Marc Llistosella, who was to join Tata Motors as its CEO & Managing Director effective from July 1, will not be joining Tata Motors since he is not able to relocate to India for personal reasons at this point of time, the industry giant, in a surprise statement, has told the stock exchanges.
"As mentioned in our said earlier letter, Guenter Butschek will continue as the CEO & Managing Director till June 30, 2021," Tata Motors said.
Tata Motors had announced the appointment of Llistosella on February 19. He was selected for the top job after the outgoing CEO and MD Guenter Butschek expressed his desire to relocate to Germany as his contract comes to an end, citing personal reasons. He, at the request of the Tata Motors board, had agreed to continue as CEO and MD till June 30.
Llistosella is the former President and CEO of Fuso Truck and Bus Corporation and Head of Daimler Trucks in Asia. He is currently on the board of Swedish transport company Einride and before that, he was associated for a long time with Daimler Trucks. He had earlier termed his appointment as "a new exciting chapter". "We would jointly awaken the potential of Tata Motors," said Llistosella.
Llistosella was the President and CEO of Mitsubishi Fuso Truck and Bus Corporation during 2015-2018, where he worked on improving the profitability and sales potential of the business.
In 2008-2014, he was based out of India as the Managing Director and CEO of Daimler Commercial Vehicles India, where he built a greenfield organisation and business unit to develop, produce and sell trucks, and launched BharatBenz in 2012 and made it a successful brand in a short period.
Tata Motors had roped in Butschek, former Airbus Chief Operating Officer, as its Managing Director and chief executive of local operations, in 2016, filling up the positions left vacant after the death of Karl Slym in January 2014. Since then, he has been on a mission to turn around the domestic business of the homegrown auto major, which was bleeding.
In 2016-17, Tata Motors' standalone gross revenues were at Rs 49,100 crore, up 3.6 per cent from the previous fiscal, but the loss after tax, on a standalone basis, was Rs 2,480 crore compared to Rs 62 crore.
In 2017, Tata Motors announced its turnaround plan for its domestic business with a special focus on the ailing commercial vehicles business. It shifted focus to "Turnaround" from its earlier strategy of "Transformation".
Subsequently, in 2017-18, the company was able to improve its sales significantly. In its Turnaround 2.0, Tata Motors has focussed on the passenger vehicle business. The company is currently in the process to hive off the PV unit into a separate entity and is seeking a strategic long-term partner.
Copyright©2023 Living Media India Limited. For reprint rights: Syndications Today