Meritor Automotive Continues to Align Organization With Global Growth Goals
2 February 1998
Meritor Automotive Continues to Align Organization With Global Growth Goals
New Alignment Will Leverage Operating Efficiencies
And Ensure Best Customer Service Practices Worldwide
TROY, Mich., Feb. 2 -- Meritor Automotive Inc. ,
announced four organizational changes to accelerate global growth and leverage
operating efficiencies and customer service practices across its businesses.
The changes include bringing Meritor's aftermarket businesses into one
organization; consolidating the company's engineering, quality and procurement
functions; re-aligning financial control functions; and restructuring Heavy
Vehicle Systems.
Aftermarket Alignment
The aftermarket sales and service functions of Meritor's Heavy Vehicle
Systems and Light Vehicle Systems will be combined to form the Aftermarket
Services organization. This new business unit will bring together all
aftermarket activity worldwide to gain operating efficiencies and will report
directly to Meritor Chairman and Chief Executive Officer, Larry D. Yost. With
its historical Heavy Vehicle Systems focus, the aftermarket business will
expand its scope to serve the Light Vehicle Systems markets.
Thomas A. Gosnell will head the aftermarket business as vice president and
general manager, Aftermarket Services. Gosnell was vice president and general
manager of the company's Heavy Vehicle Systems aftermarket business.
Gosnell, 47, joined Meritor Automotive in 1979 as a purchasing manager and
has held a number of increasingly responsible positions within the company.
Meritor's aftermarket business, with 1997 sales of approximately $300 million,
today supplies an extensive line of drivetrain and brake system parts for
trucks, trailers, buses, and specialty and off-highway vehicles.
Quality, Engineering and Procurement Alignment
The company also announced that it will combine the quality, engineering
and procurement functions of Heavy Vehicle Systems and Light Vehicle Systems
into one organization. S. Carl Soderstrom, formerly vice president,
Engineering and Quality for Meritor's Heavy Vehicle Systems, will become
senior vice president, Engineering, Quality and Procurement, reporting
directly to Yost. "Under Carl Soderstrom's direction, engineering, quality
and procurement practices will become unified across Meritor's light vehicle
and heavy vehicle systems businesses throughout the world," Yost said.
Prior to joining Meritor in 1995, Soderstrom, 44, held senior engineering
management positions at Rockwell's industrial automation business, and
materials management and manufacturing positions at General Electric
Corporation and Emerson Electric.
Corporate Controller's Organization Alignment
The financial organizations within Heavy Vehicle Systems and Light Vehicle
Systems will be centralized functionally, reporting to Lawrence J. Lockwood,
Meritor's vice president and corporate controller. Lockwood will continue to
report to Thomas A. Madden, the company's senior vice president and chief
financial officer. This centralized alignment will facilitate the
implementation of best business practices and processes to support the
realization of Meritor's long-term financial goals.
Heavy Vehicle Systems Alignment
Yost also announced that Richard Quaid, 55, senior vice president and
president, Off-Highway and Specialty Products, has announced his plans to
retire from Meritor on March 1, 1998. "Dick has been an important contributor
since joining the organization in 1974," Yost said, "specifically in the
growth of the company's Heavy Vehicle Systems business."
"To further accelerate its growth worldwide and focus on new business
opportunities in specific global markets, Heavy Vehicle Systems will be
reorganized into six business units," Yost continued. Reporting directly to
Prakash Mulchandani, president, Heavy Vehicle Systems, will be: Axle Products,
led by Brad Arnold, general manager; Braking Systems, led by Walter
Frankiewicz, general manager; Transmissions, Clutches and Drivelines, led by
Rick Martello, general manager; Off-Highway Products, led by Rick Meese,
general manager; Trailer Products, led by Roger Storey, general manager; and
Government Products, led by James Zagacki, general manager.
The Heavy Vehicle Systems Operations and Sales and Marketing functions
will continue to report directly to Mulchandani.
"These moves and the formation of the Aftermarket Services business will
better position us to operate our business in alignment with our global
customers and leverage our product and geographic strengths," Yost emphasized.
"I'm confident that the seasoned leadership of Tom Gosnell, Carl Soderstrom,
Larry Lockwood and Prakash Mulchandani will allow us to quickly advance best
practices throughout the entire organization as we continuously improve our
core business processes."
Meritor, with 1997 sales of more than $3.3 billion, is a global supplier
of a broad range of components and systems for commercial, specialty and light
vehicles. Meritor consists of two businesses: Heavy Vehicle Systems, a
leading supplier of drivetrain systems and components for medium- and heavy-
duty trucks, trailers and off-highway equipment and specialty vehicles,
including military, bus and coach, and fire and rescue; and Light Vehicle
Systems, a major supplier of roof, door, access control and seat adjusting
systems, electric motors and electronic controls, suspension systems and
wheels for passenger cars, light trucks and sport utility vehicles.
SOURCE Meritor Automotive