EXECUTIVE SUMMARY
Between 1982 – 2009, the birth of an idea to design a revolutionary new compact vehicle in the United States was brought to fruition by General Motors. The project was named “Saturn”. This idea was formed by an internal group of privately employee-owned company. General Motors purchased the idea and announced it November 1983.
In the mid-1980s, GENERAL MOTORS released the Saturn Concept Car. In 2009, the company was dissolved.
Contents
Executive Summary 0
Contents 1
The Saturn Story 2
What Motivated General Motors 2
Manufacturing Strategy and Innovation 2
The Evolution of Saturn 3
Product and Service Strategy 5
Key Successes and Achievements 5
Major Disappointments and Challenges 6
THE SATURN
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The manufacturing strategy was innovative, the use of automation and introduction of the just-in-time methodology was to increase efficiencies and decrease waste. The concept was to create all parts in house, which would reduce cost. Professor David Cole. Director of the Office of the Study of Automotive Transportation at the University of Michigan, research estimated one of the key manufacturing success factors if achievable was reducing the time to produce a single vehicle. His predictions would have reduced the current General Motor’s labor hours by 85% and their competitors by 70%. This innovation would have been groundbreaking not only giving General Motors a competitive advantage but enough products to meet required quota for financial …show more content…
It was designed for efficiencies by a core team of employees, to reduce time away from stations, there was strategic placement of parking lots to eliminate more than a five-minute walk and loading docks to ensure delivery directly to work areas.
THE EVOLUTION OF SATURN From 1982 to 2009, Saturn experienced some early successes but General Motors made some decisions that would change the trajectory of the company.
1982 GENERAL MOTORS establishes a small car study named after the rocket that carried Americans to the moon.
1983 GENERAL MOTORS chairman Roger Smith announces plans to create a subcompact import fighter.
1984 The first Saturn prototype is completed.
1985 Saturn Corporation is incorporated as a GENERAL MOTORS subsidiary and Spring Hill, Tennessee, is chosen as a plant site. Joseph Sanchez dies three weeks after he’s named Saturn’s first
The automaker Chevrolet has experienced much technological change in the past 104 years. Although it, Chevrolet, is a French name, it is an American car company. It was primarily founded by William C, Durant, along with Louis Chevrolet, on November 3, 1911. It wasn’t until six years of existence that it became part of the Automotive Division at General Motors, otherwise known as GM. Durant had previously tried to buy out Ford and failed. This caused him to resort to co-founding Chevrolet. The first car sold by the company commonly called Chevy was the Classic Six, at the price of 2,500 dollars. Chevy started producing these vehicles in 1912-1913. The car’s value may seem like pocket change but that is the common day equivalent of roughly 57,000
Entering the 1950s, no corporation even came close to General Motors in its size, or it's profits. GM was twice as big as the second biggest company in the world, Standard Oil of New Jersey (father of today's Exxon Mobil), and had a vast diversity of businesses ranging from home appliances to providing insurance and building Buicks, Cadillacs, Chevys, GMCs, Oldsmobiles, Pontiacs and trains. It was so big that it made more than half the cars sold in the United States and the U.S. Department of Justice's antitrust division was threatening to break it up(to prevent Monopolies, Like how Standard oil was broken up). In the 21st century, it's almost hard to imagine how powerful GM was in the 50s and 60s. Sports cars from Europe were getting popular, because of servicemen coming back from WWII, and wanted sports cars, but American Automakers didn't make sports cars, so they would either buy foreign, or go without. A man named McLean would still try to make a low priced sports car. But it didn't work. The idea of a car coming from GM that could compete with Jaguar, MG or Triumph was pretty much considered stupid and insane. C1:Generation: Bad but valuable. Just 300 Corvettes were made in 1953. Each of these first-year Corvettes was a white roadster with red interior. The Corvette was made of fiberglass for light weight, but the first cars were made with a really weak, (and kind of pathetic for a “sports car”) 150 horsepower 6-cylinder engine and an automatic transmission. The result was more of a look at me, I’m rich car than a race car. The first generation of the Corvette was introduced late in 1953. It was originally designed as a show car for GM's traveling car show, Motorama, the Corvette was a Show Car for the 1953 Motorama display...
Every so often a man or women has an idea that is innovative, amazing or in some cases far ahead of its time. Unfortunately it is far too common that these ideas are lost or stifled by people who are afraid of the change they may bring. Since people also tend to believe if something seems too good to be true it probably is, these ideas may not get enough good attention until it is too late. Preston Tucker was one of these innovative people with a great idea. In 1944 he began work on a car that was safe, reliable, and groundbreaking. So far ahead of its time it made the wrong people nervous. The car was first christened as the Tucker Torpedo but due to concerns over torpedo not sounding safe, it was changed to the Tucker 1948. These amazing cars turned out to be one of the most revolutionary automobiles ever made and would have remained so if it weren’t for a slander campaign by the United States government.
the famed Model T in 1908. When Ford began putting the mass-produced cars on the market, they could offer their. cars for so much less than their competition that the co etition had to upgrade the features of their cars drastically. just to compete with them. Eventually, other car companies also. began to use assembly lines.
