Chrysler Head to Resign While Chrysler Urged to Take Fiat Deal

In a move that may just be window-dressing, the White House has urged GM CEO Rick Wagoner to resign and Chrysler to take a proffered deal with Italian auto maker Fiat in order to receive any additional bailout bucks. This from the New York Times:

The decision to ask G.M.’s chairman and chief executive, Rick Wagoner, to resign caught Detroit and Washington by surprise, and it underscored the Obama administration’s determination to keep a tight rein on the companies it is bailing out — a level of government involvement in business perhaps not seen since the Great Depression.

With Mr. Wagoner having been at the helm for almost a decade, it's clear that he's had ample opportunity to shape the thinking of other executives at GM--his thinking is part of their "DNA." What I find troubling is that there is no mention of the organizational change effort needed to re-shape their thinking (or, failing that, the need for additional blood-letting).

I'm certainly going to keep watching as the dismantling of the old leadership paradigm further disintegrates.