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General Motors' U.S. 2003 Recall Numbers: A Bottomless Pit and a GM Defense?
Auto on Info March 2004
General Motors' U.S. 2003 Recall Numbers: A Bottomless Pit and a GM Defense?
Just when one might suspect that GM's quality descent into the netherworld has hit bottom, along come numbers that suggest not.
Detroit News reports that in 2003:
1. General Motors had 7,400,000 recalled vehicles,
2. Ford had 3,400,000 recalled vehicles,
3. Chrysler had 2,100,000 recalled vehicles,
4. Toyota had 212, 252 recalled vehicles.1
If the 2001 market shares of these manufacturers are used to adjust for the different sales volumes of these manufacturers and the resulting adjusted figures are divided by Toyota's figure, the final values give the number of times that the number of recalled vehicles by a manufacturer exceeded reasonable expectations, if the number of recalled Toyota vehicles is used to define reasonable expectations.
The following table provides these final values, rounded to the nearest whole number.
Manufacturer Approximate Number of Times that the Number of Recalled Vehicles Exceeded Reasonable Expectations* Toyota 1 Ford 7 Chrysler 8 General Motors 13 *Toyota's number of recalled vehicles is used here to define reasonable expectations. This means that GM's rate of recalled vehicles is 13 times reasonable expectation, if Toyota's excellence defines reasonable expectation.
GM's CEO's reported response to these numbers was, "What we have to do is put our nose down and keep working on it." It's a thought.
On the other hand, with these recalled vehicle numbers and ilk in hand, GM's attorneys might take to arguing, as a defense, that General Motors quality depths are so well documented and so well known that every plaintiff GM consumer knew or should have known that what he was purchasing was abject junk. As a juror, would you buy it?
1"'03 Vehicle Recalls Hit 19.5 Million," Detroit News, at http://www.detnews.com/2004/autosinsider/0403/07/d01-83907.htm
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Ed Lit for Management The Toyota Way: 14 Management Principles From The World's Greatest Manufacturer December 17, 2003, McGraw-Hill Implementing World Class Manufacturing - Shop Floor Manual ![]()
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Juran on Quality by Design : The New Steps for Planning Quality into Goods and Services ![]()
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