Henry Ford realized his dream of producing an automobile that was reasonably priced, reliable, and efficient with the introduction of the Model T in 1908. (XXXX) “This vehicle initiated a new era in personal transportation. It was easy to operate, maintain, and handle on rough roads, immediately becoming a huge success.
A more recent working prototype was built by Herman Wouk's brother Victor Wouk (known as the Godfather of the Hybrid[2]) into a 1972 Buick Skylark provided by GM for the 1970 Federal Clean Car Incentive Program, but the program was killed by the...
The first automobile produced for the masses in the US was the three-horsepower, curved-dash Oldsmobile; 425 of them were sold in 1901 and 5,000 in 1904--this model is still prized by collectors. The firm prospered, and it was noted by others, and, from 1904 to 1908, 241 automobile-manufacturing firms went into business in the United States. One of these was the Ford Motor Company which was organized in June 1903, and sold its first car on the following July 23. The company produced 1,700 cars during its first ...
Starting in the late 1700’s, European engineers began messing with motor powered vehicles. By the mid 1800’s, steam, combustion, and electrical motors had all been attempted. By the 1900’s it wasn’t very clear on which type of engine would really power the automobile. At that time, electric cars were the most popular but there were no batteries at that time that would allow a car to move very fast or a long distance. Commercial production in the United States began at the beginning of the 1900’s. In the early 1900’s, the United States had about two thousand firms producing one or more cars.
Independent automakers such as Auburn, Hudson, Nash, and Studebaker served a focused market, catering to small car drivers, not covered by the "Big Three" makers: Ford, General Motors, and Chrysler. Many of these independent automakers saw their last days during the Great Depression. After World War II, there was just a handful left.
Henry Ford originally intended the Model T to be the “farmer’s car.” But in order to make a car that was financially available to the common man, Ford needed an industrial revolution that would allow him to produce numerous automobiles at an inexpensive price. He succeeded in doing so by implementing his innovative assembly line and specialized labor for the production of the Ford Model T. By the 1920s, car manufacturing exploded due to Ford’s cheap and simplistic methods of production causing prices to drop significantly and allowing the Model T to fit within the average ...
In 1903 the Ford Motor Company came to be. Ford, along with other investors including John and Horace Dodge raised $28,000 and in the first 15 months produced 1700 Model A cars. These cars were known for their reliability, yet were still too expensive for the average American. Over the next five years Ford and his engineers produced models with the letters B through S, the most successful of which was the Model N (priced at $500) , and the least successful was the Model K (priced at $2500). It was obvious from the Model N that the key to the companies success lay in inexpensive cars for a mass market. The answer that Ford and the American consumer were looking for was the Model T.
Ford’s production plants rely on very high-tech computers and automated assembly. It takes a significant financial investment and time to reconfigure a production plant after a vehicle model is setup for assembly. Ford has made this mistake in the past and surprisingly hasn’t learned the valuable lesson as evidence from the hybrid revolution their missing out on today. Between 1927 and 1928, Ford set in motion their “1928 Plan” of establishing worldwide operations. Unfortunately, the strategic plan didn’t account for economic factors in Europe driving the demand for smaller vehicles. Henry Ford established plants in Europe for the larger North American model A. Their market share in 1929 was 5.7% in England and 7.2% in France (Dassbach, 1988). Economic changes can wreak havoc on a corporation’s bottom line and profitability as well as their brand.
When you look at the history of General Motors, you will find a long, rich heritage. General Motors came into existence in 1908 when it was founded by William "Billy" Durant. At that time Buick Motor Company was a member of GM. over the years GM would acquire more than 20 companies, to include Opel, Chevrolet, Cadillac, Pontiac, and Oldsmobile. By the 1960's through 1979 was known as a revolution period for General Motors. Everyone was focusing on environmental concerns, increased prices of gasoline lead to the unprecedented downsizing of vehicles. The smaller cars lead to one the largest re-engineering program ever taken in the industry. By 1973, General Motors was the first to offer an air bag in a production car.
This paper takes a look at the ways in which the ideas of Fordism and Taylorism helped the success of the U.S motor vehicle industry. The motor vehicle industry has changed the fundamental ideas on the process of manufacturing and probably more expressively on how humans work together to create value.
Saturn's sales are down, and market share needs to be increased. Also, the product line is too narrow. Current advertising is targeting the younger population, but the average age of a Saturn buyer is 43. Saturn's initial focus on employee relationships seems to be fading as demonstrated with the clash between GM designers in Europe and the U.S. on the L-Series car. In addition, overall styling of the vehicles needs to be addressed.