Between trying to pull of one of the greatest attempted miracles in the history of the auto industry, and keeping things together at Fiat, you can bet Sergio Marchionne does. He tells the Freep:
This cannot go on forever. Certainly within the next 24 months, we’ll find a more permanent solution, either there or here. I’m not threatening the Italian side with a departure from Italy, but we need to find a solution.
But, for now Marchionne will keep his nose to the grindstone. After all, he says “I’m the only one who can guarantee the [technology] transfer [from Fiat to Chrysler]. There’s got to be this blood transfusion and it needs to happen at the speed of light.” The fact that Marchionne is personally holding the alliance between Fiat and Chrysler together is more than a little crazy, especially since that technology transfer is Fiat’s only contribution to its US Taxpayer-funded acquisition of Chrysler. But there’s no doubt that under Marchionne’s leadership, the pace of work is frantic.
Marchionne is especially proud of the fact that the Fiat 500 will be federalized and tooled up for production in Mexico in a grand total of 18 months. It’s too early to count the 500 as a success, especially since Fiat’s definition of success with the tiny Italian might differ some from ours. Still, 18 months is a hell of a timeline, and the 4Q 2010 re-launch of the Sebring will be another incredibly fast-paced industrial effort. But if these light-speed efforts to bring in new product to Chrysler’s moribund lineup don’t succeed, Sergio won’t be worrying about balancing two jobs for long.
Chrysler will go bankrupt in a couple of years if that. Wow what a HUGE drop in sales. Is there really a nation wide BOYCOTT of chrysler? the numbers seem to point to a boycott.
November 2007 161,088
November 2008 85,260 (47% drop from 2007)
November 2009 63560 (25 % drop from 2008) 25% drop from a pathetic 2008 speaks volumes.
Fiat is NOT known for quality Proof
2009 Chrysler and Fiat Ranked Worst in UK J.D. Power Study Review
http://www.ipmart-forum.com/showthread.php?p=2710264
As well they did poor in Germany and France. Which you can google. But it’s obvious to anyone with a brain that Chrysler is finished and Fiat is a nothing company not known for quality and hasn’t invested 1 penny. (Fiat)Fix It Again Tony , What more can you say? Chrysler autoworker cheerleaders come talk your team leader brainwash stupidity. Chrysler is going down HARD!
I’ve said this before and I’ll say it again. while Fiat doesn’t have the highest reliability ratings, this is 2009, not 1975. While they may have problems, last time I checked you’d be a lot better off having Fiat stock in your 401K than any of our car companies, granted that might not be saying much. The JD Power IQ survey is just about useless. With a little research you will find that Mini has had some of the worst possible IQ ratings while having some of the best possible owner satisfaction ratings. You might be surprised to know that JD Power IQ gives the same point deductions for features that drivers find hard to understand as they do to a rattling door. Likewise a rattling ashtray gets the some points deducted as a serious mechanical flaw. The actual difference in number of flaws between the top rated and lowest rated cars is miniscule.
A much more significant measure is quality after five or more years. I don’t think Fiat measures well in that area either, unfortunately for them.
More on the JD Power IQ survey below:
J.D. Power Initial Quality Survey defeats itself
June 23, 2009 – 4:33 pm ET
The J.D. Power & Associates Initial Quality Survey has become a victim of its own success.
Twenty-three years after then-owner Dave Power started preaching that automakers didn’t take quality seriously, manufacturers do take it seriously. And they’re doing such a good job that the Power IQS is almost meaningless as a buyer’s guide.
“There’s not much difference numerically between brands,” Power survey meister David Sargent said when he unveiled the 2009 results yesterday at the Detroit Athletic Club.
That’s an understatement. In the first 90 days of ownership, car buyers noticed an average of 108 problems per 100 vehicles, down from 118 a year ago. Translating the IQS-speak, that’s 1.08 flaws per vehicle, a tenth of a problem per car better.
There’s lots of good news in the IQs this year. The 10-point improvement (see, doesn’t that sound better than a 0.1-point gain?) is the biggest since 2004. The gains came even as the U.S. auto industry was imploding and automakers were whacking assembly-plant workers left and right.
The industry average is the lowest ever, even after J.D. Power expanded the IQS “flaws” from things-that-broke to also include things-hard-to-work.
But the 37 surveyed brands are bunching up tight against each other on the high-quality side of the ledger — and it’s hard to see much difference. The difference between fifth place (Honda) and 24th place (Saturn) is one-fifth of a flaw per vehicle.
The best brand (Lexus) is less than twice as good as the worst (Mini). More than half the brands (19 of 37) are numerically tied with at least one other. Sargent acknowledged a single point difference is “not statistically significant,” which means Toyota (101), Ford (102) and Chevrolet (103) brands are “tied.”
So if I buy a $25,000 Mini (the worst IQS brand) instead of a $50,000 Lexus (the best IQS brand), the odds are 80-20 that I’ll have one more flaw? Gee, guess I’ll use that as my No. 26 tie-breaker in my decision.
Over the years, critics have griped about J.D. Power’s methodology — not a random sample and too-small samples on less popular models — and policies, such as placing equal numerical weight on blown engines as on vibrating ash trays. Others complain that Power derives its income from the manufacturers it surveys.
Wow what a HUGE drop in sales. Is there really a nation wide BOYCOTT of chrysler?
Well, not unless you define “boycott” as being the result of a trifecta of:
Little or no lease support, and the death of subsidized leasing
Piss-poor mass-market products
The recession
I don’t think that’s really what you mean by “boycott”.
The same thing happened to Mitsubishi only a few years ago when the market was “good”. In fact, Mitsubishi was in worse shape here in the US. Prior to that, VW was in the same shape. Look at VW now. And while I still think Mitsubishi’s are garbage, their sales are steadily increasing.
The one difference is that VW and Mitsubishi both had home markets to keep them afloat as they try to entrench in America. This is Chrysler’s home market that they’re floundering in.
Yeah, Chrysler is doing pretty well in Canada, but that’s not big enough to keep them afloat. That’s like a drowning man trying to use a lifejacket made for an infant.
18 Months to federalize the 500 and tool up a plant in Mexico is pretty darned impressive in some ways. If he times it just right, all the signs will be down and the showrooms empty when it’s ready to drop.
OK, 18 months is impressive–but new products are needed NOW. Anybody know how long the federalization process takes by itself?
For that matter, why does it take more than a year just to freshen the Sebring? It won’t be a new platform, will it?
You can thank federal regulations for that. There is so much testing and certification that has to be done just to change something that you need a long lead time and an army of engineers. We used to have cars that would change appearance every 1 or two years (look at the 1968-69 Pontiac GTO, then the 1970 model, then the 1971 model. You could never do that today).