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I’m not sure that narrative on “forgetting how to build quality cars” is fair. Germany and Japan introduced a lot of new technologies and processes that would n
by edmundsauto 3y ago
I’m not sure that narrative on “forgetting how to build quality cars” is fair. Germany and Japan introduced a lot of new technologies and processes that would naturally be a little rocky from time to time. It is the nature of immature services.
Once those matured, the new stuff quickly caught up. But it needed time.
What makes you think it was the increase in executive or shareholder comp that caused the degradation in quality? Do we even know if there was a degradation between a 1960 ford and 1985, or is it because the Japanese and German automakers raised our standards?
This is a situation where a lot of narratives fit the evidence.
- mildchalupa 3y agoHere's an example, before WWII brake lines were made out of Monel, a corrosion proof material aside from galvanic. Nickel and copper being expensive and needed elsewhere the lines were made then made from painted steel. After the war steel lines became the standard. The cost difference is small but it's indicative of a larger issue of disposability. One of the reasons Japanese vehicles started to dominate was that they lasted longer. This is due to better tolerances, more efficient engines, and more robust component design. The Toyota production method, lean and just-in-time were mostly methods for rationalizing better systems to eliminate waste within production and to minimize inventory. Such methods don't inherently make a better car though they leave more io the table to spend on coatings, quality parts etc.
- zer00eyz 3y agoJapan, Toyota Production System (TPS) is a merger of culture and the work of William Edwards Deming. https://en.wikipedia.org/wiki/W._Edwards_Deming https://en.wikipedia.org/wiki/W._Edwards_Deming The wiki has this line that sums it all up perfectly: In 1982, Deming's book Quality, Productivity, and Competitive Position was published by the MIT Center for Advanced Engineering, and was renamed Out of the Crisis in 1986. In it, he offers a theory of management based on his famous 14 Points for Management. Management's failure to plan for the future brings about loss of market, which brings about loss of jobs. Management must be judged not only by the quarterly dividend, but also by innovative plans to stay in business, protect investment, ensure future dividends, and provide more jobs through improved products and services. "Long-term commitment to new learning and new philosophy is required of any management that seeks transformation. The timid and the fainthearted, and the people that expect quick results, are doomed to disappointment."
- wombatpm 3y agoHaving owned a 72 Vega and a 79 Mustang the quality drop off from earlier vehicles was obvious. No one is collecting late 70’s mustangs. No one is restoring Chevy Vegas. American car companies made crap cars and didn’t care until it was too late. I refer you to the movie Roger & Me.
- dreamcompiler 3y ago> Do we even know if there was a degradation between a 1960 ford and 1985, or is it because the Japanese and German automakers raised our standards? I know because I've driven cars from both eras. GM and Ford cars from the late 50s required a lot of maintenance by modern standards and they guzzled gas and they would kill you if you had a crash in one. But they were built like battle tanks: Lots of steel; very little plastic. By the end of the 1970s, US cars were built mostly out of plastic. The issue was not that they required more maintenance. The issue was that they fell to pieces on the highway. If you left one sitting in the sun for a year, it would turn into dust. They were utter, unrepairable crap.