
It was announced today by MSN that Harley Davidson, arguably one of the most popular motorcycle manufacturers, was named as having one of the most poorly run corporate boards in the US. Frankly, it's not a huge surprise that H-D landed on the list, just look at the company's numbers over the past year. They've been struggling to reach the younger demographic, losing money hand-over-fist, and no one really knows what to do about it. Well, I do have one piece of advice H-D, sure as hell don't have a meeting about it. That seems to be the losing formula that has driven marketing into the toilet, failing to capture a new audience of buyers. So, what actually makes you one of the worst boards in the US?
- Allowing directors to do too much business with the companies they are supposed to oversee.
- Letting the CEO chair the board, which is supposed to oversee the CEO.
- Overpaying board members and keeping them on too long.
- Allowing directors to miss too many meetings to do an effective job.
At the end of the day, these corporate slackers are affecting the future of one of the biggest motorcycle names around. H-D is set to release Q1 financials on April 20th, hopefully rebounding from their dismal Q4 of 2009, where they managed to post a loss of 147 million dollars. Now, can we blame the crappy board for 147 million dollar loss? Absolutely not. But when your brand is struggling, the last thing you need is an overpaid, lazy legion of suits compounding the problem. It all starts at the top, and the proverbial crap continues to roll down hill. Harley Davidson, wake up.









Comments
http://articles.moneycentral.msn.com/Investing/CompanyFocus/5-of-the-worst-corporate-boards.aspx?page=3
I got really involved with the details after HD decided to close Buell and MV Augusta, and there is even a very interesting story behind that. April Cycle world magazine has a good story on it.
I’m also personally tired of my dealerships antics. I have a list of things that have gone wrong from purchase to service. I’m never going buy another Harley. Victory is my new brand for that sort of bike.
I also own 09 Buell which I paid 11500. About 5 months later HD decides to close Buell and cut the sales price in half. It’s nice to know that I threw 5g out the window. And they have no remorse about it, or the 180 employees that lost their jobs. I’m still not sure why they closed Buell after winning the AMA Daytona class in the US, a third place in some European class, and a top ten place in another European superbike class. Also the planned 2011 Buell Barracuda was scraped, the entire R&D along with the bikes. It looked to be an attractive bike that would have surely sold well; especially after their stellar race season. Screw you HD. You just lost one of your 40-ish and under age group.
I just recently upgraded from an older FL to an 07 streetglide because I loved the looks of it, and coming from the mouth of someone who teaches engineering all I can say is what a road turd! It has become more than evident that they are building and designing with the idiot couch potato in mind instead of riders.
The fact they shut down the Buell line just further goes to prove this theory, what are they going to do? Increase fake tattoo sales to compensate their motorcycle sales? More Chinese t-shirts? They should back off of the franchising infractions, stop trying to copyright sounds and realize the YUPPI DINK WHORES (Young Urban Professionals, Double Income, We Haul Our Rides Everywhere) have gone back to the latest flavor of the day recreation like maybe golf or bowling but they are going to have to rely on motorcycle RIDERS to make it in business again.
This all makes me yearn for printed media...
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We like to have a fun here at All About Bikes. It does come out from time to time in our articles (especially online).
We appreciate the feedback! Keep it coming.
Jeff
Enthusiasts are understandably upset with the dumping of Buell, and only history will be able to tell if that was the right business decision or not. If it was essential to keep the corporation afloat in these tough times, then they may have had little choice, although selling it seems better than dumping. But thats just MHO, YMMV.
Blue jean, t-shirts & working in a barn instead of "corporate headquarters".
It seems that they have forgotten their roots.
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