Something US Auto Makers Have Forgotten

It seems that today many companies and their officers are driven by greed. The Government bailouts are not being used in the proper manner to save these companies from failing. This is disturbing to me that General Motors plans to close 500 dealerships and layoff thousands of jobs. Even more disturbing is that GM officials say that without the second installment of $5.4 billion dollars they will run out of money by March 31, 2009. It makes you wonder what are they doing with all that money that would make them run out? With $5.4 billion dollars you could save a whole lot of jobs. I think this is poor management to get this far into debt and not be able to pay your bills and save jobs.

When the whole auto industry is in trouble, instead of looking at the bottom of the food chain to cut costs, they should start from the top. This rather large house cleaning project should begin at the home corporate offices and look at over spending that is unnecessary, then go down to the branches of the company. Top executives refuse to take a pay cut when there are families that have worked in the Auto Industry for years living from paycheck to paycheck. Chrysler and GM need to take notes from a few competitors take some responsibility for their actions and realize it is their employees that are the core of the company and it’s what makes a company better.

As I was browsing around the internet I found a quote that I think the US auto makers have forgotten about. “There is one rule for the industrialist and that is: Make the best quality of goods possible at the lowest cost possible, paying the highest wages possible.” ~ Henry Ford

BMW makes a strong statement that they take responsibility for their actions and they exist to make the world a better place. They wouldn’t be where they are today if it weren’t for the employees that make up the most important part of their company.

The information in the blog is the opinion of the writer, articles were provided from the following sources;

http://www.bloomberg.com/apps/news?pid=20601087&sid=aEBxMmCfl0xY

http://www.huffingtonpost.com/huff-wires/20090121/gm-henderson/

This day in History January 13

On January 13, 1942, Henry Ford patents a plastic automobile, which is 30% lighter than a regular car.

This information was provided by wikipedia.org.

CES: The Most Exciting Place to See Cars.

The CES show (Consumer Electronics Show) is the largest convention held in Las Vegas every year. I have frequented to many Auto Shows, but none of them compare to the mobile electronics section at CES. You can see everything from the absolute wild to just your everyday car. There are many exciting things to see, but my favorite part is always the cars. I have posted some of the most popular exhibits.

Aston Martin

Kit – Knight Rider 2000 from the 80′s Show

Nissan GT-R

Black Death  – The Extreme

This day in History January 5

On January 5, 1914, the Ford Motor Company announces an eight-hour workday and a minimum wage of $5 for a day’s labor.

This information was provided by wikipedia.org.

This day in History January 2

On January 2, 1882, John D. Rockefeller unites his oil holdings into the Standard Oil trust.

This information was provided by wikipedia.org.

Bailouts: First the Banks and now the Auto industry?

Over this past year many national banks have been in trouble. This happened because of bad investments and bad judgments of people that worked for these banks that did unethical loans. Because of the giant loss of banks across the country, the Federal Government decided to step in to bail out these banks in an effort to save the economy. Unfortunately it wasn’t a very well thought out plan. There were banks that used the money to pay themselves big bonuses and pay for luxury vacations, instead of using the money for what it was intended for. Then there were banks that used the money to pay for new investments, some of these banks didn’t even need the bailout money. Now the auto industry is seeking bailout money from the Government. Should these companies be bailed out? Or should they be held accountable for their actions, and file a Chapter 11 while they clean up their act.

The Government I think is going to go about this in a smarter way this time. Some things to consider are what will happen to the economy if they give the money to the auto industry? What type of stipulations will be enforced? We as tax payers do not have a choice. When ever the Federal Government gives a large sum of money to anyone, we pay for it, and usually the money comes from one of two sources, they raise taxes to pay for it or it comes out of social security.

Here are some additional articles related to this post.

How the Feds will Govern GM and Chrysler

Potential GM Bankruptcy Catastrophic for Economy

Wallstrip: Does the Auto Industry Deserve a Bailout?

Cars is what I do.

Hoping to make a good first impression with cars? We have a variety of graphic ideas and different ways you can upgrade cars, trucks, vans and can get you almost anything that you request. I hope to blog here about cars as well as money saving tips. That is what I am here to do to save you money when you obtain the car of your dreams.