GM Reorganizes Powertrain Operations

Detroit-based General Motors Corp. announced a reorganization of its powertrain operations into a single entity from the two previous North American and international units. The new GM Powertrain organization is aimed at cutting costs and improving quality. It is not expected to lead to plant closings or layoffs, GM said. The new structure will initially address how GM develops engines and transmissions. It will create regional organizations that have responsibility for specific products. The European Powertrain Engineering Center will develop small displacement gasoline engines and will be based at GM’s Adam Opel headquarters in Germany. Large displacement car and truck gasoline engines and automatic transmissions will be developed by the North American engineering centers. Saab Automobile, a Sweden-based firm partly owned by GM, will develop turbocharger technology. Tokyo-based Isuzu Motor Co., another GM partner, will eventually be responsible for all diesel engines. The new global organization will be based in Pontiac, Mich.