Tue. Dec 3rd, 2024

Update: Rheinmetall Restructures Executive Board, Eyes €20 Billion Annual Sales Goal

ByLisa Luckas

11/06/2024
The Hungarian Minister of Defence, Kristóf Szalay-Bobrovniczky, the Mayor of Szeged, Dr. László Botka, Prof. Dr. Gábor Szabó, Managing Director of the research institute ELI-ALPS, Dr. Judit Fendler, Chancellor of the University of Szeged, Milhálffy Béla, Member of Hungarian Parliament, and many other high-ranking representatives from politics, government and industry followed the invitation of Christoph Müller, CEO of Rheinmetall's Power Systems division, to attend the ceremony.The groundbreaking ceremony on 26 March 2024 was attended by prominent guests
  1. CEO Armin Papperger to Lead Rheinmetall for Five More Years
  2. New CFO and COO Roles Set to Boost Operational Efficiency
  3. Reorganization Aims to Align with €60 Billion Backlog and Expansion Goals

Wed Nov 06 15:00:47 -0000 2024 UTC–Rheinmetall AG announced today a major restructuring of its Executive Board to support its ambitious growth targets, approved by its Supervisory Board.

“Zeitenwende” – Historic Inflection Point

This reorganization is designed to address Rheinmetall’s recent surge in business activities following the geopolitical shift in European defense policy, or “Zeitenwende,” and the company’s accelerated international expansion. Starting January 1, 2025, key leadership roles will shift to strengthen the company’s path toward doubling its annual revenue.

Rheinmetall projects reaching €10 billion in annual sales by 2024 and aims to increase that to €20 billion in the near term. Backed by a robust €60 billion order backlog, the restructuring will allow Rheinmetall to integrate new production sites and streamline recent acquisitions across its expanding global operations.

Supervisory Board Chairman Ulrich Grillo emphasized the decision’s intent to balance “continuity and innovation.” Armin Papperger, CEO since 2013, will continue leading the company with a renewed five-year contract. Grillo cited Papperger’s experience and strategic vision as critical to Rheinmetall’s growth trajectory.

Key Changes in Leadership

  1. New CFO: With the upcoming departure of Chief Financial Officer Dagmar Steinert, effective December 31, 2024, Klaus Neumann, currently Head of Accounting, will take over as CFO. Neumann, a 12-year Rheinmetall veteran, is expected to enhance financial reporting and continue the group’s IT transformation.
  2. New COO: René Gansauge, Head of the Weapon and Ammunition division, will assume the newly created role of Chief Operating Officer. Gansauge’s 19 years of operational experience in military and civilian sectors will be instrumental in optimizing production and organizational processes.
  3. CHRO Continuity: Dr. Ursula Biernert, appointed CHRO and Labor Director earlier this year, will maintain her role, focusing on global workforce expansion.

Implications

The reorganization underscores Rheinmetall’s commitment to aligning its leadership structure with the operational demands of its unprecedented growth. As the company moves toward a potential €20 billion in annual sales, the newly structured board is poised to enhance Rheinmetall’s agility, particularly amid a fast-evolving defense industry landscape shaped by increased global security investments.

Grillo concluded, “The board’s decisions ensure that Rheinmetall’s leadership is well-equipped to navigate the challenges ahead with continuity, operational strength, and strategic foresight.”

 

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ByLisa Luckas

Lisa Luckas is a Sr. Business News Editor at Nobot.News.

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