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    William Maley

    Ford's CEO Announces $14 Billion In Cuts, Investments Going To Trucks and EVs

      And you're getting cut, and you're getting cut


    Ford's CEO Jim Hackett has unveiled his plans for the company and there are a lot of cuts coming, along with shifts in various investments. 

    “I get up every day feeling like time can be wasted here if we don’t get moving. I feel a real sense of urgency,” Hackett told investors yesterday in New York.

    The cuts include a $10 billion cut in material outlays and a $4 billion cut in engineering costs over the next five years. Ford will also cut costs on internal combustion engines and redirect the funds to the development of EVs.

    One move that consumers will see is the reduction of possible vehicle configurations. For example, the current Escape has 2,302 configurations available. Ford will cut that down to 228 for the next-generation. The Fusion will see a dramatic reduction from 35,000 to just 96.

    "We really offered too many options," Hackett said.

    Speaking of cars, Ford will be moving $7 billion from the development of cars to trucks. This shift would mean fewer car nameplates, but the company wouldn't go into detail which ones would be cut. As we have reported in the rumorpile, the possible candidates for cuts include the C-Max, Fiesta, and Taurus.

    Other parts of Hackett's vision for Ford include,

    • Playing catchup by offering internet connectivity in all of their vehicles by 2019. 90 percent of Ford's global lineup will feature some sort of connectivity by 2020.
    • Building out more partnerships such as working with Lyft on deploying autonomous vehicles
    • Cutting down it takes to develop and produce a new vehicle

    “The mandate here is that Ford must compete. Companies never choose to die and yet many by not evolving are enabling that kind of fate. It’s clear that as a company we must then raise our gaze just high enough to ensure we’re not disrupted as the world changes,” said Hackett.

    Source: Automotive News (Subscription Required), Bloomberg, Ford, Reuters
    Press Release is on Page 2


    FORD’S FUTURE: EVOLVING TO BECOME MOST TRUSTED MOBILITY COMPANY, DESIGNING SMART VEHICLES FOR A SMART WORLD

    • Ford initiates aggressive “fitness” push, re-basing revenue growth assumptions and attacking costs, while redesigning company operations for long-term success
    • Capital will be allocated to regions, products and services with highest potential for growth and return; product shift calls for more trucks and SUVs, fewer passenger cars
    • Ford is accelerating work on smart, connected vehicles, including AVs and EVs and digital services to thrive in emerging transportation operating system

    NEW YORK, Oct. 3, 2017 – Ford Motor Company today is providing a strategic update to investors, detailing plans to leverage its unique product strengths, trusted brand and global scale to refocus and thrive in an evolving and disruptive period for the auto industry.

    The investor presentation follows a four-month deep dive into Ford’s strategy and business operations led by President and CEO Jim Hackett and Ford’s senior leadership team. Hackett said Ford will improve its operational fitness, refocus capital allocation and accelerate the introduction of smart vehicles and services.

    “Ford was built on the belief that freedom of movement drives human progress,” said Hackett, who became Ford president and CEO on May 22. “It’s a belief that has always fueled our passion to create great cars and trucks. And today, it drives our commitment to become the world’s most trusted mobility company, designing smart vehicles for a smart world that help people move more safely, confidently and freely.”

    The full slide deck of the presentation can be found here. Ford is reaffirming its 2017 full-year financial guidance and said its 2018 outlook will be provided in January.

    Reiterating its long-term goal of an 8 percent automotive operating margin, Ford says it will embrace the profound technological changes and new competition buffeting the industry. To deliver, the company is expanding its scope to include vehicles and services – all designed around human-centered experiences. The company will tap its strengths integrating hardware and software in complex devices, its proven ability to deliver scale and the trust tied to the Ford brand.

    Specifically, Ford is:

