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14 July 2008

Nardelli - Customer Advocate?

Chrysler CEO Robert Nardelli is on a mission to change Chrysler's culture.

Over the decades when Detroit's Big Three dominated the nation's auto market, Chrysler, General Motors Corp. and Ford Motor Co. often put their own priorities, like keeping their plants running at full capacity, ahead of satisfying customers. Now, Mr. Nardelli is trying to replace those old habits with some of the no-nonsense management principles that have fueled the success of General Electric Co., one of his former employers.

What are those principles?

300 executives at Chrysler are expected to turn off their BlackBerrys and begin three days of in-house management seminars aimed at putting customers first in all of Chrysler's operations. Mr. Nardelli himself is scheduled to lead a session on the corporate culture of a customer-driven company.

Mr. Nardelli had dozens of top Chrysler executives read "The Ice Cream Maker," a book by quality consultant Subir Chowdhury. He also named a chief customer officer.

It's all about the customer, right?  Those of us in the lean manufacturing world have known that all along.  But wait a minute... is this really the same Mr. Nardelli that had a less than stellar tenure at Home Depot thanks to alienating customers?

The company [Home Depot] started hiring more part-timers and added a salary cap that drove off the more seasoned workers. The retailer also moved about 40% of workers to overnight stocking positions, ostensibly to clear the aisles of clutter. But it left customers searching in vain for someone in an orange apron to ask about picking out the proper power tool.... Before long, the company had a morale problem. Instead of waiting eagerly on customers, workers too often would be found huddling in an aisle griping about management.

I guess I better get a copy of that ice cream book.  It must really be something.

Comments

"turn off their BlackBerrys and begin three days of in-house management seminars aimed at putting customers first in all of Chrysler's operations"...how about instead, they spend several days visiting dealers and talking to *actual* customers? And shopping at competitive dealers for competitive products?

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