Recently Transportation Secretary Ray LaHood called FIAT and Chrysler Group CEO Sergio Marchionne the "next generation of Lee Iacocca" in a bold statement probably intended more to boost confidence in government-bailed out Chrysler than as a statement of fact. But does Chrysler really want, or need, another Lee Iacocca?
Following is a post made by Curtis Redgap on the
Allpar.com forum earlier this week:
http://www.allpar.com/forums/index.php?showtopic=118847&view=findpost&p=1093144Of course, upon his arrival, he was surely within his element, cutting
people, streamlining operations, making nearly unlimited power
decisions, needling congress for a bailout, and smoosing the
administration to help him get the bailout money. He often complained
about having to fire 24 different Vice Presidents of Chrysler within
the first 23 months of his appointment. Yet, in some views it was more
to protect himself from rivals than actual lack of cooperation or
effective applications of effort. Personally, Iaccoca was vain, very
opinionated, [in the extreme] jealous, profane [to the point of
embarrassment by some of his staff with his 4 letter strings of
invectives in public no less] and loved to play his subordinates off
against each other, even initiating internal warfare to keep them
against each other rather than seeing him as the real issue. He loved
to smoke cigars, and often bragged about his ability to obtain Cuban
ones, even in view of his extreme hostility against the Japanese.
Often, he lighted up when in places where no smoking was allowed,
caring not a wit who he disturbed. In the aftermath, he sat on his
collective ample butt, and his lack of direction in product development
nearly bankrupted Chrysler AGAIN near 1985!
His views on Fleet sales were non existent, and as a result the taxi
and police car market, that Chrysler had lead for years, began to dry
up, going down to the Plymouth Gran Fury and Dodge Diplomat that had
some real flaws. It damaged Chrysler's reputation even further. That is
NO hero.
Credited with the K-Car, it is far from the truth. The Reliant/Aries
twins were already set in steel when he arrived, lead by Harold
Spirlich, who had been fired before Henry Ford II sent Iaccoca packing.
Spirlich was a genius in product development and production planning.
He also fought against Iaccoca adding so much content to the newly
introduced Ks so that the bottom line was escalated. I know, I had
ordered a Reliant Wagon, and got one that had over $1,800 in options I
did NOT want OR need. Iaccoca saw that the sales were not taking off,
so he acted, and relented on content which helped push sales, but not
nearly as optimistic as he had crowed to congress. Spirlich finally
left Chrysler in disgust after having been battered by Iaccoca game
playing. A LOAD of genius went with him.
Next came Thomas Stalkamp, also fired by Ford. He was a production
genius, but he left Ford with a secret. In 1982 he presented his secret
from Ford, "mini-van" to Chrysler. Iaccoca is said to have gone purple,
BUT, the board of directors were so gushing about it, Iaccoca dared not
to oppose it too much. Of course, he is given credit for it, but it was
truly Stalkamp that lead the charge, and set up production. He rose to
become Iaccoca's Vice Chairman, and rightfully should have been
Iaccoca's replacement. Yet, in 1986, Iaccoca leap frogged him, and
hired Robert Lutz as Stalkamp's boss, as Executive Vice President, in
the sky box along side Lee.
People make the mistake of seeing Iaccoca as a "car guy." He was not.
Lutz is the car guy. Iaccoca was a "sales" guy. And that is what he
made his fortunes at Ford. His big achievement of course, was the
Mustang. Yet, all that car was is a Ford Falcon underneath, with
different sheet metal. Iaccoca canceled a car [to get the Mustang past
the corporate bean counters] that he would later push, and was a lemon,
the Pinto. Speculation is that Iaccoca, with his sales ear to the
ground heard that Chrysler was fast upon a car in a new segment, and in
fact, beat Ford to the market by two weeks with the Barracuda. He also
knew that Chevrolet was planning a new hotter, redesigned Corvair aimed
at the same market.