    • Accelerating the introduction of connected, smart vehicles and services customers want and value. By 2019, 100 percent of Ford’s new U.S. vehicles will be built with connectivity. The company has similarly aggressive plans for China and other markets, as 90 percent of Ford’s new global vehicles will feature connectivity by 2020.
    • Rapidly improving fitness to lower costs, release capital and finance growth. Ford is attacking costs, reducing automotive cost growth by 50 percent through 2022. As part of this, the company is targeting $10 billion in incremental material cost reductions. The team also is reducing engineering costs by $4 billion from planned levels over the next five years by increasing use of common parts across its full line of vehicles, reducing order complexity and building fewer prototypes.
    • Allocating capital where Ford can win the future. This starts with the company reallocating $7 billion of capital from cars to SUVs and trucks, including the Ranger and EcoSport in North America and the all-new Bronco globally. Ford also has plans to build the next-generation Focus for North America in China, saving capital investment and ongoing costs. Further, Ford is reducing internal combustion engine capital expenditures by one-third and redeploying that capital into electrification – on top of the previously announced $4.5 billion investment.
    • Embracing partnerships. Ford will continue to leverage partnerships, remain active in M&A and collaborate to accelerate R&D. The company recently announced it was exploring a strategic alliance with Mahindra Group as it transforms its business in India, and Zoyte with the intention of developing a new line of low-cost all-electric passenger vehicles in China. When it comes to autonomous vehicle development, the company recently announced a relationship with Lyft to work toward commercialization and a collaboration with Domino’s Pizza to research the customer experience of delivery services.
    • Expanding electric vehicle revenue opportunities. The company recently announced a dedicated electrification team within Ford, focused exclusively on creating an ecosystem of products and services for electric vehicles and the unique opportunities they provide. This builds on Ford’s earlier commitment to deliver 13 new electric vehicles in the next five years, including F-150 Hybrid, Mustang Hybrid, Transit Custom plug-in hybrid, an autonomous vehicle hybrid, Ford Police Responder Hybrid Sedan, and a fully electric small SUV.

    “When you’re a long-lived company that has had success over multiple decades the decision to change is not easy – culturally or operationally,” Hackett said. “Ultimately, though, we must accept the virtues that brought us success over the past century are really no guarantee of future success.” 

    Revamping product development, modernizing factories

    At the same time, Ford is redesigning its operations to better compete in this disruptive era.

    Hackett cites as a template the example of how the company reimagined the all-new 2015 F-150. Since then, the F-Series has gained market share and the average transaction price has increased 16 percent. It has improved fuel economy and increased capability for customers, thanks in part to a 700-pound weight reduction that helped make the F-150 the company’s most positive contributor to CAFE standards for model year 2018. Additionally, 90 percent of the manufacturing equipment can be reused for the next-generation F-150, reducing future capital requirements. Finally, the innovation on aluminum and light weighting will pay off across a range of Ford trucks and SUVs.

    Other priorities include:

    • Reducing orderable combinations of many nameplates, focusing on what customers value most. Already the team has identified a ten-fold reduction of orderable combinations in the next-generation Escape and is moving from approximately 35,000 combinations in the current generation of Fusion to 96 in the next generation.
    • Rethinking product development processes and incorporating new technology. In the next five years, Ford is aiming to reduce new vehicle development time by 20 percent, with new tools and fewer orderable combinations. Through the use of virtual assembly lines, the company has been able to reduce new model changeover time by 25 percent.
    • Redesigning the company’s factories of the future. Accelerating and scaling 3D printing, robotics, virtual reality tools and big data will improve logistics and enable a more efficient manufacturing footprint.

    “We believe Ford will achieve its competitive advantage by focusing deeply on our customers – whether they’re drivers, riders or cities – and that’s where we are playing to win,” Hackett said.

    Edited by William Maley

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    OUCH, but I can see this being needed in a changing world.

    I do question the cuts in configuration choices as I have seen that a properly setup assembly line should be able to allow customers to cherry pick the features they want. Grouping them into over priced packages is not always the best and by now most assembly lines should be like a lego set. Plug in play the features you want.

    Interesting times we are in. The next few years of auto shows should be very interesting.

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    Surprising that on the day we hear about GM investment in EV's and Hybrids we hear very little about Ford Team Edison. I would have thought Ford would want to show the world their focus on delivering ev's fast.

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    1 hour ago, dfelt said:

    Surprising that on the day we hear about GM investment in EV's and Hybrids we hear very little about Ford Team Edison. I would have thought Ford would want to show the world their focus on delivering ev's fast.

    https://www.wsj.com/articles/ford-to-spend-4-5-billion-in-electric-vehicle-development-1449785859

    That was 2015. I'm not sure where that stands today with a new CEO but it isn't like they aren't investing billions in EV technology. 

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    35 minutes ago, ccap41 said:

    https://www.wsj.com/articles/ford-to-spend-4-5-billion-in-electric-vehicle-development-1449785859

    That was 2015. I'm not sure where that stands today with a new CEO but it isn't like they aren't investing billions in EV technology. 

    Very true, they committed the dollar amount in 2015 to EV tech. But yesterday Ford announced their Team Edison and that it would be focused on the EV world along with Hybrids. I just wish Ford would come out and brag about it as they have some cool tech and I truly think they can produce a very competitive EV product.

