The sale by Ford of Aston Martin to a consortium led by British automotive entrepreneur David Richards has been accompanied by the news that CEO Dr. Ulrich Bez has agreed to a new five-year contract. Bez joined Aston Martin in July 2000 and has overseen a rapid period of growth. He has been responsible for moving Aston Martin's headquarters to Gaydon, England, and led the development and introduction of the DB9, Vanquish and V8 Vantage.
Bez was born in Bad Cannstatt, Germany, in November 1943. He has a doctorate in engineering from the University of Stuttgart and is the author of more than 40 scientific articles on subjects related to the motor industry. The CEO has spent more than 30 years in the industry and worked for Porsche, BMW and Daewoo before joining Aston Martin. He was responsible for the development and introduction of the Porsche 993, widely regarded as the finest 911 ever made.
Bez will now oversee Aston Martin's transition from Ford ownership to independence.
How will the new deal affect Aston Martin?
It will give us the financial backing to do things we have not done before. Ford had bigger priorities than Aston Martin.
The deal will allow us to develop an Aston Martin culture, which is more important than — and different from — a national culture. The Ford culture is defined in a big book, but Aston Martin is not like that. Most of our employees have been with us for less than five years and our culture will develop out of these people and how they work together. I cannot define it yet.
Will Aston suffer from the loss of Ford's purchasing power?
The press and public talk about "purchasing power," but it's just a fantasy. There is no such thing in reality. If we were still making 40 cars each year, then it might be an issue, but today we are making 7,000. Suppliers are constantly being squeezed hard by big manufacturers such as GM and Ford. You might find that they appreciate working with us.
The VH architecture forms the basis of all the current Aston Martin models, as well as the upcoming DBS and Rapide. How long will it be before you have to develop a new platform?
The VH architecture is more of a philosophy than a physical structure — it is a way of doing things. We do not use mass-production techniques, so we can enjoy continuous evolution. Think of it being like a grapevine.
The motor industry has changed dramatically in the past 20 years. Twenty years ago you had to have all your capacity in-house, but that is no longer necessary. Look at the Korean cars — a lot of the design and engineering are done in Europe. You can brief a software engineer on what you need and he can produce it for you. You can buy in the expertise when you need it.
With the right guidance and the right leadership you can achieve anything.
How many cars per year do you hope to produce in the future?
There will be a floating maximum. In 2000, we built 800 cars and if I had told you then that we would build 7,000 cars in 2006, you would have laughed at me. We are working at full capacity, and for now, 7,000 cars per year is about right. To be self-sustainable as a prestige car company, Aston Martin has to be profitable. I do not see Ferrari or Lamborghini profitable, but I see Aston Martin as profitable. Without Volkswagen, Bugatti is not sustainable. The Veyron is just a piece of art.
Is there a danger that as you build more cars you compromise your exclusivity?
What is exclusivity? Six years ago, the world did not know about Aston Martin. Brands such as Louis Vuitton or Gucci are highly visible, but that doesn't make them any less desirable. To be exclusive, you have to be visible. You need an existence.
How has the deal affected your supply of engines?
Aston Martin owns the intellectual copyright to both the 6.0-liter V12 engine [used in the DB9 and Vanquish] and the 4.2 V8 [in the V8 Vantage]. They will continue to be built at the Aston Martin engine plant in Cologne, Germany. We have the right to license the engine to other companies if we wish.
How does Aston Martin differ from other prestige brands, such as Ferrari?
In many ways, Ferrari is a mass-market brand. It is a very public brand and it is "owned" by Italy, by the redheads. Aston Martin is respected, but the people do not feel that they own it.
Ferrari has developed perfumes and lots of mass-market things that we would never do. The profit that you make is negligible and the visibility and image are not positive. That is my personal opinion.
By the end of the decade, Aston will offer six different models. Is this a problem for a comparatively small company?
Every car goes through a natural lifecycle. A car has a beginning, a high point and an end, but you need to fill your production capacity at all times. By having a wide range, it allows us to achieve a consistent level of demand. For example, at our peak we were building over 660 Vanquishes each year. Now at the end of its life we are building only 300, but the increased demand for our other models has compensated for this.
Which other car company do you admire?
Toyota has carried out the same strategy that I introduced for Aston Martin in 2000. The foundation is quality, usability and reliability. Their strategy is very simple and they make very logical steps.
How do you expect your relationship with David Richards, the chairman of the new consortium, to develop?
