GM retools its batteries—and its business culture

Sign up for the free Daily Report email – local news about the people, companies and issues that impact business impact business in Baton Rouge and beyond.

General Motors is overhauling its corporate culture and engineering operations to accelerate innovation, reduce costs and strengthen its competitive position in electric vehicles, artificial intelligence and autonomous driving, Fortune reports. 

At the center of that effort is a $900 million investment in its Warren, Michigan, Battery Cell Development Center and Innovation Center, where GM is developing lithium manganese-rich, or LMR, batteries for its next generation of electric trucks and full-size SUVs. 

The chemistry replaces much of the nickel and cobalt used in conventional batteries with more abundant, less expensive manganese and additional lithium. GM estimates its LMR cells could deliver about one-third more energy density than leading lithium iron phosphate batteries at comparable costs, potentially offering longer driving ranges without relying on Chinese battery technology. 

Advertisement

The company aims to begin commercial production with LG Energy Solution in 2028, even as it faces broader challenges in the EV market, including the expiration of federal tax credits and billions of dollars in EV-related charges.

Beyond battery development, GM is adopting management practices designed to encourage experimentation, challenge established assumptions and speed up product development. Battery and sustainability chief Kurt Kelty encourages employees to set ambitious, measurable goals, acknowledge failed experiments and prioritize projects rather than attempt everything. 

Chief product officer Sterling Anderson, a former Tesla executive, is pushing closer integration of hardware and software, fewer departmental handoffs and greater use of simulations and AI. GM hopes these changes will help shorten vehicle development cycles to two years and improve its ability to compete with Chinese automakers. 

Fortune has the full story.

Comments (0)

From Our Partners

Daily Report Poll

ASK AI

Ask anything about Baton Rouge business