Part IV: Liability 9 “The Toyota affair emphasizes some basic points of management. First, any company, no matter how large and how famous for its merits, can stumble into grave error. Second, damaged pride and nervous fear make it difficult to correct the error in good time. Third, management decisions should normally never be taken
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Part IV: Liability 9
“The Toyota affair emphasizes some basic points of management. First, any company, no matter how large and how famous for its merits, can stumble into grave error. Second, damaged pride and nervous fear make it difficult to correct the error in good time. Third, management decisions should normally never be taken on the basis of profit forecasts alone.” Edward de Bono & Robert Heller, The Toyota disaster – and what we can learn from it[i]
This is Part IV in a series of reports suggesting that the North Carolina Democratic Party is much like the Toyota Motor Company in that they are both among the great organizational successes in American history, and both are losing market share because of
sloppy standards and corrupt leaders. Parts I, II, and III can be found at www.johndavisconsulting.com.
The 10 premises in the series, all political liabilities, lead to the following conclusion: Many believe that the only way North Carolina Republicans can seize power in 2010 is to raise the political bar closer to that of Democrats. Well, what if Democrats lower their political bar closer to the GOP? Republicans win. And that is what is happening in this state.
The following paragraph is restated from the last report for emphasis: What makes 2010 potentially catastrophic for North Carolina Democrats is that the 10 political liabilities are unfolding at the same time. Any one or several of them would not be politically catastrophic. Many times down through the decades, Democrats have weathered eras of corrupt leaders; they have overcome Republican-friendly years, weak governors, high turnover of incumbents, unpopular presidents, budget problems, economic slumps, anti-establishment voters, third party movements, low turnout, declining party loyalty, high unemployment, unpopular wars and a surge in opposition strength … but not at the same time like we are seeing today.
In Parts I, II and III of the series, I wrote about liabilities including:
#1: A Weak Democratic Governor Will be a Drag on Democratic Candidates
#2: Basnight’s Cash on Hand Down by 30% with a Tougher Hill to Climb
#3: Democrats have all of the Power and Get all of the Blame
#4: A Nation and State of Voters Fearing Financial Collapse Due to Spending
#5: Corrupt Leaders: Toyota the Safety Automaker; Perdue the Ethics Governor
#6: The Issue is the Economy, and Democrats Own the Economy
#7: Regnat Populus! Dissatisfied Voters View “Ins” as Dismissive and Un-American
#8: Enthusiasm + Internet = Turnout; Party Infrastructural Advantage Threatened
Here is number nine:
#9: Protective Wall of Silence Exposed Revealing Power-over-Principle Imperative
Those who make the laws should abide by them. Those who would be leaders should lead by example. These two moral imperatives have been overshadowed in the North Carolina Democratic Party by their #1 moral imperative: Partisan power at all costs.
North Carolina Democrats offer protection for their errant leaders behind a wall of silence. If one among them breaks the law (quid pro quo deals, Cannonsgate, quid pro quo deals, illegal flights, quid pro quo deals, tax evasion, and more quid pro quo deals), or compromises principles and values (Law Enforcement Associates’ no-bid contract, university job plus 88% salary increase for Gov’s wife, a judicial district for your DA buddy who lost his election, using the “N” word in front of your six-year-old child, $27,012 for limo services in France), the first sense of moral obligation for North Carolina Democrats is to keep quiet and bide their time.
Keep Your Mouth Shut Long Enough, and the Problem will Go Away
Toyota handled its problems with defective accelerator pedals on millions of its vehicles the same way North Carolina Democrats have handled their problems with defective leaders: they stonewalled the public. “They did try to hide it — that’s what we accused them of — and they’ve agreed to that,” U.S. Transportation Secretary Ray LaHood told the Associated Press, upon announcing the largest fine in department history in April of this year. Toyota put profit over principle. They knew parts were defective and kept it under wraps. If it were not for whistleblowers forcing exposure, people would still be dying in runaway Toyota automobiles.
Democrats know that they can use their unchecked power to muscle everyone with a legislative agenda to be a stone in their protective wall of silence. From lobbyists and governmental agency heads, to members of boards and commissions, education officials … even some news reporters; all are aware that you better protect the leadership at all costs or you don’t get access.
No access means no money, no new buildings, no inside scoop, no road contracts … no nothing.
