Ford head resigns

Osborne exits after just seven months in the chair.

The top man at Ford Australia is off. One day after announcing 350 axed jobs, Bill Osborne added himself to the body count by resigning as company president. 

Osborne made no apologies for the awful timing, but said it was a personal decision and not related to the troubles at the Blue Oval in Australia. Osborne is the second long-term Ford exec to exit the chair. He said he was leaving to take up a role as chief executive officer of an independent company, but declined to name the business – citing Unites States business regulations as preventing him, and saying only that it was ``in a sector outside the motor industry’’.

``This is an opportunity I’ve been preparing for my whole career,’’ Osborne said.

``It was always my objective to retire from Ford and seek an opportunity as CEO of an independent company.

``It is a wonderful opportunity with a company based in the US and I felt I had to take that opportunity now.’’

The announcement raises doubt about the plans for Ford in Australia, but Osborne was predictably upbeat about the future, and said his decision was unrelated to the downturn in the American company’s figures.

``It’s just unfortunate it comes at a time of great challenges in the industry, but it’s not related to those challenges,’’ he said.

``This is strictly a personal decision.’’

Osborne said that candidates had already been identified for the role as his successor, but that he had not been told who they were.

``I don’t know that information,’’ he said. ``My boss hopes to have somebody identified over the course of the next two weeks.’’

Osborne has been in the motor industry for 31 years, serving at all of the Big Three carmakers in the US – General Motors, Chrysler and Ford.

He was adamant his departure did not indicate a lack of faith in Ford’s prospects here.

``I retain confidence in Ford Australia,’’ he said.

``The difficulties faced by Ford are faced by every other manufacturer in the industry.

``They’re not endemic to Ford.’’

Osborne has seen the launch of the under-performing Falcon since his arrival, and but said changes he has made during his short tenure will help bring better days for the company in Australia.

``I think I put the company on the road to a better relationship with its dealers, and I think we’ve put together an excellent business plan to put the company on sound footing for the next few years,’’ he said.

``I’ve launched and gotten approval for a different business plan for Ford Australia over the next four to five years.

``(With) the large car segment decline, changes around consumer preferences … in that kind of volatile environment it’s crucial to make changes, and the plan will make a strong market response.’’

He said his successor would have to work towards making Ford Australia a global player in the industry.

``My successor will have to keep an eye on our costs … have to be one of the lowest cost producers in the region … (and match) the highest quality producers in the industry.’’

``We’re on a journey to achieve that.’’

Osborne also signalled that the handover to his successor would not be a drawn-out process.

``I don’t intend on hanging around for months and months,’’ he said.

``This team needs to get on with new leadership.’’