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Director of Saab Germany resigns

December 8, 2010 in News

A Googletrans from a press release received overnight.

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Saab Germany: Hans-Jörg Hänggi, National Director resigns

• Hans-Jörg Hänggi, National Director of Saab Germany, is leaving the company on 31 December 2010
• Kjell-Åke Eriksson’s appointed Acting National Director
• Search for new National Director is already running

As Saab Automobile said today that Hans-Joerg has Hänggi, National Director Saab Germany, determined to Saab Automobile 31 to leave in December of the year to pursue new professional opportunities. With the resignation of Hänggi will take Kjell-Åke Eriksson limited in time, the position of National Director for the German market. The search for a new National Director has already started and Saab expects to soon be able to provide notice.

Kjell-Åke Eriksson has extensive experience in the German market. Eriksson headed from 2008 to 2009 in his role as Managing Director Saab Germany for over a year the German team. This Eriksson: “Although the reason is for my return to Germany a surprise, but I’m looking forward to another collaboration with the German merchants and the professional team from Saab Germany. I have the feeling of coming home, and I am confident that the changeover will go smoothly from Amsterdam. ”

“We will in the coming weeks, the precise transition plan and the division of tasks between Hans-Jörg Hänggi and I work out,” continued Eriksson. “The search for a new National Director has already begun and will surely soon come to a conclusion.”

Jan-Åke Jonsson, Saab Automobile’s CEO, said: “Naturally we are disappointed that Hans-Jörg Hänggi is leaving Saab, but I respect his decision. I would now take this opportunity to thank him for his dedicated work over the last ten years. ”

In announcing his decision Hänggi said: “They offered me an opportunity that can not ignore. I deeply regret, however, to leave Saab. I have worked for more than ten years in various national and international positions with great joy for the Saab brand. “

17 responses to Director of Saab Germany resigns

  1. The history book on the shelf is simply repeating itself. There will be many comments regarding the whys and the implications, but I’d like to pause for a moment and wonder why is Saab so quick to fill all the positions they created along the way. I understand they had to rebuild, or even build from scratch, entire swathes of their organization, but in view of their well-voiced cash-conservative strategy, over-staffing with executives is the least one should do.

    The ever-slow sales prove that somehow the sheer presence of an executive does not produce sales, and many experienced guys stumbled when faced with the new reality. Saab does not need experience – it needs creativity, out-of-the-box thinking, drive. It needs people who won’t falter and keep waiting for the mothership to support them, who are willing to work their buttocks off and reach for the impossible, who are cunning and cheeky enough to cut through. It also needs to keep the staff very close together to quickly act upon any issue they encounter and make sure every good idea gets realized post-haste.

    With regard to that, and the so-far poor sales performance, I would recommend for Saab to stop hiring for a moment and consolidate as many positions as possible. Whether Hänggi’s leaving is a result of an appraisal of his poor performance, or a pre-emptive move by a person seeing they can’t succeed under the adverse circumstances, there is a need for Saab to cross-review their payroll and sales report and perhaps start drawing more conclusions.

    For the moment, I believe Kjell-Ake is a perfect fit for the position, having spent many years in the German market. Even if being busy with his regular job in purchasing, he can actually do no worse than Hänggi, because Saab can’t really do worse in Germany. I guess either he did nothing and Kjell-Ake can do nothing just as good, or what he did actually had an adverse effect on sales, so even if Kjell-Ake just sits and does nothing it could be beneficial with Saab.

    Seriously now, treating Germany as a part of Saab Nordic region for the moment and sharing sales executives and other infrastructure might be a good idea. Saab can probably safely expect to move from 100 to 300 vehicles a month under that model, which would be quite a lot of change, and at that point could merit a separate Saab Deutschland organization.

    BTW, I was quite surprised that seeing the sales results fall far short of exepctations, so many projects behind either schedule or reasonable expectations, neither VM nor JAJ did assume direct responsibility for sales. Having VM as a temporary, but clearly executive and involved head of sales could have done wonders for the organization and the bottom line.

    OTOH, merging market responsibilities and corporate functions in a matrix scheme can be a good idea as well. I still admire the brilliancy of Marchionne’s organizational set-up at Fiatsler, where every top-level executive has a double responsibility for his “sectarian” silo and a full brand. So, you have to do both jobs right, cooperate accross functional areas and understand and appreciate each other’s contributions better. Not to mention Marchionne can now summon less than a dozen folks in a room and have the entire management of Fiatsler at hand to discuss, share and implement ideas. The flow of information is very direct.

    In a small organization like Saab, this is even more important, as they don’t have the economies of scale or time to waste, and their only advantage against the big boys is the swiftness and simplicity that should be inherent to small organizations.

    If Jason Castriota headed Saab USA, the everyday problems of moving the CURRENT lineup would be as much atop his agenda as designing the best FUTURE vehicles, and it would give him far more insight to design a vehicle that would not only LOOK better, but also SELL better. Moreover, the time he undoubtedly spends with direct exposure to VM and JAJ could have been more productively spent on pushing things important for Saab in NA forward. His shuttling between USA and Sweden could also be a benefit. If he was constantly at all top-management meetings, he could get up and say e.g. “OK guys, the plan for a super-duper website is grand, but I need to have a really good website ASAP, for the time being”.

    Just my very late night thoughts here. Kudos to Swade for keeping us on in the loop at lightning speed.

    • I concur with your comments. Well said.

