Tag: Organizaton of work

Management Practices, Relational Contracts, and the Decline of General Motors

Susan Helper with Rebecca Henderson

General Motors was once regarded as the best-managed and most successful firm in the world. However, between 1980 and 2009, GM’s US market share fell from 46 to 20 percent, and in 2009 the firm went bankrupt. We suggest that GM’s experience may have important implications for our understanding of the role of management in the modern, knowledge-based firm.