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Chrysler & Cerberus: Remember Stallkamp and the Viper!

May 14, 2007

It was no surprise that Daimler wanted rid of Chrysler, but what will the move mean from a product development standpoint? It’s just a gut hunch, but I like the move. Ordinarily takeovers by venture capitalists are bad news for product quality. Believe me, I’ve been there. But I don’t think Daimler was helping Chrysler, whose glory days came in the years immediately preceding the takeover by the boys from Stuttgart. Think Viper! That was one of the coolest cars I’ve ever seen. And it was a masterpiece of design and development. Why? Chrysler had no development money and handed the project over to its suppliers (on a tight leash of course). The result was a composite bodied muscle car that zoomed from zero to 60 in 4.5 seconds. The adhesive guys and the glass guys sat down and talked through trade-offs for the first time that accelerated materials development. What a novel idea! The supply chain guru who pioneered the collaboration model, Tom Stallkamp, became president of Chrysler, and then left when Daimler took control. Daimler had a “not-invited-here” syndrome. OK, I liked Dieter’s ads and some of the technology transfer to Detroit. But in the end Chrysler has a better chance to succeed under independent ownership. Bring back Stallkamp!

 

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