Why the Detroit Three should merge their engine operations

[RSS Robot]

Filed under: Plants/Manufacturing, Chrysler, Ford, GM
Industry expert John McElroy suggests that Ford, GM, and Fiat-Chrysler should merge their powertrain operations. Heresy? Maybe. But hear him out.Continue reading Why the Detroit Three should merge their engine operations
Why the Detroit Three should merge their engine operations originally appeared on Autoblog on Mon, 21 Dec 2015 19:16:00 EST. Please see our terms for use of feeds.


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[simplyconnected]

This is part of the Final Line where all the fluids (brakes, A/C, Radiator and Windshield Washers) are evacuated, then filled. The whole process takes under one minute. - Dave

[Yadkin]

That's a terrible idea. The reason engines are so good is that the engineers that design them, and the builders that build them, are competitive, and want to one-up the other guys.

[Joe Johnston]

Only a bean counter could come up with an idea like that! Certainly not an engineer or a car enthusiast of any sort.

[simplyconnected]

It will never fly... who will get the huge service parts sales?

[DKheld]

Must be in the UK with that long European front plate holder.

Problem is - bean counters rule!
When was the last time you heard a manufacturer say - naa we'll do it this way cause it costs more.

No doubt this suggestion will send purists into convulsions, but so be it - yep.

The "forming a new power train supply company" theory sounds to me like it's already in the planning stages.

Something else that sounds like it's already being looked at hard with the latest trendy words for layoffs included.....

"Automakers will need fewer factories in the next couple of decades. So merging those powertrain operations now would provide a smoother transition to right-sizing and downsizing. A kinder, gentler chop of the axe, if you will."

Peeps are different now too - as they mentioned 85 percent of car buyers don't care where the engine or tranny is made as long as it's reliable. The new thing will be how much HP you can hack out of the software rather than Ford or Dodge has the most.

Heck - my Ranger engine was made in Germany and the Transmission in France so if we keep a power train company in the US - yay! (of course that won't happen).

Isn't that how GM operated? Re-badging parts to make a new brand?

It'll happen - may be 5-10 years though.

My 1.5 cents.

Eric

[Yadkin]

Wasn't it the USSR that had one car manufacturer? How did that turn out.

[simplyconnected]

I'm sure it turned out as well as British Leyland Motor Corporation Ltd.

[Yadkin]

Just think of all the cork that could have been saved.