After four years in New York City, Cadillac President Steve Carlisle is taking the luxury brand’s headquarters back to Detroit, Michigan.
The Wall Street Journal reported on the Cadillac headquarters’ bombshell move back to Detroit on Wednesday after Carlisle confirmed the move in an interview. The Cadillac President explained the decision by saying, “We’ve got to think about how we take inefficiencies out of the communication process between the Cadillac team and the GM partners.” He noted the “inefficiencies” when referencing Cadillac’s flood of new vehicles launching between now and the end of 2021.
The official word on relocating Cadillac headquarters back to Detroit from New York City comes in direct contrast to Cadillac’s own statement following ex-Cadillac President Johan de Nysschen’s ouster earlier this year. After de Nysschen was replaced with Carlisle, the luxury division said it was never a question that Cadillac would leave NYC.
“It’s 100 percent that we’re staying here,” Andrew Lipman, a Cadillac spokesperson, said just this past June.
The plan to move (or expand, by the brand’s definition) the Cadillac division to NYC came under scrutiny in the earlier years by media and even some customers, who saw the relocation as the brand abandoning its hometown. However, analysts came to more or less praise the move as the NYC image played well with Cadillac’s largest market: China. Cadillac also said NYC attracted new talent that would otherwise not consider relocating to Detroit.
The personnel at Cadillac’s NYC office was mostly made up of marketing, strategy and advertising. Engineering operations remained settled in the Midwest.
Rather famously, CEO Mary Barra backed up the decision to give de Nysschen the authority to move Cadillac out of Detroit in 2014.
“We have a plan, we’re going to execute it,” Barra said. “Three years, five years, ten years, you’ll know by the success of Cadillac if it was a good decision or not.”
It appears four years was the determining timetable.