When we established Aston Martin Racing with David Richards and ProDrive, it was a deal we shook hands on. The legal document was just four pages long. I believe that we will complement each other well. David Richards has a skill for marketing and business, which will allow me to concentrate on managing a prestige brand.
Bez was born in Bad Cannstatt, Germany, in November 1943. He has a doctorate in engineering from the University of Stuttgart and is the author of more than 40 scientific articles on subjects related to the motor industry. The CEO has spent more than 30 years in the industry and worked for Porsche, BMW and Daewoo before joining Aston Martin. He was responsible for the development and introduction of the Porsche 993, widely regarded as the finest 911 ever made.
Bez will now oversee Aston Martin's transition from Ford ownership to independence.
How will the new deal affect Aston Martin?
It will give us the financial backing to do things we have not done before. Ford had bigger priorities than Aston Martin.
The deal will allow us to develop an Aston Martin culture, which is more important than — and different from — a national culture. The Ford culture is defined in a big book, but Aston Martin is not like that. Most of our employees have been with us for less than five years and our culture will develop out of these people and how they work together. I cannot define it yet.
Will Aston suffer from the loss of Ford's purchasing power?
The press and public talk about "purchasing power," but it's just a fantasy. There is no such thing in reality. If we were still making 40 cars each year, then it might be an issue, but today we are making 7,000. Suppliers are constantly being squeezed hard by big manufacturers such as GM and Ford. You might find that they appreciate working with us.
The VH architecture forms the basis of all the current Aston Martin models, as well as the upcoming DBS and Rapide. How long will it be before you have to develop a new platform?
The VH architecture is more of a philosophy than a physical structure — it is a way of doing things. We do not use mass-production techniques, so we can enjoy continuous evolution. Think of it being like a grapevine.
The motor industry has changed dramatically in the past 20 years. Twenty years ago you had to have all your capacity in-house, but that is no longer necessary. Look at the Korean cars — a lot of the design and engineering are done in Europe. You can brief a software engineer on what you need and he can produce it for you. You can buy in the expertise when you need it.
With the right guidance and the right leadership you can achieve anything.
How many cars per year do you hope to produce in the future?
There will be a floating maximum. In 2000, we built 800 cars and if I had told you then that we would build 7,000 cars in 2006, you would have laughed at me. We are working at full capacity, and for now, 7,000 cars per year is about right. To be self-sustainable as a prestige car company, Aston Martin has to be profitable. I do not see Ferrari or Lamborghini profitable, but I see Aston Martin as profitable. Without Volkswagen, Bugatti is not sustainable. The Veyron is just a piece of art.
Is there a danger that as you build more cars you compromise your exclusivity?
What is exclusivity? Six years ago, the world did not know about Aston Martin. Brands such as Louis Vuitton or Gucci are highly visible, but that doesn't make them any less desirable. To be exclusive, you have to be visible. You need an existence.
How has the deal affected your supply of engines?
Aston Martin owns the intellectual copyright to both the 6.0-liter V12 engine [used in the DB9 and Vanquish] and the 4.2 V8 [in the V8 Vantage]. They will continue to be built at the Aston Martin engine plant in Cologne, Germany. We have the right to license the engine to other companies if we wish.
How does Aston Martin differ from other prestige brands, such as Ferrari?
In many ways, Ferrari is a mass-market brand. It is a very public brand and it is "owned" by Italy, by the redheads. Aston Martin is respected, but the people do not feel that they own it.
Ferrari has developed perfumes and lots of mass-market things that we would never do. The profit that you make is negligible and the visibility and image are not positive. That is my personal opinion.
By the end of the decade, Aston will offer six different models. Is this a problem for a comparatively small company?
Every car goes through a natural lifecycle. A car has a beginning, a high point and an end, but you need to fill your production capacity at all times. By having a wide range, it allows us to achieve a consistent level of demand. For example, at our peak we were building over 660 Vanquishes each year. Now at the end of its life we are building only 300, but the increased demand for our other models has compensated for this.
Which other car company do you admire?
Toyota has carried out the same strategy that I introduced for Aston Martin in 2000. The foundation is quality, usability and reliability. Their strategy is very simple and they make very logical steps.
How do you expect your relationship with David Richards, the chairman of the new consortium, to develop?
When we established Aston Martin Racing with David Richards and ProDrive, it was a deal we shook hands on. The legal document was just four pages long. I believe that we will complement each other well. David Richards has a skill for marketing and business, which will allow me to concentrate on managing a prestige brand.
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