For my readers who read my blogs several years back, you all know how I said (over and over) that General Motors was being run by morons. Well the truth of the stupidity of Rock Wagoner (CEO) and his executive team now comes out in a book by Steve Rattner the auto czar that was appointed by President Obama to get GM straight after our government gave them billions of our tax dollars to save the company. In 2002 I witnessed first hand how dumb Larry Burns the vice president of research and strategic planning at GM was. He presented a paper at a conference on hydrogen fuel cells. He presented data that violated the laws of thermodynamics and showed data that his production of hydrogen had more energy leaving the system than was entering the system as natural gas. I pointed out his error to him a fax I sent him. The idiot responded in an email to me that his brilliant understudy one Byron McCormick the head of the fuel cell program at GM had given him the calculation. I exchanged several emails with Byron to explain the mistake in his calculations and of course he never retracted the false claims as GM was receiving a slew of money from Sam The Sham Badman the then Energy Secretary for President Bush (GW). A first year chemical engineering student studying Thermodynamics would not have made the basic error that the head of fool cells at GM had made. I predicted back in 2002 that GM was doomed as it was being run by thermodynamic idiots.
Here is an article that appeared today on CNBC about Rattner and his disdain for the stupidity and sheer incompetence at the top of GM when he had to save the company from its own management.
Rattner's Book Shows Ghosn Could Have Had It All
Published: Friday, 3 Sep 2010 | 10:29 AM ET Text Size
By: Phil LeBeau
As advance copies of former Auto Czar Steve Rattner's book start to filter around, one of the more intriguing nuggets is the story surrounding the interest Rattner had in Renault-Nissan CEO Carlos Ghosn. In his book Rattner says he offered the GM CEO position to Ghosn, but the Renault-Nissan boss politely declined. That offer and rejection says a lot about both Rattner and Ghosn.
For Rattner its yet another example showing that he and the auto task force had little use for Rick Wagoner, Fritz Henderson, or many of the other GM executives. This is not the first time we've heard this. Rattner and his team concluded early on the only way to re-make and save GM would be booting out the old guard with old views of the auto business. It speaks to the reason they brought in Ed Whitacre Jr. as chairman. They wanted and got fresh blood that would eventually purge a lot of the old GM leadership.
As for Ghosn, the story shows his desire to add GM in a Nissan-Renault alliance was more important than the chance to run GM by itself. And in fact, Rattner's book says that when Ghosn turned down the GM CEO offer he indicated he wanted GM to join his alliance. Some might find this baffling. I don't. Ghosn has instilled a culture in Renault-Nissan that he wants and believes in. Why would he give that up to go through the long road of gutting and changing GM?
Ultimately Steve Rattner trying to lure Ghosn confirms what we suspected at the time and what we know to be true now. The White House was hell bent on re-making the GM leadership with aggressive executives who would take advantage of the lifeline that had been thrown to the auto maker.