    I was hoping they would come out and say we know some of our competition has gotten a jump on us for the EV initiative, Yet we at Ford believe we can not only catch up but surpass them and as such have assembled Team Edison to bring the brightest minds together to put in place a complete EV strategy and product plan that will cover the CUV craze, cars and Trucks to give our customers a Ford 1 experience that rivals everyone else.

    Just wishing for more positive vib from corporate Ford.

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    Bragging about is is a losing situation though. They would never live up to internet hype and you and I both know that, and that can be said for every company. 

    6 minutes ago, dfelt said:

    a complete EV strategy and product plan that will cover the CUV craze, cars and Trucks to give our customers a Ford 1 experience that rivals everyone else.

    Just wishing for more positive vib from corporate Ford.

    http://www.greencarreports.com/news/1108110_ford-plans-300-mile-electric-suv-hybrid-f-150-and-mustang-more-u-s-production-breaking

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    2 minutes ago, ccap41 said:

    Bragging about is is a losing situation though. They would never live up to internet hype and you and I both know that, and that can be said for every company. 

    http://www.greencarreports.com/news/1108110_ford-plans-300-mile-electric-suv-hybrid-f-150-and-mustang-more-u-s-production-breaking

    Yes I remember when that came out at the beginning of the year.

    I must have more faith than our own CEO's of Auto America as I feel they do need to talk it up and brag if you wish and then deliver. Too often I feel the CEO or other executives are too focused on just their own pocket book rather than the good solid growth of a company long term.

    Makes me feel that they do not totally believe in the company they are running.

    We all have failures in life, but we also have to continually challenge ourselves to do better and move the needle. Right now I feel ford is sitting on it's laurels more than other companies.

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    16 minutes ago, dfelt said:

    Too often I feel the CEO or other executives are too focused on just their own pocket book rather than the good solid growth of a company long term.

    Without a doubt.. and sadly.

     

    16 minutes ago, dfelt said:

    We all have failures in life, but we also have to continually challenge ourselves to do better and move the needle. Right now I feel ford is sitting on it's laurels more than other companies.

    I don't know about sitting on their laurels as much as I feel like they're holding something back from us. At this point they HAVE to have something good in the works.. GM with two very successful products( the products themselves, sales is another story that will eventually come) and Ford with a few so-so hybrids..? I sure hope they're working on something good. 

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    Seeing all the cars around Dearborn lately, I'd say you are right Dfelt!

    Ford is always quiet when it comes to this stuff.

    While I can't say much (sucks I can't), I will say this- There could be some truths being said around here....:)

    This whole EV is starting to excite me. 

    Though, let's hope there will be some gas stuff left.....

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    16 hours ago, dfelt said:

    Very true, they committed the dollar amount in 2015 to EV tech. But yesterday Ford announced their Team Edison and that it would be focused on the EV world along with Hybrids. I just wish Ford would come out and brag about it as they have some cool tech and I truly think they can produce a very competitive EV product.

    I was hoping they would come out and say we know some of our competition has gotten a jump on us for the EV initiative, Yet we at Ford believe we can not only catch up but surpass them and as such have assembled Team Edison to bring the brightest minds together to put in place a complete EV strategy and product plan that will cover the CUV craze, cars and Trucks to give our customers a Ford 1 experience that rivals everyone else.

    Just wishing for more positive vib from corporate Ford.

    Why brag over something that you are being forced to do through misguided government overreach... rather than consumer demand?  EVERY CAR MAKER WANTS TO ANSWER THE CUSTOMER'S WANTS.  IT IS HOW THEY MAKE MONEY AND SURVIVE... THEY SERVE THE PUBLIC'S WHIMS.  That is certainly nothing to brag about.  That is something to hang your head over.  To gnash your teeth over.  to wring your hands over... but never to brag.  What a ludicrous statement.

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    Sure, it would be great if CAFE were repealed, but neither Europe nor China are ditching displacement taxes or even tougher emissions requirements or electric mandates anytime soon.  The USA may be somewhat behind on this front, but automakers want to sell worldwide, which means that Beijing and Brussels have a lot to say about these issues.

    As for Ford itself, I would simply let their actions do the talking.  Besides, Ford does not have much in the way of PRODUCT in this area right now.

