General Motors to cut White Collar jobs 0
Hackett Group brought in to assist
General Motors are so determined to do so and cut costs that they have hired the Hackett Group, a management consultant group, to help identify the areas of what exactly needs to be cut. The company, who are based in Miami, have not been officially confirmed as being associated with General Motors for this particular project.
The Hackett Group will also supposedly help General Motors identify other areas where they may need some changes. General Motors are clearly intent of their staff efficiency clear up. Although as mentioned earlier Hackett have not been confirmed as the companies partner of choice, many trustworthy sources claim that they actually are.
Continuation of restructuring
The company received a tremendous $50 billion from taxpayers in 2009 during the global automotive crisis in order to keep going. They used the money to restructure the company. It seems as if they are not done just yet.
General Motors are looking to cut the specific “white collar” jobs under the engineering, finance, marketing, and information technology as well as product development departments.
General Motors are looking at ways of reducing needless costs in order to bring about better forecasts compared to rivals Ford and Hyundai.
Improve efficiency – Jay Cooney
An e-mail from Jay Cooney confirmed that there will be a cut in staff as General Motors looks to improve efficiency. His exact statement from the e-mail read “We are streamlining our business, looking for efficiencies, and to this extent, there will be some headcount reductions and it will be on a global basis. GM is continually seeking ways to improve our operating performance and reduce complexity to deliver a world- class cost structure and profit margins.”
Will it work?
Other sources claim that General Motors are working with a number of consulting companies in order to help remove needless “white collar” managers from the company. Will the removal of such staff increase efficiency, reduce costs and enhance profit margins? The American car giants are determined to become more competitive and sell more vehicles. Is this the right way to go about it?