CNH Industrial one of the world’s largest capital goods companies, is laying the foundation for accelerated global growth and profitability by changing its organizational structure and strengthening and focusing its Global Executive Committee. The GEC is the operational decision-making body of CNH Industrial, which is responsible for reviewing the operating performance of the segments and making decisions on certain operational matters.

“Our industry is experiencing an ever-accelerating rate and growing magnitude of change fueled by megatrends such as digitalization, automation, electrification and servitization. Companies need to adapt, change and revitalize themselves continuously in order to meet these business challenges and successfully generate long-term value,” said Hubertus Muhlhauser, chief executive officer, CNH Industrial.

Consequently, the leadership of CNH Industrial conducted a detailed review into the way the company does business. The assessment included, among other things, obtaining feedback from its customers and channel partners, reviewing internal processes and systems, as well as taking a close look at its organizational structure and governance. “While we found numerous areas of excellence, as indicated by our continued strong year-over-year performance, we also identified opportunities for improvement, such as changing our organizational set-up into the new organizational structure presented today,” noted Muhlhauser.

Through the organizational changes announced today, CNH Industrial is seeking to become

• more customer centric, by enhanced focus on its five strong operating segments whose mission will be based on meeting and exceeding customers’ expectations;
• more entrepreneurial, by reducing complexity and empowering these operating segments, while retaining the right level of corporate control;
• more lean and agile, by simplifying decision processes and streamlining the organizational structure;
• more innovative, by enabling faster and more market focused innovations both in terms of hardware and software as well as new business models.

Overall, the Company’s organization will be significantly simplified by strengthening its five global segments supported by streamlined global functions. The former regional structure will be largely absorbed into the operating segments, thus bringing the businesses closer to their customers and accelerating decision-making processes.

Operating Segments

The five operating segments will be fully responsible for the global growth and performance of their respective businesses, increasing focus and accountability. Each operating segment will have Product Line Leaders, Brand Leaders and Support Function Leaders.

• Product Line Leaders will manage global product roadmaps and introductions as well as product cost and quality to ensure global consistency.
• Brand Leaders will manage all commercial and go-to-market aspects including the ideal positioning of our industry-leading brands.
• Support Function Leaders will drive segment specific processes and systems including Finance, Information Communication Technologies and Talent, amongst others.
• The five operating segments and the GEC members leading each of them are:
• Agriculture comprising the global agricultural brands of Case IH and New Holland Agriculture, together with the regional brand of STEYR. The Agricultural segment will be led by Derek
• Neilson, President Agriculture, who was the former COO of the EMEA region, a role he held since 2015.
• Commercial and Specialty Vehicles including commercial vehicles brand IVECO, bus and coach brands IVECO BUS and Heuliez Bus, off-road and quarry vehicles brand IVECO ASTRA, firefighting brand Magirus and the Iveco Defence Vehicles brand, which focuses on civil protection and defense vehicles. The Commercial and Specialty Vehicles segment will be led by Gerrit Marx, President Commercial and Specialty Vehicles, who newly joins CNH Industrial. Mr. Marx has a strong automotive background, including commercial vehicles, having served for Daimler Trucks and Volkswagen in different world regions.

Construction comprising the CASE Construction Equipment and New Holland Construction brands. The Construction segment will be led by Carl Gustaf Goransson, President Construction, who has been responsible for the construction segment since 2016.

Powertrain focuses on the FPT Industrial brand, producing powertrains, axles, and transmissions. The Powertrain segment will continue to be led by Annalisa Stupenengo, President Powertrain, who assumed this role in 2015.

Financial Services is a global Financial Services player in the agricultural, construction equipment and commercial vehicles industries. The Financial Services segment will continue to be led by Oddone Incisa, President Financial Services, who assumed this role in 2013.