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    4 hours ago, ocnblu said:

    Why brag over something that you are being forced to do through misguided government overreach... rather than consumer demand?  EVERY CAR MAKER WANTS TO ANSWER THE CUSTOMER'S WANTS.  IT IS HOW THEY MAKE MONEY AND SURVIVE... THEY SERVE THE PUBLIC'S WHIMS.  That is certainly nothing to brag about.  That is something to hang your head over.  To gnash your teeth over.  to wring your hands over... but never to brag.  What a ludicrous statement.

    Ohhh my god, someone might plan for the future in this country....panties in the wringer much? Or perhaps sand in your private bits?

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    40 minutes ago, riviera74 said:

    Sure, it would be great if CAFE were repealed, but neither Europe nor China are ditching displacement taxes or even tougher emissions requirements or electric mandates anytime soon.  The USA may be somewhat behind on this front, but automakers want to sell worldwide, which means that Beijing and Brussels have a lot to say about these issues.

    As for Ford itself, I would simply let their actions do the talking.  Besides, Ford does not have much in the way of PRODUCT in this area right now.

    ...and this will be the end result, other countries will lead and the US will follow.

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    4 hours ago, ocnblu said:

    Why brag over something that you are being forced to do through misguided government overreach... rather than consumer demand?  EVERY CAR MAKER WANTS TO ANSWER THE CUSTOMER'S WANTS.  IT IS HOW THEY MAKE MONEY AND SURVIVE... THEY SERVE THE PUBLIC'S WHIMS.  That is certainly nothing to brag about.  That is something to hang your head over.  To gnash your teeth over.  to wring your hands over... but never to brag.  What a ludicrous statement.

    Thank you for proving how Ludicrous your own inability to see the future and new tech that can excite and invigorate others into the auto market.

    We would still be pre WWII level of Tech if the gov never did push the industries along. The science proves out the need to move beyond the Dino fueled auto's we have. Plus our health and the life of the planet will thank us.

    21 minutes ago, A Horse With No Name said:

    ...and this will be the end result, other countries will lead and the US will follow.

    So true and further leading us out of a leadership role and 1st world status as we move back into the stone age with his thinking.

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    I can see both sides here, and understand....

    Trust me Ocn, I understand where you're coming from-it's kinda crazy how they want to do it all at what seems at the same time. And while I love the techy future, I still love my gas engines. But as a country we are addressing concerns here...and now.

    - Whether we want to believe in global warming or not-it's time for a change either way. We knew it was coming...still, not easy to accept. This will also offer independence from the Middle East-no more crazy prices. And before someone adds about wall street just buying the utilitiy companies, there are many ways to get "charged"....wind, water, or solar. Hoping all I will need to do in my case is throw some solar panels on my garage(already have 220) and I can charge my car every day...

    -and as EV grows, defelt reminded me how we can still have fun (quite important to me-car needs a soul!) We just go from ol' gas and oil to plug and play..thinking it will still be fun, just in a different way.....:).

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    There will always be a lack of soul with an EV as they're silent and every single car guy loves the sound of exhaust whether it be loud and throaty or stock and hushed we still like those noises. 

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    33 minutes ago, ccap41 said:

    There will always be a lack of soul with an EV as they're silent and every single car guy loves the sound of exhaust whether it be loud and throaty or stock and hushed we still like those noises. 

    Have to disagree, so your saying this video of the Harley Davidson bike has no soul with this very cool pod racer sound it makes?

    Supposedly Nissan with the GT-R and Nismo edition of the Leaf will be customizing the sound of their Electric motor too.

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    25 minutes ago, dfelt said:

    Have to disagree, so your saying this video of the Harley Davidson bike has no soul with this very cool pod racer sound it makes?

    Supposedly Nissan with the GT-R and Nismo edition of the Leaf will be customizing the sound of their Electric motor too.

    I didn't say "no soul" I said there will be a "lack of soul". And I don't really enjoy the sounds of that compared to an ICE. No thank you to those noises. 

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    8 minutes ago, ccap41 said:

    I didn't say "no soul" I said there will be a "lack of soul". And I don't really enjoy the sounds of that compared to an ICE. No thank you to those noises. 

    Got it, guess the Star Wars and Star Trek fan in me comes out when I drove this bike. Loved the sound, loved the acceleration, nothing can touch the gut punch instant torque of an EV. Just Awesome! :metal: 

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    1 hour ago, ccap41 said:

    There will always be a lack of soul with an EV as they're silent and every single car guy loves the sound of exhaust whether it be loud and throaty or stock and hushed we still like those noises. 

    Maybe we just need some fart cannon exhausts and some ricers to make it louder....:P

    But where there is a will there will be a way.....

