Each summer, the Harbour Report (www.oliverwyman. com/index.html) rates the productivity of the major automakers, including the Detroit

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Each summer, the Harbour Report (www.oliverwyman. com/index.html) rates the productivity of the major automakers, including the “Detroit Big Three,” Toyota, Honda, and many other brands. The report is closely watched as a barometer of the future profitability of the firms. However, some have argued that the productivity reports are insufficient. For example, a company can temporarily raise its productivity by laying off or “buying out” employees. Also, some would argue that the focus on productivity fails to draw attention to other key strategic factors such as quality, design, and customer service. For example, the J.D. Power organization (www.jdpower.com/autos) rates the initial quality of many new cars. 


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What do you think are the priorities for the auto companies: quality, productivity, customer service, design, or some other key strategic success factor? Briefly explain your answer.

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Financial Accounting

ISBN: 9781260006452

17th Edition

Authors: Jan Williams, Susan Haka

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