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Archive for the ‘Events’ Category

Suzuki Loom Manufacturing Company – Hamamatsu, Japan

The date was March 15, 1920 when the Suzuki Loom Manufacturing Company (later changed to Suzuki Motor Co. Ltd)  was founded by Michio Suzuki.

Suzuki Motor Corporation celebrated its 100th anniversary last month. Suzuki manufactures cars, marine engines, wheelchairs, and legendary motorcycles such as the GSX-R, championship winning RM-Z motocross bikes, agile scooters, and revolutionary ATVs.  The company has over 45,000 employees and has 35 production facilities in 23 countries and 133 distributors in 192 countries. Suzuki’s domestic motorcycle sales volume is the third-largest in Japan.

1952 Power Free 36cc, 2-cycle auxiliary bicycle engine

I never owned one, but a good buddy (here’s looking at you GL) bought a new Suzuki GS-1000, that he let me ride a several times.  The GS Suzuki’s were very popular in the late 70s and early 80s.  The the lack of oil leaks, great performance, and their reliability were big selling points.  The DOHC in-line 4-cylinder 4-stroke engines were powerful and required very little maintenance, but the four Mikuni carburetors did require regular balancing with vacuum gauges.

Suzuki entered the motor-vehicle field with the launch of the Power Free, a 36cc, 2-cycle auxiliary bicycle engine.  In Hamamatsu, Japan where the Suzuki Headquarters was located, there were strong seasonal winds that made it difficult to bicycle when there was headwinds. Shunzo Suzuki would ride his bicycle to go fishing, but thought “it would be so much easier if this bike had an engine…”

1971 – GT750 750cc, 2-cycle Motorcycle

This thought and idea developed into the Power Free, which launched in 1952. At the time, regulations on riding motorised bicycles changed from licence-based to permission-based, allowing everyone to ride them after taking a simple course. This trend really helped Power Free to become an immediate success with record sales.

The below information isn’t a comprehensive list, but provides some highlights of key motorcycle launches.  Some product introduced were mainly for the Japanese domestic market and not available in the U.S. History:

  • June 1952 – Suzuki enters the motor-vehicle field with the launch of the Power Free 36cc, 2-cycle auxiliary bicycle engine.
  • March 1953 – Diamond Free 60cc, 2-cycle auxiliary bicycle engine debuts and its monthly production exceeds 6,000 units amid a bike boom.
  • March 1955 – Colleda 125cc, 4-cycle motorcycle debuts.
  • June 1963 – Mitsuo Ito becomes the first Japanese rider to win the Isle of Man TT in the 50cc class.
  • March 1967 – Thai Suzuki Motor Co., Ltd. is established for assembly in Thailand. (First motorcycle plant outside Japan)
  • September 1971 – GT750 750cc, 2-cycle motorcycle debut.
  • January 1972 – GT380 380cc, 2-cycle motorcycle debuts.
  • October 1981 – GSX 1100S Katana 1100cc, 4-cycle motorcycle debut in overseas markets.
  • March 1984 – GSX-R 400cc, 4-cycle sportbike debuts.
  • March 1985 – GSX-R750 750cc, 4-cycle motorcycle debuts.
  • August 2009 — TU250X 250cc, 4-cycle motorcycle with old school charm debuts.
  • August 2016 – SV650ABS sportbike debuts.
  • January 2018 – New sportbike GSX-R125 ABS, GSX-R series debuts.
  • October 2018 – Suzuki unveils all-new KATANA for the overseas market.
  • November 2019 – Suzuki Unveils the All-New V-STROM 1050 and V-STROM 1050XT.

The Suzuki Hayabusa — The ‘Ultimate’ Sportbike

The journey of any company for 100 years is never easy.  Suzuki has overcome a number of crises since the foundation and continues to thrive.

Suzuki has grown into a company with many motorcycle fans across the globe. The founder’s philosophy of ‘focusing on customers’ and striving to deliver products that customers want across the globe marks another beginning of the next century.

For a complete Suzuki motorcycle lineup go HERE.

Photos courtesy of Suzuki Motor Corporation

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The 38th year of the largest motorcycle gathering on the west coast was scheduled for April 23-26th.

Earlier, the longstanding promoter of the event, Dal-Con Promotions, had no plans to return in 2020 and went “dark.”  In January, the motorcycle rally status, which draws tens of thousands of riders to Laughlin every year, wasn’t clearly known and the local chamber of commerce declared it OFF and removed it from the organization’s event calendar.

