FCA bundles global product development in new organization

– “Global Product Development Organization” optimizes development time and technological innovation within Fiat Chrysler Automobiles (FCA).
– Focus on electric drive technology, autonomous driving and connectivity.
– Group-wide development department has three strategic tasks: concentrating the core competencies of engineers on key technologies; implementing and coordinating agreed programs; supporting internal and external programs.
– Efficient structure and optimal workload.
– New organization promotes product quality, but still maintains the identity of the individual brands and thus their strengths in regional markets.
– Harald Wester, FCA Chief Technical Officer, has been appointed head of the new Global Product Development Organization, which will be fully operational in 2020.

Fiat Chrysler Automobile (FCA) is bundling the technology, engineering and management expertise available across the group and establishing a structure responsible for global product development. The new "Global Product Development Organization" will be headed by the German Harald Wester, FCA Chief Technical Officer (CTO).

"The automotive industry is currently experiencing technological change at an unprecedented pace," says Mike Manley, FCA Chief Executive Officer (CEO). "We are therefore allowing the creative energy of our engineers and technical experts to run free. This will benefit both our customers and our shareholders around the world."

The new organization reduces complexity and increases effectiveness. The increased efficiency results in higher product quality while simultaneously shortening development times - a decisive advantage in a market that is characterized by ever faster technological change. The "Global Product Development Organization" combines three main activities: engineering, execution and management of approved programs, and support of these programs.

This means a departure from the previous principle of distributing development tasks to different regional centers or self-sufficient units. "Our current structure has created one of the most attractive and diverse model ranges in the entire automotive industry, from Alfa Romeo to RAM and much in between," says Harald Wester. "The level of consolidation and integration that we are now implementing will further expand our offering - in all markets. The big winners will be our customers."

In the future, the engineering services will be supported by five competence centers:

– Body, chassis, interior, integration of electrical on-board systems; develops the main components of a vehicle
– Electrics, electronics, software; develops the electronic architecture
– Drive systems, including both electric and conventional drives
– overall vehicle concept
– Future technologies and advance development programs

The new Group-wide planning and execution programs will span all engineering departments, individual companies and brands. They will also include teams for global vehicle programs, for vehicle architecture and concepts to achieve customer and performance goals, and for long-term planning and development of vehicle architectures and other products.

This new strategy requires greater flexibility in product development at a time when FCA is repositioning itself in highly competitive sectors such as autonomous driving, connectivity and electric propulsion. FCA has already adopted a five-year plan that includes investments of nine billion euros to develop a total of 30 electrified vehicles worldwide.

Among the first models will be plug-in variants from Jeep_® Compass, Jeep Renegade and Jeep Wrangler as well as two fully electric vehicles from Fiat and the van brand Fiat Professional. Investments of 1,6 billion euros are planned for the Maserati brand on the road to electrification. The first step will be hybrid and electric drives as well as level 3 autonomous driving - with full consideration of the sportiness typical of Maserati.

The most significant change associated with the new strategy is the merger of FCA's previously independent development departments for powertrains and vehicles. The new "Global Product Development Organization" will promote collaboration across regional borders and make better use of existing resources.

The flat hierarchy within the new structure will also accelerate decision-making processes and optimally coordinate FCA's global technological competencies. "Our engineering resources will be concentrated and integrated, not diluted," adds Harald Wester.

The new Global Product Development Organization will be fully operational over the course of next year.

Press contact:
Sascha Wolfinger
Phone: +49 69 66988-357
Email: sascha.wolfinger@fcagroup.com

© Photo: FCA Group