Sergio Marchionne, the CEO of Fiat and Chrysler, has announced the unification of the two automakers’ management teams in one, smaller unit. As Fiat said in a statement, from September 1, the group will have four regional managers for both companies’ operations in Europe, Asia, North America and South America.
These regional chiefs, along with Marchionne himself, and other 17 managers will form a “group executive council". Not surprisingly, Fiat execs dominate the new consolidated management team, with 14 people sourced from the Italian-based carmaker and only five from Chrysler.
Until now, the executives of both companies have worked together in all industrial functions like engineering, design, manufacturing, quality control etc. Marchionne has admitted that he aims to merge the two groups in order to reduce costs and increase their revenue to $140 billion (€100 billion) ‘till 2014.
In comparison, last year Fiat and Chrysler’s combined revenue was $81.47 billion while production reached 3.58 million units. Marchionne’s grander plan is to create a global group strong enough to compete against the biggest names in the industry such as VW, Ford, GM and Toyota.