Automotive News Europe - March 2013 - 16

AUTOMOTIVE NEWS EUROPE

AUTOMAKERS

New Opel CEO Neumann
stands behind rescue plan
MICHAEL KNAUER
mknauer@craincom.de

R

UESSELSHEIM -- New Opel CEO
Karl-Thomas Neumann is standing
behind Opel’s restructuring. Neumann has seen the Drive 2022 plan and
wants to implement it without major
changes, sources close to Opel told Automotive News Europe sister publication
Automobilwoche. Opel was the major
contributor to parent General Motors’
$1.8 billion operating loss in Europe last
year. GM wants to reach break-even in
Europe by 2015/2016 and reduce fixed
costs at Opel by about $500 million
this year compared with 2012. An Opel
spokesman said this will be achieved
through a more thorough integration of
financial services provider GMAC into
GM, among other measures.
Another key part of Drive 2022 is a new
car-pricing structure for Opel. This will
stop short of being an across-the-board
change in pricing or brand positioning, the spokesman said. At the same
time, more than 90 percent utilization
of Opel’s factories is envisioned by
2022. This will probably not be feasible
without closing vehicle production in
Bochum, Germany. As a result, Neumann, who started March 1, wants to

persuade employees to grant concessions. According to the restructuring
plan, vehicles sold in Europe will be
manufactured in Europe whenever possible. The Mokka small SUV’s successor
could be built in Eisenach, Germany,
or Gliwice, Poland, instead of South
Korea, the spokesman said, adding that
no final decision has been made. On
the other hand, there are “no European
localization plans” for the U.S.-built Ampera plug-in hybrid or the South Koreanbuilt Antara medium SUV. In addition
to growth in Russia, the plan’s third
phase, Opel envisions an increase in the
brand’s desirability by reaching the top
five in customer satisfaction surveys.

Neumann is tough
Neumann is likely to be a tough enforcer of the Drive 22 plan. The 51-yearold electrical engineer does not bend
easily, sources say. As CEO at Continental, Neumann’s youthful charm initially
helped him with his major shareholder,
Maria-Elisabeth Schaeffler. But he defied Schaeffler more than once over
the supplier’s crushing debt and left in
2009. Neumann moved to Volkswagen,
where he helped create vehicles such
as the e-Up and the e-Golf and was
seen as a possible successor to CEO

GM is counting on new Opel CEO
Karl-Thomas Neumann to end losses
at the German automaker.
Martin Winterkorn. In 2010 Neumann
was named VW’s top China executive.
But sources say he struggled while
toiling far from headquarters. He was
blamed for problems with transmission
production in China, which his supporters say resulted from decisions made
before he came.

Commentary

Should Opel’s new CEO be envied?

W

hy is Karl-Thomas Neumann committing professional suicide? That’s
the question that many auto industry
observers are asking. The top job at Opel
is considered a trap door that opens
regularly and swallows executives. A long
line of predecessors can attest to this.
The challenges facing the General
Motors unit include the 16.1 percent
decline in domestic sales and a 15.6
percent drop in Europewide demand
last year. The brand image is poor at

16

www.autonewseurope.com

Michael Knauer
is a staff reporter at Automotive
News Europe sister publication
Automobilwoche.
best. Mass layoffs loom. Thousands of
Opel workers mentally quit long ago.
Now the good news: Opel is Europe’s
third-largest brand; it has a wide range

of models including hot new entries
in the small SUV (Mokka) and minicar
(Adam) segments; brand awareness is
high and the company has a rich history
Should Neumann be envied? Look at it
this way, there is no auto job in Europe
where it will be easier to rise to stardom. If Neumann leads a turnaround,
he should be considered in the same
league as Carlos Ghosn and Sergio
Marchionne. If he fails, no one can say
he ran from a massive challenge.

MARCH 2013


http://www.autonewseurope.com

Automotive News Europe - March 2013

Table of Contents for the Digital Edition of Automotive News Europe - March 2013

Automotive News Europe - March 2013
Contents
Marchionne’s big gamble
Star attractions
Showstoppers
Cutting edge
Big plans
Growing apart
Prolific platform
Fresh start
Enter the cyberstore
Latest launches
Locals lose ground
Tech breakthrough?
Personnel problem
Cutaway
Segment superstars
January European sales by country and make
January European sales by model
January production by brand
January Turkey sales by brand
January Russia sales by brand
Still hot
January U.S. sales by model
Global top 25 sales by market and brand
Automotive News Europe - March 2013 - Intro
Automotive News Europe - March 2013 - BB1
Automotive News Europe - March 2013 - BB2
Automotive News Europe - March 2013 - Automotive News Europe - March 2013
Automotive News Europe - March 2013 - Cover2
Automotive News Europe - March 2013 - Contents
Automotive News Europe - March 2013 - Marchionne’s big gamble
Automotive News Europe - March 2013 - 5
Automotive News Europe - March 2013 - 6
Automotive News Europe - March 2013 - Star attractions
Automotive News Europe - March 2013 - 8
Automotive News Europe - March 2013 - Showstoppers
Automotive News Europe - March 2013 - 10
Automotive News Europe - March 2013 - 11
Automotive News Europe - March 2013 - Cutting edge
Automotive News Europe - March 2013 - Big plans
Automotive News Europe - March 2013 - Growing apart
Automotive News Europe - March 2013 - Prolific platform
Automotive News Europe - March 2013 - Fresh start
Automotive News Europe - March 2013 - Enter the cyberstore
Automotive News Europe - March 2013 - Latest launches
Automotive News Europe - March 2013 - Locals lose ground
Automotive News Europe - March 2013 - Tech breakthrough?
Automotive News Europe - March 2013 - Personnel problem
Automotive News Europe - March 2013 - Cutaway
Automotive News Europe - March 2013 - Segment superstars
Automotive News Europe - March 2013 - 24
Automotive News Europe - March 2013 - 25
Automotive News Europe - March 2013 - 26
Automotive News Europe - March 2013 - January European sales by country and make
Automotive News Europe - March 2013 - January European sales by model
Automotive News Europe - March 2013 - 29
Automotive News Europe - March 2013 - 30
Automotive News Europe - March 2013 - January production by brand
Automotive News Europe - March 2013 - 32
Automotive News Europe - March 2013 - 33
Automotive News Europe - March 2013 - January Turkey sales by brand
Automotive News Europe - March 2013 - January Russia sales by brand
Automotive News Europe - March 2013 - Still hot
Automotive News Europe - March 2013 - January U.S. sales by model
Automotive News Europe - March 2013 - 38
Automotive News Europe - March 2013 - 39
Automotive News Europe - March 2013 - Global top 25 sales by market and brand
Automotive News Europe - March 2013 - Cover4
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