Smith, Roger B.
Roger B. Smith became the tenth chairman of General Motors on January 1, 1981. He was the first since GM's first chairman, Thomas Neal, to grow up in the Detroit area. Born in Columbus, Ohio, he moved to Michigan with his family at the age of three. He served as chairman and chief executive officer until his retirement on July 31, 1990. Prior to being elected chairman, Smith had been an executive vice president and member of the GM Board of Directors since December 1, 1974.
Born in Columbus, Ohio, on July 12, 1925, he received his formal education in Michigan. He was graduated from Detroit University School in 1942. He received his bachelor's degree in business administration in 1947 from the University of Michigan and was awarded a master's degree in business administration there in 1953. He served in the U.S. Navy from 1944 to 1946.
Smith began his GM career in 1949 as a general accounting clerk in the Detroit Central Office. After a series of promotions, he became treasurer of the Corporation in 1970 and vice president in charge of the Financial Staff and a member of the Administration Committee in 1971. The following year, he became vice president and group executive in charge of the Non-automotive and Defense Group.
In 1974, he was elected executive vice president, with responsibility for the Financial, Public Relations, and Industry-Government Relations staffs. He was also named a member of the Finance and Executive Committees.
Smith was the originator in February 1978, of the General Motors Cancer Research Awards, designed to recognize basic and clinical scientists throughout the world for hallmark accomplishments in research on the cause, prevention and treatment of cancer.
Roger Smith led General Motors through a very difficult period for the American automobile industry as the corporation tried desperately to maintain its profits in the face of ever-increasing competition. General Motors share of the American market fell from 46% in 1980 to 35% in 1990 as the numbered of cars built by foreign manufacturers and imported into the United States grew by leaps and bounds. In an attempt to find new profit centers, he pushed the company to explore new technologies with the purchase of Hughes Electronics and Electronic Data Systems (EDS).
As the 1980s began, Smith and the leadership of General Motors viewed the production of a small car that could contend with the Japanese imports as a top priority. Smith was instrumental in the creation of the Saturn Corporation. Saturn was created specifically to build and sell small cars that could compete with the Japanese. The Saturn Assembly plant in Spring Hill, Tennessee officially opened for production the day before Smith retired in 1990.He also saw the virtue in cooperating with the Japanese competition. In 1982, Smith met with Toyota chief executive Eiji Toyoda and the two came to an agreement to pursue a joint venture. This enterprise would be known as New United Motor Manufacturing, Incorporated (NUMMI). Under this agreement, small cars were built using Toyota production methods at a GM assembly plant in Fremont, California. These cars would be branded as both Toyotas and GMs. NUMMI built several cars for General Motors including the Chevrolet Nova (1984-1988), the Geo Prizm (1990-1997), and the Chevrolet Prizm (1998-2002). It currently produces the Pontiac Vibe for General Motors.
Smith’s efforts to push the company forward came with many bumps and bruises. He clashed repeatedly with the United Automobile Workers (UAW) as the corporation cut jobs and shifted its workforce from older facilities to newly built assembly plants.
GM’s car lines also continued to suffer under Smith’s leadership. Styling continued to take a backseat to the bottom line and many of the models being built across GM’s divisions began to resemble one another. These "look-alike" cars did not help the corporation’s reputation.
When Smith retired in 1990, he left behind a much different General Motors than was placed in his care when he took over the chairmanship. For better or worse, this transformation is his legacy and is the foundation of the General Motors of today.
Roger Smith died November 29, 2007 in suburban Detroit. He was 82.