California Autos Examiner

Saturday, September 08, 2007

Chrysler LLC's Full Court Press

I about dropped my laptop when I read the headline that the much vaunted Jim Press was leaving Toyota for a position at Chrysler. My immediate thoughts were "Why would he do that?" Is it the challenge that Chrysler presents? What Press is walking into is a car company that has lackluster sales, grumpy dealers and a product portfolio that leaves a lot to be desired. Also, from everything that we've been privy to so far, not much in the product pipeline looks to be game changing. I don't mean to dump on the Chrysler, but I really don't see any "save the company" type of products either already on the shelves or coming soon.

Simply by hiring Press, Chrysler has already provided some comfort to dealers. But at the end of the day, a car company's fortunes all come down to product, product, product. What does Press have to work with? Chrysler has vowed to take their interiors up a notch or two, but we have yet to see that. A recent Edmunds' review of the new 2008 Dodge Grand Caravan grumped about the quality of the interior materials. Products shots of the the new Dodge Journey's interior fail to impress as well. We truly are left to ask, "Where's the beef?"

Chrysler has also allowed its crown jewel, Jeep, to fall into some disrepair. The Grand Cherokee has fallen from its once mighty perch, the Commander had people laughing at the intro, the Liberty has merely be warmed over, the Compass is sheer madness, the Patriot is only passable and that leaves the Wrangler Unlimited as the only true rock star out of the bunch. Similar reviews of Dodge's and Chrysler's products lines are even worse. You could make the argument that the bold and beautiful 300C has never been succeeded and may become a high water mark for Chrysler.

Bob Nardelli has said that it may take up to 10 years to get Chrysler's product line where it needs to be and I believe him. It's going to take a lot of talent and vision to turn this sinking ship around. Chrysler has successfully redefined itself in the past, so we all know that it can be done. Let's hope that the team Nardelli is assembling is up to the task.

I have outlined some thoughts on Chrysler's mess:

  • Fix dealer relationships. These folks are YOUR contact with the customer. If they are unhappy, it's hard to see how they around going to make vehicle buyers happy. Press is the right man for the job, give him the tools that he needs.
  • Upgrade your interiors. There really is no excuse for this one and it should have been done a long time ago. Every vehicle in your lineup could benefit from an additional investment of $400 or so in quality materials.
  • Look to the future. Yes, it's crossovers right now, but what will be next? Chrysler's best chance is another segment buster like the original minivan.

I feel that Press should be sitting where Nardelli is, but I have to give props to Bob for poaching him from Toyota. Undoubtedly this could not have been an easy decision for Press to make and hopefully he won't regret it. All I can say to Press is be prepared to make a lot more difficult decisions as you begin to fix Chrysler's many woes!

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