A sad changing of the guard – vale Sergio Marchionne – was the most popular story here on just-auto this week. In what could be seen as a prescient move, we had only recently published Ray Hutton’s insightful look at the likely future of Fiat Chrysler Automobiles after CEO Sergio Marchionne ‘leaves’ and this column last week was titled Life after Sergio – the week – I certainly did not mean that as literally as it turned out.
We had, of course, no inkling this time last week what was to come. Hutton’s article was about the much respected Marchionne stepping down as head of FCA but remaining chairman of Ferrari and CNH Industrial, associated companies that are now separated from Fiat. Aged 66 at his death, he had given fair warning of his intention to stand back some years ago, saying that by 2019 his job would be done and it would be the time for ‘one of the kids’ (the associates he has cultivated, many of whom are not much younger than him) to take over.
Go deeper with GlobalData
Come last Monday and there was bad news: Marchionne had stood down from his post at the weekend following ‘unexpected complications’ that arose as he recovered from surgery to his shoulder. FCA said “as a consequence, Marchionne would be unable to return to work”. Mike Manley, head of the group’s Ram and Jeep brands, had taken over as FCA Group chief executive. Next, on Wednesday, came the sad news that, I think, shocked many (especially those of us a certain age): Marchionne had died, his passing confirmed by the Agnelli family investment company and FCA stakeholder Exor. As we said, and many others expressed worldwide on social media, “He’ll be much missed by many colleagues, as well as journalists and industry commentators”. Sure will. RIP, and our condolences to his family, friends and colleagues.
The departure of a great man seems to have led, inevitably, to some manoeuvring at FCA. Soon after Marchionne stepped down, we reported Europe chief, Alfredo Altavilla, was leaving the group ‘to pursue other professional interests’. Some media reports had suggested Altavilla was in the running to replace Marchionne – but the job went to Mike Manley and he was now leaving as a result of that. FCA said new group CEO Manley was also appointed temporary chief operating officer of EMEA region, adding Altavilla would work with Manley to the end of August to ensure a smooth transition. The experienced Altavilla, 54, was seen as close to Marchionne and his departure could be seen as a blow to Manley who was faced with a financial results presentation also on Wednesday (25 July) when he would have wanted to demonstrate stability in the top management team to investors. FCA also said global business development would now be realigned to report to Richard Palmer, the group CFO and COO of systems and castings. Hopefully, things at FCA will settle down now and necessary new appointments will be made without further angst.
While on the subject of ‘leadership succession’, you might be interested in this also well read comment article by our director of automotive, Dave Leggett, on the future of the Renault-Nissan Alliance after Ghosn. It seems Ghosn might gradually disappear from the limelight in much the same way the late Marchionne apparently planned to. As Leggett says: “When someone has been around at the top as long as Ghosn has, it is not an easy subject. The man himself has indicated that even he will have to wind down at some point (Thierry Bollore is the favourite to ease into the top job at Renault – he’s COO; Ghosn retains much influence at Nissan, but relinquished the formal CEO role in 2017). It will require sensitive management but there are some signs of how that change could be gradually implemented – Ghosn retaining some hats for longer than others, presence and stability maintained, alongside a managed succession.” Let’s see how that pans out.
See Also:
New model analysis always draws your eyeballs and this week our resident product guru, Glenn Brooks, ran an experienced eye over the Jaguar XF Sportbrake diesel, asking is it greener than any Tesla? JLR also announced a deal with Plugsurfing to enable easy European recharging of the likes of Jaguar’s new I-Pace EV and PHEV Range Rovers.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataMeanwhile, yours truly flew to Slovakia as a guest of Kia (for some blessed relief from the UK’s near record heatwave in the mountain air of the High Tatras) to have a decent look and drive in freshly-minted, UK-spec, redesigned 2019 Ceed models, fresh off the assembly line at nearby Zilinia. Also this week: Kia launched its new fully electric Niro – with a claimed range of 280 miles on single charge – in its home market. The car makes its European debut at the upcoming Paris show, with European sales to commence at the end of this year. Looking forward to putting that claimed range to the test.
Have a nice weekend.
Graeme Roberts, Deputy Editor, just-auto.com
