Domestic automobile industry supply chain and operational effectiveness in recessionary environments

Abstract

The fundamental dynamics of supply chain and inventory management techniques in the US domestic automobile industry, in particular General Motors, throughout the current economic downturn has placed considerable stress on supplier integration relationships. Types of processes and procedures were documented, especially with emphasis on GM’s history, sales numbers and new product development. Supply chain and inventory management systems used at GM before and during the recession and some of such changes on supplier relationships were discussed. Sufficient documentation exists that suggests that relatively poor supplier integration and antiquated inventory management have put GM at a competitive disadvantage relative with global economic downturn simply hasten the unveiling of decades of mismanagement.