Delphi Announces New Operating Sector and Staff Leadership Structure
20 December 1999
Delphi Announces New Operating Sector and Staff Leadership Structure
Two Senior Executives Elected to Board of Directors
TROY, Mich., Dec. 20 -- Delphi Automotive Systems
Chairman, CEO and President J.T. Battenberg III, today announced several
changes to streamline the company's sector reporting structure and staff
alignment. The changes are designed to increase Delphi's responsiveness to
customer and market demands, speed product development for integrated systems
and modules and spread the use of common processes and systems throughout the
company. The company expects to improve performance and capture opportunities
for additional structural cost reduction as a result of the changes.
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In addition, the Delphi Board of Directors elected two new members to gain
additional company perspective and oversight.
The leadership changes include the nomination of five current officers
into executive vice president positions, three to oversee Delphi's operating
sectors, and two to lead corporate staffs. As part of Delphi's matrix
organization structure, the individuals named to these and other positions
announced today also assume responsibility as a senior executive customer
liaison or as a leader of a corporate task team responsible for streamlining
systems and implementing corporate-wide policy. These positions increase the
total Delphi senior officer count by one, to a total of 22, which is lean
relative to other Fortune 100 companies according to Battenberg.
"Throughout 1999, we have focused on establishing Delphi Automotive
Systems as an independent company with a culture of innovation, global growth
and superior customer service," said Battenberg. "These changes facilitate
quicker decision-making and promote greater collaboration across functions,
regions and operating units thereby improving Delphi's capability to meet its
commitments and business objectives. The refined organizational structure
should accelerate the implementation of common manufacturing, engineering and
administrative processes throughout Delphi, speeding our capability to design,
manufacture and market integrated vehicle systems and modules combining
several elements of our broad product portfolio. Our new structure places
capable, experienced leaders in position to drive these important priorities."
To oversee Delphi's three operating sectors, three individuals from within
Delphi have been promoted to newly established positions as sector president
and corporate executive vice president. All appointments are effective Jan.
1, 2000.
* Rodney O'Neal, 46, is named sector president of the Safety, Thermal &
Electrical Architecture sector and corporate executive vice president. He
also takes on the added role of Ford Motor Company customer champion; a
position designated to guide Delphi's relationship with Ford. O'Neal had been
president of Delphi Interior Systems. Reporting to O'Neal are James A.
Bertrand, newly appointed president of Delphi Interior Systems, Ronald M.
Pirtle, president of Delphi Thermal Systems, David R. Heilman, president of
Delphi Packard Electric Systems and Bill Collins, customer director for the
Ford account.
* Donald L. Runkle, 54, is named sector president of the Dynamics &
Propulsion sector and corporate executive vice president. Runkle is also
elected to the Board of Directors of Delphi Automotive Systems. Runkle
becomes champion for Delphi's global cross-divisional manufacturing task team
and retains his role as DaimlerChrysler customer champion. Runkle previously
was president of Delphi Energy & Engine Management Systems. Reporting to
Runkle are Guy C. Hachey, newly appointed president of Delphi Energy & Chassis
Systems division, Paul J. Tosch, president of Delphi Saginaw Steering Systems
and Charles L. Rose, customer director for the DaimlerChrysler account.
Francisco A. Ordonez, general manager of the recently established Delphi
Aftermarket division will also report to Runkle.
* David B. Wohleen, 49, is named sector president for the Electronics and
Mobile Communication sector and corporate executive vice president. Wohleen
had been president of Delphi Delco Electronics Systems, and continues in that
capacity. He takes on additional responsibility for Delphi's global cross-
divisional engineering task team and becomes customer champion for General
Motors and GM Service Parts Operations (GM SPO). Elisabeth M. Schwarting,
customer director for the GM and GM SPO account will report to Wohleen.
Two new executive vice president positions are being established to lead
Delphi's corporate staff activities. All appointments are effective Jan. 1,
2000.
* Alan S. Dawes, 45, is named corporate executive vice president and
chief financial officer (CFO). Dawes is also elected to the Board of
Directors of Delphi Automotive Systems. He had been vice president and CFO.
He takes on added responsibility for mergers and acquisitions, and information
systems worldwide. Reporting to Dawes are John P. Arle, vice president of
mergers and acquisitions, John G. Blahnik, vice president and treasurer; and
Peter H. Janak, vice president and chief information officer.
