Editor's Note: GM Gets Passionate About Innovation

When I was in Ralph Szygenda's office a couple of months ago, I got a heavy dose of his passion for business-technology innovation. That passion isn't unusual for the GM CIO, but it came with a sense of urgency that's hard to describe--but not hard to understand.

Things aren't rosy for GM's business, after all. Financial declines, plant closings, layoffs, and competition are bringing a chill over the company that's more bitter than a Detroit winter. But it has a history of innovative technology development and processes that it doesn't want to let slip. In fact, GM wants to accelerate that effort on a global scale that's unmatched by any of its competitors. After 18 months of working on plans, requirements, and standard processes that GM expects its IT service providers to follow, it's time for the really hard work to begin. It's time for GM's service providers, selected last week, to make good on Ralph's words: "Globalization is going to make all companies cannibalize processes and reinnovate. The next 10 years are going to be the most exciting in the IT industry."

To find the right service providers, GM dangled a big carrot: $15 billion in contracts. To get a piece of the action, outsourcing firms must do away with one of Ralph's biggest peeves: proprietary ways of doing business that add complexity to functions that should be standardized. This isn't just for the sake of GM but for other companies that work with more than a few outsourcers. Note to service providers: Act fast if you want to help GM gain ground in the auto business.

For more insight into Ralph's passion and goals, take a look at the video we captured shortly before he decided to whom he was giving the contracts: http://twimgs.com/infoweek/newsshow/GMralph.wmv (this link will access a .wmv file (Windows Media file)).

Stephanie Stahl, Editor-in-chief
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