Logistics Is GM Biggest Challenge Right Now, Says Mary Barra
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Ever since the COVID-19 pandemic swept across the globe – and brought along the ensuing supply chain issues and shortages – logistics have become increasing difficult for automakers to navigate. Now, GM Chair and CEO Mary Barra has stated that logistics remains General Motors’ biggest difficulty at the moment.
During an interview, Barra commented that vehicle logistics is the biggest challenge GM currently faces. Despite having a plethora of vehicles built and ready to go, Barra stated that it’s difficult to field enough commercial trucks and railways to facility delivery to dealerships.
It’s worth noting that Barra also mentioned the need to build factories closer to the aforementioned trucks and railways.
This recent development follows previous coverage from GM Authority that the Detroit-based automaker has been cutting back on its production plans in response to a rail car shortage. In fact, some estimates show that there are approximately 70,000 new vehicles waiting to be shipped to dealers. Other reports indicate that there are thousands of units of the Chevy Silverado and GMC Sierra in limbo near the GM Fort Wayne plant in Indiana.
Notably, this shortage could have impacts beyond the automotive industry, as food and grain deliveries have been affected as well.
In an effort to help alleviate this logistics problem, General Motors has been taking actions into its own hands as of late. As GM Authority reported back in January 2023, The General announced at a dealer representatives meeting that it was considering buying 400 heavy-duty trucks that its employees could then use to deliver finished vehicles directly to dealerships.
With the Detroit-based automaker expecting to recover to full production capacity by the end of the year, a move like this would help to alleviate logistics challenges until the commercial trucking and railway systems are able to recover.
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The biggest challenge is the lack of leadership.
GM stock price has stagnated since the IPO over ten years ago.
The biggest thing mary had done is cut jobs and offshore products.
Mary tell us what we’ve all known for more than 2 years. Wife & I have owned several GM/mostly F-body cars since 1980 & now they’re killing the only style car (Camaro) that my wife will drive. Our 2002 TransAm purchase was quick decision as they were ending the line that year. Now that we’ve retired, planned for 2 vehicle purchases, but of course the great virus intervened circa 2020. End of 2021 place order for 2022 Camaro which wasn’t delivered for 9 months, & from some situations I’ve seen, others are waiting far longer. I looked/priced both Tahoes & Acadias but ended up going with a 4Runner which was available. So GM & the people running it had better hope the younger generations are happy with the way they do business now, as lots of us older ones miss the way business used to be run by satisfying the customer.
The equinox we’re interested in and was made an sittings in Mexico since October 2022. We ordered it in April 2023 and here it is July 2023 and it’s still in Mexico. All we hear is “logistics”.
China owns controlling interest in GM.
They’re motto is, WE COULD CARE LESS.
You can thank bill Clinton and democrats for that.
America needs POLITICAL CLIMATE CHANGE.
I have leased 2 vehicles with GM for the past 5 years and I have been looking to Re-Lease since one of my cars is in an extension. Every dealership I visit, they say one thing online, but when I get there, they tell me they don’t have the vehicle I saw online and tries to offer me a fully loaded S.U.V. $200 more a month than than what I use to pay and each dealership gives me the same run around. Each dealership states they are in short supply.
My 2024 GMC Terrain was built on July 3 and shortly after the dealership said it was waiting for shipping and as of now it shows up as delayed and they have no clue why it’s delayed. It’s now been built for almost 3 months and it shouldn’t take that long to be delivered to customer.
Someone is dropping the ball at GM. Other manufacturers do not seem to have delivery issues. The trucks are all contractors and they go to who
Pays the most!
Lordstown made the most affordable cars the cavalier, cobalt and cruze. They had 3 shifts and 7 days a week. You could buy a cavailer from $8,999 up tp $16,000 and we sold every one we could get our hands on. Now the lowest price vehicles the trax, envista start at $22,000-$23,000. The trailblazer and encroe gx start around $24,000-$27,000. All of them are made in Korea and even take longer logistically to arrive and have no unions to deal with. You would think the union with current strike woud rahter add US jobs, gain more mebership, and make US auto market great again! Its time for Mary to go!
You can thank the democrats for ALL America’s FAILURE