Thread regarding General Motors layoffs

GM announces closure of Arizona IT Innovation Center, resulting in 940 job cuts

GM announces closure of Arizona IT Innovation Center, resulting in 940 job cuts

https://www.freep.com/story/money/cars/general-motors/2023/08/23/gm-arizona-chandler-it-job-cuts/70660295007/#

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| 2973 views | | 15 replies (last September 4, 2023) | Reply
Post ID: @OP+1oflIBBh

15 replies (most recent on top)

@boic+1oflIBBh

I think you're right, GM is most popular with older consumers in the midwest... and with people who want to buy big v8 trucks.
But the opportunity is there. One driveway (or parking space) at a time. The Bolt is a good example of a product that resonates well outside of the traditional GM sphere.
Moot point in the case of the former AZ employees.

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Post ID: @cqon+1oflIBBh

Wouldn't have made a difference.

GM is mostly popular among older consumers in the Midwest.

AZ employees wouldn't have been buying GM even if they weren't all losing their jobs.

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Post ID: @boic+1oflIBBh

Another point, and maybe I'm overthinking of this... but if GM hypothetically wanted to expand its presence among the young professional class... employing a few thousand of them (especially outside its home turf in the upper midwest) wouldn't have been a bad first step.

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Post ID: @9lot+1oflIBBh

@4rxh+1oflIBBh

I used to work as a developer at GM. They have a lot of systems intended to squeeze money out of thin air. Middle management, at least in the past, had a lot of incentivization to figure out ways to build these kind of systems. Those systems are not mission-critical.

Perhaps GM really should be in the business of building cars, and not just in the business of making money.

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Post ID: @9kvs+1oflIBBh

Since we like to bench mark against Tesla "With a currently cost of production per vehicle of $US39,000 a 50% reduction in cost for the next generation model would get cost per vehicle below $20,000"

What are companies largest expense? Employees. So does one reduce expenses? hmmm..

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Post ID: @4prg+1oflIBBh

“GM has said software and services could generate as much as $25 billion in revenue by 2030. The automaker recently hired Mike Abbott, who led cloud services at Apple Inc., to be its executive vice president of software in charge of a reorganized team focused on information and digital technology, software-defined vehicle and operating systems, and digital business.”

Also - “GM has said it will stop offering CarPlay and Android Auto beginning with its 2024 Chevrolet Blazer EV,”

This is why if you are on a dev team on noncustomer facing apps, chances are these teams will be downsized. GM may not need as much development on some current customer facing apps as well. Abbott needs to free-up budget to achieve his goals and hire highly talented specialized tech resources to accomplish the digital transformation.

This is why GMIT SLT has stated the AIC closing is not part of GM’s 3 billion cost savings. However, I believe future cuts might be counted - but you will never know.

Just my opinion.

https://www.autonews.com/automakers-suppliers/gm-ceo-mary-barra-software-services-autonomy-mean-growth

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Post ID: @4rxh+1oflIBBh

So they bring in somebody who can build services to create revenue streams. Do you think anybody at GM has a good idea of what to build? Why can't GM make enough money from, you know, making cars? I guess it's good source of things to streamline in the future when things don't work out.

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Post ID: @4dvo+1oflIBBh

Was this unexpected? In about 2016ish, Mott transitioned all the App Ops (any Ops responsibilities) from the Argentina Center to the US. It was then renamed the Argentina Innov Center. Shortly after the transition was complete, the entire Arg Center was let go.

During the 2019 ISP, any App Ops in Georgia and Arizona was walked out regardless of performance…(there may have been other Ops groups). This left Ops in MI and TX. This made it easier to let the whole Arizona center dedicated to Innov let go (if any Ops was there, it was insignificant). There may have been Ops exceptions at Arizona, Georgia, but I am not aware of any.

During the Mott years, there was a big push to reduce incidents, technical debt and have a ratio of 90% Innov, 10% Ops which he exceeded. As far as I know, Ops is less than 10% and the incident reduction cap goals pushed incident workload way down - allowing further reductions in Ops.

With Abbott having differently goals, he needs budget to hire the people he needs to achieve (someone posted a link to what his focus is on in this thread). Hopefully, someone can see his cap goals (rolled down) to see if their current position is included in his goals.

Also, don’t think the managers (L8, L9, directors) especially in Austin are safe. Abbott needs his people in this roles to drive the next generation of GMIT.

The Mott Crony days are over (friend of a friend of Mott, ie director reporting to a director…) are over. With 940 people let go, VSP and most directors not having the skill sets Abbott needs, many of the current people in this roles will probably be let go.

This is just my observations, my opinion and I could be totally off base. I wish the best for most all.

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Post ID: @3frr+1oflIBBh

In the meantime, party-on SLT!

http://openinsider.com/screener?s=GM&o=&pl=&ph=&ll=&lh=&fd=730&fdr=&td=0&tdr=&fdlyl=&fdlyh=&daysago=&xp=1&xs=1&xa=1&xd=1&xg=1&xf=1&vl=&vh=&ocl=&och=&sic1=-1&sicl=100&sich=9999&grp=0&nfl=&nfh=&nil=&nih=&nol=&noh=&v2l=&v2h=&oc2l=&oc2h=&sortcol=0&cnt=100&page=1

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Post ID: @2cfh+1oflIBBh

Abbott was not hired to continue the Mott Legacy. He has more clean-up to meet his cap goals and needs budget refocus to do so.

https://techstory.in/general-motors-taps-former-apple-executive-to-revolutionize-software-unit/

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Post ID: @1lvl+1oflIBBh

Lord, its a damn shame.

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Post ID: @1vff+1oflIBBh

This post is the Oreo to the Hydrox. The Faith No More to the Red Hot Chili Peppers.

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Post ID: @vyn+1oflIBBh

Me tooooooooooooo post

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Post ID: @zzz+1oflIBBh

Some people show up hours late and refuse to scroll or search

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Post ID: @dja+1oflIBBh

There is already another post discussing this

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Post ID: @wpk+1oflIBBh

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