"Fire all the MBAs": General Motors, Bob Lutz

Discussion in 'Economics' started by bearice, Jul 24, 2011.

  1. Why a rise in M.B.A.s Coincided with the Fall of America

    Lutz's main argument is that companies, shareholders and consumers are best served by product-driven executives. In his book, Lutz wisecracks his way through the 1960s design and technology-led glory days at GM to the late-1970s takeover by gangs of M.B.A.s. Executives, once largely developed from engineering, began emerging from finance. The results ranged from the sobering (managers signing off on inferior products because customers "had no choice") to the hilarious (Cadillac ashtrays that wouldn't open because of corporate mandates that they be designed to function at -40°F). It's pretty easy to imagine Car Guy Lutz removing his mirrored shades and shouting to the cowering line manager, "Well, customers in North Dakota will be happy. Too bad nobody else will!"

    The auto industry is actually a terrific proxy for a trend toward short-term, myopically balance-sheet-driven management that has infected American business. In the first half of the 20th century, industrial giants like Ford, General Electric, AT&T and many others were extremely consumer-focused. They spent most of their time and money using new technologies to create the best possible products and services, regardless of development cost. The idea was, if you build it better, the customers will come. And they did.

  2. Obama graduated from Harvard but USA has $100 Trillion debts and sex crimes and other crimes are highest worldwide, there is civil wars worldwide, high inflation worldwide killing 5 billion people everyday, $14 Trillion ponzi, frauds and scams worldwide.

    "Fire Obama immediately"

    CEOs, managers, MBA, CA and other high paid employees (not everybody) of giant companies are responsible for present never ending financial crisis. They are paid $1 Million to $100 million plus but they have no knowledge how to prevent financial crisis and how to end it.

    World leaders and politicians are also highly educated but they had idea or clue, what is coming

    Salaries of all responsible high paid employees and world leaders should be reduced by 50%.

    Some people must be thinking George Bush is also MBA. So...

    George Bush gave high importance to agriculture. Bush would cut woods.

    George Bush had said "under normal circumstances I would have allowed the companies to fail but this is extraordinary situation". After this $700 Billion bailouts were given to bankrupt companies

    George Bush had phyically pulled out his young secret service agent (I think) who has stopped by Mexican security people.

    George Bush is 1000 times better than Obama.
  3. Unless you're rich and connected you need MBA to connect and sell people, process, technology, product and services to customers.
  4. toc


    'Salaries of all responsible high paid employees and world leaders should be reduced by 50%.'

    i would disagree, it is the bonuses that need reduction not salaries. $20M for 6 months of work is nonsense bonus even when the company stock price went down or ROI figures barely moved.

  5. Banjo


  6. I can attest to this first hand. I had to endure the nonsense at a certain corperation for years with a narcasistic MBA coworker that had it out for me. The person could not do the work and delagated everything which worked for a short wihile. My other coworkers would laugh in team meeting to the persons face. The technincal knowledge of the associate was laughable at best. The person was placed to "out of the way of progress jobs" several times and I knew it was only only a matter of time before the corperation would move them to a another facility. The direction the organization was heading was into a social club and not a manufacturing facility. The MBA stamp that was placed on the person only gave them an ego boost. The person also failed several times to complete projects that were specifically tasked to them. The workplace turned into a political warzone. The MBA stamp has been turned into an industry and a MBA degree has been marginalized. The way things really are you need the MBA stamp and get along with the organizations leadership. It has turned 99% politcial in the corperate workplace and it will never change.
    The corperate system has been turned into a social club where if you are not a member you are on the outs no matter how skilled you are.

    Can't wait to get out of this country,

  7. kipster


    MBAs... the ones without work experience that go straight from BA/BS to MBA are the scariest.
  8. LeeD


    They don't go straight into management though. These MBA's make good risk managers and office managers (the latter is glorified P.A.).

    Most top schools don't accept applicants without a couple fo years of real-job experience.
  9. Prop fund might not fit with case-study Harvard MBAs. Might be better off with a number monkey Carnegie Mellon MBA.
  10. the1


    That's funny! The real reason an MBA is a useless degree is because leaders are born, not trained. You either have leadership ability or you don't -- simple as that.

    #10     Jul 26, 2011