News reports surfaced in late February that Jerry Jackson, of Five Star Exhibits, Inc., negotiated and acquired the intellectual rights — including the rights to the trademarked Laughlin River Run title and the event was back on.  Although, Five star Exhibits stated they were not a promoter of events and would not contract with entertainers and/or food and beverage concessionaires.  The web site was refreshed with new information, but without a promoter, motorcycle enthusiasts were expecting a different experience from past years.

Due to the COVID-19 pandemic the Laughlin River Run has officially been CANCELLED.

It’s disappointing not to be able to enjoy this time in our lives with other motorcycle enthusiasts, but the health and well-being of everyone is paramount.

Photo courtesy of Five Star Exhibits

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President Ronald Reagan With CEO Vaughn Beals

In 2020, April Fools is passé and pranks are out.  The pandemic crisis has changed humor!

The popular metaphor for speech is “Shouting fire in a crowded theater,” which may cause panic.  The seriousness of COVID-19 has the capacity to frighten in a visceral way the public and dedicating a blog post to misleading people just seems like a very bad idea.

Do you remember a long time ago in a galaxy far far away, when tariffs were being used to control unfair trade practices (labor, environment and other issues).

Former H-D CEO Matthew Levatich With Recode’s Kara Swisher Discussing Tariff’s

Recall the hysteria of — Tariffs bad, Harley good?

Harley-Davidson execs and investors panicked when the European bloc raised its 6% tariff to 31% on motorcycles. That made each motor company motorcycle about $2,200 more expensive to export, and forced the company into opening another manufacturing plant in Thailand.

Thirty-seven years ago today, President Ronald Reagan took bold steps to protect Harley-Davidson from foreign competitors.  It was April 1, 1983, when Reagan ordered massive tariffs on large Japanese motorcycles to help the last surviving maker of American-made motorcycles.

President Ronald Reagan at H-D York, Pennsylvania on May 6, 1987

I’ve previously written about how during the 1970’s, Japanese motorcycle manufacturers flooded the U.S. motorcycle market decreasing Harley-Davidson’s market share. It had only been a few years since Harley-Davidson executed the epic buy back from AMF.  Their sales hadn’t reached the levels they envisioned, in part, because the AMF era was famous for shoddy quality, bikes requiring a lot of maintenance and the Milwaukee motor company was getting knocked down publicly and in need of some sunshine.

With poor quality and high-maintenance requirements, Harley was skiding toward bankruptcy.  In 1982, Harley-Davidson sought protection from the International Trade Commission (ITC) and requested a tariff on all overseas heavyweight motorcycles. This was the first and only time such a request was made to the ITC. They also lobbied the Reagan administration to raise tariffs on Japanese manufacturers because of “Dumping,” which in this context refers to exporting a product at a lower price than is charged in the home market, or selling at a price that is lower than the cost to produce it.

President Ronald Reagan and CEO Vaughn Beals at H-D York, Pennsylvania on May 6, 1987 — Recieving Appreciation Award

It was a different time and President Reagan used tariffs, versus tweets, to change the course of the American motorcycle industry.

On April 1, 1983, April Fools Day, President Reagan signed into law an act that imposed draconian import tariffs for a five-year period on Japanese motorcycles with displacement of greater than 700 cc’s.  This would give the American motorcycle maker some breathing room from intense competition to retool, get its act together and turn profitable. While the act was supposed to last for five years, then CEO Vaughn Beals asked that it be lifted a year early in 1987.

It was as good then and just as good today… Remarking about the celebrated Harley-Davidson turnaround in 1987, President Reagan quipped (recorded in this Podcast), “Never bet against Americans.

If you are in need of some reading humor, check out these previous April Fools posts:
Harley-Davidson Boom Box Infotainment Virus
I Quit
Harley-Davidson Launches Blackline L-Edition
Keith Wandell Retirement Revs Up Harley
Wagoner Tapped As Harley CEO

Bonus:  President Reagan’s Remarks (Video) to Harley-Davidson Company Employees in York, Pennsylvania on May 6, 1987.

Photos courtesy of Harley-Davidson, Recode and Ronald Regan Foundation

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Is Harley-Davidson committed to lending a hand?

It’s not obvious that Harley-Davidson execs realized their normal marketing plans will no longer cut it as COVID-19 overtakes nearly every facet of American life!

I’m not talking about an empty kumbaya ‘Let’s Ride’ sentiment.  Clearly, the typical messaging in the motorcycle marketplace isn’t going to work the same way as prior to the WW coronavirus pandemic.

