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Elon Musk fires Klaus Grohmann

Elon Musk has fired Klaus Grohmann over a strategy planning issue of Gorhmann’s firm which Tesla has acquired in November, 2016. Tesla was betting heavily on Grohmann’s firm to the ramp up production to 500,000 cars annually by 2018.

Despite the take over, Tesla wanted to retain Grohmann but how to treat the existing clients resulted in his departure. At the time of acquiring the firm, Tesla described Grohmann and his company as “world leader in highly automated manufacturing”.

“I definitely did not depart because I had lost interest in working,” Grohmann said whereas a Tesla spokesman quoted “Part of Mr Grohmann’s decision to work with Tesla was to prepare for his retirement and leave the company in capable hands for the future. Given the change in focus to Tesla projects, we mutually decided that it was the right time for the next generation of management to lead.”

Tesla actually started as a client of Grohmann Engineering, a small unlisted company based in Pruem near Luxembourg before taking it over and renaming it as Tesla Grohmann Automation. Grohmann Engineering had BMW, Daimler, Bosch, Intel, Abbott and Roche as its clients.

The news is making ripples across the automobile industry. 

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