Sunday, April 27, 2008

The Boat has a Leak

The Boating Party Lunch_Pierre-Auguste Renoir


(OK, there were two rowers so sue me, see below)


Someone sent me this in an email the other day and I thought this to be appropriate for discussion here. This is exactly what needs to be discussed.

MODERN PARABLE . . . . .

A Japanese company ( Toyota ) and an American company (Ford) decided to
have a canoe race on the Missouri River . Both teams practiced long and
hard to reach their peak performance before the race.

On the big day, the Japanese won by a mile.

The Americans, very discouraged and depressed, decided to investigate
the reason for the crushing defeat. A management team made up of senior
management was formed to investigate and recommend appropriate action.

Their conclusion was the Japanese had 8 people rowing and 1 person
steering, while the American team had 8 people steering and 1 person rowing.

Feeling a deeper study was in order, American management hired a
consulting company and paid them a large amount of money for a second
opinion. They advised, of course, that too many people were steering the boat,
while not enough people were rowing.

Not sure of how to utilize that information, but wanting to prevent
another loss to the Japanese, the rowing team's management structure was
totally reorganized to 4 steering supervisors, 3 area steering
superintendents, and 1 assistant superintendent steering manager.

They also implemented a new performance system that would give the 1
person rowing the boat greater incentive to work harder. It was called the
'Rowing Team Quality First Program,' with meetings, dinners, and free pens
for the rower. There was discussion of getting new paddles, canoes, and
other equipment, extra vacation days for practices and bonuses.

The next year the Japanese won by two miles.

Humiliated, the American management laid off the rower for poor
performance, halted development of a new canoe, sold the paddles, and
canceled all capital investments for new equipment. The money saved was
distributed to the Senior Executives as bonuses and the next year's racing
team was out-sourced to India .

Sadly, The End.

Here's something else to think about:
Ford has spent the last thirty years moving all its factories out of the
US , claiming they can't make money paying American wages.

TOYOTA has spent the last thirty years building more than a dozen plants
inside the US . The last quarter's results:

TOYOTA makes 4 billion in profits while Ford racked up 9 billion in
losses.

Ford folks are still scratching their heads.

7 comments:

Marie's Two Cents said...

Jenn,

I got another one for you.

Orek Vacums. (I think that's how you spell it)

It's advertised on TV all the time.

If they still sell Kirby Vacums I used to sell those when I was a kid and they were totally American Made.

J_G said...

Yup Marie, the upright Oreck XL is made in the USA along with some commerical floor scrubbing systems. Their canister vacs are; you guessed it, Made in China.

I used to have a Kirby vac that I got from my Grandmother. It got stolen in one of my moves. After my Grandmother gave it to me I took it to the shop and had a new belt put on it and fix the electric cord. Then when I was in the middle of my move from Armore, PA I left it out on the street for a few momnets while I went back in the house someone took it.

Kirby is still manufactured in Cleveland and Andrews Texas it is another company that Berkshire Hathaway owns a portion of.

American One said...

You might want to check out Metropolitan Vacuums - they are US-made and available at BuyAmerican.com (www.buyamericanmart.com) along with 4,000+ other products from 250+ American manufacturers!

All American One

J_G said...

Thanks American one, I'll check that link out.

R2K said...

: )

The WordSmith from Nantucket said...

Great story, J_g!

Here's something else to think about:
Ford has spent the last thirty years moving all its factories out of the
US , claiming they can't make money paying American wages.

TOYOTA has spent the last thirty years building more than a dozen plants
inside the US .


Are there any laws or special taxes on Ford that makes it more difficult for them to turn a profit? What is the incentive to keep plants within the U.S., other than a sense of American made patriotism, if their profit is less than what they could be making by outsourcing?

And don't we actually insource significantly more than we outsource? As you pointed out, Toyota has been building plants within the U.S., which provides jobs for American workers.

walkermom4 said...

Go USA....check out madeinusaflags.com all products listed are made in the USA.