In: Operations Management
General Motor established in 1908. That time the company was the sole carmaker dealer in the region, e.g. Michigan, first it was a holding Buick company, till 1920 it was becoming the world largest motor manufacturing company. However, General Motor is a fallen giant. Glory of the past from being a great market leader to bankrupt company General motors has come a long way. In 1980s GM was the top car manufacturer in the USA until the arrival of the Japanese cars. The Japanese sold cheap and better cars. GM failed to realize the change in the industry and technology and constantly lost market share to the Japanese companies.
How change in the culture of the organization will help General Motors? (250 words
GM failed to realize the change in the industry and technology and constantly lost market share to the Japanese companies who sold cars of better quality and at cheap rates. A change in the organizational culture of GM could be brought if the management realized that completion still exists whether or not the company is a global player. A contingency strategy and thorough knowledge o the internal and external environment of the company could help in establishing a stronghold in the industry. A change in the culture of the organization will help General Motors in successfully predicting the potential threats that exist in the industry. On the analysis of such threats, the company can formulate the necessary strategies to compete with other cheap cars. It helps in reforming to establish a competitive position in the market. Change in corporate culture promotes agility in human resources, production, and many more. Such agility supports the company’s efforts to improve overall corporate performance, especially in the face of internal problems and rising competition with firms like Japanese companies. An agile workforce can promote an increase in General Motors’ ability to rapidly innovate for a stronger competitive advantage.
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