[I always thought corporations' biggest psychological problem was
management's greed; now I find out it's management's Attention Deficit
Disorder.]

December 2, 2005

Lofty Promise of Saturn Plant Runs Into G.M.'s Fiscal Reality

By JEREMY W. PETERS
and MICHELINE MAYNARD

SPRING HILL, Tenn., Nov. 29 - This was the factory that was going to revive
the American automobile industry, proving that Detroit could build quality
cars and win back buyers who had defected to the Japanese.

Opened when auto companies were closing plants and cutting hundreds of
thousands of jobs, General Motors' Saturn plant here was a rare opportunity
for the company and its workers to literally leave the industry's old ways
behind and embrace some of the lessons that Japan was teaching, with an
American twist.

Now, Saturn is in danger of falling victim to the fate this plant was
intended to avoid.

The plant, the only one exclusively devoted to building Saturn vehicles, is
among 12 factories that G.M. plans to shut or partly close, eliminating
30,000 jobs in North America as it tries to recover from one of the worst
slumps in its history. ...

The Saturn plant, like other efforts at G.M. to battle foreign competition,
became a victim of the company's short attention span. At a critical time
when the plant needed to grow, G.M instead poured money into sport utility
vehicles and pickups, hoping to outwit the Japanese - only to see them
invade those markets, too. And workers here are paying the price.

"Workers have got to be asking themselves, What do we have to do?" said Gary
N. Chaison, a professor of industrial relations at Clark University in
Worcester, Mass.

"The social contract was that if we build a quality product, we're going to
have jobs, our kids are going to have jobs, and the plant will still be in
town," Professor Chaison said. "Now, that idea is gone." ...

<http://www.nytimes.com/2005/12/02/business/02saturn.html?hp&ex=1133586000&en=dc12d22af4c9d20f&ei=5094&partner=homepage>

Carl

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