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Dinner with Lutz


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Whitacre vs. bureaucracy

Ed Whitacre [GM CEO] just throws all this stuff out. He asks, "How does this benefit the customer?" If he doesn't get a clear answer, he asks, "Why are we having this review? Why are we talking about this?" And it gets killed immediately.

A simple Texan

As Lutz talks about Whitacre, he mimics the Texan's drawl.

Ed is at 40 to 50 thousand feet and says, "I don't understand this business. I don't think I need to understand it."

He says, "It's pretty simple. We do great stuff that looks beautiful, and it's successful. We do mediocre stuff that's not so attractive, and we don't do well. What's so difficult to comprehend here?"

He always has this conversational style where he asks questions. He says, "Don't y'all think that if we do that we're gonna be successful?"

Yes, sir!

"Well, then why don't we jest focus on that?"

He is brilliant in his simplicity. American manufacturing business has been almost destroyed by the overintellectualization of the approach to business. Ed Whitacre cuts through all that. He sees it all exactly right.

He's constantly simplifying the system, and he's constantly asking questions like "Why do I have to see it?"

We'll say, "Well, normally CEOs like to see the major projects."

Read more: http://www.autoweek.com/article/20100427/CARNEWS/100429863#ixzz0mJJ1eTQx

Bruce

2023 Cadillac CT4-V Blackwing

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