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      Bringing all these ingredients together, Jaguar Land Rover is on a path towards double-digit EBIT margins and positive cash flow, with an ambition to achieve positive cash net-of-debt by 2025. 
      Ultimately, Jaguar Land Rover aims to be one of the most profitable luxury manufacturers in the world.
      Mr N Chandrasekaran, Chairman of Tata Sons, Tata Motors and Jaguar Land Rover Automotive plc commented: “The Reimagine strategy takes Jaguar Land Rover on a significant path of acceleration in harmony with the vision and sustainability priorities of the wider Tata Group. Together, we will help Jaguar realise its potential, reinforce Land Rover’s timeless appeal and collectively become a symbol of a truly responsible business for its customers, society and the planet.”
      Mr Bolloré concluded: “As a human-centred company, we can, and will, move much faster and with clear purpose of not just reimagining modern luxury but defining it for two distinct brands. Brands that present emotionally unique designs, pieces of art if you like, but all with connected technologies and responsible materials that collectively set new standards in ownership. We are reimagining a new modern luxury by design.”

      View full article
    • By William Maley
      Jaguar Land Rover hasn't been doing very well for the past few years. Numerous issues such as poor sales in China, demand for diesel powered vehicles dropping, and the pandemic have put the automaker in a difficult place. This morning in the United Kingdom, Jaguar Land Rover CEO Thierry Bolloré announced plans to make Jaguar an electric only brand by 2025; Land Rover to launch six electric models; and to become a net-zero-carbon business by 2039.
      "We are harnessing those ingredients today to reimagine the business, the two brands and the customer experience of tomorrow. The Reimagine strategy allows us to enhance and celebrate that uniqueness like never before. Together, we can design an even more sustainable and positive impact on the world around us," Bolloré said in a statement.
      Jaguar

      Out of the two brands, Jaguar is hurting the most. Sales have dropped like a rock due to people stepping away from sedans and diesel powertrains. Bolloré's plan has the brand moving to an all-electric lineup by 2025. Not many details were released or talked about during the press conference this morning. What we do know is,
      Future models will utilize a new modular electric platform, known as the Electric Modular Architecture (EMA). The planned XJ replacement, rumored to go electric has been canceled. Likely reason for the cancelation is the platform that was going to be used for this model likely didn't scale to other models. Jaguar did say the XJ name could appear again on a future model. Automotive News (Subscription Required) reports that Jaguar will also move away from SUV-styled vehicles, likely meaning the end of the E and F-Pace. Land Rover