* Mark R. Weber, 51, is named executive vice president, operations,
production control and logistics, human resource management and corporate
affairs. Weber had been vice president, human resources. Reporting to Weber
are Karen L. Healy, vice president of corporate affairs and facilities; Kevin
M. Butler, newly elected vice president of human resources; and Mark C.
Lorenz, vice president of operations and logistics.
"The Delphi Board of Directors will benefit from the extensive automotive
and business experience of Don Runkle and Alan Dawes. Both will provide
valued input and company perspective," said Tom Wyman, lead director of the
Delphi Board of Directors. "We look forward to their active participation in
the work of the board."
Battenberg announced several additional changes including new divisional
leadership posts and the assumption of added responsibilities by existing
officers.
* James A. Bertrand, 42, is named president of Delphi Interior Systems
and corporate vice president, succeeding O'Neal. Bertrand, who previously was
vice president in charge of operations and GM customer champion, will report
to O'Neal.
* Kevin M. Butler, 44, is elected Delphi vice president of human
resources, succeeding Weber. He will report to Weber. Butler was general
director of human resources at Delphi Delco Electronics Systems.
* Guy C. Hachey, 44, becomes president of Delphi Energy and Chassis
Systems and remains a corporate vice president. He was formerly president of
Delphi Chassis Systems. He will report to Runkle.
* Karen L. Healy, 45, becomes vice president, corporate affairs and
facilities. She was previously vice president of corporate affairs. She now
adds responsibility for Delphi's worldwide facilities group. She will report
to Weber.
* Mark C. Lorenz, 49, is named vice president of operations, with
responsibility for manufacturing, production control and logistics, and
engineering coordination. Lorenz had been vice president, production control
and logistics. He will report to Weber.
Additionally, after seven years leading significant Delphi growth in the
Asia-Pacific region, Asia-Pacific president William Ebbert will retire in
early 2000. James A. Spencer, 46, is elected president, Delphi Asia-Pacific
and corporate vice president, and replaces Ebbert. Spencer was formerly
director of sales, marketing, ventures and planning for Delphi Saginaw
Steering Systems. Spencer has extensive Asia-Pacific experience, having
served as executive vice president, Daewoo Automotive Components (DAC), a
joint venture between Delphi and Daewoo Motors. Spencer's election is
effective Feb. 1, 2000.
"Bill has provided outstanding guidance and leadership as Delphi seeks to
increase its presence in the Asia-Pacific region. He has cultivated strong
customer relationships and represented Delphi well. We are confident of Jim's
ability to continue our expansion and support of customers in the region,"
said Battenberg.
Jose-Maria Alapont, Delphi Europe president, Volker J. Barth, Delphi South
America president, Jim Spencer, Delphi Asia-Pacific president, Logan G.
Robinson, Delphi vice president and general counsel and Ray C. Campbell, vice
president of purchasing, continue to report to Battenberg. Alapont remains
customer champion for BMW, Fiat, Renault, PSA Peugeot Citroen and Volkswagen.
Spencer becomes customer champion for Honda, Isuzu, Nissan and Toyota.
Customer directors for Delphi's customers not mentioned in today's
announcement maintain their existing reporting relationships within their
regions.
All 22 senior corporate officers are members of the Delphi Strategy Board,
the company's top policy and strategy committee.
Delphi Automotive Systems, with headquarters in Troy, Mich., USA, is a
world leader in automotive component and systems technology. Delphi's three
business sectors -- Dynamics & Propulsion; Safety, Thermal & Electrical
Architecture; and Electronics & Mobile Communications -- provide comprehensive
product solutions to complex customer needs. Delphi has approximately 201,000
employees and operates 168 wholly owned manufacturing sites, 38 joint
ventures, 51 customer centers and sales offices, and 27 technical centers in
37 countries. Regional headquarters are located in Paris, Tokyo and Sao
Paulo, Brazil. Delphi can be found on the Internet at
http://www.delphiauto.com .
This press release, other than historical financial information, contains
forward-looking statements that involve a number of risks and uncertainties.
Important factors that could cause actual results to vary materially from
those anticipated in the forward-looking statements are set forth in Delphi's
Securities and Exchange filings, including without limitation, in Items 1 and
7 of Delphi 's Annual Report on Form 10-K for the fiscal year ended December
31, 1998, and Item 2 of Delphi's Quarterly Reports on Form 10-Q for the
quarters ended March 31, June 30, and Sept. 30, 1999.