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Ed Whitacre's rude reception in Motor City

FORTUNE/CNN -- The honeymoon is officially over.

Three months after he replaced Fritz Henderson as CEO of General Motors, Ed Whitacre is getting a rude introduction to life in a single-industry town.

Following the reorganization of sales and marketing in North America last week, the latest in a series of management changes that saw some veteran executives relieved of their jobs, the Detroit media unleashed a torrent of criticism.

It didn't matter that Whitacre, according to an insider, wasn't even responsible for the North America changes. Those decisions were delegated to North American chief Mark Reuss.

Or that GM had gone bankrupt under an earlier administration, so presumably some shifts in personnel were due.


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Submitted Mar 11, 2010 By: Sneakers55
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nc43bike
Champion Author North Carolina

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Message Posted: Mar 11, 2010 11:46:13 PM

Sneakers55: 'Most of the writers on here are Socialists when it comes to the prices they want to pay, but they are Capitalists on the size of their paycheck."

Boy, you sure hit THAT on the head!

Lots of comments about how gasoline should go back to 79 cents per gallon, but nary a thought about wages also going back to 1950's levels.
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Sneakers55
Champion Author Houston

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Message Posted: Mar 11, 2010 10:23:24 PM

regasaz wrote:

>Number 1 is to get this country back to work, and our
>current administration has NO Clue on how to make that
>happen.

The previous Administration (Bush-43) had NO clue about what was going on in the real world.

>Next, get rid of the UAW

While I have seen at least three decertification elections in the aerospace business, I doubt that you'll see them in the automotive business.

>let auto prices adjust to their proper level

What's the "proper level?" It's probably as blatantly ridiculous as the "proper level" for gasoline.

Most of the writers on here are Socialists when it comes to the prices they want to pay, but they are Capitalists on the size of their paycheck.

>and watch car sales start to move forward.

Everyone has so many cars nowadays that they don't need another one. And because they last longer than they used to, there's less replacement.

On the other hand, maybe the auto industry should discontinue their rust-resistant construction techniques so vehicles would last about two years in a salt-spreading environment.
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Sneakers55
Champion Author Houston

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Message Posted: Mar 11, 2010 10:09:49 PM

RobRD wrote:

>Unlike Mulally who came from a manufacturing background
>even more complex than the auto industry, Whitacre's
>experience in the telecommunication sector which hasn't
>built anything more complex than telephone switch

Southwestern Bell (the core of today's AT&T) bought their telephone switches already assembled. Even with that, the telecommunications business has to implement a HUGE network.

Ed Whitacre was around for the implementation of Project Pronto ("fiber to the hut"). It let them implement U-verse.

And remember, the POTS telephone network invariably gives you a dial tone when you pick up the handset.

>I think we will see GM back in bankruptcy and Whitacre
>reputation tattered.

If GM does a Chapter 7, I would think it was a lost cause in the first place.
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Sneakers55
Champion Author Houston

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Message Posted: Mar 11, 2010 10:02:04 PM

Amplion droned out yet another time:

>What you drive reflects WHO YOU ARE .......

I guess that means if you drive a Ford that you're guilty of anti-Semitism. Read a bit about Henry Ford's honors by the Nazis.



[Edited by: Sneakers55 at 3/11/2010 11:02:49 PM EST]
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Sneakers55
Champion Author Houston

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Message Posted: Mar 11, 2010 9:56:23 PM

MidNJ wrote:

>FYI, Ed Whitacre Jr. is going to get a $9 million pay
>package this year.

Most of it is in the form of restricted stock that will have an indefinite value until General Motors Company completes its Initial Public Offering.

>Think about it.

Whitacre is cheap at twice the price, and the Board of Directors consists of retired CEOs with experience turning around and/or building up great companies.

