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Car accident

Chrysler just hired Bob Nardelli, the CEO who ran Home Depot into the ground while making gazillions for himself. He was well-known as a tyrant, and I knew an employee communication person there who said "tyrant" was too kind. Remember "Chainsaw Al" Dunlap? Next to Nardelli, he was Mister Rogers.

Even a kind reviewer on CNN Money today said, "where Nardelli was weakest was in dealing with the regular folks at Home Depot ..."

Oh: And Nardelli knows nothing about the car business.

What was Chrysler thinking? Judging by its business results, Chrysler hasn't done any thinking since Lee Iaccoca left about two decades ago.

I'll watch this, like the car accident it is, with my hands over my face. You heard it here first: By the time Nardelli is done, Chrysler will be totaled.

Comments (7)

If anyone has any explanation, any at all, for why bad people, executives, managers, rank-and-file, known to be bad are hired and/or kept, I'd like to hear it. I'd really like to hear it. (Well, read it.)

In this case, Diane, it must be sheer desperation: We've tried everything else to make this china shop profitable. At this point, we might as well bring in a bull.

Why not bring in someone competent? It's one thing if he can't get along with anyone but it doesn't sound like he brings much else.

This Wall Street Journal article points to a familiar culprit: The cult of General Electric, where Nardelli cut his teeth.

http://online.wsj.com/article/SB118636224931188685.html

When I was doing consulting a few years ago, it became clear to me that the best way to sell any recommendation to management was to find a Jack Welch quote to back it up.

Of course I favored e.e. cummings quotes, which is why I ain't in consulting no more.

"I am very excited to be part of a team focused on re-establishing Chrysler as a standalone industry leader, with a renewed focus on meeting the needs of customers," Mr. Nardelli said in a statement. "Chrysler has many deeply talented and dedicated people, and I am confident that together we can continue the momentum of Chrysler's recovery and return this great American icon to a path for global growth and competitiveness."

Clearly written in the bowels of a harried PR department using boilerplate. I've seen a virtually identical quote a hundred times. I think I'd faint if a genuine executive quote ever surfaced.

I would love to know what employees are thinking about all this right now. How are they being communicated to? How is that communication being received? What is morale like? etc.

My company hired a new CEO last summer. He has a proven track record in our industry (retail) and was clearly the right choice for our company. Within two days of starting, he had spoken to all of our corporate office employees (1,200) at a series of six "meet and greets" so that everyone could get to know him.

While he obviously couldn't visit all of our 1,000+ stores, he started on a store tour right away, sent messages to all employees via our daily electronic communications, and participated in a "holiday product preview" video so that all employees could see and hear him. He has continued to speak to our corporate office employees at meetings far, far more often than the previous CEO did and initiates communication to all employees pretty regularly.

Did we do everything perfectly to support his arrival? No, probably not. But I think we've done a great job, and it shows - morale seems to be up, and employees are clearly energized after hearing him speak, and are willing to give him the benefit of the doubt for now. (We're still in the "stabilization before improvement" phase of a turnaround.)

Sounds like he's a good guy, Andrea, and it sounds like you helped him get off to a great start.

The best thing the Chrysler communicators can do is to try to keep it a secret that Nardelli is the new CEO. Cover up, stonewall. "What new CEO? Oh yeah, like we would hire BOB NARDELLI to the be CEO! When pigs fly!"

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