By Al Vinikour
MotorwayAmerica.com

(November 2009) We had never seen Sergio Marchionne in person, and other than the fact he looks like Jonathan Pryce, we didn’t know much about him except his role in Fiat over the last five years. He doesn’t have the larger-than-life image that Lee Iacocca may have had but his “everyman” appearance and deadpan self-deprecating humor and quick mind automatically command respect.  He doesn’t suffer fools wisely and we would image that working for him could be quite stressful – but a job some would fight to keep.

He’s very comfortable with himself and seems to put great trust in his staff…and knows exactly who to call on should he need facts immediately.

As for the five-year plan the majority of it is too heavily-dependent upon steady sales and month-by-month, Chrysler doesn’t have many.  When Iacocca honchoed the Chrysler Loan Guarantee there was a savior-in waiting in the form of the “K-Car.” For over 40 models, ranging from an Aries sedan to a Chrysler Imperial, the K-Car platform sold like hot dogs at a World Series game. Chrysler paid off its interest to the U.S. Treasury, which never had to put out one cent in record time and proceeded to mine cash. Over the years they frittered it on seemingly anything the Chairman fancied – Gulfstream Aerospace being a prime example.

The next time Chrysler got into trouble they were pulled out of the soup (again, with the leadership of Iacocca) with hot-selling vehicles from the LH family (Chrysler Concorde, Dodge Intrepid and Eagle Vision). This time, however, if things go south, there won’t be a next time.

Furthermore, as sharp and professional as his Leadership Staff is, with few exceptions there was no personality. The likeability and cynicism of Marchionne is wonderful; the fact there are no “Little Sergios” in waiting (save one…and maybe two) is disturbing. We didn’t get the feeling that his staff is comprised of Kool-Aid drinkers, afraid to challenge something that’s obviously favored by the boss man, but the public face of a multi-national corporation – especially with the baggage that Chrysler has been carrying –should have some exuberance.

If we had to guess whether Chrysler will still be here to see their five-year plan implemented successfully by 2014 would take a crystal ball, but in Chrysler’s favor management has the benefit of a more global perspective from a company that’s already been through what Chrysler’s is now going through. Marchionne indicated if this economic crisis would have happened in Europe there would be a lot fewer auto companies on the Continent. And he really believes that he can do here for Chrysler what he did in Italy for Fiat.

Furthermore, Chrysler can circumvent some of the draconian constraints put on it by the United States Treasury by back-channeling some activities through Fiat. Chrysler’s smaller size and other opportunities give it a leg up on the burden of what some believe is archaic, elephantine thinking at cross town rival GM. While the plan may not be totally workable, at least Chrysler has a plan.