WHAT WILL HAPPEN TO CHRYSLER NOW
 

[:o]WHAT WILL HAPPEN TO CHRYSLER AND WORSE THE CHALLENGER NOW??..A very sad day today in the news as we heard that Robert Nardelli was made CEO of Chrysler. Would this be the same Nardelli that was overlooked for promotion at GE when Jack Welsh retired? Then Home Depot Hired Mr Nardelli and in my opinion proceeded to take HD.s stock down the tubes and change the whole idea of HOME DEPOT and I know this because I've worked their for 6 years and have seen all the changes that now make it hard to get help or shop in thier stores. Then he decides to leave and takes Home Depot for $millions because of the stock options and pay plan esentially ripping them off. I personally think Home Depot was glad to see him go . And now we have him at Chrysler Corp. Does he know anything about cars? Why and how did he hurt Home Depot? Why , when he was second in command at GE was he not promoted to Jack Welsh's position at the top of GE ? They must have seen or known somthing! Now He'll turn Chrysler Corp over to the bean counters so he can save big money by cutting,, god only knows in the many ways, so he can get a big pay raise and lots of$millions in stock options and then leave for another company. Will he cut the challenger? Will he put cheap material in them? Will he cut workers so less can be made? Lets keep a close eye on him and whats going on at Chrysler. I know I will.

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RE: WHAT WILL HAPPEN TO CHRYSLER NOW
 

Of course, he needs to make his millions of dollars bonus. And to save, send more work out of the nation, losing American jobs.

RE: WHAT WILL HAPPEN TO CHRYSLER NOW
 

Home Depot's sales and store numbers went through the roof under this guy, but then the stock price started falling. My guess is the stock price went into a bubble probably, and when it burst investors were angry, and suddenly his compensation package was the media's main focus. That probably put pressure on the Home Depot board to oust him. In order for the investment group's investment to pay off they need to grow revenue and earnings (profit). Tough to do with Japanese competition, considering they have no unions and no mega executive compensation packages like we do. But this guy may be one of the best out there, or they wouldn't have hired him. He needs to push back on the unions, and improve product quality and marketing. If he can do these things, he wins. I heard his annual salary is $1, and the rest of his compensation is a combo of bonus and stock options. Stock options will work for him if the stock goes up, but I wonder what his bonus is tied to; probably revenue, costs, etc., etc. I hope he doesn't go after costs that affect product quality! He needs to go the opposite direction on that piece. I think a few employees may suffer from his changes, product quality will improve, and lifestyle marketing will improve. He'll probably get what he wants, if the unions let him. And above all... I hope he doesn't negatively affect the Challenger in any way!!

RE: WHAT WILL HAPPEN TO CHRYSLER NOW
 

An article I read said that Cerberus is a bunch of ruthless bean counters too. So maybe that's why they hired a person like Nardelli. He's like them, basically. I have to admit that ruthless bean counting is important in business, but giving the customers what they want is also critical. I've heard some of the greatest businessmen in the world say that making money is secondary to serving others well. They say if you do a good job for your customers, the money will follow.

On the plus side, they know that the Dodge Challenger is extremely important for them, so hopefully they'll be too afraid to mess it up by lowering quality.

RE: WHAT WILL HAPPEN TO CHRYSLER NOW
 

For what its worth I think all of your threads contain extremely valid points. But as an employee, I welcome new blood.

Here's why...

Although the Challenger is an awesome car, on its own it can never really have a major impact on profit/loss.

The current managment seems focused on neons and calibers that dont really get good gas milage and never had the sales every manufacturer hopes for.

Although many of us want a 525hp 6.4 litre Challenger on the weekends, most of america seems to want 40 mpg plus during the week! Why do I say this? The camry's, accord's and prius's speak for themselves!

So I hope someone from Cerebus takes a photo of a camry and an accord and tapes it to the office wall in the design department and says give us this before it's too late!