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Part II: Liabilities 5 – 6 NC Republicans do not have to raise the political bar closer to that of Democrats to seize power in 2010 if Democrats lower their political bar closer to that of Republicans. This is Part II in a series of reports suggesting that the North Carolina Democratic Party is much
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Part II: Liabilities 5 – 6
NC Republicans do not have to raise the political bar closer to that of Democrats to seize power in 2010 if Democrats lower their political bar closer to that of Republicans.
This is Part II in a series of reports suggesting that the North Carolina Democratic Party is much like the Toyota Motor Company. They are both among the great organizational successes in American history, and both are losing market share because of sloppy standards and corrupt leaders.
Last Tuesday, May 4, the Associated Press reported that a U.S. Senate committee was recommending a major overhaul to the nation’s auto safety requirements following Toyota’s recalls involving 8 million cars and trucks. Toyota was forced to pay a record fine for failing to disclose a safety defect with sticking gas pedals in a timely manner, and is currently facing an estimated $4 billion in personal injury/wrongful death lawsuits.[i]
On Monday, the AP reported that Toyota spent a record $2,498 per vehicle on incentives in March, a 53% increase over last year. [ii] Toyota is minimizing brand damage caused by faulty gas pedals and brakes the same way the state Democratic Party minimizes brand damage caused by sloppy standards and corrupt leaders: by spending a lot of money on spin control.
In Part I of the series, I wrote about:
#1: A Weak Democratic Governor Will be a Drag on Democratic Candidates
#2: Basnight’s Cash on Hand Down by 30% with a Tougher Hill to Climb
#3: Democrats have all of the Power and Get all of the Blame
#4: A Nation and State of Voters Fearing Financial Collapse Due to Spending
Here are political liabilities 5 – 6:
#5: Corrupt Leaders: Toyota the Safety Automaker like Perdue the Ethics Governor
I was sitting at the kitchen table Tuesday morning reading a story in the News & Observer about yet another NHTSA (National Highway Traffic Safety Administration) investigation into Toyota’s failure to report problems with defective steering rods,[iii] when a Toyota ad came on the television. The carmaker was extolling its commitment to safety. Ironically, the N&O also carried a story Tuesday about Gov. Perdue extolling her commitment to ethics reform.
If you are committed to ethics reform, you really should do something besides just claim to be for ethics reform. And, if you are going to make speeches around the state decrying the evils of “smoke-filled rooms,” “pay-to-play” politics and “back room dealing,” you certainly don’t hire people like … ummmmm, well, to quote Gov. Perdue, “I don’t have to give any examples. I don’t have to call any names.”[iv] (Actually, I was going to name former state Senator Tony “Back Room Deal” Rand, who served as Chairman of the Rules Committee and Majority Leader in the Senate until last year, but thought better of it.) Second thought:
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Part I: Liabilities 1 – 4 NC Republicans do not have to raise the political bar closer to that of Democrats to seize power in 2010 if Democrats lower their political bar closer to that of Republicans. Toyota Motor Company has lost market share because of worldwide recalls of millions of its cars due to management mistakes
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Part I: Liabilities 1 – 4
NC Republicans do not have to raise the political bar closer to that of Democrats to seize power in 2010 if Democrats lower their political bar closer to that of Republicans.
Toyota Motor Company has lost market share because of worldwide recalls of millions of its cars due to management mistakes that led to frightening problems like mysterious acceleration, unreliable breaks and rollovers.[i] Meanwhile, Ford Motor Company just posted a $2.1 billion first quarter profit and is touting the best market share gain since 1977. “It benefited from Toyota’s safety recalls of millions of vehicles,” said Kelley Blue Book, “Ford was one of the top brands considered by Toyota owners who were shopping for a new car.”[ii]
Toyota’s brand is so damaged by sloppy standards that it must now offer promotional gimmicks like 0% loans and $2,000 rebates to lure customers. Likewise, the brand of the North Carolina Democrat Party is so tarnished by a decade of sloppy standards and corrupt leaders that the only way it has kept Republicans from taking over state government is by outspending them 3-to-1 on incentives and political promotional gimmicks.
Many believe that the only way North Carolina Republicans can seize power in 2010 is to raise the political bar closer to that of Democrats. Well, what if Democrats lower their political bar closer to the GOP? Republicans win; that is what is happening in this state.
