Even though his company has gathered hundreds of journalists at the Chelsea Proving Grounds to test-drive virtually every model in the Fiat Chrysler lineup, media-savvy Sergio Marchionne is elsewhere. A Canadian-trained lawyer, Marchionne, CEO of Fiat Chrysler Automobiles, was instead roving the world to propose that sprawling car companies share as many components and as much engineering expertise as possible, to mitigate high development costs.
Out in the Chelsea parking lot, his reasoning is apparent.
FCA does not have a single gasoline-electric hybrid or fuel cell car to test. It does have a battery-powered Fiat 500e for sale somewhere, but it's not here. The company's electrification efforts, necessary to meet tough global fuel economy and emissions rules, have yet to be seen at global auto shows either – outside of anomalies such as the boutique beauty, the LaFerrari.
Gas engines and transmissions? FCA's workhorse 3.6-litre V-6, which powers half of everything the company sells in North America, is getting an upgrade for 2016. FCA, however, has yet to bring direct injection technology to its full array of mainstream gas engines – though all of FCA's rivals have long done so, even in economy cars such as the Kia Rio and Ford Fiesta. FCA's nine-speed gearbox is nice, but it's been plagued with problems and it's bought from a supplier, ZF. Ford and GM are working together to build their own nine- and 10-speed gearboxes.
The full-line show here at Chelsea demonstrates that Marchionne's FCA has a plateful of work to do on the basics of being a global car company. Laid out on a massive slab of asphalt are Ram pickups and Jeep off-roaders and soft-roaders, along with Ram ProMaster commercial rigs, Chrysler minivans, Dodge Challengers, Fiat 500s and more. So many different vehicles in one place. Breathtaking. And Marchionne has already said that most will be reinvented based on the company's five-year product plan. Cost? At least $5-billion to $6-billion a year in research and development investment.
It's hard, sweaty, costly work, this business of making new vehicles. The nuts and bolts of the business aren't as sexy and exhilarating as manufacturing a merger, alliance or acquisition – at least not for your typical corporate lawyer. To build modern, efficient, appealing and, most of all, reliable vehicles requires commitment, focus and funding.
Any car company that wavers will fall behind and suffer quality issues. And here FCA has a pressing problem. Ram was the only FCA brand ranked with above-average quality in the latest J.D. Power and Associates Initial Quality Study. The Fiat brand was ranked dead last, Chrysler third from the bottom and Jeep fifth from last.
Clearly, the business of making good cars needs more immediate attention than the business of making bigger car companies.
The writer was a guest of the auto maker. Content was not subject to approval.
Like us on Facebook
Follow us on Instagram
Add us to your circles
Sign up for our weekly newsletter