Scania boss to head up Volvo

The President and CEO of Scania, Martin Lundstedt (pictured, next to Scania truck) has left the Swedish company to head up Volvo Group, where he will replace out-going President and CEO, Olof Persson (also pictured).

Lundstedt will assume the role from October this year. Persson has already vacated his role at Volvo Group, with Volvo's CFO, Jan Gurander, serving as acting President and CEO until Lundstedt's arrival.

According to the Chairman of the Board of AB Volvo, Carl-Henric Svanberg, the appointment will refocus the company's efforts as it enters a new era.

"After three years of focus on product renewal, internal efficiency and restructuring, the Volvo Group is gradually entering a new phase with an intensified focus on growth and increased profitability," Mr Svanberg said in a statement.

Mr Svanberg thanked Mr Persson for his efforts in reshaping Volvo over the past four years.

"Olof Persson has with energy and determination carried out an extensive change of the Volvo Group," he said.

"He has focused Volvo on commercial vehicles and sold unrelated businesses and assets to a value of over SEK 20 billion ($A3 billion). He introduced a functional organisation and paved the way for cost savings of SEK 10 billion ($A1.5 billion). He also concluded the agreement with one of China's largest truck manufacturers, Dongfeng, and led the company during the largest product renewal in the Group’s history. Today the Volvo Group is considerably better positioned to compete for leadership in our industry."

Mr Lundstedt's exit from Scania comes as the company's parent, Volkswagen Group, continues to integrate the Swedish trucking brand with its own commercial vehicle division, alongside German sibling MAN Truck & Bus.

VW finally acquired a controlling stake in Scania in May 2014 – a crucial step in the automotive giant's bid to create a third trucking behemoth to take on the likes of Volvo Group and PACCAR.

Mr Lundstedt's departure comes just three months after the resignation of Scania's Chief Financial Officer, Jan Ytterberg, who had held that role since 2006. Mr Ytterberg took up the role of CFO at Swedish firm, Husqvarna.

The Chairman of the Scania Board of Directors, Dr Martin Winterkorn, thanked Mr Lundstedt for his contribution.

"We respect Martin Lundstedt's decision to leave the company and wish to thank him for his successful efforts to further develop and strengthen Scania's strong market position during his years as President and CEO," he said in a statement.

The role of acting President and CEO at Scania has been filled by Per Hallberg, who will retain his pre-existing responsibilities as Executive Vice President and Head of Production in Logistics, a role he has held since 2012.

Mr Hallberg is another Scania veteran, having first joined the company in 1977.