From the NY Times of 3 Dec 2008:
Quote:
With Saturn, G.M. Failed a Makeover
“I’m absolutely convinced that the Saturn way could have worked,” said Michael Bennett, the original U.A.W. leader at Saturn. “But what we had was never embraced or adopted.” ...
Mr. Bennett blamed a lack of interest by G.M. executives who succeeded Roger Smith, who as chief executive in the 1980s committed $5 billion to begin Saturn.
But those who followed him — including John F. Smith Jr., who became chief executive in 1992, and G.M.’s current chief executive, Rick Wagoner, who ran its North American operations in the 1990s — had bigger worries.
They had to lead the company through the financial turbulence at G.M. in the early 1990s. And with managers at G.M.’s other, older brands begging for investment, G.M. executives declared Saturn would have to prove it deserved more support, even though its small cars were accomplishing their main goal of winning buyers from imports.
Despite G.M.’s pledge that Saturn would be run as a separate company, with its own car development and purchasing operations, it was folded into G.M.’s small-car operations in 1994, and its lineup did not receive any new models for the next five years.
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Saturn's success is directly traceable to significant independence from GM's MBA corporate executives. Once that independence was lost, Saturn began dying as quickly as all other GM division. Just another example of why GM's #1 problem centers on Rick Wagoner.
Last I heard, GM repeatedly promises a new product for Spring Hill TN (the famous Saturn plant) and then takes it away. Another symptom of an MBA boss - indecision.