Just a month after Harley-Davidson (HD) was removed from the S&P 500, its troubles continue. Earlier this week, it announced to investors additional restructuring in line with its Rewire program to return to profitability.
Part of this involves the streamlining its structure. That means letting go of approximately 700 jobs across the company’s global operations. Some 500 employees may have to leave this year.
One of those affected is HD’s very own Chief Financial Officer, John Olin. The executive role will be handled by the VP Treasurer until a successor is appointed.
“The Rewire is progressing very well and substantial work is being done to eliminate complexity and get Harley-Davidson on a path to winning. Our new operating model is simpler, more focused and enables faster decisions across the entire company,” said Jochen Zeitz, chairman, president and CEO of Harley-Davidson.
We’ve talked about Harley’s Rewire plan before. It involves canceling some models, continuing others, and focusing on its core strength. It affects all areas of the business globally, from commercial operations to corporate functions. The Rewire plan involves making changes now to set the foundation for its strategic plan that will play out from 2021 - 2025 to make Harley more profitable.
The company plans to share a comprehensive summary of The Rewire actions and financial impacts when it releases its Q2 results later this month.