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Monday, September 3, 2007
2008 DODGE VIPER SRT10
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Bertsch takes top IT spot at Chrysler; Unger to retire
| Bertsch: Worked under Unger |
Ralph Kisiel
Automotive News
September 3, 2007 - 12:01 am EST
Bertsch, 50, replaces Sue Unger, who was chief information officer and a senior vice president for DaimlerChrysler AG.
Unger, 57, has chosen to stay with the Daimler side rather than returning to the new, privately held Chrysler. She will remain with DaimlerChrysler and help with the transition before retiring at the end of this year.
Bertsch joined DaimlerChrysler in 2001, after spending a combined 22 years at Ford Motor Co. and Visteon Corp. She worked under Unger as chief information officer of the Chrysler group and Mercedes-Benz of North America.
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Bertsch had been vice president of Chrysler group sales and marketing finance when she was chosen to replace Karenann Terrell as the Chrysler group's chief information officer in 2006. Bertsch was responsible for overseeing information technology development and maintenance for the Chrysler group and Mercedes-Benz sales systems for the NAFTA region.
She earned her bachelor's degree in finance at Wayne State University in Detroit and her master's degree in business from Eastern Michigan University in Ypsilanti, Mich.
Bertsch broke into the industry in 1979 as a financial analyst at Ford.
"The spinoff of Visteon from Ford was a tremendous experience," she told Automotive News in 2005. "I had the ability to play a key role as treasurer of Visteon to take the company public, establish a new organization and integrate new policies and procedures."
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More moves at Chrysler: 5 execs take new jobs
Automotive News
September 3, 2007 - 12:01 am EST CEO Bob Nardelli's personnel shake-up has begun at Chrysler LLC.
Besides the announcement last week that Andreas Schell has been appointed director of its recovery and transformation plan and business strategy, Chrysler named:
- Cynthia Sidoti, 45, manager of the Sterling Heights, Mich., assembly plant. Her most recent position was plant manager of the Toledo, Ohio, Supplier Park complex. Sidoti replaces Robert Bowers, who is retiring.
- Robert Seabolt to plant manager of the Toledo Supplier Park. Seabolt was director of the recovery and transformation plan and material cost management.
- Melissa Holobach to plant manager of pilot operations at the Sterling Heights vehicle test center and the Conner Avenue assembly plant in Detroit.
- Sandra Bouckley, 48, to director of the front-wheel-drive product team, advanced manufacturing engineering.
- Frank Faga to director of the rear-wheel-drive product team, advanced manufacturing engineering.
The appointments were effective Saturday, Sept. 1.
In a statement, Frank Ewasyshyn, executive vice president of manufacturing, said: "These appointments will allow us to further focus on the development of our executive manufacturing team and support our goals for the new Chrysler."
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Meet Chrysler's recovery czar
| Andreas Schell |
Fuel cell specialist, weekend pilot guides revival
Bradford Wernle
Automotive News
September 3, 2007 - 12:01 am EST
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In 2004, Andreas Schell led a crack team of DaimlerChrysler engineers that patented a process for generating hydrogen gas for use in fuel cells. But the brainy young German's career has taken a sharp turn since those days.
Last week, Schell was named point man for Bob Nardelli's effort to revive ailing Chrysler LLC.
The energetic 38-year-old, who spends his weekends piloting small airplanes, will oversee Chrysler's Recovery and Transformation Plan. In effect, Schell becomes chief enforcement officer when it comes to sticking with the plan. He will report jointly to CEO Nardelli and President Tom LaSorda - and his power will be vast.
Chrysler spokesman Mike Aberlich said Schell will be a combination "scorekeeper plus referee plus quarterback" in keeping the recovery plan on track.
His appointment may reflect the kind of uncommon approach that Cerberus Capital Management LP will take at Chrysler - thrusting a relatively junior executive into a make-or-break job.
For his part, Schell exudes enthusiasm and self confidence as he prepares to work with the seven turnaround teams that cover all areas of Chrysler's business.
"I have very good program management skills," he said in a phone interview. "I am very qualified to work with that team. I have the right network and relationships to approach those executives and work with them to achieve the targets."
Besides setting strategy for the recovery and transformation, Schell has responsibility for material cost management and is executive planner in the office of the chairman.
Schell said he aims to "go deep into the details … and drive a content-driven discussion.
