As part of continued expansion of Cadillac, General Motors will reestablish its flagship brand as a separate business unit with a new global headquarters in New York set to open in 2015.
The automaker said the realignment “affirms Cadillac’s importance to GM’s strategy. Creating a new Cadillac business unit enables it to pursue growing opportunities in the luxury automotive market with more focus and clarity”.
Go deeper with GlobalData
“With the relentless upward repositioning of successive new-generation Cadillac products, the next logical step is to provide Cadillac more freedom to cultivate the brand in pursuit of further global growth,” said GM president Dan Ammann.
“Cadillac’s mission is to reinstate the brand to a pre-eminent position among global luxury brands, a bold challenge requiring a distinct and focused new organisation,” Ammann added. “More than a division or brand, Cadillac is becoming a centre of excellence for our company.”
Johan de Nysschen, who joined Cadillac (from Infiniti, and Audi earlier) as its new president in August, will be responsible for the brand’s overall operational performance.
The ‘leadership council’ is headed by de Nysschen, and consists of Jim Bunnell, vice president of sales and service; Uwe Ellinghaus, chief marketing officer; David Colasinski, chief financial officer; David Leone, executive chief engineer, and Andrew Smith, executive director of design. Further expansion of the team will be announced later.
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 GlobalDataExpansion includes New York HQ
The plan includes expansion to New York City in the form of a multipurpose brand and event space in conjunction with modern loft offices located in the heart of a city GM said is “renowned for establishing trends and setting standards for the global luxury market”.
While the majority of functions with oversight and responsibility for both global and US operations will be located at the new global headquarters, there will be no change to technical product development teams located in Michigan, nor does the plan affect manufacturing or assembly operations. Cadillac management is reviewing options for which specific staff will be based in New York and which will remain in current locations in the Detroit area or elsewhere.
Though it has been launched several times with little success here in Europe in the last two decades, Cadillac has operations in more than 40 countries. GM said the brand’s ongoing growth has been driven by an expanded product line, leading to 28% global growth in 2013 and an increase of about 10% so far in 2014. Sales in China have grown 75% year to date.
“We are very proud of our Detroit roots and heritage, and the majority of the Cadillac workforce will remain in Michigan,” de Nysschen said. “But there is no city in the world where the inhabitants are more immersed in a premium lifestyle than in New York. Establishing our new global headquarters in Soho places Cadillac at the epicentre of sophisticated living. It allows our team to share experiences with premium-brand consumers and develop attitudes in common with our audience.”
