Ford’s Retiring Execs Leave Big Shoes to Fill, Former Colleagues Say

News that Derrick Kuzak, Ford group vice president-global product development, and Lewis Booth, chief financial officer, will retire in April may come as a surprise to some, but industry analysts and former colleagues say the auto maker has strong succession plans in place.

Alan Baum, principal of Baum & Associates, an automotive analysis firm based in West Bloomfield, MI, says each man brought important attributes to his position.

Booth, 63, not only possesses financial acumen but also has an “operational knowledge that gave him an opportunity to look at the numbers in a broader way,” Baum tells WardsAuto. “He had a very useful skill set in that position.”

Under Booth’s leadership, Ford’s finance team executed a series of moves to shore up the auto maker’s finances following the collapse of Wall Street in 2008.

Over the past several years, Ford significantly has strengthened its balance sheet, improving the company’s net cash level by $20 billion, as well as restoring a dividend to shareholders.

Booth’s successor, Bob Shanks, 59, currently serving as Ford vice president and controller, is praised by CEO Alan Mulally, who in a statement calls him a “terrific leader” and lauds him for his global perspective.

Kuzak, 60, who some have credited as the architect of the One Ford plan, which leverages the auto maker’s global resources, will be a tough act to follow.

Chris Theodore, a former Ford vice president of product development, heaps praise upon Kuzak, noting he recommended him for his current position.

Kuzak “works his butt off,” Theodore tells WardsAuto. “He’s done a masterful job creating a unified product-development plan.”

John Coletti, former head of Ford’s Special Vehicle Team, credits Kuzak for helping change the culture within the auto maker’s engineering ranks.

“He is a team player and highly respected by both his peers and his staff,” Coletti says. “He also is willing to push the envelope with new technology and wasn’t risk-adverse like many of his predecessors.”

But both former executives warn not to underestimate Raj Nair, Kuzak’s successor.

Nair, 47, currently serves as vice president-engineering and global product development. Theodore fondly recalls him as an enthusiastic young engineer with a broad global background in both manufacturing and quality, but also a diehard automotive enthusiast.

During the development of the Ford GT supercar, Theodore says Nair’s love of cars was evident.

“I worked closely with him on the Ford GT. I still smile thinking about him racing around the Las Vegas racetrack. I couldn't get him out of the car.”

Coletti, who also worked on the GT program, says Nair will do an “outstanding job in taking over the reins of Ford’s product development.”

The auto maker is making other key management moves as well, including the appointment of Hau Thai-Tang, 45, to the position of vice president-engineering and product development.

Thai-Tang has served as chief nameplate engineer for the Ford Mustang, as well as director of product development in South America, and is considered an up-and-comer by many insiders.

“The real great move is Thai-Tang,” Theodore says. “He’s probably one of my favorites.”

Ford says there should be minimal disruption when Kuzak and Booth exit in April. So far, investors appear to agree. Ford shares today dipped a mere 0.8% in early afternoon trading following the announcements.

“I think these moves will demonstrate the strength of the Ford bench, and I fully expect the solid company performance and competitiveness to continue its improvement,” Coletti says.

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