04: Turnaround with restructuring and subsequent strategy & business development for the US commercial vehicle division of a global automotive supplier
in the role of "General Manager Commercial Vehicle Division NAFTA"
US commercial vehicle division of a global automotive supplier
US manufacturer of electronic and mechatronic products and systems for automotive and commercial vehicle OEMs in North America
General Manager of the Commercial Vehicle Division for the NAFTA region
- Operational business responsibility with P&L for the “Information Systems Commercial Vehicles” (IC) division in North America with the 4 business segments: trucks (on highway), long-distance & city buses, agricultural vehicles, and construction vehicles.
- Reporting line to the CEO of the IC Division worldwide and to the President of the North American subsidiary, leading 120 employees.
Initial Situation & Tasks:
- The commercial vehicle division of the North American subsidiary had been unprofitable for many years. The economic turnaround and stronger, profitable growth were to be achieved as part of my international assignment.
- Management of the Sales & Marketing, Project Management, and Development departments for “Instrumentation, Onboard Electronics/Wiring System Systems, and Driver Workstations,” functional responsibility for Operations (matrix organization).
- Construction/mechanical CAD design for plastic injection molded parts, development of electronic HW/SW, assembly and mounting concepts, test concepts for verification and validation.
- Preparation of strategic business and budget planning.
Activities / Measures:
- Implementation of an aggressive growth program focusing on key accounts for project acquisition and new customer acquisition.
- Restructuring with staff reductions (HC reduced by 20), portfolio management, and an extensive cost reduction program (manufacturing, logistics, purchasing, sales…).
- Introduction of consistent shop floor management.
- Use of Value Stream Analysis and Design (VSA/VSD) in manufacturing.
- Definition and introduction of a key account sales and project organization.
- Customer and product portfolio management with consolidation and focus on OEM business with key accounts, profitable products, and higher volumes.
- Relocation of production to Guadalajara (Mexico).
- Establishment of a project and sales office in Seattle (Washington State).
- Trusting and sustainable relationships were established, particularly with key US key customers.
Special Achievements/Results:
- Earnings turnaround from -4% EBIT to +/-0% (break-even) in 1.5 years and to +5% in 3 years.
- Revenue increased by 30% in 3 years, order intake doubled.
- Acquisition of a new key account and development as a global OEM customer for the commercial vehicle division.
- Successful technology transfer of platform products from Germany, such as the driver workstation for city buses, with appropriate adaptation to the needs of the North American market.
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