Stating the obvious, one would think that Harley-Davidson would play into the motor company’s more than 116-year history and remind consumers how the company has responded during world wars and during previous disasters in America.  While buying or servicing your motorcycle may not be top-of-mind at the moment, offering up some type of payment relief program to consumers affected by this disaster would not only provide some peace of mind to customers, it would reaffirm that the motor company is really focusing on the consumer health situation vs. self-serving attention in suspending U.S. production to disinfect manufacturing equipment and pulling financial guidance for wall street.

Digital Advert — ‘Breathe’ by Droga5

The last significant digital advert (‘Breathe‘ — February 10, 2020), by Droga5, was a message of the outdoors and the experience of riding in a world that is humdrum.

In case you missed it, the world is no longer humdrum…  Droga5 should waive client fees for ‘pivoting’ H-D creative and media to be more reflective of the current situation.

Where is Harley-Davidson marketing?  Not only to pivot the current creative, but how about immediately trying to get a little bit of free publicity via “specially curated images” for video conference backdrops. Spitballing here… It’s important to be reassuring right now and not try to say to people ‘Rush into your Harley dealership for a sales event.

Where is the Harley-Davidson Foundation, the philanthropic organization of Harley-Davidson Inc.?  Where is Harley-Davidson Credit?  How about offering a program giving new motorcycle buyers very low-to-zero percent financing and the option to delay their first payment for 90 days?  Where is Harley-Davidson Service?  Maybe provide free service or reduced costs for people who only have a motorcycle for transportation?  And lastly, where is the “We’re With You Every Step” inspirational statement from the United Steelworkers and International Association of Machinists and Aerospace Workers’?

The COVID-19 pandemic is producing economic and social disruptions not seen before, and major industries have already felt the impact. People aren’t buying as much stuff. People are getting laid off. Despite government reassurances, the anxiety of closed businesses and lost employment and wages weigh heavy on people.

But, lets bring it back to the local situation in the northwest.

As of this morning, March 30th, the Coronavirus situation is:
Oregon: 13 deaths, 548 cases — Oregon numbers
Washington: 195 deaths, 4,896 cases — Washington numbers
United States: 2,600 deaths, 143,532 cases — U.S. numbers

While not essential for health, sustenance, shelter, and hygiene—it’s time for Harley-Davidson to step up and find a way to exist, operate, and communicate in ways that offer one of some combination of help, hope, and entertainment.

To Be Fair:  It is important to note that Harley-Davidson, it’s dealership network and the Harley-Davidson Foundation have made significant charitable contributions over the years.  From donating motorcycles to the Haitian Earthquake to funding Red Cross for the earthquake and tsunami in Japan and to natural disasters in the U.S. like hurricane Florence.

Photos courtesy of Harley-Davidson

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I truly hope you all are healthy while staying safe.

To state the obvious: we are all drowning under a steady drip of negative and sometimes outright terrifying news.

With social media and cable television, we can get this drip, drip, drip of dangerous news 24/7. And given the intense competition between the different “news” sources, it has created an environment of doing whatever it takes to increase clicks and views in support of more ad revenue.  Adding to this are the bad actors out there.  They have goals to take advantage of the current structure of social media to excite, energize or anger audiences making it very difficult to stem the tide of disinformation.  In fact, according to some news reports, Russian trolls are already engaged in disinformation campaigns around COVID-19.

There are three factors that seem to encourage the pessimism spiral. The first is a belief that the events that have occurred are permanent. In other words, if things are bad, things will stay bad. The second is a belief that what has happened will have a pervasive and apocalyptic effect on our lives. And the third is the issue of blame, finding someone, not just someone who is accountable, but someone who can be blamed with all the emotion that goes along with that process.

I want to avoid the temptation to play armchair psychologist, but recognizing that inside voice that is making those negative remarks and arguing against yourself, while putting things in true perspective can help to be more optimistic.

There is relief and why, perhaps now more than ever, motorcycle blogs are essential. I hope you agree.

Blog dispatches from across the country about motorcycle wanderings—this can provide a welcome diversion, a brief reprieve from the current restrictions we’re all living under, and a reminder of the thirst for motorcycle adventures we’ll all need to sate when this pandemic has finally passed.

One day soon, this crazy time of social distancing and sheltering at home will be behind us and we’ll be immersed riding with the sun on our backs and the wind in our face!

Photo taken by author — “The Valley Isle” Sunset, Hawaii (March 2020).

