Lutz's supplier side

RADIO COMMENTARY
Edward Lapham is editor of Automotive News

Nov. 13 -- When Bob Lutz became the product development honcho at General Motors, it was

assumed that GM's product lineup would get sexier. And it will.

But there has been another key benefit. GM is paying more attention to the cost-cutting ideas of suppliers. That's good for suppliers, who share in the savings that they generate.

Reports from inside GM say that Lutz is the reason, which makes perfect sense. Lutz was one of backers of a similar program at Chrysler, when

Chrysler enjoyed the best relationship with suppliers.

Lutz has revitalized GM's program by having engineers work closely with the purchasing staff to make sure that supplier ideas are carefully reviewed.

It just shows that when you're hot, you are hot.

You can reach Edward Lapham at elapham@crain.com

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