"The Recovery and Transformation Plan is an operational improvement program," he said. "What we do there is not going to help us in the short term but really sets the company up for long-term success."
Chrysler's recovery plan, unveiled in February, calls for cutting 13,000 jobs; reducing annual capacity by 400,000 units; idling an assembly plant in Newark, Del.; and returning to profitability next year. Chrysler is also spending $3 billion to develop new engines, transmissions and axles under the plan.
Avoided pitfalls
Most recently, Schell was senior manager in the office of the president and CEO - in effect the top executive assistant to the CEO while LaSorda held that job.
Schell's job was "a German construct," said an insider - an apprenticeship offered to promising young executives. DaimlerChrysler CEO Dieter Zetsche and former Chrysler COO Wolfgang Bernhard launched their careers in similar posts.
Associates say Schell handled the office manager job deftly. Such chiefs of staff can be intensely disliked because they serve as an unwanted barrier to people who want to get through to the boss. Sources say Schell avoided such pitfalls.
"Andreas did a good job in figuring out when to be gatekeeper and when to open the gate," says Aberlich. "So he has a lot of support in the company. He's an energetic individual who has brought a real spirit to everything he touched."
Before becoming LaSorda's executive aide, Schell was senior manager in charge of fuel cell systems advance vehicle engineering at Chrysler. He worked for Daimler-Benz in Germany before the 1998 merger of Daimler and Chrysler Corp. He joined the German automaker in 1996.
Learning about America
In 2002, Schell transferred to Chrysler to take the fuel cell post. He then set up Chrysler's hybrid program office in suburban Detroit. Since then Schell has embraced American culture and is eager to learn more about it.
"He's forever asking about little American sayings and trying to understand them," says Aberlich. "He's got this thirst for knowledge like Dieter Zetsche had about the American culture."
On his office wall, Schell has a map of the United States with pins in it representing places he has visited. He has already visited 41 states. Both Schell and his wife are also avid photographers.
Since moving to Michigan, Schell has earned his pilot's license and likes to spend weekends flying out of Oakland-Pontiac Airport, a short distance from Chrysler headquarters in the northern Detroit suburbs.
Schell, who has an MBA from Michigan State University, decided soon after the DaimlerChrysler divorce that he wanted to remain with the Chrysler side of the business.
"I like living in the United States," he said. "I'm a true believer in Michigan."
Chrysler officials say Schell's appointment is no threat to LaSorda, who was demoted to president and vice chairman when Nardelli was brought on board Aug. 6.
There have been reports that LaSorda would leave the company after contract talks with the UAW end. To quell those concerns, Chrysler signed LaSorda to a new contract in late August. Indeed, a source familiar with Chrysler's management said it would be premature to write LaSorda off.
"He's being evaluated like everybody else."
Schell could actually take pressure off LaSorda, said David Cole, director of the Center for Automotive Research in Ann Arbor, Mich.
"You want to operate the company," Cole said, "but you want to create a force to foster change."
Schell has no doubt he can be a change agent.
"I believe there's a lot of potential in Chrysler," he said. "I think we can do this job. I'm passionate about opportunity to be part of this team."
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Nardelli absorbs auto biz
| Bob Nardelli (right) admires Larry Mayes’ customized Prowler during the vehicle’s 10th anniversary event, held at the Walter P. Chrysler Museum in Detroit. |
Chrysler’s new CEO impresses during his first weeks on job
Bradford Wernle
Automotive News
September 3, 2007 -- 06:01 CETDETROIT -- When Bob Nardelli was named chairman and CEO, a lot of people were quick to mention his controversial stints at General Electric and Home Depot.
The new guy lacks people skills, does not listen to customers, is an example of excessive executive pay and surrounds himself with ex-military people who will not questions his decisions -- or so his critics said.
When Nardelli met with reporters on August 16 at the Walter P. Chrysler Museum in suburban Detroit, he was asked what he thought about all the bad things that had been written about him.
“I don’t recognize that guy,” Nardelli said.
So far, Nardelli has worked hard to show he’s the right man for the Chrysler job -- and not the tyrant portrayed in some news accounts.
Nardelli has said that in his early days at Chrysler, he will be a “dry sponge.” He aims to get around to all Chrysler departments to listen and learn about the car business, in which he has no experience.
Many meetings
During his first two weeks, Nardelli has been a whirl of motion around Chrysler’s cavernous headquarters in Auburn Hills, Michigan. He has visited company vice presidents in their offices and dined in the employee cafeteria.
