What's up with Wolfgang? He's back at Chrysler
Immediately following the sale of Chrysler to Cerberus, people began speculating on what role former Chrysler exec Wolfgang Bernhard would take up in the newly minted Chrysler Corp. Even we jumped on the bandwagon and suggested Bernhard, who had been hired on by Cerberus to advise the sale, would be a likely replacement for Tom LaSorda if the automaker's current CEO couldn't turn around the company's fortune. The Wall Street Journal is reporting, however, that Bernhard will act as a high-level advisor and report directly to Cerberus founder Stephen Feinberg.
The interesting thing is that Bernhard has been present at nearly every meeting since the acquisition was announced. He currently has an office on the executive floor of Chrysler's Auburn Hills headquarters and has been seen making the rounds, even stopping by the design studio to point out what he likes and dislikes in future designs.
Cerberus makes it clear, however, that Bernhard is not part of the Chrysler executive team, which begs the question, why is he there? It seems to us that Bernhard's considerable talent in having an eye for good product and dealing with the unions will be extremely valuable to LaSorda and his team while they attempt to bring Chrysler back to profitability. At the same time, Bernhard's role also comes off as a strategy by Cerberus to keep the Chrysler execs, specifically LaSorda, focused in their task. Should they fail, Bernhard won't have to move his desk far to take over the CEO role. Hopefully it doesn't come to that, and the two execs will form a relationship similar to the one used effectively by GM CEO Rick Wagoner and his product man, Bob Lutz.
[Source: Wall Street Journal via Motor Authority]
Reader Comments (Page 1 of 1)
Drewboy 4:44PM (6/01/2007)
I think its still about his contract (non-compete) with vee dahb.
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Juan 4:52PM (6/01/2007)
I believe that's right.
Having him roaming the halls sounds like Cerebus is already pushing their luck a little (or rather, Bernhard is) with the non-compete agreement. Hopefully it keeps the Chrysler folks on their toes in a good way, though.
V?or Rubiera 5:09PM (6/01/2007)
Its a very positive move, go ahead Mr Bernhard and bring back the glory days!!!!!!
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J.Crew 5:15PM (6/01/2007)
It is a great way around the non-compete clause by being an advisor as he does not work for Chrysler directly. He can keep his eyes on what is going on and "advise" on what works and does not work. I am sure LaSorda is a happy camper because of this as this takes pressure off of him in many areas and he can get back to focusing on what he is really good at which is the manufacturing side of the business. I don't see him feeling threatened at all since he is strong in the areas the Bernhard is not and Bernhard is strong in the areas that LaSorda is weak in. It seems to be a good team to move ahead with. I am sure Bernhard would eventually become CEO after the VW thing is done, and I don't see LaSorda leaving unless he just retires with some golden hand shake deal for riding out the storm. I would think he would stick around and run the manufacturing side like he was doing a great job at prior to his move up to CEO. He is smart and knows what he is good at. Now crank up some new designs, deal with the UAW, and get rolling!
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waitingforvizzini 5:18PM (6/01/2007)
I fail to see what all the hub bub about this guy is. Wasn't he part of the crew of drunken germans that took a profitable company and drove it into the ditch?
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Don 5:37PM (6/01/2007)
Wolfgang's a better choice than LaSucka!
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Tool 6:27PM (6/01/2007)
Probably restrained by the Non-Compete.
I have a lot of hope for Chrysler with Bernhard at the helm--either officially or not.
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Barney 6:34PM (6/01/2007)
I was under the impression that Daimler still owned a small percentage of Chrysler. If so, they may have hired Bernhard as a watch dog.
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Brad 7:04PM (6/01/2007)
I would say that within a few days after his non compete runs out, you can look for him to be named to a post at Chrysler. But in the meantime I'm sure he is giving his opinions on what changes need to be made.
I agree with Barney, he's acting as a watchdog right now but I think the people in current management know that this watchdog carries a huge bite.
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iOrange 8:10PM (6/01/2007)
Barney, MB owns 20% of Chrysler.. so what we will see in the next couple of years is 20% of Chrysler's car line still being shitty cars while the rest are good product (didn't say great products... domestic haters leave you tampons in..)
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Barney 1:56AM (6/02/2007)
"20% of Chrysler's car line still being shitty"
There wasn't many times all Chrysler products weren't 20% shitty (if not more). That company wouldn't be grasping for money all the time if their products were at least equal to others. It's about time Chrysler made it on their own, without handouts and buyouts. They have been given another chance, so hopefully res erecting an old nameplate isn't all they are going to do.
jw 8:50PM (6/01/2007)
DON'T WORRY FELLAS LASORDA AND HIS GANG OF IDIOTS ARE GOING TO BE HISTORY...WOLF WILL BE IN THE DEN AS SOON AS HIS NON COMPETE ENDS..THESE CHRYSLER GUYS ARE TO OLD SCHOOL AND NONE HAVE ANY LONG TERM COMMITMENTS...CAN THE DEALERS HANG ON ?? WERE GOING TO SEE A 20% FALL OUT!!
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Jennifer 12:27AM (6/02/2007)
Is he Batman? I want to give him my number.
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