JMG gone!

[johnpwalsh]

18 hours ago, Kimbers said:

Guys, its a reasonable decision by Geely. Many of you bemoaning JMG leaving but it is for the best.

Can you remember why JMG was taken on? If you do you know it was to "steady the ship" in terms of finances, at a time when Dany Blowhard had destroyed any credability Lotus had in terms of Finances. The Company was in a terrible state and only weeks away from Bankruptcy.

So what do you do in these times? You hire a money man. An accountant. who's sole job is to get finances under control.

But what can a "Finance biased" Head of a company not do as well as others? Passion, people, develop new ideas etc etc.

Personally I thank JMG for his steady hand on the tiller but now Lotus needs an innovatve head who can push forward with new Products, investment (rather than cost cutting), development, engineering etc.

I think this is long overdue and praise geely for knowing they need an innovator at the helm. Well done.

 

 

Agree with what you say Kimbers. it's a bit like the oil industry when it hits doldrum's. Get beans counters in, crunch the numbers, turn the business around , get a partner company involved then appoint new management once financial stability has been proven. Investors and banks probably had already asked for that at some point. Now a new team in place starting at the top with a bit of stability to work from. JMG did a great job of what was required of him. Now lets look forward to new models, marketing and a positive outlook.

[Kimbers]

15 hours ago, mdavies said:

Was his emergency surgery not a pretty obvious process, for any merely competent manager in any field? Stopped the financial blood loss (I understand) but at serious cost to the workforce, production numbers and not least to the enthusiast for the cars - no longer affordable for many. Prices jacked way up and for models not developed far enough to justify them. Some nice titivation perhaps, but for today's prices? 

 

Spot on Mel. The proof of this is the way that Used Prices are very Stable in the £30,000 Mark for NA Evora, £32-35 for S and £50k for used 400. What it shows is that this is the "Market rate" for these models, as originally designed in my MJK's team when they brought the NA out at £47-50. Plans were always for more expensive models but Evora was always that step up from Elise at £25-30.

15 hours ago, Stubox said:

Must be worth a special ‘Gales’ final edition model

Or a long overdue MJK model?

No matter what else we do though, we need to understand that locally he was not liked. The employees had stopped responding to him, despite his keeping the company alive, as hours had been cut without consultation, it was his way or you were fired. Many parts of the company have been cut to the bone and I know many people who left due to his leadership. We are talking highly skilled professionals to absolutely dedicated line workers. Those that stayed have a "Go in do my job and get out" attitude. Morale is poor. Thats not something a money man cares about. He just see's the bottom line and numbers.

I would love to see the likes of Matt Becker head hunted. Hell I would love to see the old man even welcomed in to get access to the archives (he wasn't welcome in Bahar or JMG tutorship). The old man could reinstill a sense of pride and morale, even at 79.

[PaulCP]

22 minutes ago, Kimbers said:

No matter what else we do though, we need to understand that locally he was not liked. The employees had stopped responding to him, despite his keeping the company alive, as hours had been cut without consultation, it was his way or you were fired. Many parts of the company have been cut to the bone and I know many people who left due to his leadership. We are talking highly skilled professionals to absolutely dedicated line workers. Those that stayed have a "Go in do my job and get out" attitude. Morale is poor. Thats not something a money man cares about. He just see's the bottom line and numbers.

This is what I was referring to earlier in the thread in my comment “the only way is the JMG way”

Some of the stories I have heard (from very reliable sources) of events that took place in internal meetings suggest that the technical opinions of more knowledgeable others were not welcomed by him.

Despite his effectiveness at steadying the finances the company would not have progressed under his stewardship

[DJW]

Have been in several companies that have been bought out, its standard practice to replace the person at the top,  I expect the negotiations when buying Lotus made this clear and JMG agreed he would move on quietly to another role.

These kind of men are employed to get a job done and then move on to the next challenge .

Exciting times ahead for Lotus.  

[johnpwalsh]

Agree. He would have been given a task, now complete and time to move on. Next phase now please. Onwards and upwards.

 

[nello]

Defo Kimbers  MJK should be honourary lifelong President in my book!