He has met several times with UAW President Ron Gettelfinger and the UAW’s Chrysler negotiating team, headed by General Holiefield. He ventured to nearby Windsor, Ontario, to meet with Canadian Auto Workers President Buzz Hargrove for an hour-long breakfast. And he met over dinner with members of the Chrysler dealer council.
Nardelli, who has long been involved with the United Way charity, lit the torch kicking off the United Way Torch Drive and addressed several hundred Chrysler employees last week at Chrysler headquarters.
His wife, Sue, accompanied him to the Woodward Dream Cruise, a classic car event in suburban Detroit, on August 18. And he talked to a gathering of car collectors at a shopping plaza there.
Nardelli owns a 2000 Plymouth Prowler Black Tie edition that had 1,134 miles on it when he donned a Hawaiian shirt and met with a group of Prowler enthusiasts.
Chuck Eddy, co-owner of Bob and Chuck Eddy Chrysler-Dodge-Jeep in Austintown, Ohio, and a dealer council member, said he was impressed with Nardelli during an August 16 dealer council meeting in Auburn Hills.
Said Eddy: “He took Q&A from the guys for a solid hour.”
Simon Boag, Chrysler executive vice president for procurement and supply, says Nardelli is “asking great questions. I’ve been impressed. He’s very personable. He wants to understand who he’s working with. People are a priority for him.”
CAW President Hargrove said he found Nardelli accessible during a 75-minute breakfast meeting last week at the Windsor Casino.
“He said all the right things,” Hargrove said. “He had been well-briefed on our history and our concerns. The jury’s out on whether he can produce. He gave us all the time we wanted to raise whatever issues we wanted.”
That same morning, Chrysler held a ceremony to start production of the new generation of minivans at the Windsor assembly plant. Nardelli did not attend, leaving it to Windsor native and Chrysler Chief Operating Office Tom LaSorda to preside.
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Daimler’s strategy chief to sit on Chrysler board
| Grube will keep working with Chrysler. |
German automaker’s one-fifth stake overseen by Grube and 2 other executives
Tom Armitage
Automotive News
September 3, 2007 -- 06:01 CET
Daimler and Chrysler are splitting after a nine-year relationship.
Chrysler Holding’s other four board members will come from Cerberus, the private equity company that agreed to buy 80.1 percent of Chrysler in May.
Daimler, which retains 19.9 percent of Chrysler after the sale, will also send two more senior managers to serve on the boards of the Chrysler auto and finance subsidiaries.
There will be no change to Grube’s current role at DaimlerChrysler, the spokeswoman said. Grube’s responsibility there covers corporate development, including corporate strategy, mergers and acquisitions, industrial participation and global IT policy.
Cerberus has said it will make Chrysler profitable again within three years. Daimler has an interest in ensuring that Chrysler meets this goal. Daimler’s one-fifth stake will appear on its books “at equity,” meaning that the German firm must record its share of the US company’s profits or losses.
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Cerberus OKs nine Chrysler projects
David Barkholz
Automotive News TRAVERSE CITY, Mich. --Expect the new owners of Chrysler LLC to move fast in all aspects of the business, says Frank Klegon, executive vice president of product development.
Speaking at the conference here today, Klegon said Cerberus Capital Management LP gave the go-ahead to nine major projects developing at Chrysler within 36 hours of agreeing to buy the automaker.
Cerberus also wasted no time bringing aboard new CEO Bob Nardelli, who doubled the size of Home Depot Inc. as its CEO and was a star at GE Power Systems.
“As a private company, we’re able to make decisions more quickly and thus move faster to respond to the market,” Klegon said.
About $3 billion was approved for new engine and drivetrain plants to offer products that will improve performance and fuel economy, Klegon said.
Chrysler has broken ground on three engine plants for a new family of V6 engines that will provide a 6-8 percent gain in fuel efficiency, he said. The engine is designed with Chrysler’s patented multi-displacement system, which operates the engine on three cylinders when less power is needed and all six when more power is required, he said.
A new dual clutch transmission developed with Getrag will hit the road in 2010 model-year vehicles that will offer fuel-economy improvements of up to 6 percent. Chrysler has broken ground on that new transmission plant in Kokomo, Ind., and an axle plant in Marysville, Mich., that uses Mercedes axle technology for a 5 percent efficiency gain, he said.
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