Three days after posting dismaying profit figures and earnings outlook, Ford replaces Joe Hinrichs, appointing Jim Farley as the new chief operating officer.
Joe Hinrichs, who came from General Motors, served Ford for 19 years. He was the president of new businesses, technology, and strategy department before getting appointed as the COO.
“Jim Farley is the right person to take on this important new role,” said top executive Jim Hackett.
The change in the company’s management will take effect beginning March 1. Ford said Joe Hinrichs’ removal from his post was a retirement. Hinrichs is just 53 years of age though.
“I thank Joe for his tremendous leadership over the past two decades. Joe was instrumental to Ford’s ability to survive the Great Recession a decade ago without bankruptcy or taxpayer bailout,” said Hackett.
Ford is now in the course of its bid to a restructuring plan amounting to $11 billion to shed money-losing units and transition to the electric and self-driving vehicles.
Ford’s shares dropped 9.5% on Wednesday after releasing the disappointing figures on Tuesday. Ford continued its losing streak on both Thursday and Friday with 1%.