Overhaul Coming at Tesla

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CBJ — Tesla Inc.’s CEO Elon Musk says changes are coming in what is being described as a thorough reorganization of the company.

Tesla has been a tremendous technological innovator but recently it’s faced harsh criticism following questions about its production schedule and also two high-profile crashes of its electric, self-driving vehicles, which had fatal consequences.

In an email Musk wrote that the company is “flattening the management structure to improve communication, combining functions where sensible and trimming activities that are not vital to the success of our mission.”

Tesla is at a critical juncture as it tries to fix production problems that have slowed the rollout of its Model 3 sedan, a mid-market car seen as key to the company’s success, and as it expands on other fronts.

The company has registered a new car firm in Shanghai, China, which would seem to indicate a serious move towards production in the world’s largest country sooner than later.

@CanBizJournal

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