    • that would be adream job for a saab fan will a lot less money

    • Bravada,
      you are mostly right, but Saab wasn’t Saab if it wouldn’t move faster than most expect.
      Saab Germany are only about half a dozen people and it is not an independent organization but depends directly from Saab in Sweden, almost everything (afaik) is done in Sweden.
      Sometime in August a second Saab Germany was created, and it was created as a branch of Saab Automobile AB.

      Now we have two points of view.
      1) Mr Hänggi didn’t perform and Saab took the consequence. Which seems plausible looking at the sales numbers.
      2) Mr. Hänggi had the idea to build a Saab DE similar to Saab GB, and after Saab decided to turn Saab DE to a branch of Saab Nordic, he decided to go.

      Both points of view seem plausible to me, but to be honest, Mr. Hänggi didn’t perform as expected (sales numbers, Ad campaign) and I’ve heard that he isn’t the man that get things done.

      At the end of the day, I don’t know why he has left the company, but maybe somebody else won’t be able to do it worse.

      • Maybe it’s not important why he is leaving. But that he is leaving gives some hope that things are moving.

      • Six people = 100 sales a month? This means every person has to be paid out of less than 20 cars, which also have to cover the transportation, marketing, IT etc. costs AND let the dealer and his personnel eat their Christmas pudding. Either those people earn laughably little, which would mean they are probably either hopeless or hopelessly undermotivated (I don’t believe in “substituting pay with enthusiasm”, you burn out quickly), or grossly overpaid given the results.

        I honestly don’t know the automotive standards here. I guess Alfa, Lancia, Chrysler, Jaguar and whoever else might be similarly overstaffed in Germany. But from an outside perspective and some business experience with various sectors and business models, I am absolutely sure there is no need for that many people. If Hänggi wanted to build the second Saab GB, he should have started with getting that many sales, and only then start hiring people to take over the growing workload.

        I know a country organization consisting of TWO people, with one entirely concerned with service and spare parts. They are doing quite well, and whenever they run out of manpower, they reach out to the dealers. When you’re a dealer with no customers to tend to, what else to do than to invest your “free” time to help the brand?

        I actually believe a model based on “lead dealer” handling the importer duties, or a dealer co-op serving as country organisation has merit in markets not as big as US, UK or Sweden. Darryl’s example is not the only one I know of, even if not all come forward at SU, that prove dealers have the drive and dedication.

        BTW, is stuff like translating brochures into German shared between Germany, Austria and Switzerland (the Swiss, btw, have partners to share the other languages as well)? Do they cooperate in preparing brochures or is it entirely outsourced to a costly “professional” agency working directly for Trollhattan?

        There are so many questions I’d like Saab to get more open about – just look at all the support Darryl is getting just by putting his issues, intiatives and ideas forward. I would also like Saab to get more creative in terms of organization and processes – Herr Hänggi has been with Saab for years, working in marketing. I guess there was no shortage of dedication to the brand, knowledge or experience. But alas, something was missing.

        Saab needs to look for absolutely top performers – sometimes two can do the job of six, but only those two can do the job at hand. They also need to change their criteria – the organisation is very friendly and open, and enthusiastic as well, but still very GM-like in their thinking.

      • I do not think anybody here should give comments on personal performance of Saab executives or employees – neither for Germany nor for the US. Without exact knowledge of circumstances, restrictions, decisionmaking processes – in other words what just an insider may have insights about – it is unfair to give such judgements. And an insider should be prohibited to give such judgements in an open forum.
        Moreover, business managers that do fine in well established and well running organisations, might not do so or not feel comfortable in a turnaround situation. This does not imply something negative about them, they are just not at the right place. Finally, If I would be an executive in Germany, I would think about my future as well. Saab has excellent products or products in store – but not for the German market, and apparently does not care so much about it. No 9-4x with a diesel engine, no 9-5 with a diesel engine competitive for the size of the car (6-cylinder), no 9-3 diesel with xwd. Everyone has to ask himself if he wants to work in such an environment, or if he has an excellent offer elsewhere with less headwinds.

        • Michael,
          I don’t intend to be personal on Mr Hänggi, but Saab DE has underperformed, for whatever reason, and he is in charge, so he is responsible for that. Managers get mostly paid only because of the responsibility they have to take.

          And after all I said there may be two possible scenarios why he has left.

          It is true, that Saab needs a big Diesel for the 9-5 and the still to come 9-4x, but at least where I live I seldom see a Diesel with AWD on the streets, no matter the brand.

  2. I say, run Saab Germany out of The Netherlands. They have proven to be people with a great heart for Saab. So go you crazy dutchies GO!

    ;-) Cheers/Tom

  3. Another example how difficult the German market is for Saab. It`s a disappointing fact concerning German Saab dealers, They never have been acquainted with a constant leadership of the Saab administration in Germany the last 10 years.

  4. Considering that just some years ago, Saab sold 10,000 cars per year in Germany, anticipating a need for a stuff of 6 is not totally unreasonable. I think that nobody really knows what happened in Germany, but Saab needs to find out urgently.

  5. Some yearly numbers for newly registered Saabs in Germany: 2000: 7489; 2001: 8157; 2002: 6652; then more or less steadily declining to 2008: 3797. Wasn’t 2002 the year the new 9-3 came out? If so, the Germans did not like it.

  6. Germany as Austria were typically hatch markets – the 9-3 sedan wasn´t that saab people identified with.
    of course there is a huge combi/wagon market.
    and then there ist the bad reporting about saab after they were purchased from gm. every newspaper – car magazine always repeats that the 9-3 is based on the opel.
    and opel hasn´t a good image

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