

+ - Viewer Up Down Comment Print Files
?

Shortcut

PrevPrev Article

NextNext Article

+ - Viewer Up Down Comment Print Files

Even if you only tuned in to the Democratic convention this week for 30 seconds, you probably heard a reference to President Barack Obama’s rescue of the American auto industry—and the 1 million-plus jobs that have been saved as a result.

 

Vice President Joe Biden summed up the last four years with this simple observation: “Osama bin Laden is dead, and General Motors is alive.”

 

While we certainly wouldn’t argue with that, we also can’t help wondering if the celebration isn’t a little premature. The fact is, some analysts are wondering whether GM may actually be getting sicker again.

 

Although the U.S. auto industry had a very good August, GM’s most recent earnings were a disappointment, tumbling 41% in the second quarter. Meanwhile, market share fell in all four of the company’s sales regions.

 

None of this would have surprised Peter Drucker, who began following GM in the 1940s when it was on top of the world, and watched as the company’s own success caused it to become smug, fat and slow and slip into financial distress.

 

 

“Around 1960 the automobile industry all of a sudden became a ‘global’ industry,” Drucker noted. “Different companies reacted quite differently. . . The companies that refused to make hard choices, or refused to admit that anything much was happening, fared badly. If they survive, it is only because their respective governments will not let them go under.”

 

But even with the government’s infusion, will GM survive for the long haul?

 

Drucker knew all too well how hard it is for any enterprise to revive itself. Companies are always shaking up top management in order “to bring about a ‘turnaround,’” Drucker pointed out. And “for a short time, costs are likely to go down and profits and share price to go up,” he added. “But a year or so later, each company will be no better off than it was before.”

 

Why? “A company beset by malaise and steady deterioration suffers from something far more serious than inefficiencies,” Drucker explained. Its “theory of the business” (a concept we’ve covered before) becomes obsolete. A company’s theory encompasses its key assumptions regarding the outside (customers, markets, distributive channels, competition) and key assumptions regarding the inside (core competences, technology, products, processes).

 

In GM’s case, this remains the great question: Has the company truly reconsidered and refashioned its theory of the business? On this, the experts are decidedly mixed.

 

Without such fundamental change, it’s doubtful that Drucker would have altered his view, expressed nearly 20 years ago: “I am increasingly coming to ask whether anything short of a General Motors breakup…is likely to enable General Motors (or its successors) to make a successful turnaround.”

 

What do you think: Has GM really fixed itself this time? Why or why not?

 

 

 

 

  1. A Single-Minded Focus

    Today, we intend to pass along a business tip that’s more specific than usual: Create a business that caters to unmarried women in the Middle East. The reason is that singlehood is on the rise in that part of the world—and, for that matter, ...
    Date2012.11.22 Views2811 file
    Read More
  2. Labor Pains

    A new episode of “Drucker on the Dial” is available today. Host Phalana Tiller talks with Henry Farber, a professor of economics at Princeton University and author of several landmark studies on the declining stability of employment. Tiller ...
    Date2012.11.22 Views2212 file
    Read More
  3. Are You Feeding Birdseed to Your Cat?

    This piece is the first of what will be monthly contributions to the Drucker Exchange by Brand Velocity, an Atlanta-based consulting firm that is putting Peter Drucker’s ideas into practice at major corporations. You may have heard the (hop...
    Date2012.11.22 Views2057 file
    Read More
  4. Is Profit Too Important to Share?

    Ford Motor has a new chief executive on the way—so who will it be? To be sure, current chief Alan Mulally has to exit first, and that’s not likely to happen until sometime next year, but, according to the The Wall Street Journal, speculation...
    Date2012.11.22 Views2249 file
    Read More
  5. What Peter Drucker Would Be Reading

    Recent selections from around the web that, we think, would have caught Peter Drucker’s eye: 1. The Disappearing COO and the Evaporating Talent Pool: If you’re a COO, you could well be on your way to being an endangered species. Stephen A. M...
    Date2012.11.22 Views2891 file
    Read More
  6. How to Consult Like Peter Drucker

    In his latest column for Forbes online, Drucker Institute Executive Director Rick Wartzman writes about Peter Drucker’s approach as a management consultant. “Why was Drucker so in demand?” Wartzman asks. “What made him so good?” “For starter...
    Date2012.11.22 Views2059 file
    Read More
  7. The Oink, Oink Economy

    The trough can be a delightful place, provided you’re one of the diners. The trouble is, it’s not so delightful for the rest of us. Americans have had to watch as their taxpayer money has gone to subsidize agriculture, favored energy produce...
    Date2012.11.22 Views3915 file
    Read More
  8. Why a Turnaround Isn’t Auto-matic

    Even if you only tuned in to the Democratic convention this week for 30 seconds, you probably heard a reference to President Barack Obama’s rescue of the American auto industry—and the 1 million-plus jobs that have been saved as a result. Vi...
    Date2012.11.22 Views2538 file
    Read More
  9. In Praise of Praise

    Here’s this month’s piece from neuroeconomist Paul Zak. For those who might dismiss some of our thinking as the “soft side” of management, Paul puts “hard science” behind it. Generation Y may be the most coddled generation of Americans, acco...
    Date2012.11.22 Views1822 file
    Read More
  10. A Job—But Not a Living

    Just when we were feeling lousy because so many Americans remain out of work, we ran across this grim fact: Many of those who’ve been lucky enough to find a job in recent years are barely making any money. “A majority of jobs lost during the...
    Date2012.11.22 Views2171 file
    Read More
Board Pagination ‹ Prev 1 2 3 4 5 6 7 8 9 10 ... 12 Next ›
/ 12

Designed by sketchbooks.co.kr / sketchbook5 board skin

나눔글꼴 설치 안내


이 PC에는 나눔글꼴이 설치되어 있지 않습니다.

이 사이트를 나눔글꼴로 보기 위해서는
나눔글꼴을 설치해야 합니다.

설치 Cancel

Sketchbook5, 스케치북5

Sketchbook5, 스케치북5

Sketchbook5, 스케치북5

Sketchbook5, 스케치북5

(우)05855 서울특별시 송파구 송파대로 167 테라타워 B동 1009호
☎ 02-563-0005 FAX 02-562-0002
Copyright (c)Copyright 2010 NPI All rights reserved. All Right Reserved.
XE Login