The change of personnel at Fiat Chrysler causes unrest

Big Footsteps

For the seventh global automaker FCA, the change of personnel is not completed unexpectedly. Marchionne had already announced his resignation in April 2019 last year and as a prudent manager has certainly already started preparing the estate. His reckless failure worries investors but nevertheless. Marchionne was a charismatic manager, networked worldwide and an extraordinarily competent negotiator. He skilfully managed the FCA and maneuvered out of the crisis for over 14 years

Many are now wondering if the nominated successor for the weekend, Mike Manley, will be able to do this without the help of his mentor, at least during a transitional period implement the ambitious 2018-2022 development plan. This is all the more so as the automotive industry is now facing great challenges all over the world. Marchionne 's development plan calls for investments of 45 billion euros by 2022, half of which will come from new products, including electric cars. At the same time, however, the production of SUVs and sports brands such as Alfa Romeo and Maserati should be strengthened.

Industry experts evaluate the tracking solution throughout the band, which is inscribed in a spirit of continuity. As a close colleague of Marchionne, the 54-year-old Briton is the right person to implement the ambitious growth plan, that is the tenor. He is considered a workaholic and is popular with employees. First and foremost, as an operational benefit, Manley has been managing the Jeep and Ram brands since 2015, which account for more than 60% of sales and about 80% of the Group's value. Jeep sales have more than quadrupled under his leadership and the US brand will remain a focal point of the group.

Mixed Record

Marchionne took over responsibility for Fiat in 2004. The traditional business of Turin, founded by the Agnelli family, now has eleven times more value than it does. was then thanks to Italian-Canadians. His big blow was the merger with Chrysler in 2014. Marchionne has brought FCA on a growth path, not all of the group's brands, however, its track record is equally compelling. In addition, regional diversification has proved more difficult than expected. The US market still accounts for three quarters of the profits. Meanwhile, sales in Europe continue to grow slowly and the targeted conquest of the Chinese market turns out to be coniferous.

Marchionne was once convinced that in the long run, only a few giants would survive in the industry. After the merger of Fiat and Chrysler in 2014, he fought for further consolidation. Among other things, he reportedly announced several times for General Motors. However, as these attempts failed, the new corporate strategy introduced last year was entirely focused on "strength through independence". Also at the General Assembly last April, Marchionne CEO and FCA President John Elkann (a grandson of Gianni Agnelli) pointed out that the group is now strong enough to survive without partner

] Marchionne had promised last year not to close any factory in Italy and to lay off employees. Now, in Fiat's homeland, people are worried that the new leadership may overturn that promise. Representatives of the employers' organization Confindustria, as well as trade unionists, asked the FCA on Monday to confirm their commitments to the labor market.

Manley does not have much time left to prepare for this new task. On Monday, he will meet in Turin under the direction of the FCA. Already Wednesday, the presentation of quarterly figures will begin, to which all eyes will now be turned to the new boss.