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Sneakers55
Champion Author Houston

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Message Posted: Mar 11, 2010 9:52:37 PM

humblepie wrote:

>he made att an also ran during his less than steller
>years there

As someone who has U-verse installed and running, I have a very high opinion of AT&T.
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OHMS
Champion Author Orange County

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Message Posted: Mar 11, 2010 8:55:24 PM

what did he expect? BO wants him to rearrange the deck chairs on the Titanic; now a happy ending in sight.
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Jo120
Champion Author Arizona

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Message Posted: Mar 11, 2010 7:50:08 PM

So much for giving the guy a chance ... things have got to be going a little better which he Toyota debacle.
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ops3
Champion Author Cincinnati

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Message Posted: Mar 11, 2010 7:41:40 PM

Inherit the good stuff, inherit the bad!
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goodbuy
Champion Author Michigan

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Message Posted: Mar 11, 2010 7:38:31 PM

Fire them all and start over. Management too old fashioned anyway. It was just a good ole boy network.
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mark1962
Champion Author Albany

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Message Posted: Mar 11, 2010 7:37:52 PM

It is tough out there and other places that don't have any industry!
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snewwee
Champion Author Detroit

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Message Posted: Mar 11, 2010 7:37:44 PM

GM is like a sinking ship with all of the rats looking for their liferafts (pension deals).
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NotTom
Champion Author New Hampshire

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Message Posted: Mar 11, 2010 7:33:37 PM

people are afraid of change. But that is what GM needs now.
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tnsilvertip
Champion Author Tennessee

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Message Posted: Mar 11, 2010 7:28:54 PM

My impression is that the media and locals/insiders are uncomfortable, not Whitacre. I hope GM makes some positive changes cause they sure need to. And the UAW needs to figure out that they need GM more than GM needs them.
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POLELANE
Champion Author Ohio

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Message Posted: Mar 11, 2010 7:20:47 PM

a new yorker is right; Are the journalists concerned that they may also lose their jobs as the Detroit region continues its march into decline, and will be unable to afford as many newspaper employees? American automobiles are made all over the USA; Not just in Mitchigan
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sillywagon
Champion Author New York

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Message Posted: Mar 11, 2010 7:18:27 PM

Are the journalists concerned that they may also lose their jobs as the Detroit region continues its march into decline, and will be unable to afford as many newspaper employees? American automobiles are made all over the USA, not just in Detroit.
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DellMan
Champion Author Omaha

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Message Posted: Mar 11, 2010 7:18:04 PM

He is only a figure head anyway. We all know Obama and the UAW are really calling the shot at GM.
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mvosevich
Champion Author St. Louis

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Message Posted: Mar 11, 2010 7:14:02 PM

If GM doesn't improve their products they'll all be out on the street.
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DEG
Champion Author Las Vegas

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Message Posted: Mar 11, 2010 7:12:30 PM

Nothing really changes. GM is still run by the UAW at the expense of the customers and now the taxpayers.
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netman044
Champion Author Texas

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Message Posted: Mar 11, 2010 6:59:12 PM

He is the CEO of a company that was bailed out by the government. If he can't stand the heat he needs to get out of the kitchen.
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la90042
Champion Author Los Angeles

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Message Posted: Mar 11, 2010 6:56:30 PM

he's still the CEO -means the buck stops there - what did he expect?
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starfighter08
Champion Author Illinois

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Message Posted: Mar 11, 2010 6:52:48 PM

GM = Government Motors
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signwiz
Champion Author Indiana

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Message Posted: Mar 11, 2010 6:52:37 PM

It couldn't last forever.
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SSchmidty
Champion Author Illinois

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Message Posted: Mar 11, 2010 6:52:21 PM

Pity party poopers, will the press ever understand? THEY do not run anything and their REPORTING efforts are not very good!!
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zeddieiv
Champion Author Columbia

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Message Posted: Mar 11, 2010 6:51:15 PM

yay!
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divebomber
Champion Author Nebraska

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Message Posted: Mar 11, 2010 6:50:58 PM

A scapegoat is always necessary
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nimpy
Champion Author Indianapolis

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Message Posted: Mar 11, 2010 6:45:51 PM

