After Frederic Saint Geours and r&d chief Guillaume Faury resigned from being members of PSA/Peugeot Citroen’s management board, the brands have decided to streamline its management board. Saint Geours and Faury won’t be replaced on the board, lessening its number from six to four. The 62-year-old Saint Geours will remain with PSA as CEO Philippe Varin’s advisor.
However, Faury has decided to quit from his post at the automaker to serve as the CEO of the Eurocopter division of defense group EADS. Gilles Le Borgne, 50 years old, has been named as the replacement of Faury, who is 45 years old. Borgne will be supervising the design of the new EMP2 mid-sized vehicle architecture that will be used on a lineup of fresh models, including the new Peugeot 308 and Citroen C4 Picasso.
Maxime Picat, Peugeot’s brand boss, and Frederic Banzet, Citroen brand head, will be directly reporting to Varin. They will both have direct responsibility for the sales of their brands. They had formerly reported to Saint Geours. Reports from the French press indicated that this move is meant to make the brand chiefs have more autonomy as PSA repositions the two marques. PSA said that Varin will have a smaller management board to work with to guarantee the efficient operation of the group's turnaround strategy.
The board members who remain include: Varin; finance chief Jean-Baptiste de Chatillon who is predicted to be Varin's No. 2; Asian chief Gregoire Olivier; and programs head Jean-Christophe Quemard. Under the reshuffling plan, the management board has been tasked to meet strategic goals by Varin. In particular, De Chatillon is tasked to make Latin American operations become profitable once again.
Olivier will have to boost profits in Russia and expand production operations outside Europe and Latin America. Quemard will aim to lower production costs and manage the development of the GM cooperation. It was in 2009 that Faury joined PSA, moving from Eurocopter where he was research and development chief. He will be going back to Eurocopter as its CEO on May 1.