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Harley-Davidson’s Entrepreneur and New Mastermind

Jochen Zeitz — Harley-Davidson interim President and CEO

The ultimate maverick has been hired to preserve and renew the freedom to ride.

I’m talking about Jochen Zeitz — the entrepreneur and new mastermind in charge of Harley-Davidson until he is offered the position permanently or a recruitment committee finds a replacement CEO.

So, what do we know and who is this man?

Jochen Zeitz at Segera Retreat Lodge

As a slacker who would debate a good life is better than a good job, paint me truly inspired for that list of accomplishments!

Talk about an extreme producer with a missionary zeal!  And, I haven’t mentioned the best part… a profile of his “day job” achievements.

Mr. Zeitz represents qualities too good to be true and the idea of him shilling for some corporation to hawk motorcycles deflates the “HERO” excitement.  It’s clear, Mr. Zeitz won’t be satisfied until he has done everything to promote his vision of a new, better world.

LiveWire — Jochen Zeitz — Milwaukee, WI

With his multi-millions in fortune, Jochen Zeitz is likely the richest person in history to run Harley-Davidson as interim president and CEO.

So, again, who is the 57-year old sandy-haired, 6’1’’ athletic build of a man?

Mr. Zeitz was born in Mannheim, Germany, in 1963, to a gynecologist father and dentist mother.  He grew up in a time when the Green Party and the anti-nuclear movement were enjoying strong support in Germany.  Along with the time he spent at the family’s lodge in the Odenwald forest, the outdoor exposure planted seeds of interest in environmentalism.  He was educated at Karl-Friedrich Gymnasium, Mannheim, south-west Germany, and then international marketing and finance at the European Business School of Oestrich-Winkel near Wiesbaden.

Jochen Zeitz and wife Kate Garwood

Mr. Zeitz began his professional career with Colgate-Palmolive in Hamburg in 1986. He then moved to Herzogenaurach in the Franconian countryside to work for sporting goods manufacturer Puma (Bio) in 1988. From there, he rose rapidly though the ranks to become head of marketing in 1991 and vice president — international and head of the global marketing and sales department.  In 1993, at the age of 30, he became chairman of the board of Puma, making him the youngest CEO of German firms with commercially traded stock. He dramatically reduced staff numbers, took production to Asia, made English the corporate language, started sponsoring African football teams and was credited with turning around the near-bankrupt business into one of the world’s top three sports brands.

The Zeitz Museum of Contemporary Art Africa (Zeitz MOCAA) — Cape Town

In 2003, he insightfully signed 16-year-old future Olympic champion sprinter Usain Bolt to Puma.  In 2007, he was appointed to the Board of Harley-Davidson.

Puma was acquired by luxury goods conglomerate Kering in 2007, and a few years later Mr. Zeitz served as Kering’s Chief Sustainability Officer.  In 2011, he set up a sustainability committee for Harley-Davidson, which he also chaired.

Also in 2011, he wanted to step back and focus on his environmental work and resigned as CEO of Puma.  He became a director of parent company Kering and chairman of the group’s sustainability committee.  He co-founded ‘The B Team’ with Sir Richard Branson in 2013.  That same year he launched the Kenyan Segera Retreat with a focus on his foundation’s 4C philosophy for sustainable tourism.

In 2020, he was hungry for something much more and became Harley-Davidson’s interim president and CEO.

Jochen Zeitz — 1929 Gypsy Moth Airplane Photo credit: Eric M Rojas

On a personal level — he divorced his first wife Birgit Jöris in 2012 following an 18-year marriage.  He is currently married to LA-based producer Kate Garwood‚ 41‚ producer of the 2016 movie “Race”‚ about U.S. track star Jesse Owens.  They have two children; 4-year old Jesse born September 2017 and a three year old. He keeps homes in Switzerland, Santa Fe, Los Angeles, a 50,000-acre ranch in Kenya and has property in west London.

When researching material for this blog post, I was blown-away on the amount of information published about Mr. Zeitz.

In a 2013 interview with the International Bar Association, he stated no plans to marry again, although at the time he was in a long term relationship with Kate Garwood. He was adamant about no intention of having children. ‘No, definitely not,’ he stated emphatically. ‘Never say never, but it’s very unlikely. It’s not something that fits with my daily life and I’ve never believed that having children without a father around is a good idea. It’s not really something I would get excited about.’  Just a short four years later both occur.