I agree Wilw
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WilW
Champion Author Atlanta

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Message Posted: Mar 11, 2010 6:42:30 PM

We own him. Let's cut his pay!
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comet64
Champion Author Illinois

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Message Posted: Mar 11, 2010 6:37:47 PM

Why should the CEO' get all the money
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uptherefiners
Champion Author Chicago

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Message Posted: Mar 11, 2010 6:32:44 PM

gee, the media picking on the wrong guy...whodathunkit?
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brus282
Champion Author North Carolina

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Message Posted: Mar 11, 2010 6:31:35 PM

Whitacre is a jacka-- and everybody in the auto world knows this, so this no suprise
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bbreff
Champion Author Atlanta

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Message Posted: Mar 11, 2010 6:27:35 PM



What else would you expect from the big three from Detroit.

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swrestler
Champion Author Grand Rapids

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Message Posted: Mar 11, 2010 6:26:29 PM

No big deal.....
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pulpwood
Champion Author Mississippi

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Message Posted: Mar 11, 2010 6:19:55 PM

Bunch of back bitters!
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emptytank08
All-Star Author Pennsylvania

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Message Posted: Mar 11, 2010 6:17:30 PM

Hmmmmmmmm to bad
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pgerassi
Champion Author Milwaukee

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Message Posted: Mar 11, 2010 6:06:57 PM

So what.
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MidNJ
Champion Author New Jersey

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Message Posted: Mar 11, 2010 5:56:26 PM

FYI, Ed Whitacre Jr. is going to get a $9 million pay package this year.

Think about it.
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vegaland
Champion Author Houston

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Message Posted: Mar 11, 2010 5:55:09 PM

If GM hadn't taken the bailout money, there'd be a lot more people out of work.
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HankHill09
Champion Author Long Island

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Message Posted: Mar 11, 2010 5:53:53 PM

yawn.
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scrounger
Champion Author Vancouver

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Message Posted: Mar 11, 2010 5:53:29 PM

should we shed a tear for him?
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Amplion
Champion Author Oregon

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Message Posted: Mar 11, 2010 5:50:10 PM

GM, Whitacre and UAW better ALL face the facts, They are ALL on the way out.

What you drive reflects WHO YOU ARE .......
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pkhdonovan
Champion Author Maine

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Message Posted: Mar 11, 2010 5:48:10 PM

I agree with virginia52, what did he expect open arms.
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virginia52
Champion Author Alaska

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Message Posted: Mar 11, 2010 5:43:28 PM

I think a lot of corporate people are getting blasted. We are sick of the CEO's getting big paychecks and bonuses while people lose their jobs and houses. Even if it's not his doing he is part of a corporation that took bailout money.
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pmarsch
Champion Author Wisconsin

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Message Posted: Mar 11, 2010 5:40:34 PM

Must be a slow news day. Someone missed the recall on the Tundras today!
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waynemustang
Champion Author Indiana

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Message Posted: Mar 11, 2010 5:37:18 PM

Govt Motors run by a bureaucrat should be shunned.
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humblepie
Champion Author Toledo

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Message Posted: Mar 11, 2010 5:32:18 PM

this guy should be selling kirby vacuums door to door
he made att an also ran during his less than steller years there
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THEDodgeman
Champion Author Denver

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Message Posted: Mar 11, 2010 5:31:59 PM

BOO HOO WHAT DID HE EXPECT.
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k2kipp
Champion Author Minnesota

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Message Posted: Mar 11, 2010 5:30:53 PM

Must be a slow news day
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garman87
Champion Author Austin

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Message Posted: Mar 11, 2010 5:29:29 PM

GM is still doomed due to the same mistakes they make over and over.
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regasaz
Champion Author Phoenix

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Message Posted: Mar 11, 2010 5:28:26 PM

Number 1 is to get this country back to work, and our current administration has NO Clue on how to make that happen. Next, get rid of the UAW , let auto prices adjust to their proper level, and watch car sales start to move forward.
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