[Escape]

I feel I do not know enough details to make an educated comment on how well JMG did or what he could have done better. Sure, closing Motorsport and the Academy were no popular decisions with us fans. But maybe there was sound reasoning behind those choices. I do know I like the way the cars have evolved over the last couple of years. When I got my first Esprit almost 7 years ago, I wasn't too interested in the then current Lotus range. Though I was impressed with the bang for buck of the Exige V6. Now, despite the higher prices, I find I'm increasingly drawn to the different editions from Exige 380 to Evora 430. Those are among the very few new cars I'd actually consider, and if I ever need to replace the Esprit, a used car of the current range would be very tempting.

The new CEO will have to prove himself. I see a real risk of Lotus being aimed at the Chinese market, and losing touch with its roots. Which might be a good move economically, but a shame for us few car enthusiasts. Time will tell...

Filip

[Spinney]

It was with some trepidation I visited the factory this morning (with the intention of deciding on colour spec for imminent Evora order) after yesterday’s news. I previously was completely unaware of the depth of feelings about JMG within the company, good or bad. 

Whatever else one thinks of him, he has brought the company we all love back from the brink, a position they were all too familiar with throughout their history. He clearly fulfilled his brief of getting things in order prior to a buyer being found who could, at last, provide the investment they so desperately needed. He was in a similar  position to Ansar Ali at Caterham many years ago who was charged with the same brief, to steady the ship and make the company attractive to a new buyer/investor. There were many who disliked the way he went about it, but he achieved what he set out to do. 

Unfortunately, few in this position make very many friends as they do what is needed to save the business. Personally I feel the future of Lotus now is brighter than it has been for a long long time. 

[Shuck]

He had a unique ability to make employees not want to work for Lotus. A bean counter's bean counter with delusions of grandeur. I don't think he had any involvement with the sale to Geely. He left the company in a worse state "engineering wise" than he found it.

[C8RKH]

He has done his job. He has steadied the ship in the storm and got it port. We should thank him with grace and wish him well. Take the keys off him, and look to give the new man our support and hope that he brings with him the insights of how to get the best from Geely. The wisdom to listen to the people that work at Lotus and know Lotus cars and get Motorsport back up and running. The experience to hire well and build a high performing team. And finally, the vision to support Lotus to move on to bigger and better things (not necessarily more expensive!)

[NedaSay]

Well it's time to move on any way.

I wish JMG the best at JD Classics and I wish the very best of luck to the new CEO. I really hope he gets to leverage the heck out of Geely Group synergies in order to bring to market the best Lotus cars they can. Starting with a raft of updates for Evora in cabin tech as early as this summer/fall. And if Elise is to stick around a little longer in its current form, how expensive would it be to federalize (smart front and side airbags) the cute little thing in order to get a few hundred more sales in the next few years...  We haven't had our "new Lotus of the week" in a little...

Also hum I don't think it is fair that only Sweden gets to see the Evora whoop asses at the track. time to reopen the motorsport department. 

Edited June 5, 2018 by NedaSay

[chipp]

1 hour ago, Shuck said:

He had a unique ability to make employees not want to work for Lotus. A bean counter's bean counter with delusions of grandeur. I don't think he had any involvement with the sale to Geely. He left the company in a worse state "engineering wise" than he found it.

Hello Michael @Shuck it has taken you nearly nine years to put up your first post so I imagine you must feel very strongly about the situation especially in the last few years.

You're right about 'engineering wise', there has been a lot of good people leave voluntarily.

 

chipp

 

[Chillidoggy]

Maybe they should put an engineer in charge. 

Porsche did that.

[C8RKH]

11 minutes ago, Chillidoggy said:

Maybe they should put an engineer in charge. 

Porsche did that.

Thought that was just so they could engineer the emissions!

[Chillidoggy]

 Not at all.

Im pretty sure they have at least one Dr. Ing in charge.

[Spinney]

5 hours ago, Shuck said:

He had a unique ability to make employees not want to work for Lotus. A bean counter's bean counter with delusions of grandeur. I don't think he had any involvement with the sale to Geely. He left the company in a worse state "engineering wise" than he found it.

So which would you prefer, the company as he has left it this week or one that was in severe danger of failing completely and going into liquidation as it was a few years ago?

