JAGUAR ON A PRECIPICE

JOHN CRAWFORD UNDERSTANDS MORE THAN MOST HOW JAGUAR WORKS ON THE INSIDE.

NOW HE WONDERS IF IT WILL SURVIVE.

THIERRY BOLLORÉ’S DECISION TO RESIGN

after only two years in the top job is a devastating blow to Jaguar Land Rover, and one I fear that could significantly jeopardise Jaguar’s survival. Jaguar has clung on and survived so many dramatic threats since Sir William Lyons retired it will fill business trends analyses for years.

That story has been written, and re-written many times, and I have been witness to it all. JLR is sitting on a precipice which could collapse beneath it, because all the major support systems car manufacturers depend on are slipping out of the company’s grasp - and whether Bolloré was the right man for the job, or not, matters little now. I am confining my comments to Jaguar’s future. Adrian Mardell, interim CEO, who is also JLR’s CFO, will have to make decisions fast. The problem is that in the industry it’s very hard to activate anything ‘immediately’, because there is a huge lag between the idea and the execution. As you can imagine, there is no such thing as things ‘happening overnight’ - that is, except firings, resignations and appointments.

So before delving into JLR’s myriad of problems, let’s look at his resignation and Thierry Bolloré. The recruitment process to replace the previous CEO, Sir Ralf Speth, took six months, and many in the industry were very surprised when Bolloré was appointed - given that after serving only nine months as CEO of Renault, he was unceremoniously dumped. There are all sorts of reasons given, but one thing is clear, he is a very ‘prickly’ character. His brain is as sharp as a tack, and his reactions just as sharp. The advice is don’t get on his bad side. He is not known for ‘charm offensives’, is brusque (to the point of appearing rude), doesn’t suffer fools gladly and will not tolerate poor performance.

I met him, twice, at the Geneva Salon, spoken with him, and watched him in action at press conferences. He is very much cast in the ‘Ghosn Mould’ and is all about ‘getting things done’.

And, herein I think lays part of the answer for his truncated tenure at JLR. His manner has apparently upset both the Brits and the Indians. In addition, his ‘Reimagine’ plan was simply too ambitious for a car maker not only suffering from stalled sales, but his ‘Reimagine’ project caused major bust-ups with suppliers whom he was asking to make big investments in support.

The same suppliers to JLR are also suffering from parts shortages and lack of chips - just like all motor industry suppliers. However, many other luxury car companies (who also depend on chips for their expensive options) have been handling the crisis much more effectively. It appears to me there are currently too many loose ends within JLR that are not getting the attention they need. Bolloré may be a detail man when it comes to laying blame, but he is certainly not a man to get his hands dirty sweating the details of his plans - that’s for others to do, and they