Among the details of the Drive 2022 plan, noted Girsky, is a focus on examining variable profit, fixed costs and cash flow. "You start to unpack these problems," he said. "What drives variable profit? Material costs and revenue and you set up work streams around that."
A big factor in the push to cut costs will be the relationship with alliance partner PSA Peugeot Citroen.
After GM's previous unsuccessful alliance with Fiat, some industry analysts have questioned the wisdom of the partnership with PSA, which has severe financial problems of its own. But Girsky and Neumann maintained that the PSA deal is a smart move.
"PSA was a great opportunity for us in terms of logistics and purchasing savings and good platform sharing," noted Neumann. "Together we will be second-largest purchaser of auto components in Europe."
According to Girsky, "This relationship is more balanced than was Fiat. PSA will be doing as much for us as we do for them."