Monday, October 29, 2012

organizational chart of a manufacturing company

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Organizational Chart of a Manufacturing Company

Autoline provides automotive news, car reviews, new technology, and reports on powertrain, aerodynamics, materials, electronics, design, and manufacturing. ... Bloomberg reports that the company's third quarter net profit jumped to two billion dollars, a 13 percent gain compared to last year. .... There is too much waste and inefficieny in it's management and organizational structure to really leverage there massive production capacity and purchasing power.

Organizational Chart of a Manufacturing Company

While one manufacturer fails to meet profit expectations, Hyundai reports a 3rd quarter profit jump. Although somewhat controversial, could fracking be the answer to lower fuel costs? A vehicle meant to compete with the likes of the Tesla Roadster gets put on the back burner. All that and more, plus on Autoline This Week John sits down to talk with Mary Barra, the head of General Motors Global Product Development.

Hello and welcome to a brand spanking new episode of Autoline Daily. It’s Friday, Friday, Friday the 26th of October. I’m Jim Hall of 2953 Analytics fillig in for John today. Anyways, onward and upward, it’s time for the news… shall we get started?

There’s more earnings to report today. Not surprisingly with slumping sales in Europe, Renault reported that its third quarter revenue dropped 13 percent compared to last year, to eleven billion dollars. And the company expects that its full-year revenue will be below last year.

But it’s a different story over at Hyundai. Bloomberg reports that the company’s third quarter net profit jumped to two billion dollars, a 13 percent gain compared to last year. Anti-Japanese sentiment in China helped boost sales in the PRC and unlike most automakers, Hyundai was able to grow market share in Europe thanks to demand for the Tuscon and its new mini-car the i10. But the news wasn’t quite as good at Kia. Even though the company’s net profit in the third quarter rose to 750 million dollars, it missed analyst’s expectations. Strikes in Korea over the summer stopped the production of nearly 63,000 vehicles.

Hydraulic fracturing, or fracking, is somewhat controversial but it could lead to lower fuel prices. According to Bloomberg, a number of companies are taking advantage of the excess of natural gas from shale rock, to turn it into gasoline, diesel and jet fuel. Oxford Catalysts says it costs $2.95 a gallon to make premium diesel from oil. But the price drops to a $1.57 a gallon with gas at a small plant.

Plans to build the Audi R8 E-Tron seem to have been placed on the back burner pending a project review. With a range of 150 miles and a 0 to 60 time under 5 seconds, the E-Tron was set to take on the likes of the Tesla Roadster and the upcoming Mercedes-Benz SLS AMG Electric Drive. The hold-up was ordered due to a lack of advanced and inexpensive batteries to power the car along with generally poor EV sales.

In related electric news, battery supplier LG Chem has halted production at a battery plant in Holland, Michigan. The plant was supposed to make batteries for the Chevy Volt but still hasn’t produced any. However, if demand increases the plant is ready to be fully operational.

And speaking of electric vehicles, that’s the subject of this week’s Autoline Poll. What sort of electrified vehicle would you consider buying when it’s time for a new car? Hybrid, plug-in hybrid, pure EV or none of the above? Click the link below today’s show on Autoline.tv to make your voice heard. John McElroy will be back on Monday with the results of the survey.

Coming up next, GM’s head of global product development explains how the company is able to manage the complexity of all of its product centers around the globe.

On Autoline This Week, John sits down to talk with Mary Barra, the head of General Motors Global Product Development. GM has more product development centers than any car company around the world and in the following clip Mary explains how the company is able to manage the complexity of so many programs being developed at the same time.

Also joining John for that show is Michelle Krebs from Edmunds.com and Jeff Bennett of the Wall Street Journal. And you can watch the whole episode right now at Autoline.tv.

But that brings us to the end of this week’s episodes. I’m Jim Hall from 2953 Analytics, thanks for watching and have a great weekend.

I will not buy any electric until I can travel from here in KY to my hometown in Michigan with-out worrying about getting stranded 60 miles from home with no power.

Audi is right in putting their ev back on the shelf.When the ev market ignites then they have a product that will kick tesla’s ass right from the get go.

Unlike the Tesla, the electric R8 should be a fully developed car if it goes into production, but until and unless the large battery it would need gets cheaper, I suspect Audi is making the right decision. Even the regular R8 is a very expensive toy, and the EV version would be even more expensive, and more of a toy.

It is sadly amusing that with all the technical advances in “energy” production, particularly with gasoline, the price just does not go down, and seems to be more sensitive to weather and plant maintenence issues today.

I would gladly get a Prius C with its 1.5 Atkinson cycle engine, the best engine for the Prius line for optimum gas mileage and just about the same size as the original Prius. #3 I thinks we’re much better off than Europe and Latin America, for example in the Dominican Republic, most people have given up their cars and gotten mopeds instead, the price of gas does not match their income.

Just felt some wind and light rain, but if you watch the local TV channels, you’d think the world was coming to an end and we will all drown or be blown away into the Bermuda triangle, BTW thenks for asking, I guess you have now become a snow bird for the winter?

Your question of Mary Barra, the head of General Motors Global Product Development was great, “Does GM have too many design Studios”?

There is too much waste and inefficieny in it’s management and organizational structure to really leverage there massive production capacity and purchasing power. GM should centralize design to North America with input from Europe, Asia and South America. I seem to remember that GM has 11 design studio’s around the world. This should be reduced to five North & South America, Europe, China and Austrailia (Holden). This would allow them to keep a pulse on consumer preferences in each of those markets.

I dislike that Chevy is attempting to offer a Daewoo inspired vehicle for North America in the Spark. GM North America will hopefully under Mary Barra leadership begin designing products suitable for North American market and around the world.

I also hope Mary Barra is not so in love with Muscle Cars as is Ed Welburn. Chevy is a “Value Brand” which should appeal to consumers around the world as a brand that produces reliable, sensible and affordable vehicles. Good Luck to Mary Barra!!!

I currently own a hybrid (2007 Camry) and would definitely buy another one (thinking seriously about the 2013 Fusion). The plug-in hybrid option interests me as well, but only if it’s a reasonable amount of money and doesn’t make too many other sacrifices (fuel tank size, cargo space, etc). Full electric is the way to go when they get all the bugs sorted out, have a longer range, and are priced better, but until then I don’t see it working for many people.

Too many design centres involving lots of employees and soon the end result is decisions made by committees. Doesn’t that ring familiar with GM in the past. I’ll bet a lot of people at Ford will shake their heads and say we went down that road too,once upon a time and then Mulally gave them a wake up call.

Got to hand it to Mulally and Company,they bit the bullet this week in Europe,the first to do so. Watch the rest of them do the same except GM,they crawled into bed with the Frenchmen.
 

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