OB Project - Part 1

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1 Decision Making Paper Tatra Adanandus MGMT-3350 22 September 2023

2 Introduction When it comes to developing and producing vehicles with motorized mobility solutions, General Motors (GM) has been at the vanguard for almost a century. Detroit-based GM is well- known across the world for more than just its autos; the company's financial offerings are also highly regarded. This historic firm has weathered many storms, and its corporate culture has been important in adapting to the ever-shifting conditions of the automobile industry. Here, we'll discuss the significance of General Motors' distinctive corporate culture, which promotes diversity, creativity, and individual accountability (Bani-ata, 2020). Recent events, like the battery malfunction problem impacting their electric cars, have, however, shown just how difficult it is for GM to transition to a greener future. Organization Background One of the world's largest manufacturers of automobiles and trucks, General Motors (GM) has a long and varied history that spans more than a century and encompasses a broad variety of industrial activity, with a primary focus on motorized mobility and the engineering and manufacturing that facilitate it. The American multinational firm General Motors firm, headquartered in Detroit's Renaissance Centre, is best known for its vehicles and the financial services it offers to its customers. After some reorganization in 2009, the present firm was born. On September 16, 1908, William C. Durant established the company as a holding company. After Volkswagen, Toyota, and Daimler, the company is the largest carmaker in the United States. At its height, General Motors held half of the U.S. vehicle market from 1931 through 2007. On the current Fortune 500 list of the biggest American corporations, GM comes in at number thirteen for total global sales (Bani-ata, 2020).

3 Organizational Culture Employees at General Motors are encouraged to foster environments where people may learn from one another's experiences and perspectives. They have a strong team dynamic, mutual respect, and a shared drive for innovation and success. They want to become the most inclusive company in the world by creating a forum for differing viewpoints and basing all decisions on what is best for the customer (Kinicki & Fugate, 2021). Organizational culture has a significant role in whether or not a firm achieves its goals and objectives, and General Motors has a strong culture that encourages employee involvement, growth, and development. General Motors promotes innovation as a core element in the company's culture. Employees are encouraged to think outside the box and come up with ways to solve problems for consumers. As a result of the company's emphasis on diversity and inclusion, workers are able to work together and feel like they belong there. Management at General Motors recognizes and appreciates individuals who think outside the box and who spread the word about the company's successes. General Motors also promotes the notion of personal responsibility throughout its workforce. In order to ensure that its workers take responsibility for their activities, the corporation promotes a culture of ownership. Employees at General Motors are expected to take pride in their job, provide customers with excellent service, and own up to any errors. Trust and confidence in the organization as a whole benefit greatly from a climate of individual accountability. General Motors is a company where a strong emphasis is placed on teamwork. The organization values cooperation and efficient teamwork as crucial to its success. In order to accomplish their goals, GM workers are encouraged to collaborate and exchange information. Employees are encouraged to work together via the company's mentorship and training programs (Kinicki & Fugate, 2021).

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4 The hierarchical structure of General Motors is crucial for propagating the company's culture to all employees. All personnel are well-aware of the company's goals and objectives since they are successfully conveyed to them. The company's leadership is dedicated to fostering a welcoming workplace that respects and promotes its core principles. Problem Without a major uptick in sales, General Motors may see a significant drop in its market share if it follows through on its plan to stop making gasoline-powered cars by 2035. General Motors has claimed that their goal of eliminating tailpipe emissions by 2035 is more of an ambition than a promise (GM's way). However, it is investing heavily in all-electric vehicles since thirty new models are expected to hit the market by 2025 (Mufson, 2021). GM's plan does not account for hybrid cars, which mix internal combustion engines with electric power and are often seen as a bridge between traditional fuel-burning vehicles and electric vehicles. (The WP Firm) General Motors' strategy, however, came to an abrupt end in 2021 due to a manufacturing defect in the battery packs that increased the risk of fire due to a folded separator and shredded anode tab. General Motors warned Bolt owners that their cars shouldn't be parked closer than 50 feet to others. It's not safe to leave their cars charging overnight. General Motors recommended against leaving fully charged vehicles in garages. GM recalled every single one of the 141,000 Bolts it has ever manufactured. The company concluded that the issue originated from two defects that allowed for material from the battery to come into touch with one another, leading to spontaneous combustion (Chevy). This threat is directly related to the primary issue in battery research and development for EVs: the constant push to increase energy density.

5 Conclusion In conclusion, General Motors is a major participant in the car industry because to its long history and strong corporate culture that promotes teamwork, creativity, and personal responsibility. Opportunities and threats await GM as it plots a route towards a future in which electric cars predominate. The latest setback about battery issues highlights the difficulty of converting to cleaner technologies while keeping quality and safety intact. The success of GM's efforts to innovate and define the future of mobility will depend in large part on the company's resolve to tackling these concerns and establishing an inclusive, forward-thinking culture. General Motors is still a major player despite the industry's upheaval, thanks to the company's strong culture and forward-thinking vision for a greener future.

6 References Bani-ata, B. H. A. (2020). Organizational Theory Research The Man with the Toughest Job at GMCheverlet Company By: Dr. Bassam Bani-Ata. Revue des Etudes Economiques Approfondies, 5(2), 53-78. Batteries, G. R. N. U. (2020). Platform to Rapidly Grow its EV Portfolio. Kinicki, A., & Fugate, M. (2021). Organizational behavior: A practical, problem-solving approach. McGraw-Hill Education. Mufson, S. (2021). General Motors to eliminate gasoline and diesel light-duty cars and SUVs by 2035. Washington Post.

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