After a financial crisis, bankruptcy and an initial public offering that set records in global business history, General Motors has a new formula. The company has lowered risk profiles and is working at attaining sustained profitability across regions. Tim Lee, who heads international operations and has been with the company for over 40 years, tells Sharmistha Mukherjee the new GM would allocate resources equitably and focus on growing with emerging economies. Edited excerpts:
You talk of a new GM which has emerged after the crisis. What changes have you seen and what is the group’s philosophy today?
I have been associated with General Motors for over 40 years now and was one of the six people who represented the company when we went public. I have talked to investors about the capabilities. The products we offer (now) did not happen the moment we emerged out of bankruptcy. There are elements of older days, but the new GM has lowered risk profiles and is working at achieving profitability and sustainability across countries. We are focusing significantly on leveraging the growth potential in emerging economies.
We have not communicated enough about the technological expertise we have achieved – an area we intend to now address. The Chevrolet Volt is a product no other manufacturer has in their portfolio, and will be showcased in India soon.
GM is known as an engineering and manufacturing company, which we are working to change. We devising country-specific product plans to focus on customer requirements. We are also developing local talent who can go on to head local operations in future.
GM has been in India for 14 years, yet sales volumes are not comparable with competition. Why?
Our history in India has been spotty over the past decade because of inconsistencies in allocation of resources here. Over the past 36 months, however, we have stepped up investments. We are focusing on designing, building and selling products specific to a country. The 1.2-litre engine we launched today, for instance, has been developed at our technical centre in Bangalore for the market here. There are a lot of opportunities and we will focus on and invest significantly in India.
Would we see any other brand from GM in India soon?
No. For now, it is only Chevrolet, Chevrolet, Chevrolet for India.