Dr. John Psarouthakis, Executive Editor of www.BusinessThinker.com, and Founder and former CEO, JP Industries, Inc., a Fortune 500 industrial corporation.
Several republics of the collapsed Soviet Union became independent nations. These nations suddenly realized that they must be responsible for their own road ahead. The global spread of democracy intensified yet further this realization.
The rapid advancement of technological developments, globalization, and the “free” movement of goods, services and capital, has created a new geopolitical world with “free market” economic development taking “front seat” in the “Halls of Power and Policy making” of our world. Though we are witnessing, still, wars fought with advanced technology weapons these wars have been regional.
It has become ever so more clear that economically weak states become dependent on economic blocks for their future wellbeing. Though ideologies still are influential in policy formulation, economic strength has become a principal objective and “free market” economic systems are being adopted, not withstanding their flaws. Until an economics Einstein comes up with a new system in the future it is the best system we’ve got! It is the System that creates opportunities for enterprise creation that provides employment and economic advancement of the individual and the State. Naturally regulations and controls are necessary for checks and balances so that within human limitations the system operates fairly for all.
Dr. David Cole is the Chairman of AutoHarvest (autoharvest.org), a web based tool to accelerate innovation in the auto industry. Dr. Cole is Chairman Emeritus of the Center for Automotive Research and a former Professor of Engineering at the University of Michigan where he taught courses related to the automotive field for over 25 years. He is a fellow of the Society of Automotive Engineers, Engineering Society of Detroit and Society of Manufacturing Engineers and was recently elected to the Automotive Hall of Fame.
The past few weeks have been most interesting with regard to GM and the ignition switch problems with a number of their early 2000’s compact cars including the Chevrolet Cobalt and Saturn Ion. The past few days have been particularly interesting with GM’s new CEO, Mary Barra and her testimony in both the US House and Senate. Her testimony and grilling offered a feeding frenzy opportunity for our media. Of course the story has been building for the past few months when it was discovered that there were few incidences of the failure of an extremely small number of ignition switches where the ignition would cut out with a jostling or bumping on the key ring, particularly if it were heavily loaded with other keys and things normally found on key rings.
There is no question that there is fault with GM and also with the National Highway Traffic Administration, NHTSA, in failing to find the problem quickly and execute a re-call of the impacted vehicles. However there is much more to the story that few people seem to understand. If it were easy to identify the problem and its root cause, the story would have ended many years ago.