      Land Rover isn't going to dive in quickly as Jaguar into EVs. The plan is to continue offering a mix of powertrains, but with a heavy focus on electrification. Six all-electric models are planned to be launched by 2030, with the first model coming out in 2024. No word on what that model would be, but our guess is possibly a Range Rover EV. Land Rover will use Electric Modular Architecture for EVs, alongside the Modular Longitudinal Architecture (MLA) for hybrids. The goal is to have 60 percent of Land Rover sales be for electrics by 2030.
      Other Details
      Jaguar Land Rover said that it would keep all three of its U.K. plans open, but the Castle Bromwich plant(home to Jaguar XE, XF, and F-Type production) has a unclear future.
      “First we will continue production of our existing nameplates built there to the end of their lifecycle. Then we will explore opportunities to refurbish the plant, which could benefit from the consolidation of businesses scattered across the Midlands,” said Bolloré.
      Jaguar Land Rover is also planning on moving their executive team and other major management positions to a centralized location in Gaydon, and work more closely with their parent company, Tata Group.
      Source: Jaguar Land Rover
      Jaguar Land Rover reimagines the future of modern luxury by design
      New global strategy – Reimagine – announced for the British company under the leadership of Chief Executive Officer, Thierry Bolloré A sustainability-rich reimagination of modern luxury, unique customer experiences, and positive societal impact Start of journey to become a net zero carbon business by 2039 Reimagination of Jaguar as an all-electric luxury brand from 2025 to ‘realise its unique potential’ In the next five years, Land Rover will welcome six pure electric variants as it continues to be the world leader of luxury SUVs All Jaguar and Land Rover nameplates to be available in pure electric form by end of the decade; first all-electric Land Rover model in 2024 Clean-hydrogen fuel-cell power being developed in preparation for future demand Streamlined structure to deliver greater agility and promote an efficiency of focus Global manufacturing and assembly footprint to be retained, rightsized, repurposed and reorganised Collaborations and knowledge-sharing with industry leaders, in particular from within the wider Tata Group will allow the company to explore potential synergies on clean energy, connected services, data and software development leadership On a path towards double-digit EBIT margin and positive cash flow, with an ambition to achieve positive cash net-of-debt by 2025 with a value creation approach delivering quality and profit-over-volume Gaydon, UK - Monday 15th February 2021:
      A vision of modern luxury by design
      Jaguar Land Rover will reimagine the future of modern luxury by design through its two distinct, British brands.
      Set against a canvas of true sustainability, Jaguar Land Rover will become a more agile creator of the world’s most desirable luxury vehicles and services for the most discerning of customers. A strategy that is designed to create a new benchmark in environmental, societal and community impact for a luxury business.
      “Jaguar Land Rover is unique in the global automotive industry. Designers of peerless models, an unrivalled understanding of the future luxury needs of its customers, emotionally rich brand equity, a spirit of Britishness and unrivalled access to leading global players in technology and sustainability within the wider Tata Group.
      “We are harnessing those ingredients today to reimagine the business, the two brands and the customer experience of tomorrow. The Reimagine strategy allows us to enhance and celebrate that uniqueness like never before. Together, we can design an even more sustainable and positive impact on the world around us,” said Mr Bolloré.
      Two distinct modern luxury brands with sustainability at the centre
      At the heart of its Reimagine plan will be the electrification of both Land Rover and Jaguar brands on separate architectures with two clear, unique personalities.
      In a Land Rover, vehicle and driver are united by adventure. By breaking new ground, confronting new challenges and not being content with the expected, Land Rover truly helps people to go ‘Above and Beyond’. In the next five years, Land Rover will welcome six pure electric variants as it continues to be the world leader of luxury SUVs through its three families of Range Rover, Discovery and Defender. The first all-electric variant will arrive in 2024.
      By the middle of the decade, Jaguar will have undergone a renaissance to emerge as a pure electric luxury brand with a dramatically beautiful new portfolio of emotionally engaging designs and pioneering next-generation technologies. Jaguar will exist to make life extraordinary by creating dramatically beautiful automotive experiences that leave its customers feeling unique and rewarded. Although the nameplate may be retained, the planned Jaguar XJ replacement will not form part of the line-up, as the brand looks to realise its unique potential.
      Jaguar and Land Rover will offer pure electric power, nameplate by nameplate, by 2030. By this time, in addition to 100% of Jaguar sales, it is anticipated that around 60% of Land Rovers sold will be equipped with zero tailpipe powertrains.
      Jaguar Land Rover’s aim is to achieve net zero carbon emissions across its supply chain, products and operations by 2039. As part of this ambition, the company is also preparing for the expected adoption of clean fuel-cell power in line with a maturing of the hydrogen economy. Development is already underway with prototypes arriving on UK roads within the next 12 months as part of the long-term investment programme.
      Sustainability that delivers a new benchmark in environmental and societal impact for the luxury sector is fundamental to the success of Reimagine. A new centralised team will be empowered to build on and accelerate pioneering innovations in materiality, engineering, manufacturing, services and circular economy investments. 
      Annual commitments of circa £2.5bn will include investments in electrification technologies and the development of connected services to enhance the journey and experiences of customers, alongside data-centric technologies that will further improve their ownership ecosystem.
      Proven services like the flexible PIVOTAL subscription model (which has grown 750% during the fiscal year), born out of Jaguar Land Rover’s incubator and investor arm, InMotion, will now be rolled out to other markets following a successful launch in the UK.
      Quality and efficiency
      Reimagine will see Jaguar Land Rover establish new benchmark standards in quality and efficiency for the luxury sector by rightsizing, repurposing and reorganising.
      Central to that journey, and in order to establish different personalities for the two brands, is the new architecture strategy. 
      Land Rover will use the forthcoming flex Modular Longitudinal Architecture (MLA). It will deliver electrified internal combustion engines (ICE) and full electric variants as the company evolves its product line-up in the future. In addition, Land Rover will also use pure electric biased Electric Modular Architecture (EMA) which will also support advanced electrified ICE.
      Future Jaguar models will be built exclusively on a pure electric architecture.
      Reimagine is designed to deliver simplification too. By consolidating the number of platforms and models being produced per plant, the company will be able to establish new benchmark standards in efficient scale and quality for the luxury sector. Such an approach will help rationalise sourcing and accelerate investments in local circular economy supply chains.
