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The mood inside Stellantis's North American division has changed dramatically since former CEO Carlos Tavares unexpectedly stepped down on December 1.
Dealers and employees of the struggling Jeep owner who spoke with Business Insider say they and many of their peers feel optimistic about how the company has handled these first two weeks.
They point to quick and sweeping changes made by Chairman John Elkann and his advisory committee, who have vowed to rebuild trust with key stakeholders.
So far, this interim executive committee has re-hired a longtime Dodge and Ram executive and reinstated a US sales chief who was shifted into a different role earlier this year, moves that disgruntled dealers immediately celebrated.
Elkann's executive committee, comprised of current and former executives, has taken over the company's leadership while searching for a new CEO, which they hope to hire in the first half of 2025.
The shift in morale happened almost overnight, sources said. Elkann delivered a rousing speech to employees at Stellantis's North American headquarters the day after Tavares stepped down, and change was swift in the days that followed.
During the employee town hall, Elkann emphatically announced the end of Tavares's "Project Darwin," a ruthless cost-cutting initiative that included several waves of buyouts and layoffs, and even, at one point, sending employees tips on how to find a new job outside the company.
Elkann instead reassured employees that Stellantis "will survive," a person who attended the meeting told BI.
Longtime Dodge and Ram executive Tim Kuniskis, who retired earlier this year, returned to the company on Monday. He is stepping back into his role as leader of the Ram brand, which builds Stellantis's highly profitable pickup trucks.
Meanwhile, a shuffle in the North American executive team saw Jeff Kommor reinstated as US sales chief, a move lauded by dealers who were frustrated to see him shifted into a commercial sales role earlier this year.
"The changes will enable us to operate in a structure that will drive the best outcomes for the region, unlock significant potential, and win in the market," a Stellantis spokesperson said in a statement. "A critical lever to accomplish that is a dedicated CEO for the Ram brand who is singularly focused on that brand."
According to people briefed on these decisions, Antonio Filosa, CEO of the Jeep brand and newly named Chief Operating Officer, was a key driver of these moves.
By the end of the second week without Tavares, Stellantis shares had risen about 12% in his absence. This is a sign that investors also feel more encouraged by leadership's new direction, including efforts to reign in oversupply and boost sales.
Tavares lost the crucial support of Stellantis's US dealer body earlier this year, and it appears that the company is prioritizing that relationship in the early days of the post-Tavares reorganization.
Kevin Farrish, a Chrysler-Dodge-Jeep-Ram dealer in Virginia who serves as dealer body president, said the group is looking forward to working with the new "powerhouse team" Elkann's executive committee has built. He specifically mentioned Kuniskis and Kommor, as well as Filosa in his new operating officer role and Matt Thompson, who remains as senior vice president of US retail sales.
"That will truly bring us back to our former glory," Farrish told Business Insider. "We needed change, so provided the changes are correct — and they are thus far — it shows their commitment to fix things."
