British-Born Exec to Succeed Poling at Ford : Autos: The selection of Alexander J. Trotman for the top post reflects the increasingly global nature of the industry.
Harold A. (Red) Poling, who helped lead Ford Motor Co.’s turnaround in the 1980s, announced Monday that he will retire at year’s end, handing the management reins to a Britain-born senior executive with extensive international experience.
Poling, who as chairman and chief executive turned Ford into the healthiest of Detroit’s auto makers, will be succeeded by Alexander J. Trotman, president of Ford’s automotive operations.
The choice of Trotman, whose career with Ford spans 38 years, is evidence of the growing global nature of the auto industry. A U.S. citizen reared in Scotland, Trotman has held top posts in Europe, Asia, Australia and North America.
“He was selected by the board because of his operating experience around the world,” Poling said in an interview in his 10th-floor office at Ford’s headquarters.
The announcement came before a crowd of about 2,000 Ford employees, dealers and suppliers who had gathered at the company’s Dearborn assembly plant to celebrate production of the first 1994 Mustang. The plant is part of Ford’s massive Rouge complex, where Poling began his career 42 years ago.
The transition in power is expected to keep intact Ford’s operating philosophy, which emphasizes teamwork between management and unions and continuous improvements in efficiency and quality.
“I don’t think there are going to be any changes of significance in the next few years,” said David Healy, an analyst with the New York brokerage S.G. Warburg.
On Nov. 1, Trotman, 60, will become chairman, president and chief executive. He is the first person to hold all three titles at Ford and only the sixth chairman since the post was created in 1955.
Trotman, who speaks with a mild Scottish brogue and has a well-manicured mustache, is the first foreign-born executive to run Ford, the second-largest U.S. industrial concern, with operations in 30 countries.
The appointment comes as the auto industry is becoming increasingly international.
More and more companies are seeking to build plants in the places where they plan to sell their products. So crucial is international management experience that the top executives of Ford’s rivals--Robert Eaton at Chrysler Corp. and John F. Smith at General Motors Corp.--also worked in Europe before reaching the pinnacles of those companies.
Ford’s board began searching nearly two years ago for a replacement for Poling, who will be 68 next week. Trotman and Vice Chairman Allan D. Gilmour were the front-runners, but Trotman held a slight edge because of his more broad-based resume.
“I’m taking on an awesome responsibility,” Trotman said at a brief news conference. “But I do it with a great deal of confidence.”
Gilmour told reporters that he was disappointed by the board’s choice but added that he will remain in his post as a member of Trotman’s management team.
The selection puts to rest--for now--talk of whether a Ford family member will again run the company founded 90 years ago by Henry Ford.
Two Ford heirs--William Clay Ford Jr., 36, and Edsel Ford II, 44--have said they aspire to run the company someday.
The changes at Ford should not disrupt the company’s continued recovery from the U.S. economic slump and recession in Europe, analysts said. The company reported a profit of $1.34 billion for the first half of 1993.
“I don’t think we will see much change, except maybe a speedup in the globalization of Ford’s product operations,” said John Casea, an analyst with Wertheim Schroder in New York.
In an interview, Trotman said he wants to maintain spending on new car and truck development for the U.S. and European markets.
Indeed, his dedication to product is one reason Ford decided not to kill the new Mustang, which goes on sale Dec. 9. The car, which has become part of American lore in the last 30 years, was rescued from oblivion when Trotman agreed to back a remake of the model.
His support was dependent on cutting bureaucracy and relying on teamwork--basic tenets of his management philosophy. Trotman describes his style as direct and honest, with no pomp. He does not tolerate turf wars and expects total commitment.
“The one thing that would make me maddest is disloyalty to the team,” Trotman said.
In replacing Poling, Trotman has a hard act to follow.
Poling, who began working for Ford in the Rouge steel plant’s financial department, has become the Big Three’s most visible spokesman in Washington on trade, health care and government regulation.
In the late 1970s, he became president of Ford of Europe, turning the money-losing subsidiary into a big moneymaker.
But back home under Henry Ford II, Ford was floundering. In 1980, it lost $3.3 billion, mostly in North America, and, like Chrysler, it was facing insolvency. Philip Caldwell became chairman and tapped Poling to head North American operations.
Poling, considered a tough but fair boss, set a goal of cutting $1.5 billion in costs. That meant laying off thousands of workers and closing uncompetitive plants. But today, Ford has five of the 10 best-selling vehicles in America, and the company’s U.S. market share has increased to 25.3%.
Alexander J. Trotman
Named chairman, CEO and president of Ford Motor Co. to replace Harold A. Poling.
* Resume: Served four years in the Royal Air Force. Joined Ford of Britain in 1955 as a purchasing trainee. Became director of Ford of Europe’s car product planning in 1967. Moved to United States in 1969 on special assignment; in 1970 became manager of Lincoln-Mercury product planning. Elected Ford vice president in 1979; headed Ford of Europe truck operations. Named president of Ford Asia-Pacific in 1983, president of Ford of Europe in 1984. Since 1989 he has headed Ford’s North American Automotive operations.
* Management style: A team player who is very informal. Likes to hear everyone’s point of view. Values integrity, honesty, pragmatism and fairness. Believes that once a decision is made, you should commit to it totally and not look back.
