Indian Motorcycle Restructures Operations to Strengthen U.S. Manufacturing and Advance Transition to Independent Operations.
Indian Motorcycle today announced the next phase of its strategic transition to a free-standing company, strengthening its manufacturing capabilities in Spirit Lake, Iowa, adding dedicated business functions, and restructuring its organization to support long-term profitability and growth.
The changes include adding manufacturing jobs to support recently expanded capabilities at the Spirit Lake facility that will significantly reinforce Indian Motorcycle’s commitment to manufacturing its motorcycles in the United States. The company is also filling essential finance, corporate administration, and other positions that were previously handled by Polaris employees through the initial stages of its multi-faceted transition process.
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Further to the restructuring, Indian Motorcycle has eliminated positions across several business functions as part of its efforts to detangle the business from Polaris, reduce operational overlap and better align its organization with the needs of an independent motorcycle business.
“As we stated when we assumed control of the business in February, we are committed to strengthening this business for long-term success with American manufacturing at its foundation,” said Mike Kennedy, CEO of Indian Motorcycle. “Expanding manufacturing capabilities and jobs in Spirit Lake and building a team dedicated to the needs of this business are critical aspects of our long-term plan. That said, we are also making some difficult organizational decisions that are reducing some positions. While we recognize the challenges that presents to the individuals impacted, it remains necessary to establishing a more efficient operation that can support sustained profitability and future growth.”
SPIRIT LAKE’S STRATEGIC IMPORTANCE
The critical hub of the company’s U.S. manufacturing network, Indian Motorcycle recently added engine manufacturing to the broader scope of Spirit Lake manufacturing operations, while also strengthening its paint operation at the plant. To support the combined expansion of capabilities at the facility, the company will be adding up to 60 additional manufacturing positions.
“Spirit Lake is strategically foundational for our future,” Kennedy said. “The skills of our employees and the capabilities of that manufacturing operation are absolutely essential to taking this business to the next level and we are excited to be doing so right here in America for riders around the globe.”
TRANSITION FROM POLARIS
The transition from a business supported by Polaris’ shared corporate functions to a free-standing company requires Indian Motorcycle to establish its own capabilities in several essential areas. To that point, Indian Motorcycle is filling positions in finance, corporate administration, and other business functions. This will include filling as many as ten existing positions focused on responsibilities previously performed for Indian Motorcycle by employees who remained with Polaris following the transaction. Establishing these dedicated functions further transitions responsibility for the day-to-day operations to an independent Indian Motorcycle.
At the same time, the company has spent the past 7 months identifying areas of staffing overlap and other structural inefficiencies to simplify its organizational structure to be more responsive, nimble, and efficient in serving the needs of its dealers and customers. This effort required the elimination of approximately 70 positions across various divisions of the business.
“This is an unfortunate and difficult aspect of this process, because these decisions affect people who have contributed to Indian Motorcycle over the years; and we recognize the impact on them and their families,” Kennedy said. “We are incredibly grateful for their work and are committed to treating them with the utmost care and respect throughout this process.”
The restructuring efforts advance the strategies established by Carolwood when it assumed official ownership in February of this year: reinforce American manufacturing; establish independent operating capabilities; and position Indian Motorcycle and its dealers for long-term profitability and growth.
“We are building the manufacturing capabilities, dedicated team, and operating discipline Indian Motorcycle needs for its next chapter,” Kennedy said. “Our responsibility is to make decisions today that strengthen this company for our employees, dealers, and riders over the long term.”
For more information, visit IndianMotorcycle.com
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About Indian Motorcycle
Indian Motorcycle is America’s First Motorcycle Company®. Founded in 1901, Indian Motorcycle has won the hearts of motorcyclists around the world and earned distinction as one of America’s most legendary and iconic brands through unrivalled racing dominance, engineering prowess and countless innovations and industry firsts. Today that heritage and passion are reignited under new brand stewardship.
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