Employees and Lotus fans may not have liked some of his decisions, but at least he has left a company on stronger foundations and now they at last have an owner capable of providing the investment that has been so desperately needed. I'm sure we will see that investment going in to rebuilding the engineering design base for which Lotus is so well known. Be positive! 😃

[Shuck]

31 minutes ago, Spinney said:

at least he has left a company on stronger foundations 

Being positive I suppose it allows Geely more scope to expand the business.🙄

Edited June 5, 2018 by Shuck

[Spinney]

I was told at the factory only today that the company is actively recruiting engineers again so it would seem the Geely investment is already starting to rebuild the business. By nature I'm a glass half full type of person, so given what I heard today, I'm feeling very positive about the future of Lotus Cars.

Having been a Lotus fan for nearly 60 years now, that's not a feeling I've had too often over those 6 decades, I can tell you.

[bosshog]

Plenty of hiring going on  http://careers.lotuscars.com/Lotus/vacancies/vacancymenu.asp

[Spinney]

As an employer myself, I know it’s not very pleasant laying people off and making big cuts but sometimes it must be done for the sake of survival. Those affected most by the cuts may not always understand or be accepting of the reasons and maybe in the case of Lotus, it wasn’t satisfactorily explained to them. I’m only guessing there, but perhaps that is why some folk feel animosity towards JMG. 

At least now the company is still there, looking stronger and employing more folk to help them grow. They could so easily have gone the same way as numerous other British niche sports car manufacturers over the years. The fact that they haven’t is cause for celebration in my view. 

Edited June 6, 2018 by Spinney

[Bibs]

I had a call from JMG yesterday (from his office, he was still there!) and he explained that the new CEO is ideally suited to taking Lotus forwards from this point. With his strong R&D background and intimate knowledge and experience of Geely, he's the right person for the role.

JMG has spoken with staff and made it clear that the turnaround the company has seen in the past 4 years is a team effort and everyone who works there has been involved is this, it's their work that has made the company what and where it is right now. When he took over, the company posted a £60m loss on an £80m turnover and he leaves the CEO position with turnover up to £100m and a 8 figure profit (before charges etc) and a positive cashflow, the company pays for itself. While staff were down to 800 in order to save money initially, they're now back up to 1,000 with another 100 staff required by the end of this year. Lotus was in a very perilous financial position when he started, cuts did have to be made for Lotus to survive that period.

JMG still be staying on (expected 1 day/month) is his role as Chief Strategic Advisor to the Chairman, he still has his company email/phone etc. He's been very keen to let the new boss understand that everything they do must focus on 'Lightweight, handling and aerodynamics' as the core principals of the cars and in his advisory role will be pushing these principals ongoing. The USA will be a focus for the later part of this year and there are other developments in the pipeline for the existing range (carbon fibre wheels anyone, 8kgs lighter than forged and in-car adjustable 3-way suspension?!). Also, he will also be adding a new Lotus to his own garage shortly, either an Evora GT430 or Exige Sport 410. 

I've had very regular contact myself with JMG during his time at Lotus and I've enjoyed working with him and the company throughout this time, as I have with previous CEO's. Personally, I thanked him for making sure Lotus is still here and in good financial health and congratulated him on what I believe are some of the finest cars Lotus have ever made now coming out of Hethel. I also thanked him for his faith in TLF and for what he's done for us over the years too. We do get a lot of support (NB never financially, as some people seem to insist on believing) and offer support back which I think is pretty unique and very special for a car club, long may this relationship continue.

[Tex]

Looks like the start of a new dawn

I heard on good authority that Daniel Liu wasn’t that impressed with all the Lotus specials and Car changes and Gales was

But Liu wants to keep him but in a different role and utilise Feng

Interrsting times at Lotus !!!

Edited June 6, 2018 by Tex
Clearer

[Techyd]

I'm at Hethel in July for a V6 track day so I'll see what vibe I can get...!

[PhilT]

Just a question - maybe somebody knows, what is the status of the consultancy side? Still going? Profitable? Part of Group Lotus? 

[Bravo73]

8 hours ago, Bibs said:

...and there are other developments in the pipeline for the existing range (carbon fibre wheels anyone, 8kgs lighter than forged and in-car adjustable 3-way suspension?!)

Ohlins Mechatronics? As already fitted to at least one Evora that we know of...