In a major restructuring at Ford Motor Company upon the announcement Feb. 9 that two of the company’s top executives will retire, the U.S. automaker has named Raj Nair to succeed Derrick Kuzak as global product chief.
The appointment is effective April 1, when Kuzak, 60, and chief financial officer Lewis Booth, 63, will retire. Booth will be succeeded by Bob Shanks, currently vice president and controller. The retirements were expected. Nair is currently vice president of engineering and global product development. Hau Thai-Tang, 45, currently executive director, global product programs, has been elected a company officer and will succeed the 47-year-old Nair.
Ford chief executive officer Alan R. Mulally said in a statement that Nair “is the right leader to build on what has been accomplished to date.”
“He understands the potential of moving to global platforms with our ‘One Ford’ plan and he is committed to continuing to serve the world’s customers with best-in-class cars and trucks. In addition, (Nair) understands how to lead skilled and motivated professionals and further encourage working together around the world.”
Since joining Ford as a body-and-assembly-launch engineer in 1987, Nair has held a variety of leadership posts in more than 11 vehicles programs in 13 assembly plants in Europe, Asia, Africa and the Americas, including vice president of operations for Ford’s Asia Pacific and Africa region, executive director of commodity business planning, executive director of North American product development and director of new model programs for advanced and manufacturing engineering.
The Indian American executive has a bachelor’s degree in mechanical engineering with an automotive specialty from Kettering University in Flint, Mich., and received the 2007 Kettering Alumni Achievement Award in Engineering.
In a conference call with reporters Feb. 10, Mulally said he has “no plans to retire and am absolutely thrilled and honored to serve Ford.” However, he added that Ford’s strategy is “to have a very strong succession plan for every position, including my own.”
Nair in the conference call said Asia, where he has an operational background, will “certainly (be) a focus going forward.”
Dearborn, Mich.-based Ford has led a rebound in the U.S. auto industry. Unlike rivals General Motors and Chrysler, the company accomplished the turnaround and restored its stock dividend without a deep restructuring or a bankruptcy filing.
The company reported $8.8 billion in pre-tax operating profits in 2011, the third consecutive year it has posted improved earnings, The Wall Street Journal reported.