Jochen Zeitz at Segera, his 50,000-acre ranch. Photo credit: David Crookes

In recent press interviews, he’s stated the joy of his decision to have children late in life, because now he can see them grow up versus having such a busy schedule in running a company and traveling for 10 months in a year.  An interesting side bar: Speculation swirled that Jesse, their first child, was named after the 1930s athlete and fueled by the fact that Jessie Owens was provided with shoes for the 1936 Olympics by the Dassler brothers‚ who went on to found Adidas and Puma. 

But, I’ve digressed and want to return to connecting the Harley-Davidson dots… Mr. Zeitz’s experience at Kering was a critical influence and the driving force behind Matt Levatich’s (the recently fired Harley-Davidson CEO) pivot to sustainability that led him to think much more about environmental profit and loss at Harley-Davidson.  Mr. Zeitz had devised an environmental profit-and-loss account method at Kering which, put a figure on what a company’s air pollution, land use, water use and carbon consumption cost the planet.

Jochen Zeitz’s Favorite Thing — A Scottish Bailey — Photo credit: Charlotte Haden

While Mr. Zeitz — wealthy, world-view philosophy, competitive, over-achiever and relatively young — has the luxury of carving out grandiose, acronym-fueled sustainable ‘visions’, that struggling businesses like Harley-Davidson, desperate to increase motorcycle sales, might find distracting or even an irritant.

We’ll have to read the biography when ex-CEO Levatich publishes the book, but as an outside observer, one distraction example is: it took eight years, millions of dollars and the work of over a thousand engineers to fully realize a product that few want — the Harley-Davidson LiveWire — the Milwaukee company’s first premium electric motorcycle to go on sale in September 2019.  As a long-serving Harley-Davidson board member, Mr. Zeitz convinced executive management to focus not just on the moral justification for electric engines, but on the needs of Harley-Davidson customers to have healthy natural landscapes in which to ride. The logic behind this claim, was that “what every rider loves about the ride – it’s the environment they’re riding in, isn’t it?”  Soon afterward, the marketing and brand alignment teams marched in unison to support sustainability as a major part of the brand.

Segera Retreat — Laikipia, Kenya

The result?  A new mission, twisting the brand’s historic celebration of freedom into a desire “to preserve and renew the freedom to ride” and TWELVE quarters of sales decline.  Along with a $2,152,500 million severance payment to Matt Levatich.

Mr. Zeitz believes and is on record, stating there is more to corporate life than the relentless pursuit of profit. Wait, what?!  Isn’t profit what got Matt Levatich fired?

I’ve watched “An Inconvenient Truth” and the sequel. The oceans are heating and the poles melting, but color me skeptical of environmental groups with sustainable-for profit-business interests.  We’re all too aware of what the world needs: another multi-millionaire telling others how to behave better once they have made their own fortune while flying private and choppering into a rich man’s playground.

Jochen Zeitz GQ Article — in German

The motor-head scholars, bankers, real estate agents, lawyers and fashion designers who gather not to drink cheap brew, but to sip $15 “born to be wild” martinis and straddle $40,000 motorcycles might pontificate on the value of sustainability, but I just don’t see grizzled leather-clad loyalists describing Harley-Davidson as the world’s most sustainable manufacture over a beer at the Sturgis rally.

But, sometimes there’s a man. I won’t say a hero – ’cause what’s a hero? – but sometimes there’s a man – and I’m talking about Jochen Zeitz here – sometimes there’s a man who, well, he’s the man for the time and place.

A man who will improve the brand that is unique, exciting and one that gives value to it’s riding customers.

But wait, there’s more… An incentive if he kicks a field goal… according to the company 8-K regulatory filing, the interim Harley-Davidson, CEO Jochen Zeitz, is eligible and will receive a $3 million bonus (in the form of restricted stock units (RSU’s)) that would vest one year after the grant date and become payable if his employment continues to the date of the installation of a new CEO.  That $3 million would come on top of the annual base salary of $2.5 million he is receiving now after taking over for Matt Levatich. I don’t think this will be too difficult since Mr. Zeitz has served on Harley-Davidson’s board since 2007.

Photos courtesy of Harley-Davidson, Jochen Zeitz, Twitter, Eric M Rojas, David Crookes, and Charlotte Haden

Information Source & References: IBA, Independent,Wired,Business Daily Africa, Milwaukee Business Journal, Adventure Rider, Infosys, Telegraph, Financial Times, Angama Blog

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Matthew S. Levatich — Ex Harley-Davidson President and CEO

Harley-Davidson, Inc. announced yesterday that Matthew Levatich has stepped down as President and CEO and as a member of the Board of Directors. The Board of Directors appointed current Board member Jochen Zeitz as interim President and CEO following the abrupt resignation of Levatich.  A search committee is being formed, and the Company will utilize an external search firm to undertake the process to find a new CEO. The press release also stated that Levatich would assist with the transition through the end of March.

