Last week, General Motors announced that Ed Whitacre will continue on as Chief Executive Officer of the automaker. According to sources familiar with the situation, GM is working on developing an internal replacement for Whitacre in a couple of years. The source said that a search for a new CEO from outside GM failed.
Insiders said that any top-level executive at GM has a shot at the job including executives from GM’s overseas operations. However, if GM still fails to find a winner, the board will once again commission a new search for an outside candidate.
Sources said that when the board originally commissioned a search for a new CEO after getting rid of Fritz Henderson, they were unable to find good candidates who were willing to work under the pay restrictions imposed by the U.S. government after GM’s bailout.
“This place needs some stability,” Whitacre said last week after announcing his official position as CEO. “I guess that’s me.”
– By: Stephen Calogera
Source: Automotive News (Subscription Required)