Mitsubishi Motors Europe is preparing to restructure its operations and relocate its headquarters to another site in Amsterdam.
The move is part of a global drive to return to profitability. A flatter, leaner corporate structure will be implemented, with the number of regional offices around the world cut from 13 to seven. Called Renewal Mitsubishi 2001 (RM 2001), the plan will see Mitsubishi Motors Europe take on greater responsibilities.
'Until now, our European base in Amsterdam has only been responsible for our European-built products - the Carisma, Space Star, Pajero Pinin and Canter trucks,' said Hans Tolenaar, vice president of Mitsubishi Motors Europe. This arrangement meant the Japanese head office still made many of the main decisions regarding its exports to Europe.
From 24 June, however, Mitsubishi's European operation will have greater powers to control production, sales and marketing of all products across the continent.
In addition to the cut in regional offices, the number of head offices worldwide will be reduced from three to one, and the number of corporate departments from 151 to 136.
The plans for the restructuring of global and European operations will be formally announced in around two weeks' time, Mitsubishi sources said.
Mitsubishi Motors Corp. posted a net loss of $771 million in the fiscal year that ended 31 March 1998, the first in its history. It blamed weak sales and currency losses in southeast Asia.
Three executives, 70 staff leave Mitsubishi in UK, late news, Page 3