Analyst: No clear succession plan for Fiat-Chrysler's Sergio Marchionne

Even though his exit is about four years out, finding a replacement for FCA chief Sergio Marchionne will be a tall task, according to an analyst for Kelley Blue Book.

DETROIT, MI - News broke Wednesday that Sergio Marchionne plans to step down from the helm of Fiat Chrysler Automobiles at the end of 2018, and even though his exit is about four years out, finding a replacement will be a tall task, according to an analyst for Kelley Blue Book.

"Unlike Alan Mulally's departure from Ford last summer there's no clear succession plan in place at Fiat-Chrysler Automobiles," said Karl Brauer, a senior analyst at KBB.com. "The global standing of FCA ensures a broad candidate list in the search for Marchionne's replacement, and like Mulally, Marchionne will leave sizable shoes to fill."

Bloomberg first reported that the FCA chief, who led Fiat's merger with Chrysler, plans to leave the automaker group after completing a five-year strategic plan that would boost the company's profits to $6.3 billion in 2018.

The 62-year-old told Bloomberg Businessweek that he'll "undoubtedly do something else" after he leaves, but that he is likely done turning around struggling companies. "I'm done; let some of the young punks do it," Bloomberg quotes Marchionne as remarking.

Bloomberg reports that Marchionne has tripled Fiat's revenue since taking control of the Italian automaker in 2004. He led Fiat to become Chrysler's main shareholder as the Auburn Hills car company was being bailed out by the U.S. government.

Fiat SpA completed its acquisition of Chrysler in January after agreeing to pay $4.35 billion to the UAW Retiree Medical Benefits Trust, which owned 41.5 percent of Chrysler as part of the 2008-2009 auto bailout.

"Given his heavy hand in both high-level planning as well as product design and execution it might make sense to spread his current duties across multiple individuals when he departs," Brauer added. "Of course three years is an eternity in the automotive industry, meaning the nature of his role in 2018, along with the list of potential replacements, is far from decided today."