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Re: GM increasing production responsibly


Bruce Nunnally

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Chicago -- General Motors Co. is doing careful planning as it looks at adding third shifts to meet demand for products, a top official said Tuesday.

Mark Reuss, president of GM North America, said the company is looking at everything from short- and long-term capacity increases to manual body shop changes if it resolves capacity constraints.

Vehicles in demand include the Chevrolet Equinox, GMC Terrain, Cadillac SRX, Buick LaCrosse and large crossovers.

GM also is looking at whether a third shift is needed to make more Chevrolet Malibus. The Malibu outsold the Toyota Camry in January.

"We're starving now," Reuss said. For example, he said, there are only two Yukons currently available for sale.

"But we need to add capacity responsibly," he said, and each plant must make money on its own.

From The Detroit News: http://www.detnews.com/article/20100210/AUTO01/2100348/1148/auto01/GM-considers-adding-shifts-to-meet-increasing-demand#ixzz0f8QdQjH2

I like this article for a couple of reasons. Obviously it is good news when sales are pushing for more supply of vehicles. But I also like the fact that GM is trying to be diligent in ensuring that they respond in a way that is commensurate with the demand and expected demand. This is how you make money at an enterprise. In other days they might have brought on another factory quickly then ended up flooding the market with products hoping that demand would follow.

Bruce

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I like it as well. It's a pretty good example that GM displays itself as a confident company, not cocky.

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