TURIN -- Groupwide purchasing at Fiat used to be a shared job, but now there is just one man in charge -- Domenico Bordone, the respected, longtime boss of Magneti Marelli.
Under former group CEO Giuseppe Morchio, top Fiat executives shared responsibility for groupwide purchasing.
New Fiat group CEO Sergio Marchionne, who succeeded Morchio, thinks one person should handle the job. He wants Bordone to deliver better results by sharing best practices and best suppliers within the group, which includes Fiat Auto.
Bordone, 58, will continue to be CEO of Marelli, Fiat group's components arm. He joined Marelli in 1987 and was named CEO in November 1993.
In June 2003, Morchio created a cross-functional team to coordinate purchasing at all the troubled Italian industrial conglomerate's companies.
But the team lacked a clear leader.
"Morchio's idea was right, but it is difficult to believe that a working team made of equals would really cooperate in the best possible way," a company insider says.
The Bordone appointment, Marchionne's first personnel move since he took over on June 1, has been well received in the auto supplier community.
"Bordone is a seasoned executive of high technical knowledge and great management expertise who for years has successfully led one of the most technology oriented Fiat group subsidiaries," said Andrea Pininfarina, Pininfarina group CEO.
Said Alberto Bombassei, chairman of Brembo: "I have known Bordone for many years and I hold him in high esteem. I think Bordone, in his new role, will be able to reach the group goals he is assigned and also establish true partnership with suppliers."