Ford Motor Co. announced Wednesday the departure of three senior executives and the promotion of a new quality chief in Jim Baumbick, a role critical to the future of the company.
Baumbick, vice president of product development operations, cycle planning and internal combustion engine programs, will now take on the responsibility of improving the Dearborn automaker’s pattern of spending billions of dollars annually on warranty and recall expenses.
CEO Jim Farley has said during recent earnings calls with industry analysts that product improvement and improved customer experience are top priorities at the company. He spotlighted quality concerns prior to taking the helm on Oct. 1, 2020, when he was still chief operating officer.
In 2022, Ford had the most recalls of any automaker, 61 recalls potentially affecting nearly 7.6 million vehicles, according to the National Highway Traffic Safety Administration.
“Quality is our No.1 priority as a company,” Farley said in a news release Wednesday. “And Jim Baumbick is the right leader to deliver world-class quality and reliability at Ford with a disciplined process that runs from our supply chain to our engineering labs all the way to the factory floor.”
Josh Halliburton, executive director of quality, who was brought to Ford after a career at the Troy-based J.D. Power consumer research, data and analytics firm, will report to Baumbick.
This allows “further integrating quality improvement across workstreams in product development, including design, engineering, supply chain and manufacturing,” Ford said in the release.
While Baumbick is moving up, other big names at Ford have announced plans to retire:
- Stuart Rowley, chief transformation and quality officer who has spent 32 years working around the world in various roles that included president of Ford Europe and chief operating officer for Ford North America, leaves on Dec. 1.
- Joy Falotico, president of Lincoln since 2018, launched Aviator and Corsair. She has worked at Ford for 33 years, including stints as chief marketing officer and CEO of Ford Credit. She leaves Dec. 1.
- Steven Armstrong, vice president of India and South America transformation, spent 35 years at the company, having provided key leadership in Europe, the Middle East and Africa. He previously served as president of Changan Ford. He leaves Jan. 1, 2023.
Dianne Craig, president of the International Markets Group (IMG), Ford Blue, will succeed Falotico as president of Lincoln. Craig, who has experience with sales, marketing and advertising, has worked at Ford for more than 30 years. She will report directly to Farley.
“With Dianne’s global experience, her success in strengthening Ford’s IMG operations and her deep respect and knowledge of our dealer network, combined with her passion for Lincoln, Dianne is an incredible leader to advance the Lincoln brand,” said Farley.
Of the departures, he credited members of his senior team with specific areas of success:
- “I’m especially grateful to Stuart for leading the redesign of our European business to become much leaner and focused on our commercial vehicles business and transition” (to electric vehicles).
- “Joy has been a wonderful steward of Lincoln, building out its distinctive lineup of vehicles and experiences, polishing the Lincoln brand image, and overseeing a promising growth strategy in China. As Lincoln embarks on its second century, it is well positioned to flourish with a new generation of electric and connected vehicles.”
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Kumar Galhotra, president of Ford Blue, said Armstrong’s leadership “has been critical to the significant improvement” Ford has seen in many of its international markets.
Responsibilities for Ford’s business in South America will be part of Ford Blue led by Galhotra. Ford’s India operations will be part of Ford’s IMG unit. A successor to Craig has not been named. Separately, Ford Business Solutions will now report to Mike Amend, Ford’s chief enterprise technology officer.
Farley has made big changes to the management team, including replacing the chief financial officer on day one. He told Wall Street he is infusing new talent to meet new demands as the auto industry transforms.
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Contact Phoebe Wall Howard: 313-618-1034 or phoward@freepress.com. Follow her on Twitter @phoebesaid