GM’s Feisty and Embarrassing Vice Chairman

“Once again, Bob won’t get the job.” That was the definitive prediction this weekend by Automotive News, the industry’s journal of record, on GM vice chairman Robert Lutz’s chances of being named CEO [link may require subscription]. Yesterday they were proven right when GM’s acting CEO, GM chairman Ed Whitacre, announced that he would continue permanently in the position. What they got wrong, however, was why Lutz was unfit for the top job.

Automotive News let Lutz speak for himself, arguing that at 78 years old he was too “geriatric” for an ailing automaker in need of rejuvenation. That logic flies in the face of Whitacre’s logic that what GM needs most, after ousting two CEOs in 2009, is stability. After all, Lutz has served in top product development and marketing roles for GM since 2001, and previously held top jobs at Chrysler and Ford.

What makes Lutz the wrong man at the wrong time is that he rejects the intensifying concerns for sustainability that now drive automotive markets and innovation worldwide. At the Detroit Auto Show last week Lutz held forth on climate science with the Sydney Morning Herald, explaining that Earth is being cooled by a dearth of solar flares rather than warmed by greenhouse gases from cars and other fossil fuel-burners:

“All I ever say is look at the data, look at the empirical evidence…Katrina was six years ago and we have yet to have the next hurricane.” Continue reading “GM’s Feisty and Embarrassing Vice Chairman”

Lutz Departure Another Modest Sign of Modernization

GM's-Bob-Lutz-with-the-7-seater-Buick-TerrazaMany in the green car movement are cheering the announcement that Bob Lutz, GM’s vice chairman, will retire at the end of 2009. Environmental Defense Fund automotive guru John DeCicco celebrates the news on HybridCars.com today, calling Lutz part of a “cohort of corporate leaders who rose to the top eerily disconnected from the parallel rise of environmental values in American culture.” But a speech last week by Hyundai North America’s CEO — billed as a wake-up call by the Detroit News — reinforces the impression that changing the industry’s environmental perspective will require a much broader shift in personnel.

Lutz earned the ire of the environmentally-inclined for two reasons. As product development chief he contributed to GM’s reliance on ever larger and less fuel-efficient SUVs trucks. And he made headlines with his contempt for the theory of climate change. Dallas-based D Magazine quoted a private conversation with journalists just one year ago in which Lutz called global warming a, “total crock of ****.”

Lutz added, according to D, that, “my opinion doesn’t matter.” But how could that be, with GM gearing up to woo environmentally-minded consumers with advanced vehicles such as the plug-in hybrid Chevy Volt? Such comments reverberate louder still within the industry, signaling to junior engineers that an environment-be-damned ethic endures in Detroit’s board rooms.

Continue reading “Lutz Departure Another Modest Sign of Modernization”