      From a core manufacturing perspective that means Jaguar Land Rover will retain its plant and assembly facilities in the home UK market and around the world. As well as being the manufacturer of the MLA architecture, Solihull, West Midlands will also be the home to the future advanced Jaguar pure electric platform. 
      Key partners including Trade Unions, retailers and those in the supply chain will continue to play a vital part of the extended new Jaguar Land Rover ecosystem and its journey towards reimagining the future of modern luxury.
      ReFocus to a more agile operation
      As evidenced with the latest financial results, Jaguar Land Rover has a strong foundation on which to build a sustainable and resilient business for its customers and their communities, partners, employees, shareholders and the environment.
      Driving this transformation is the recently launched Refocus programme, by consolidating existing initiatives like Charge+ with new cross-functional activities.
      Reimagine will see Jaguar Land Rover right-size, repurpose and reorganise into a more agile operation. The creation of a flatter structure is designed to empower employees to create and deliver at speed and with clear purpose.
      To accelerate this efficiency of focus, the company will substantially reduce and rationalise its non-manufacturing infrastructure in the UK. Gaydon will become the symbol of this effort – the ‘reactor’ of the business - with the Executive Team and other management functions moving into the one location to aid frictionless cooperation and agile decision-making.  
      Leapfrog to leadership with Tata Group
      In order to realise its vision of modern luxury mobility with confidence, the company will curate closer collaboration and knowledge-sharing with Tata Group companies to enhance sustainability and reduce emissions as well as sharing best practice in next-generation technology, data and software development leadership. Jaguar Land Rover has been a wholly-owned subsidiary of Tata Motors, in which Tata Sons is the largest shareholder, since 2008.
      “We have so many ingredients from within. It is a unique opportunity,” said Mr Bolloré. “Others have to rely solely on external partnerships and compromise, but we have frictionless access that will allow us to lean forward with confidence and at speed.”
      Bringing all these ingredients together, Jaguar Land Rover is on a path towards double-digit EBIT margins and positive cash flow, with an ambition to achieve positive cash net-of-debt by 2025. 
      Ultimately, Jaguar Land Rover aims to be one of the most profitable luxury manufacturers in the world.
      Mr N Chandrasekaran, Chairman of Tata Sons, Tata Motors and Jaguar Land Rover Automotive plc commented: “The Reimagine strategy takes Jaguar Land Rover on a significant path of acceleration in harmony with the vision and sustainability priorities of the wider Tata Group. Together, we will help Jaguar realise its potential, reinforce Land Rover’s timeless appeal and collectively become a symbol of a truly responsible business for its customers, society and the planet.”
      Mr Bolloré concluded: “As a human-centred company, we can, and will, move much faster and with clear purpose of not just reimagining modern luxury but defining it for two distinct brands. Brands that present emotionally unique designs, pieces of art if you like, but all with connected technologies and responsible materials that collectively set new standards in ownership. We are reimagining a new modern luxury by design.”
    • By David
      Since Ford Motor Company reported a complete Q4 / 2020 fiscal year report with a loss of $2.8 Billion but a doubling of R&D on EVs to $22 Billion from $11 Billion and a $7 Billion for EV Autonomous driving, the auto reporters are asking this very question: Is this a Shot across gm's bow or is it targeted more broadly across the whole industry as everyone wants to take sales away or greatly slow down Tesla.
      Tesla's valuation appears to be based on investors putting money with new technology seems to be driving changes of the future. 
      gm has now committed to moving into the technology camp with a solid date of when new ICE auto's will no longer be produced as the whole portfolio will change over to EV's. Ford also is now committing to this same strategy. This now makes one wonder about the rest of the auto industry.
      Stellantis CEO did an interview with Forbes that has put cold water on Peugeot coming to the US in the near term future as he wants to invest in the existing US name brands and grow their 12.7% market share. He also said that Stellantis has the manufacturing power and EV technology, but getting it into the hands of everyone is the concern at reasonable prices. Stellantis CEO says this is in the hands of the various global governments as he wants cleaner air and believes diesel the dirtiest of fuels will die off before regular petrol and where dictated by governments such as China and Europe will see a faster change over than other countries. Yet with the change in administration in the US, he says this could move the Stellantis brands to move into the full EV camp at a future date.
      Then we have small countries that have decided to make a major change in moving the country into EVs way sooner than other places and killing ICE sales like Thailand. This will allow local Thai startups to compete for the first time with international companies that also do not have anything in the market yet. 
      With a large range of battery plants coming online over the next 18 months, the move to EVs could happen at a pace that took decades for ICE in the early 1900's.
      So this brings this back to the original question, Is Fords Doubling commitment to EV's and moving ICE into the last generation like GM a shot across GM's bow or a shot at the whole industry to say, look at us, we are moving into a Technology driven auto company and our stock should be much higher like Tesla's.
      Currently gm is valued at just under $80 Billion, Ford is valued at $40 Billion, Tesla is valued at $807 Billion, Toyota is valued at $155.5 Billion, Stellantis is valued at $50.5 Billion, Daimler is valued at $71 Billion, BMW valued at $46 and VW is valued at $90.7 Billion and while there are plenty of other auto companies, one has to wonder what Ford is focused on with the drastic change and speeding up of moving to EVs as a complete global portfolio.
      Sound off and discuss how, what, where and when you think this will have it's big affect.
      Charged EVs | Is Ford’s increase in EV investment a shot across GM’s bow? - Charged EVs
      Stellantis CEO Reveals Peugeot U.S. Fate, Job Security, EV Conflict (forbes.com)
      Future Toyotas, Stellantis, batteries and EVs - the week | Automotive Industry Comment | just-auto (just-auto.com)
    • By William Maley
      Yesterday, Fiat Chrysler Automobiles and Groupe PSA officially merged to become Stellantis, the fourth-largest automaker in the world. But this merge has produced some consequences that need to be addressed. One of those being Peugeot's re-entry back in to the U.S.
      “We were last speaking about [Peugeot’s U.S. re-entry] a year and a half ago, before Stellantis. We can’t not take into account that in the coming days Peugeot will be part of this new world. I imagine in the coming months due to the new strategy we will have to adapt and reconsider all elements, including this one,” said Peugeot CEO Jean-Philippe Imparato to Automotive News.
      A key reason for this reconsideration not wanting overlap brands in the U.S.
      This is a polar opposite to comments made last year by Larry Dominique, CEO of PSA North America.
      Imparto's focus for Peugeot in the near future is concentrating on its core markets - Europe, the Middle East, Africa, and Latin America. There are also plans to get the brand back on track in China. As for the U.S., Imparto said it was "still on the table" down the road.
      Source: Automotive News (Subscription Required)

