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by AlotOfReading 673 days ago
Not true. A few exceptional vendors like Bosch excepted, manufacturers are increasingly in-sourcing development away from the tier suppliers. It's a lot of work managing them to get quality outcomes and that system has repeatedly bitten manufacturers hard in the past decade. It also lengthens development timelines significantly and raises the cost of mid-development changes, when they actually need faster, more responsive development practices.

The issue with companies like GM is that while most people recognize what I've just said internally, there's a lot of conflict between traditional management processes/styles/cultures and the changes they need to make to adapt. These kinds of layoffs tend to result from the financial fragility they've built up. When some minor event puts clouds on the financial horizon, management only understands one tool to make changes and that's layoffs/pay cuts.