Volvo Group has ousted its Chief Executive, Olaf Persson, and replaced him with the boss of rival Scania, Martin Lundstedt. He will assume his position in October 2015.
The company claimed the move came after they looked for somebody with ‘deeper experience’ of the industry to help complete its turnaround after a fall in profitability.
“After three years of focus on product renewal, internal efficiency and restructuring, the Volvo Group is gradually entering a new phase with an intensified focus on growth and increased profitability. This will be achieved by further building on our leading brands, strong assets and engaged and skilled employees all over the world“, said Carl-Henric Svanberg, Chairman of the Board of AB Volvo. “Martin Lundstedt has 25 years of experience from development, production and sales within the commercial vehicle industry. He is also known for his winning leadership style.”
Persson had been the company’s Chief Executive since 2011, whilst Lundstedt had been in charge of Scania since 2012.