Commercial Vehicle Group Inc. has announced that Patrick Miller was appointed president and CEO, following the resignation of Richard Lavin. Miller also replaces Lavin on the board of directors.
Miller, who most recently was president of the company’s Global Truck & Bus Division, has been with Commercial Vehicle Group since 2005. During this time, he served in the capacity of senior vice president and general manager of aftermarket; senior vice president of global purchasing, vice president of global sales, vice president and general manager of North American Truck, and vice president and general manager of structures. Prior to joining CVG, Miller held engineering, sales and operational leadership positions with Hayes Lemmerz International, Alcoa Inc. and ArvinMeritor. He holds a Bachelor of Science in industrial engineering from Purdue University and a Master of Business Administration from the Harvard University Graduate School of Business.
Commercial Vehicle Group Chairman Dick Snell noted, “Pat has successfully managed many aspects of CVG’s operations at a senior level and has a distinguished record in his current role. He has consistently exhibited the discipline, creativity and focus needed to be successful. On behalf of the entire organization and the board of directors, I thank Rich for his contributions and wish Pat the best in this new role.”
“It is a privilege to be named CEO,” said Miller. “I am grateful to Rich Lavin and the board for their efforts over the past several years to prepare me for this role. I am committed to attacking the challenges facing us, which include improving our competitive cost position while we pursue growth. We are fortunate to have capable, committed people throughout the organization and I look forward to working with them.”
The company also has announced restructuring and cost reduction actions that are expected to lower operating costs by $8 million to $12 million annually when fully implemented. These actions will begin before the end of the year and reflect improvements to manufacturing footprint and capacity utilization, and to selling, general and administrative costs, including an executive realignment.
Pre-tax costs associated with these actions, including associated capital investment, are expected to be $12 million to $19 million, the majority of which is employee-related separation costs and other costs associated with the transfer of production and subsequent closure of facilities.
Miller noted, “These restructuring and cost-reduction actions reflect, in part, the challenging conditions in our global construction and agriculture end-markets, but are also the result of the ongoing evaluation of our manufacturing footprint and capacity utilization. We are committed to a renewed focus on cost-management and margin protection in the near-term, as we work to enhance our competitive position, top line growth, and earnings over the longer-term.
“We know the impact of these decisions will be difficult for our employees and the communities affected by closures. We do not make these decisions lightly,” added Miller.