GM\'s Deadly Ignition Switch There is an unwritten \"safety contract\" between c

Question

GM's Deadly Ignition Switch There is an unwritten "safety contract" between car buyers and automobile manufactur- ers. In return for purchasing their cars, drivers assume that auto manufacturers will do everything they can to ensure that the cars they make are safe. General Motors, one of the "Big Three" domestic automakers, broke this safety contract. In 2001 of problems with the ignition switch on its Chevy Cobalt, Saturn lon, and other small cars The switch would turn to the accessory position or to the off position if accidently jostled or if pulled down by the weight of a key chain. When this happened, the engine, power steering, and power brakes would shut down. The airbags were also disabled. At least 13 deaths are attributed to crashes involving the faulty switch. GM first learned In 2002, Delphi, the switch manufacturer, told GM officials that the part did not meet specifications. In 2006 two engineers ordered a replacement for the original switch, However, they didn't change the part number, which disguised the defect. (The cost of the replacement part was less than $1.00.) In May 2009 a group of company engineers met and concluded, based on data taken from wrecked vehicles, that the switch was at fault. But GM did not issue a recall, choosing instead to issue service bulletins. Thess bulletins go directly to dealers and are much less expensive than recalls. However e

Explanation / Answer

Answer to 1:

This is not required. It is not necessary to refuse the owners for parking their vehicles. Because in the case Barra herself has refused for such a request. It is quite safe as long as the drivers have only one key on their key ring. Hence it is not necessary to restrict the owners from parking their vehicles.

Answer to 2:

GM is actually liable for the damages caused by the switches prior to 2009. The payment was made from the compensation fund set up by GM. But a bankruptcy filing generally wipes out the past liability and this was the point argued by GM in the court. However federal court had approved the pre bankruptcy claims and hence the matter was taken to the Supreme Court. The Supreme Court had sent the same to local courts for trials.

Answer to 3:

Silos are required in companies. Problems arise when the departments don’t share information of same priority. The barrier can be broken when there is proper communication, cooperation and collaboration. This can be done by sharing the information and knowledge in more than one silo. The proper solution to this is by looking at things from other person or other department’s point of view.

Answer to 4:

The organization must create an interactive environment for its people. It must be in such a way that there are social interactions among people which will help in creating a balance which in turn will help in getting done our own needs and needs of others as well. Learning and working together as teams to meet common goals and also collaboration and cooperation another important aspect will help in identifying problems and resolving the same.

Answer to 5:

For hiding the defects in the switch, the company’s employees need not pay any damages. It is only the company which is responsible for the payment of claims and fines as the defect resulted in the death of many people.

Answer to 6:

It is necessary to avoid the company’s product because of this scandal. Still i would go for the company’s product. There are many companies for that matter which faced criminal charges in the past and are performing well at present. As the company has a good name, there are chances that the company would not commit such scandals in the future and would come up with a good quality product for its customers.

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