Ford Motor Company last night announced a shake-up of its top management intended to streamline vehicle development efforts and bring CEO Alan Mulally closer to key operations.
In his first major move since taking his position full time in October, Mulally created a post of global product development chief at the struggling number 2 US car maker and eliminated a layer of management in its international operations.
Derrick Kuzak, who played a key role in the launch of Ford's small Focus sedan, will lead Ford's new global development group, reporting to Mulally.
Mulally, who joined Ford from Boeing, had made it clear he was looking to revamp the car maker's operational structure to make Ford leaner and more centrally driven in areas such as product development, purchasing and engineering.
In a series of interviews since taking office, Mulally has criticised Ford's regional operating structure as an impediment that was keeping the company from competing effectively against rivals such as Toyota.
As part of the management changes, Mulally will have four additional executives reporting directly to him with responsibility for purchasing, manufacturing engineering, information systems and technology.
The restructuring also eliminated the position that had been held by Mark Schulz, Ford's former head of international operations, who announced his early retirement last week after more than 30 years with the car maker.
The new management structure at Ford parallels one already in place at larger rival General Motors Corporation, where Bob Lutz was named global product chief last year in a move that analysts have praised for amping up GM's product pipeline.
Ford, which has seen its sales drop by 8% this year, has faced scrutiny because of what many analysts see as the weakness of upcoming products at a time when consumers are shifting away from its stronghold in trucks and SUVs.
Mulally's arrival at Ford has been viewed positively by Wall Street analysts as a catalyst that could push the company through the next phase of a restructuring that has already seen more than 50,000 jobs cut and 16 plants closed.
