The Automobile and the 1980s in America

From Mass Production to Lean Production – 1980s onward

• Lean Production uses less of everything compared with mass production

• Half the human effort in the factory

• Half the manufacturing space

• Half the investment in tools

• Half the engineering hours to develop a new product in half the time

• Half the needed inventory on site

The goal of lean production is perfection

• Continually declining costs

• Zero defects

• Zero inventories

• Endless product variety

Japanese Automobile Production, 1955-1984

Year Production

1955 68,932

1960 481,551

1965 1,875,614

1970 5,289,157

1975 6,941,591

1980 11,042,884

1984 11,464,920

The Reagan Administration and a Possible Trade War with Japan

• Voluntary Restraint Agreement, 1982

• Japanese Car Sales were to be kept at the 1979 level

• Limitations worked out to 1.68 million vehicles in 1982, 1.83 in 1983, 1.85 in 1984

• BUT – did these restraints – that lasted to the 1990s, buy time?

Year Leaded Regular, nominal

Leaded Regular, Real, in 2000 Dollars

Unleaded Regular, Nominal

Unleaded Regular, Real, in 2000 Dollars

1949 .27 1.64 NA NA

1955 .29 1.55 NA NA

1970 .36 1.30 NA NA

1975 .57 1.49 NA NA

1979 .86 1.73 .90 1.82

1981 1.31 2.22 1.38 2.33

1988 .90 1.19 .95 1.25

1995 NA NA 1.15 1.25

2000 NA NA 1.51 1.51

2003 NA NA 1.59 1.50

2005 NA NA 2.30 2.03

2007 NA NA 2.80 2.34

Table: Retail Motor Gasoline Fuel Prices, Selected years, 1949-2007. Energy Information Administration/Annual Energy Review 2007

GM’s Spending Spree During the 1980s

• Roger’s Smith’s strategy to diversify and Go Hi-Tech

• 1984 Purchase of Electronic Data Systems (EDS)

• 1985 purchase of Hughes Aircraft

• 442 billion between 1980 and 1985 on new factories , tools, and equipment

A Similar Spending Spree at Chrysler

• Gulfstream Aerospace, 1985

• Finance America, 1986

• Lamborghini, 1987

• Thrifty, Dollar, General and Snappy Car Rental

• American Motors, 1987

• But – no money for new models – just a new “skin” or dashboard

Robots: 26,000 in use by 1987 in the U.S.

• Flexible robotics thus has reconciled Fordism and Sloanism, with truly revolutionary implications for automobile manufacturing.

• The result: more diversity of product, manufacturing techniques are more precise, quality improved, labor costs reduced.

Mass Production vs. Lean Production, 1986, GM vs. Toyota

GM, Framingham, MA Toyota, Japan

Gross Assembly Hours per Car

40.7 18

Defects Per Car 130 45

Assembly Space Per Car

8.1 4.8

Inventories of Parts 2 weeks 2 hours

Japanese Assembly Plants in North America, to 1989

Firm Location 1989 Production Capacity

Honda Marysville,OH; East Liberty, OH; Alliston, ON

351,670 360,000

NUMMI, Toyota/GM Fremont, CA 192,235 340,000

Toyota Georgetown, KY; Cambridge, ON

172,000 290,000

Nissan Smyrna, TN 238,640 480,000

Mazda Flat Rock, MI 216,200 240,000

Diamond Star, Chrysler/Mitsubishi

Bloomington, IL 91,839 240,000

SIA, Subaru/Isuzu Lafayette, IN 120,000

CAMI, GM/Suzuki Ingersoll, ON 200,000

North American Assembly Plants Opened or Closed by American-Owned Automobile Companies, 1987-1990

Company Plant Year Closed

GM Detroit 1987

GM Norwood,OH 1987

GM Leeds, MO 1988

Chrysler Kenosha, WI 1988

GM Pontiac, MI 1988

GM Framingham, MI 1989

GM Lakewood, GA 1990

Chrysler Detroit 1990

Chrysler St. Louis 1990

GM Pontiac, MI 1990

Radar Love" is a tale of late-night driving and ESP

Radar Love (1973)

• I've been driving all night, my hands wet on the wheelThere's a voice in my head that drives my heelIt's my baby calling, says I need you hereAnd it's a half past four and I'm shifting gear

When she is lonely and the longing gets too muchShe sends a cable coming in from aboveDon't need no phone at all We've got a thing that's called radar loveWe've got a wave in the airRadar love

The radio is playing some forgotten song:Brenda Lee's "Coming on Strong"The road has got me hypnotizedAnd I'm speeding into a new sunrise

When I get lonely and I'm sure I've had enoughShe sends her comfort coming in from aboveWe don't need no letter at all We've got a thing that's called radar loveWe've got a line in the skyRadar love

“Low Rider” – War (1975)

All my friends know the low rider

The low rider is a little higher

Low rider drives a little slower

Low rider is a real goer

Low rider knows every street, yeah Low rider is the one to meet,

yeah Low rider don't use no gas now Low rider don't drive too fast

Take a little trip, take a little trip Take a little trip and see

Take a little trip, take a little trip Take a little trip with me

Low Riding is About:

• Passion• Corazon (heart)• Respect

• Lowriders speak to the importance of visualizing and communicating cultural identity

• Vehicles are a means of cultural expression within an urban landscape

What is a Lowrider?

• Low to the ground. With a setup to adjust ride height

• A fantastic candy paint job

• Chrome features

• Customized upholstery

• SOUND

Chicano and Black Culture

• Zoot Suit Culture 1940s

• Swing and jazz Scene 1940s and 1950s

• R&B Scene 1960s and 1970s

• A resistance to Cultural Conformity!!

Hydraulics

• First introduced in 1958 by Ron Aguirre, A Chicano from LA

• Surplus WWII plane parts, hydro air pumps and dumps (used for wing flaps)

• Police often targeted lowriders during 1960s

Lowriding as a Social Activity

• A family tradition

• Fostering fraternal realtionships

• Blood relatives or neighborhood connections

• Clubs – the Dukes of SoCal

• Help! The devil's in my car.Help! The devil's in my car.Help! The devil's in my car.Ho, devil's in my car, whoa please.Please! Leave me alone!

We're really tearin' tar.We're goin' 90 miles an hour.Ho! He's drivin' me crazy.He's drivin' me to Hell now.He's pointing his pitchfork at me.He's in the front seat of my car!He's taking over!oo, he ripped my upholstery.He's at the weel.Help! The devil's in my car.Help! He's drivin' too far.(scream!) Ooooooh!

Whoooa! I can't lock the door, I can't put on my safety belt.There's nothing for me to do but yell HELP! Devil's in my car.I'm goin' to hell in my old Cheverolet, I don't know which way.Oh Help! Devil's in my car. Yeah Yeah. He's gone too far.I won't see ya tomorrow. I won't see ya anymore.He's got his cloven hoof on the clutch.Oh! Oh! I'm sitting on his tail.