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A new "bad cop" is CEO at newly private Chrysler
Reuters ^ | 8/6/2007 | Kevin Krolicki and Ben Klayman

Posted on 08/07/2007 1:43:37 AM PDT by bruinbirdman

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1 posted on 08/07/2007 1:43:41 AM PDT by bruinbirdman
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To: bruinbirdman

Nardelli a cost-cutter? Heh.


2 posted on 08/07/2007 1:56:05 AM PDT by oblomov
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To: bruinbirdman
"..."In a private environment, he's going to be able to do what he needs to ... without the microscope of the public entity."..."

Translation: "UAW, ... Kiss your ass goodbye!" .................. FRegards

3 posted on 08/07/2007 2:01:29 AM PDT by gonzo (In Florida, inmates make cigarettes in jail that I buy, and I can go to jail for smoking one! WTF?)
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To: oblomov
Nardelli a cost-cutter? Heh.

My thoughts exactly - the guy was a disaster at HD and not because he was a cost cutter but because he added non-core businesses at great expense. First thing HD did after canning him was sell off that albatross distribution network Nardelli created.
I think I bought my last Chrysler. There's plenty of fat to be trimmed and they brought in Rosie O'Donnell for an exercise program.
4 posted on 08/07/2007 2:19:16 AM PDT by dyed_in_the_wool ("O you who believe! do not take the Jews and the Christians for friends" - Koran 5.51)
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To: oblomov

“Nardelli a cost-cutter? Heh.”

Well, yea, he’s a cost cutter. He cut enough at HD to pay for his going away present.


5 posted on 08/07/2007 2:23:25 AM PDT by caver (Yes, I did crawl out of a hole in the ground.)
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To: Letaka

Labor relations. heh. Tell me some more stories. :)


6 posted on 08/07/2007 2:35:39 AM PDT by Shimmer128 (I see dumb people. They're everywhere. They don't even know they're dumb.)
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To: bruinbirdman

I just bought a Crossfire Roadster three months ago. I hop I can get parts.


7 posted on 08/07/2007 2:42:08 AM PDT by mmanager (Fred instead of Purebred, Crossbred and the Hothead)
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To: oblomov

Nardelli cut people at HD who knew something about what they were selling. People with seniority or managers who had compensation plans set up by the people who built the company got the axe.

My information comes from a high school buddy who used to work at HD. I don’t have a dog in this fight except that at one time a homeowner like me could go into HD and get some meaningful help from employees. Now? They’re across the street at Lowe’s.

IIRC Nardelli came in from some consulting firm like McKinsey or someplace. Those guys CANNOT run a company (except into the ground).


8 posted on 08/07/2007 2:46:29 AM PDT by GadareneDemoniac
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To: bruinbirdman

I guess you need to build a track record of incompetence if you want to be a CEO these days.


9 posted on 08/07/2007 3:10:12 AM PDT by Jaysun (It's outlandishly inappropriate to suggest that I'm wrong.)
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To: bruinbirdman

“amid contract negotiations with the United Auto Workers union aimed at reducing hourly labor costs in areas such as health care.”

It’s aimed at the health care costs for retirees. Before everyone begins slamming the retirees and UAW for their negotiated health benefits, I’d invite you to take a look at your city and states retirees.

The benefits for the retirees are from sales of vehicles and company profits over time.

The city and state retirees, especially in my area get comparable benefits, yes, almost the same as the UAW, but those are paid by YOUR property taxes.

~And every year, as the benefits rise, so do your taxes.

So, you can harp on the retirees benefits that will be slashed in any event that are paid for not out of your pocket but out of profits,

as

you are silent on the increased property and personal tax for city and state employees.


10 posted on 08/07/2007 3:23:19 AM PDT by OpusatFR
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To: gonzo

Yeah, looks like Nardelli will take all those cost savings and put them in his pay package.


11 posted on 08/07/2007 3:44:13 AM PDT by saganite (Billions and billions and billions----and that's just the NASA budget!)
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To: saganite
Yeah, looks like Nardelli will take all those cost savings and put them in his pay package.

Agreed. It is a proven fact that any executive who has a golden parachute waiting for him upon his termination from the company is not going to do a good job. To put it more bluntly, if you know you are going to walk away with $100 million or more no matter how much you screw up, then why bother doing a good job at all?

12 posted on 08/07/2007 3:59:24 AM PDT by pnh102
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To: dyed_in_the_wool
I think I bought my last Chrysler.

I bought my first and last Chrysler in the 90's. What a nightmare. Nardelli needs to focus on quality, not just cost cutting, or he will cost-cut Chrysler into bankruptcy.

13 posted on 08/07/2007 4:07:25 AM PDT by jalisco555 ("The only thing we learn from history is that we never learn from history." Winston Churchill)
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To: pnh102
Agreed. It is a proven fact that any executive who has a golden parachute waiting for him upon his termination from the company is not going to do a good job. To put it more bluntly, if you know you are going to walk away with $100 million or more no matter how much you screw up, then why bother doing a good job at all?

This explains GM's terminal decline.

14 posted on 08/07/2007 4:08:14 AM PDT by jalisco555 ("The only thing we learn from history is that we never learn from history." Winston Churchill)
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To: jalisco555

They’re going to start selling Chinese cars within the next few years. Quality obviously won’t be one of their criteria.


15 posted on 08/07/2007 4:11:18 AM PDT by saganite (Billions and billions and billions----and that's just the NASA budget!)
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To: saganite
Quality obviously won’t be one of their criteria.

You're probably right. I just don't see Chrysler making it.

16 posted on 08/07/2007 5:20:11 AM PDT by jalisco555 ("The only thing we learn from history is that we never learn from history." Winston Churchill)
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To: bruinbirdman

Word to Chrysler, GM, Ford....

While you were busy bleeding red, Toyota turned a record profit this past year (and quarter).

Take at look at their business model - see a difference?


17 posted on 08/07/2007 5:36:53 AM PDT by TheBattman (I've got TWO QUESTIONS for you....)
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To: bruinbirdman

Bob Nardelli at Cerberus will be interesting. Wonder what Jack Welch thought of Bigga Bob’s performance at The DEEP.


18 posted on 08/07/2007 5:46:05 AM PDT by PGalt
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To: mmanager

You should be fine... if the company is in business, by lay they HAVE to supply parts for a good number of years, I believe. For some reason I’m thinking its 15 years, but I’m not positive.

But outside of that, your car actually uses quite a lot of Mercedes components. So even if Chrysler went out of business completely and no parts supplier bought the equipment or rights to make replacement parts, you could get a lot of what you need from the local Mercedes dealer.

Did you get a good deal on the Crossfire? They’re absolute slugs when it comes to moving off the dealers lot, so they should be desperate to move anything. Almost two years ago, they had a 230 day supply on the lots, which is a horrid inventory level. They even started listing them on overstock.com to try to get rid of them. By 2006, they were up to nearly a year’s supply on the lots...

They certainly look nice, but were an absolute, unadulterated sales flop. I think Edsels were probably easier to move....


19 posted on 08/07/2007 6:00:43 AM PDT by eraser2005
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To: TheBattman
"Take at look at [Toyota's] business model - see a difference?"

A huge difference is no UAW. A second difference is few retirees in the US. Toyota's profits would look a lot different if these factors were included. Chrysler cannot wish away either of these, regardless of its owners, or CEO's.

20 posted on 08/07/2007 6:04:42 AM PDT by norwaypinesavage (Planting trees to offset carbon emissions is like drinking water to offset rising ocean levels)
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