RE: WHAT WILL HAPPEN TO CHRYSLER NOW
 

The biggest loss to Chrysler is the retirement benefits and medical packages that they have given to their employees. Also $75.00 an hour assembly line wages added on can't help the bottom line. Our Auto Corps. need to be redone. I say move down south and start assembly here. Toyota does it in Tenn. and it is non-union. The price they are paid you ask? Hourly rate assembly worker $45.00. Not too shabby. So with the unions they will continue to struggle and with an aging work force, medical bills will continue to climb. The reason for the slide towards Canada for assembly is the socialized medicine. So the time has come for the big three to look at other areas to build their cars or put an end to the unions. OR they will go the way of the dinosaur[&o]

RE: WHAT WILL HAPPEN TO CHRYSLER NOW
 

Lear,
Canadian assembly plants only help canada, not America! We should make every attempt to build a stronger America, not a stronger Canada...or worse, Japan!

As far as union wages, for now the big three ARE at a disadvantage... mostly due to retirees. Our foreign foes will soon deal with this as their work force ages. Although we certainly need to streamline for profitability, let's not forget a very important fact. Union wages sets the standard for Americas non union wages.

How can we make our American manufacturers more profitable?
1) Build cars that people want to buy! We need a Camry, Accord and Prius!
2) Stop rewarding poor performance! Eaton and Lutz took over 7 billion dollars in compensation from the company when they sold us to Dailmer. We have not heard what the Germans are getting yet. Where's our dependable, good gas milage daily drivers?
3) We union workers DO get paid a great wage. We should have to work hard and efficiently for it!

Cerebus has chosen a new leader that has most of his pay based on performance goals. I hope this sends a message to GM and Ford!

Our Amercian creativity and tenacity offords us an extreme advantage over our foreign competitors despite wages, medical and retirement benefits. If we can break the cycle of corporate greed and go back to the days of a days pay for a days work, higher profits seem easier than ever!

RE: WHAT WILL HAPPEN TO CHRYSLER NOW
 

hpjunky, you got some good points but I think new management should put down the gauntlet to the design teams and say make a car with excellent gas mileage and make it look like a slick MOPAR product. The Big Three have spent way too many years trying to make Japanese looking cars. If someone wants a Camry they will buy a Camry. Make a distinctively American style of car that doesn't have to look like the ole bland K Car.

It is an uphill battle though considering American cars have been closing the gap in quality over the years but public perception is still lagging.

RE: WHAT WILL HAPPEN TO CHRYSLER NOW
 

Hmmmm, I wonder how much he,s paying you for that glowing report? The stock only went high once in 1999 into the beginning of 2000 it went to a high of $67 per shre and it has seen $40 per share since and thats all Nardellis fault I'm sorry to say.

RE: WHAT WILL HAPPEN TO CHRYSLER NOW
 

Alright this is getting out of hand. fatcat, I recommend you read this. https://dodgechallenger.com/forums/m_14967/tm.htm

Here this now, THE CHALLENGER IS GOING TO BE PRODUCED! Stop using scare tactics and accusing people of being paid off since they are optimistic and disagree with your viewpoint. I'm not crazy about this guy being put in charge, but there is no point in getting everyone in a panic about the Challenger not being produced. The fact of the matter is, Daimler was one of the worst things to ever happen to Chrysler. After seeing what they did to Chrysler, I'm willing to take my chances with this guy. Chrysler hasn't had a good leader since Iacoca, yet they are still in existance.

The solution to Chrysler's problem is investing more into their less expensive models and in their powertrains. The powertrains part is taking place. They are building a whole new line of engines that sound innovative. They are working on transmissions that sound like a large step up from anything else in the market. Economy cars are important; however, they are not the lifeblood of the company. The Prius could give Toyota some big headaches some day due to potential problems with hybrid systems. The Avenger and Sebring need better interiors, lose the 4-speeds for the 6-speeds, in the meantime use the best V6s avalible (3.5 L.O. in the SXT and the 4.0L in the R/T), use the right gearing for better fuel economy. Expand the use of diesels from just trucks to all models. Using their own technology in future models (stop using technology from Mercedes, Mitsubishi, Hyundai, Chery, Nissan, etc.).

The unions are an issue as well. A socialized health care system is not the answer however, but I'll save that for a future topic. Building the right models, is the solution and that means quite making gimmick models (Caliber, Compass, Patriot, etc.).

Also, this section is about the Challenger, not about general Chrysler issues; therefore, I'm sending this to the Off Topic section.