      View full article
    • By William Maley
      Yesterday, Fiat Chrysler Automobiles and Groupe PSA officially merged to become Stellantis, the fourth-largest automaker in the world. But this merge has produced some consequences that need to be addressed. One of those being Peugeot's re-entry back in to the U.S.
      “We were last speaking about [Peugeot’s U.S. re-entry] a year and a half ago, before Stellantis. We can’t not take into account that in the coming days Peugeot will be part of this new world. I imagine in the coming months due to the new strategy we will have to adapt and reconsider all elements, including this one,” said Peugeot CEO Jean-Philippe Imparato to Automotive News.
      A key reason for this reconsideration not wanting overlap brands in the U.S.
      This is a polar opposite to comments made last year by Larry Dominique, CEO of PSA North America.
      Imparto's focus for Peugeot in the near future is concentrating on its core markets - Europe, the Middle East, Africa, and Latin America. There are also plans to get the brand back on track in China. As for the U.S., Imparto said it was "still on the table" down the road.
      Source: Automotive News (Subscription Required)
  • Posts

    • It's an impressive beast.    Visually, I find it quite attractive. BMW bikes just kind of do it for me.  right now....falling off the wagon buying things myself. Setting up a home stereo with decent used components, and negotiating on antoher large heavy woodworking tool I have no bisness owning. 
    • Only have ridden it 3 times so far because of the weather here, but I'm getting more comfortable with it. The clutch is heavy, I'm going to need to do hand exercises or just ride it a heck of a lot more to work up the muscles in my left hand.  I brought it to work this morning so I can drop it off for state inspection. Thinking back, this is the biggest bike I think I've ridden, maybe not the heaviest, but certainly the largest engine and most powerful.  It's a lot of bike and I'm still getting used to it. One of the nicest things that makes me glad I bought it is that once I'm rolling, it doesn't really matter what gear I'm in, I can just roll on the throttle and go without having to downshift. Love the torque.
    • The only reason ICE vehicles considerably increased in costs is because now active safety systems became standard.  That alone increased costs of all vehicles by at least $3-5k.  Before active safety systems came into play the yearly increase in vehicle cost was only few hundreds at most to compensate for the inflation. The price disparity between comparable  ICE and BE vehicle is still significant and so far doesn't seem to decrease.  It might change in the future, but as of right now it is a valid argument.  It is a dead horse argument already but so is getting daily bombarded about other side of the argument which you seems to ignore.  
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