Friday 14th Dec 2018 - Logistics & Supply Chain

GM and PSA push ahead with purchasing partnership

General Motors and PSA Peugeot Citroën expect to go live with a new joint purchasing organisation shortly, the two partners have revealed.

Speaking at the Maison de l’Automobile in Brussels today, Steve Girsky, GM vice chairman, and Philippe Varin, chairman of the PSA Peugeot Citroën managing board, said that relevant regulatory approvals had been received opening the way for the joint purchasing organisation  to become operational shortly.

In the transition phase leading up to the start-up of the JPO a GM executive will be appointed as an implementation executive in charge of putting the structures of the joint purchasing organisation into place. After a maximum of one year the implementation executive will be replaced by a vice president purchasing and a deputy vice president purchasing – one from each company on a revolving basis.

The move is part of a wider partnership between the two motor manufacturers. It has already been announced that Gefco will take over GM’s logistics in Europe. There are also plans for joint development of new vehicles – notably C-segment and B-segment multi-purpose vehicles.

The are also exploring opportunities in growth markets including Latin America and Russia, -priority regions for both groups.

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