Opel replaces second MD in four years

Opel Ireland has parted company with its second managing director in four years

Opel Ireland has parted company with its second managing director in four years. John C Maher is returning to Canada two years after his appointment. Michael McAleer reports.

Opel sales have fallen significantly over the past four years, mirroring several failed restructuring operations. Maher replaced Iede Aukema, who had been appointed in May 2000 to replace Arnold O'Byrne. O'Byrne successfully led the Irish subsidiary through the 1990s.

Since O'Byrne's departure, Opel's share has dipped dramatically. In 1999 its market share stood at 10.3 per cent and it was number three in the market. This year Opel's market share stands at 6.8 per cent, having fallen in each of the past four years and no longer among the top five brands in Ireland.

Maher's departure from the Dublin office came as a surprise to dealers. One, who spoke to Motors said: "it's getting a bit like a carousel in there".

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Problems with the GM brand here can be traced back to a European restructuring during which Opel Ireland lost control of most key activities such as marketing and staffing to a regional office in Sweden. Ireland was included with the Nordic countries which reported to the Stockholm office.

This situation was generally seen to demoralise staff and several dealers either left or were given notice between 2001 and 2002.

Partly in recognition that the Nordic grouping wasn't working, another reorganisation took place last year, with Ireland falling under the remit of the Vauxhall division based in Luton, near London. However, market share and sales have continued to slide.

There have also been numerous staff departures from the company's Dublin office in recent months, including several very experienced staff.

"GM really has to decide what it wants to do here," said an informed source in the company.

"It should either turn the Irish operation into a simple zone office of Britain staffed only with sales reps, or give it back all its previous powers and put it on an equal footing with Ford and Toyota operations here. They can't continue this halfway house."

Colin Wilkes from Vauxhall UK has been appointed acting managing director until January 1st, when Dave Sheeran, also from Vauxhall, will take up the role permanently. Sheeran has previous experience in the North with the Vauxhall brand.

Meanwhile, Network Q, Vauxhall's used car scheme, is being introduced here from next month. The current "OK" used car scheme will end soon.