Levatich had a 26-year career at Harley-Davidson with the last five years as President and CEO. The abrupt departure marks 5-years of sliding sales and the value of the Milwaukee motor company has been cut in half.  It was not a cheerful week at Harley-Davidson!

The board and the CEO share responsibility for corporate performance, so it stands to reason that when a CEO fails, the board has failed as well.  I would speculate the company board is reacting to pressure from shareholders and seeks to appease investors in the short term by handing them the CEO’s head on a platter.  The investment community will want a replacement CEO who’s both promising and reassuring—and they’ll want him fast.

Jochen Zeitz — Harley-Davidson interim President and CEO

If we were to step into a time-machine and journey back to the future… from the V-Rod to the Buell Blast. Who can forget the MV Agusta dumpster fire and in the parlance of our time, there is now a green machine— LiveWire—a motorcycle short on juice, and one that few people want or can afford to buy.  Harley’s attempts to branch out has with out a doubt shown mixed results, at best.  In fact, some observers wonder if the company is “asleep at the switch.”

It would seem that “seeing the problem is easier than fixing it!”  Levatich’s mantra that Harley-Davidson doesn’t build motorcycles, it builds riders, always seemed a bit odd.  That’s like saying, “It’s not about horsepower, but more ideas per horsepower.”  Or “we don’t build motorcycles, we’re a lifestyle merchant company.” It’s that line of reasoning which is nice for marketing collateral, but when you actually dissect its meaning, it’s a  “wait, huh?” moment.

Harley-Davidson Five-Year Sales Slump

Levatich was promoted when Harley announced in February 2015 that he would succeed Keith E. Wandell as President and CEO of Harley-Davidson, Inc. upon Wandell’s retirement on May 1st.

You might even recall that back in August 2008, Matt Levatich, who at that time was vice president and general manager of parts and accessories and custom vehicle operations (CVO), was named managing director of its newly acquired premium Italian motorcycle company MV Agusta Group.  I blogged about this $108 million acquisition being a train wreck (Go Italian) back in 2008.  That deal was heavily promoted as a major part of Harley’s bid to increase its presence in Europe, where it had seen sales grow in the double digits the previous three years, offsetting weaker performance in the US.  The $108 million included $69 million paid to erase MV’s debts and included the Cagiva brand.

Just 14 months later, the Milwaukee “jetsetters” revealed during the Q3’09 financial results, the motor company would divest from the Italian national symbol of motorcycling and the real gut punch was—they would discontinue the Buell® product line.  I don’t recall seeing a lot of MV Agusta T-shirts, coffee and dog collars so, I guess it wasn’t a good fit.  Unfortunately, Levatich will go down in the motorcycle history books as the man that shut down Buell.  Granted the previous CEO, Keith E. Wandell, started unwinding the process caught up in the axel, but Levatich concluded the 16-years of collaboration.  It never added up as a smart business decision and every time I go back and research the articles and press releases it sounds more like someone had a vendetta they wanted to settle.

It’s my view that the blame for Harley-Davidson’s poor results lies squarely with the board of directors!

Poor performing companies don’t get that way because of any single decision or for that matter any single leader. Patterns of historical decisions, strategic neglect, and misallocation of resources all contribute to the deterioration in performance; some contributing factors may even lie outside the company’s control—looking at you tariffs!

Typically a CEO is dismissed not because the board has thoughtfully and deliberately concluded that it’s time for a change at the top, but because investors, concerned about poor performance, demand a change.

Let’s hope Mr. Zeitz and the board of directors have a blueprint for success.

UPDATED: March 1, 2020 — added sales chart and text on length of Levatich career.

UPDATED: March 4, 2020 — According to the company’s 8-K regulatory filing on Monday, March 2nd, Levatich will receive a severance in line with the company executive severance plan.  The company’s 2019 proxy statement states; top company officers will receive a cash severance of 24 months of base salary and 18 months continuation of certain employee benefits, such as life insurance, medical, dental, vision, as well as outplacement and financial planning benefits, if employment is terminated for reasons other than for cause.  The Milwaukee motor company had 12 previous quarters of sales decline, and Levatich’s severance payment will be $2,152,500.  Assuming a 2018 base salary of $1,076,250.

Photos courtesy of Harley-Davidson.  Sales chart courtesy of Bloomberg news.

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