GM reveals plan for huge reduction in platforms and engines

At a recent business conference, General Motors has revealed details on a new plan that will apparently ensure long-term sustainable performance for the Detroit carmaker.

It calls for some extreme measures including a significant reduction of platforms used by its brands globally. This will help cut development costs and increase profits.

“More of our components will be common and more of our vehicles will be on global architectures” said the GM CEO, Dan Akerson.

Like it’s arch rival Ford with its ‘One Ford’ policies GM will reduce the number of core architectures, parts and subcomponents. GM’s platforms also be reduced from 30 in 2010, to just 14 by 2018.

The affect will be a huge rise in the number of volume selling cars and trucks that will be based on the same architecture. In 2010 only 31% of GM’s product was built on shared architecture, by 2018 that will expand to 90%.

According to estimates from analysis, the changes will reduce annual costs caused by cancelled programs or last-minute changes to products by $1.0 billion annually. GM will also implement a similar strategy for its engine platforms by reducing their number from almost 20 in 2009 to less than 10 after 2018.

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