General Motors actively reducing Delphi parts count
Bo Andersson, General Motors' vice president of global purchasing admits that the automaker is actively working to reduce its dependence upon bankrupt Tier-1 supplier Delphi. In fact, GM held a meeting with a number of different companies to ask who would like to make up for the supplier's shortfall. For example, GM stopped sourcing spark plugs from Delphi a few weeks ago, transferring its orders to companies like Denso, Honeywell and NGK. The company is also stockpiling parts in key operations in case of a Delphi shutdown.
The move stands to not only lessen the blow to GM if Delphi goes on strike, it also allows the supplier to close down part of its operations and streamline itself in an effort to recover financially.
[Sources: Purchasing.com; PlasticNews.com]
Reader Comments (Page 1 of 1)
JOhn Smith 9:51AM (5/04/2006)
Way to go GM! Now we can see you're serious! I predict the UAW will get a body blow cone next year. For too long we have had to put up with socialism. No more!!
Socialism is for France.
I hope this is a quiet but firm change in GM's direction. If Delphi North America goes bankrupt, the UAW will truly see what's up. BUt don't expect the socialists to be any wiser about capitalism after that. They will always fool their members into thinking thet there is a great big conspiracy out there, and that GM is "hiding money" and "doing well".
Don't believe me? I saw a UAW guy post once that all GM needed to do was "sell more Oldsmobiles" and everthing would have "been fine".
Poor guy. Tell him that hardly makes money on any car because they're spending millions on the "jobs bank".
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bernie 10:06AM (5/04/2006)
Wow, this is some seriously old news... April 14!!!
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Puff Chippy 10:28AM (5/04/2006)
Poor John, providing yet another example of how a little knowledge can be a dangerous thing.
Anyway, good move on GM's part and it should show the UAW that they're going to have to bend a little if they want to survive. They can want $27/hr all they like but they can't dispute reality. I hope they can work this out without a strike because a strike will mean the ultimate death of the UAW and every worker will suffer because of it. Even if I've never been in a union and don't imagine I ever will, I'm not so ignorant to think that what I have today is not due to the pain, sacrifice and sometimes death of union folk that came before me.
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Richard Warren 10:40AM (5/04/2006)
#3 Agreed on both comments
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Shawn Robbins 10:45AM (5/04/2006)
GM & Delphi = Corporate Greed
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Dave 11:16AM (5/04/2006)
#5 --- GM & Delphi & UAW & Toyota & Honda & Ford & Engron & Disney & Microsoft & Apple & Kraft & Phillip Morris & every other fortune 500 = corporate greed.
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TheOne442 12:02PM (5/04/2006)
The only reason the UAW should stay around is so that lazy liberals can get a job and have something to complain about.
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John SMith 12:18PM (5/04/2006)
Here come the union hacks!
In no way has the UAW been good for GM in like 4 or more decades.
Socialism doesn't work, plain and simple.
You only grudgingly concede this point.
However, you have no idea how much the union has worked its tentacles into the compmany--how much say it has in design, product placement and other decidedly non-union things.
Get over yourself.
If Gmpays less per hour and nobody works for that wage, they will have to raise it. That is how capitalism works.
If companies cannot fix prices, unions should not be allowed to fix wages. Let the market decide.
Socialism is not the way of the future. Sorry.
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PJ 1:40PM (5/04/2006)
Suggestion to GM: Delphi's horrid electric-assist steering system should be the first component to go. Anyone here driven the Malibu/G6, Equinox/Torrent, or Cobalt/ION/HHR? Their vague, over-light steering singularly drops them a rung below the class leaders in terms of the driving experience.
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samuel 1:48PM (5/04/2006)
#5, you're just an idiot, plain and simple. It is the UAW that is greedy, so greedy that they may bury the US auto industry if they don't wake up to reality real soon.
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Aki 2:53PM (5/04/2006)
Puff Chippy: I think you're one of the most clueless posters on Autoblog, but don't feel bad--it makes this place more interesting.
"I'm not so ignorant to think that what I have today is not due to the pain, sacrifice and sometimes death of union folk that came before me."
That's ironic--here I thought you were too ignorant to think. So explain, pray tell, how UAW helps you in your workplace? How about how UAW's $119 billion in healthcare and retirement assets (yes, $119 billion) helps out good ol' Blue Collar America? Or how about job banks? $140,000 payouts? All those UAW strikes in the 90s in spite of benefits exceeding the average American worker? Before you poopoo other posts of how "little knowledge can be a dangerous thing" you may want to take a hard look at your own self.
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Nudge 5:39AM (5/05/2006)
I do not see this as GM going after the UAW it is GM going after Delphi. Delphi is trying to use the backrupcy to screw the unions and GM. This is GM fighting back.
This has nothing to do with the UAW.
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