Archive : Management clear-out at Rover

Carole Nash Classic Insurance Specialists

BBC
Business: The Company File
Rover needs a lot of repair work

Two senior executives at Rover, the embattled car maker, have resigned as the group’s German parent BMW restructures the group. The resignations mean that only the chairman is left on the Rover board. Paul Kirk, Rover’s Manufacturing Director, and Nick Stephenson, Director of Design and Engineering, are leaving.

The departures come just a few months after two other directors left the company.

Taking the wheel

BMW said recently that German executives will play an increasingly influential role in running Rover, following it’s £650m losses last year. It now looks likely that BMW will appoint it’s own people to the Rover board, to try to encourage greater efficiency and productivity.

Mr Stephenson was the man behind the Rover 75 which is built in Rover’s Oxford plant at Cowley, and won the prestigious “What Car” car of the year award. Rover’s Longbridge plant in Birmingham was saved by a £200m grant for the UK Government.

In return for the government aid, BMW will invest up to £1.7bn to modernise the plant and produce a new range of cars there. In a deal between BMW and unions the Rover workforce is being cut by 2,500 workers and new flexible work practices introduced. However, there are fears that more employees will have to go before Rover returns to profitability.

Rover’s woes have caused a dramatic management reshuffle at BMW.

Keith Adams

Keith Adams

Editor and creator AROnline at AROnline
Created www.austin-rover.co.uk in 2001 and built it up to become the world's foremost reference source for all things BMC, Leyland and Rover Group, before renaming it AROnline in 2007.

Is the Editor of the Parkers website and price guide, formerly editor of Classic Car Weekly, and launch editor/creator of Modern Classics magazine. Has contributed to various motoring titles including Octane, Practical Classics, Evo, Honest John, CAR magazine, Autocar, Pistonheads, Diesel Car, Practical Performance Car, Performance French Car, Car Mechanics, Jaguar World Monthly, MG Enthusiast, Modern MINI, Practical Classics, Fifth Gear Website, Radio 4, and the the Motoring Independent...

Likes 'conditionally challenged' motors and taking them on unfeasible adventures all across Europe.
Keith Adams

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