Chrysler Group to Expand Regional Business Centers
Effective Jan. 1, 2003, the Chrysler Group will reorganize its field operations, adding three Regional Business Centers (RBCs) which will absorb the current Zone Office structure. The move is designed to more closely align the Chrysler Group's field organization with the company's corporate sales and brand marketing team structure. The goal of Chrysler Group's field reorganization is to improve the communications process between the company's Auburn Hills headquarters, the field organization, and Chrysler, Dodge and Jeep dealers. This will also streamline the go-to-market processes and create more dynamic and robust business units. Each RBC is empowered to make decisions relative to vehicle content, incentives, and marketing elements in each of the respective regions. The RBCs will be supported locally with Finance, Legal, Marketing, Parts & Service, Fleet, Customer Relations, Training, and Warranty personnel. DaimlerChrysler opened its current dealer support network of five RBCs in March 2001. The existing offices are located in Detroit, New York, Los Angeles, Orlando, FL, and Dallas. The expanded network of Regional Business Centers will add offices in Chicago; Washington, D.C.; and Denver, and absorb staff from the 24 Zone Offices. No disruption to current dealer contact processes is anticipated. The plan replaces 24 individual zone offices supporting 78 Dealer Operations Managers with a more efficient field marketing organization. At present, the 24 Zone Managers have responsibilities for all aspects of the dealer relations business, including After-Sales Operations (parts and service), Wholesale/Retail Management (field operations), Marketing/Advertising, and Dealer Network. Under the RBC system, each RBC will have a Service & Parts Manager, Field Operations Manager, Marketing Manager, and Dealer Network Manager with dedicated management staffs. The current Zone Managers will be redeployed to one of the three areas of responsibility, allow-ing them to focus on one specific discipline to meet the needs of the dealers. Chrysler Group anticipates operational savings from the consolidation of facilities and other fixed assets. The company has offered relocation and continued employment in a RBC to all of the affected zone office employees.