Opel has revealed details of its 10-year plan for growth, which includes the launch of 23 new models by 2016.
GM Europe interim president Steve Girsky has revealed details of the company’s radical 10-year plan for reviving Opel and Vauxhall in Europe. Dubbed „Drive 22”, the plan is described by Girsky as “the biggest comeback in European automotive history”.
According to the plan, GM Europe will break even by the mid-decade and turn to increasing profits thereafter. “I’m not expecting a huge recovery any time soon in Western Europe. We can’t rely on volume to bail us out,” Girsky was quoted as saying by Auto Express.
The plan involves increasing profits while driving costs down and it will be implemented in three distinct phases. The first consists of optimising manufacturing costs, sharpening the brand image and reducing the cost of materials.
The second phase is to match supply more closely to demand, produce cars locally that are made outside Europe and launch additional variants with the help of partners such as PSA. Finally, the third phase will be to grow market share in growing economies like Russia and Turkey, break into the top five brands for customer satisfaction and ensure factory utilisation reaches around 90 per cent.
Thanks to the partnership with PSA Peugeot Citroen, 23 new Opel/Vauxhall models and 13 new engines will be launched between 2012 and 2016, with many more to come in the six years after that.