CBT Automotive Journal: February 16, 2022
Inside the car:
The Simple Truths About Leadership and How to Practice Them with Ken Blanchard and Randy Conley
Throughout the hustle and bustle of leading an organization, the fundamentals of leadership can often be pushed into the background or, in some cases, completely forgotten. Today’s guests say it’s totally okay to go back to basics. Today on Inside Automotive, we are pleased to welcome the co-authors of “The Simple Truths of Leadership: 52 Ways to Be a Servant Leader and Build Trust», Ken Blanchard and Randy Conley. Watch the full segment here.
car manufacturers are express extreme dissatisfaction with dealers charging customers far more than manufacturers’ suggested retail prices. According to Edmunds, more than 80% of car buyers in the United States paid a price above MSRP last month, which is exceptionally higher at around 3% in January 2021. So far, Ford and General Motors have expressed the most public opposition, with each automaker issuing warnings to dealers about the practices and threatening to reallocate new inventory to other dealerships. Despite the ongoing controversy, automakers remain committed to finding ways to work with dealerships to facilitate sales of new electric and hybrid vehicles as well as manage the shift to the direct-to-consumer model.
General Motors said Monday that it would be increase your climate equity fund to $50 million, double its initial investment. GM executive Kristen Siemen said the increased investment will increase inclusion and involve the community more in efforts to eliminate emissions. The automaker is also continuing to support various nonprofits to further facilitate its goals of creating “clean energy jobs,” “sustainable transportation,” and “community climate action.” GM also has a separate $35 billion fund earmarked for research and development of electric vehicles and charging solutions.
According to a recent Securities and Exchange Commission filing, Tesla CEO Elon Musk donated over five million Tesla shares to charity in November. Although the name of the charity was not disclosed, it was worth more than $5.7 billion and the shares were donated at the same time as Musk said he would sell for more than $16 billion. shares after Twitter users said so. Musk has continually come under scrutiny when it comes to his taxes, and analysts say the recent donation could give him tax advantages, as donations are potentially subject to lower taxes. The recent donation is not his first, as he has continuously donated billions of dollars in grants to various causes.
According to a filing with the Securities and Exchange Commission, Sonic Automotive made some changes to its board of directors and increased compensation for four executives, and setting new standards for their bonuses. At the 2022 annual meeting of shareholders, Victor Dolan and Robert Heller announced they would not be seeking re-election, while Speedway Motorsports executive Michael Hodge was named a new member of the board. The SEC filing also indicates that its executive chairman, CEO, chief financial officer and chairman will receive 20% salary increases and that their bonuses going forward will depend on adjusted earnings per share and overall customer satisfaction. . Sonic Automotive is set to release its results today.
Celebrating Black History Month:
This February, in honor of Black History Month, we want to celebrate and recognize the past, present and future accomplishments of Black automotive retail professionals. Today we would like to highlight Edward Welburn, former vice president of global design for GM.
After being amazed by a Cadillac he saw at the Philadelphia Auto Show when he was 11, Welburn wrote to General Motors asking him to become a car designer. Later, General Motors gave Welburn an internship and he spent 44 years with the automaker, including 13 as GM’s vice president of global design. Welburn oversaw the development of iconic cars like the Corvette, Camaro and Escalade.
News and Notices:
Automotive professionals rewarded at the What Drives Her Awards
The fifth annual What Drives Her program took place on February 11 as part of the Chicago Auto Show media preview. Every year, female powerhouses in the automotive industry come together to recognize top successes and share tips and personal stories. This includes women retailers, suppliers, manufacturers and media moguls across the United States who continue to succeed in the automotive industry. The What Drives Her program is just one of many resources for women in the industry, which includes all women, from auto buyers to automotive executives. Read more
As border blockade ends, automakers have some catching up to do
The Ambassador Bridge runs again between the United States and Canada after a the week-long blockade has been lifted by Windsor Police. However, the days when the corridor has been obstructed by protesters has created another economic hurdle that the auto industry will have to overcome. Auto industry shutdowns and idle lines are estimated to cost about $300 million in losses, according to Anderson Economic Group which analyzed the effects. Of the losses, nearly $150 million relate to lost wages alone, suffered by assembly plant workers when their shifts were cancelled. Michigan autoworkers were the hardest hit, accounting for more than a third (estimated at $51.26 million) of lost wages. Rread mohD
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