General Motors, or GM, on Friday announced management changes as part of a drive by the company's chairman and acting CEO Edward Whitacre to accelerate decision-making and revitalize the automaker following its exit from bankruptcy in early July. The management shakeup comes three days after the ouster of the company's chief executive Fritz Henderson.
Henderson, a 25-year GM veteran, resigned Tuesday under pressure from the board. Whitacre, who was brought in as chairman in the summer as part of the company's bankruptcy reorganization, took over as interim CEO.
In a statement, Whitacre said, "I want to give people more responsibility and authority deeper in the organization and then hold them accountable. We've realigned our leadership duties and responsibilities to help us meet our mission to design, build and sell the world's best vehicles."
Whitacre named Mark Reuss president of GM North America after a brief stint as vice president of engineering after leading GM's Holden operations in Australia in 2008. Susan Docherty, who has been appointed vice president of vehicle sales, service and marketing operations, will report to Reuss. She was earlier vice president of U.S. Sales.
GM said that Robert Lutz remains vice chairman and will act as advisor on design and global product development. Christopher Preuss, vice president of communications, will now report to Whitacre. He previously reported to Lutz.
Diana Tremblay was named vice president of manufacturing and labor relations. Tremblay was most recently vice president of labor Relations. GM named Denise Johnson vice president of labor relations. Johnson was most recently vehicle line director and chief engineer for global small cars.
GM said it appointed Nick Reilly as president of GM Europe. Reilly, who has been leading the restructuring efforts in Europe with the Opel/Vauxhall operations, will leave his role leading GM International Operations.
Tim Lee, who was most recently group vice president of manufacturing and labor relations, was named president of GM's international operations, overseeing GM's Asia-Pacific, Latin America, Africa, and Middle East operations.
GM said that Thomas Stephens will remain vice chairman of global product operations, and will now take on global purchasing in his organization, which will continue to be led by Robert Socia, vice president of global purchasing and supply chain.
Karl-Friedrich Stracke, who was most recently executive director of engineering, has been appointed vice president, engineering, and will report to Stephens.
In mid-November, GM reported a loss of $1.2 billion for the first 83 days of its operations after exiting bankruptcy. GM said at that time that it intends to accelerate the repayment of its $6.7 billion in U.S. government loans with an initial $1.2 billion payment in December.
The company's total debt as of September 30 was $17 billion, including $6.7 billion in U.S. government loans, $1.4 billion in Canadian government loans, $1.3 billion in German government loans and $7.6 billion in other debt globally.
The company also had said it expects moderation in total global vehicle industry volume in the fourth quarter, with modest growth in 2010. The company has decided to reduce the number of dealerships in the U.S. and Canada.
For comments and feedback: editorial@rttnews.com