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Lutz to retire from GM

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Amidst yet another management shakeup at General Motors, vice-chairman Robert A. Lutz, better known as Bob, will retire effective May 1, 2010 after a 47-year career in the global auto industry that included senior leadership positions at four of the world’s leading automakers.

Lutz, now 78, rejoined GM September 1, 2001, as the head of product development, and has led the company’s product resurgence He previously worked at BMW, Chrysler and Ford, as well as an earlier stint with GM.

Lutz says he decided to retire now in part because hot-selling vehicles like the Buick LaCrosse, Cadillac SRX, GMC Terrain, Chevrolet Equinox and Chevrolet Camaro, along with the growing strength of GM’s four brands, prove that a product-focused mindset inside the company is in place for the long term.

“I can confidently say that the job I came here to do more than nine years ago is now complete – the team I have been fortunate to lead has far exceeded my expectations,” Lutz said.  “Our product lineup is as strong as it has been in GM’s history.  The perception of our products and brands is beginning to catch up with reality. And most importantly, the absolute commitment to being a product-driven company is ingrained throughout the organization – from the top down – and I am confident that, under Ed Whitacre’s leadership, the straightforward, singular focus on product will endure.”

Nevertheless, Lutz will not be on board when the electric-drive Chevrolet Volt, which he championed, comes to market. Last December, his role within the organization appeared to be downgraded when he was made a senior advisor to now-CEO Ed Whitacre. He will continue in that role, “to provide guidance on design and key product initiatives” until he retires May 1, according to a company statement.

Concurrently, GM announced another round of management moves, reversing direction on some decisions made earlier in Whitacre’s tenure.

The sales and marketing organizations in the U.S, which had been united, are being split again with Canadian-born Susan Docherty giving up responsibility for sales and service operations.

She will continue as vice-president, U.S. marketing, reporting to Mark Reuss. Marketing vice-president s for Chevrolet, Cadillac and Buick-GMC wil report to her.

Steve Carlisle is appointed vice-president, U.S. sales operations, responsible for dealer network, retail sales support and fleet & commercial. Sales and service vice-presidents for the brands will report directly to Reuss.

Among other top-level executives with new responsibilities, Brian Nesbitt, the designer of the PT Cruiser who later moved to GM and was most recently in charge of Cadillac, is returning to a design position, under Ed Welburn.

And Chris Preuss, vice-president of communications has been shifted to president of OnStar. His former role will be filled by a GM outsider, Selim Bingol, who has prior connections to Whitacre through AT&T.

“This structure has been developed with as few layers as possible between me, the dealer and the customer,” said Reuss. “By removing layers and giving leaders increased accountability, we allow them to move faster and focus on what needs to be done.”
 

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