During the next few weeks I will be writing about the Top 10 political liabilities that have cost Democrats market share and turned the North Carolina Democratic Party into the Toyota Motor Company of state politics. Here are the first four:
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“In the time of Joseph McCarthyism, celebrated in the Pogo strip by a character named Simple J. Malarkey, I attempted to explain each individual is wholly involved in the democratic process, work at it or no. The results of the process fall on the head of the public and he who is recalcitrant or procrastinates in
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“In the time of Joseph McCarthyism, celebrated in the Pogo strip by a character named Simple J. Malarkey, I attempted to explain each individual is wholly involved in the democratic process, work at it or no. The results of the process fall on the head of the public and he who is recalcitrant or procrastinates in raising his voice can blame no one but himself.”[i]
Walt Kelly, Pogo Papers, 1952
Healthcare reform was inevitable because the necessity for change was greater than the fear of change. The insurance industry has simply jerked too many Americans around too many times and done nothing about the cries for relief other than raise rates and lower coverage.
In the March 11 report I wrote, “Obama is smart enough to come out of the healthcare reform debate with a win. He has to. His entire agenda is at stake. He will make whatever sacrifices are necessary to declare a victory.” Well, he gave up the public option and agreed to a pro-life presidential decree. He won.
I also wrote in March that by the time the May primaries roll around in North Carolina, the healthcare debate will be old news. “Obama will be directing his energies to the other problematic issues for Democrats by then: the economy, jobs, and big government spending. There will be an uptick in the job approval numbers for the President and the Congress, and most incumbents will win their primaries.”
I’m sticking with that forecast, and adding this one: Financial regulatory reform is inevitable because the need is greater than the fear of change. The banking industry and Wall Street investment houses have simply jerked too many Americans around too many times and done nothing about the cries for relief other than raise fees and lower services.
If Republicans stand with Wall Street in the upcoming financial reform debate, they will wind up on the losing end of that legislation as well.
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“Basnight often gives campaign money to the state Democratic Party, which can give unlimited amounts to legislative candidates.” AP, March 18, 2010 1 Last Thursday night, former Democratic Gov. Jim Hunt hosted a fundraiser for Democratic Senate President Pro Tem Marc Basnight at the State Fairgrounds in Raleigh. According to the Associated Press, 300 to 400 people
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“Basnight often gives campaign money to the state Democratic Party, which can give unlimited amounts to legislative candidates.” AP, March 18, 2010 1
Last Thursday night, former Democratic Gov. Jim Hunt hosted a fundraiser for Democratic Senate President Pro Tem Marc Basnight at the State Fairgrounds in Raleigh. According to the Associated Press, 300 to 400 people paying $100-$4000 were expected to show up in order that the good senator from Dare County would have the war chest needed to continue the 114-year winning streak of the Senate Democratic caucus.
Money flows to those with power. Those with power use the money to keep their power. Those with money use those with power to keep their money. Many of those in attendance at the fairgrounds represented large corporations who claim to be champions of the free market system of economy; a system whereby private interests compete for profit with little governmental intervention. Truth be known, many of those large corporations … like Blue Cross Blue Shield of North Carolina … use government intervention to gain a competitive advantage over their competition; a role government leaders like former Sen. Tony Rand are happy to play … provided you pay … at events like the fundraiser last Thursday night.
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“I am a life-long Independent, registered Unaffiliated, and consider myself a radical moderate.” -John Davis, John Davis Political Report A Letter to Rob Christensen, Political Reporter, The News & Observer Note: Today’s N&O carried a front page story titled, Perdue: SEANC speaks for state workers. In the story, political reporter Rob Christensen quoted me in writing,
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“I am a life-long Independent, registered Unaffiliated, and consider myself a radical moderate.” -John Davis, John Davis Political Report
A Letter to Rob Christensen, Political Reporter, The News & Observer
Note: Today’s N&O carried a front page story titled, Perdue: SEANC speaks for state workers. In the story, political reporter Rob Christensen quoted me in writing, “Very clearly this state is moving toward unionization of public employees and collective bargaining rights,” said Davis, a pro-business Republican. What follows is my reply to Rob, a seasoned political writer who I respect very much, correcting his characterization of me as a “pro-business Republican,” followed by a defense of radical moderation, and the need for a balanced, two-party state.
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