Can’t Forget the Motor City

01 Jun 2009

Can’t Forget the Motor City

Re: Rick Wagoner (MBA 1977); Fritz Henderson (MBA 1984); Diana Farrell (MBA 1991); Ron Bloom (MBA 1985); Wilbur Ross (MBA 1961)

Topics: Competency and Skills-Experience and Expertise Competency and Skills-Experience and Expertise Markets-Industry Structures Engineering-Machinery and Machining

In a flurry of activity in Detroit in March, the acronym “HBS” was almost as much in evidence as “GM.” It wasn’t just the departure of GM chief Rick Wagoner (MBA ’77) and the accession of his replacement, Fritz Henderson (MBA ’84). Also on the scene were Diana Farrell (MBA ’91) and Ron Bloom (MBA ’85), key players on the presidential task force that’s deciding what to do about the U.S. auto industry.

As a longtime special assistant to the president of the United Steelworkers union, Bloom previously used skills he honed at Lazard Frères to help restructure the U.S. steel industry. Among his many admirers is distressed-assets financier Wilbur Ross (MBA ’61), who got to know Bloom from across the bargaining table when Ross was trying to buy up steel companies that Bloom represented. Observed Ross, “He’s very, very pragmatic, not overly ideological, and a very, very good negotiator” (Wall Street Journal, February 17, 2009).