Lutz Named as Head of Ford’s Truck Unit

Ford Motor Co. announced Monday that Robert Lutz, credited with cutting costs and boosting profits as chairman of Ford of Europe, will be brought to the United States to run the firm’s vast truck operations.

Market analysts said they were surprised by the move, given Lutz’s favorable track record in Europe and General Motors Corp.’s renewed assault on Ford’s market leadership there. GM recently reorganized its European operations.

Lutz, 54, will become executive vice president for trucks and will be based at world headquarters in Dearborn, Mich., Ford said in a statement.

Ford didn’t characterize Lutz’s move either as a promotion or demotion, although the company did say that Lutz no longer will report directly to company President Harold Poling, as he did as head of Ford of Europe. Instead, he will report to Poling through Louis Ross, also an executive vice president and head of North American automotive operations.

David Healy, automotive analyst for Drexel Burnham Lambert, said that, while having the trappings of a demotion or lateral move, the reassignment of Lutz may be “a disguised promotion” since trucks are more important to Ford than its European operations.

Under Lutz, Ford of Europe reported a $326-million profit in 1985, compared to $147 million in 1984. The profit performance is considered exemplary with the heated competition and relatively tight profit margins in Europe.

Succeeding Lutz at Ford of Europe will be Kenneth Whipple, 51, now head of corporate strategy.