Driven Personalities - Joe Saward

Joe Saward

Joe is a journalist, but not just any journalist. He is, today, the most respected journalist writing about Formula One. Never mind the established names you see in various magazines, with F1 media credentials. Joe is the man!

He writes authoritatively and accurately about the sport from a unique perspective. He is a true ‘insider’, which is why many people in the teams including management and team members will talk to him.

 

Joe and the Caterham team (photo: Sutton Images)

Joe is also a rarity among journalists today. He is honest and writes with genuine integrity. I’m very proud to say that we’re friends.

I first met Joe when he came to Australia in 1986 to cover the James Hardie 1000 endurance race at Mount Panorama, Bathurst. If there’s anything I want to know about the inner workings of Formula One, I turn to Joe’s epynonomous Blog <joesaward.wordpress.com> and that’s where you’ll read about the inside of the sport, and the back story behind all the major developments.

To say he’s well-connected is understatement. He knows everyone from the top down, and I mean the top.

He’s good mates with Bernie Ecclestone and in fact he’s one of very few people who hold a ‘Lifetime Pass’ to every Formula One race!

Joe, started his career in journalism when he joined Autosport in 1984, and began writing about F1 in 1988, working alongside Nigel Roebuck (one of F1’s most respected writers). He was made Grand Prix Editor of Autosport and stayed with the magazine until 1993, when he wrote for F1 News magazine.

He created the Business of Motorsport newsletter and an F1 website, grandprix.com. He then started his Blog, followed by an e-magazine called GrandPrix+, which he produces in partnership with David Tremayne.

Born in London in 1961, and educated at Haileybury College, he attained a degree in history from Bedford College at London University. This pushed him towards writing, and he produced a book on his great grandfather, Henry George Kendall, called The Man Who Caught Crippen, a riveting read about the apprehension of murderer Dr. Hawley Crippen, on board the SS Montrose in 1910, which was commanded by Captain Kendall.

Joe Saward has also authored other books including The World Atlas of Motor Racing, and another great yarn called Grand Prix Saboteurs – which records the story of a group of racing drivers who established a sabotage network inside France, during World War II.

There are plans for Grand Prix Saboteurs to become a movie.

Joe’s not only an interesting guy to know and talk to, because of his varied interests and depth of knowledge, but he also possesses admirable humility. When he began covering the European Formula 3 Championship in 1983, he travelled from race to race by his own means, camping in a tent at the race tracks.

 

Joe Saward (centre) with Nick Fry (left), former CEO of Brawn Motorsport and Mercedes F1, and Formula One designer and BBC commentator Garry Anderson (right).

He was inspired to begin his current career by his fascination with the people in Formula One, as opposed to the racing by itself. This has led to probably the most insightful coverage of the sport today. I hope he decides to do this for a while, because I very much enjoy his writings, and if you’re a fan of Formula One, I’m sure you will too.

Making Motor Racing Pay Off

There's a great truism associated with the massive investments car companies make in motor sport, when they decide to compete seriously:

Question: "How do you make a small fortune out of motor racing?"
Answer: "You start with a big one!"

Numbers in the multi-millions are thrown around in Formula One circles, and in lesser series the spend is often in the millions, such as when Bentley Motors competed at Le Mans for three years (2001-2003), with VW AG's chequebook behind it.

Bentley's Breitling-sponsored Speed 8 winning the 2003 Le Mans 24 Hour race

However, sometimes (if you're canny, and cynical) you can make it pay off. As a local example, in 1980-81 when Leyland Australia needed to 'create' motor sporting credentials for the Triumph TR7, the Barclays Pro Car Series resulted in the company selling out of TR7s.

Then in 1985, when JRA (formerly Leyland Australia) needed to promote and move the slow-selling Jaguar XJ-S, it invested a million dollars in bringing Tom Walkinshaw's 3-car TWR Jaguar XJ-S team to Bathurst, and the ensuing victory resulted in selling two years worth of cars in the next twelve months!

Now, it's Bentley's turn and what a winner it has produced. I think this REALLY SMART marketing, even though I'm a former Bentley executive. With its decision to enter the Blancpain Series in Europe for GT3 race cars, Bentley Motors has released a limited edition, two-seater Continetal GT coupe, in order to capitalise on its investment in motor racing. This is the only way to get something back, or in other words an ROI (Return On Investment).

Bentley will sell every one of the 300 cars before they're built, I'm certain of that. Sure, they're expensive to build, and maybe the profit margins are slightly slimmer, but the whole exercise once again focuses the markets' minds on Bentley's glorious motor racing and competition heritage, and what that success has contributed to the notion that a Bentley is a driver's car.

Rather than re-write the press release, I have reproduced part of it, to give you some idea what what the car offers:

(Crewe, 17^th June 2014) Bentley announces the rarest and most dynamic member of the esteemed Continental family of Grand Tourers with the arrival of the new Continental GT3-R. It is inspired by the new Continental GT3 race car that stormed to victory at the second round of the Blancpain Endurance Series at Silverstone, the first UK race for Bentley for 84 years. Blending proven track and road credentials, the Continental GT3-R is a highly exclusive and unique interpretation of performance-focussed luxury, limited to just 300 examples.

All 300 examples of the Continental GT3-R will be hand-built in Crewe and finished in Bentley’s Motorsport division.

Bentley engineers have developed a retuned version of Bentley’s race-proven, high performance 4.0-litre twin-turbo V8 for this new two-seater GT. Developing 580 PS (572 bhp / 426 kW) and 700 Nm of torque, together with a 100 kg weight reduction and shorter gearing, the Continental GT3-R is the fastest-accelerating Bentley ever. Capable of reaching 60 mph from a standstill in just 3.6 seconds (0-100 km/h in 3.8 secs), the GT3-R is a Grand Tourer with the performance of a racer.

Complementing the revised powertrain is a further development of Bentley’s renowned all-wheel drive system, which now features torque vectoring for the first time. Together with modified Electronic Stability Control (ESC) and a chassis tune optimised for outright cornering ability, the Continental GT3‑R is the most dynamic, responsive and involving Bentley road car ever.

Wolfgang Dürheimer, Chairman and Chief Executive of Bentley Motors, comments:

“The experience of driving a Continental GT3-R is awe-inspiring, and takes the dynamic abilities of our Grand Tourer to new heights. We were inspired to create something extremely special for the road by the performance of our Continental GT3. It is a celebration of the Bentley passion for building outstanding drivers’ cars. To be a true Bentley, the GT3-R had to be the most luxurious track-inspired Grand Tourer ever, and this car pushes our trademark combination of luxury and performance to a new level.”

The car is deliberately designed as a two-seater, and resembles a former bespoke Continental T coupe which the company produced in 2001 specially for the Detroit Auto Show, with a leather trimmed bench behind the sports bucket seats.

2001 Bentley Continental T Personal Commission

Italian-made luggage designed by Hanna van Braekel

Make no mistake, the roots of this car were decided on when Bentley made the decision to participate in the GT3 race series, and once again, the whole exercise is well thought-out and brilliantly executed. Well done, Bentley!

This is a smart move, even if the race car doesn't win another round, which I'm sure it will.

Driven Personalities - Sir Jackie Stewart

I first met Jackie Stewart at the 1976 Monaco Grand Prix, when he shoved me to the front of the media pack in the rear courtyard of the Royal Automobile Club de Monaco, so I could interview Nicki Lauda, telling the established F1 journalists: "Let the wee Australian chappie in will you. He's come a long way for the story."

 

Jackie, Monaco 1976

Jackie has thousands of friends and business acquaintances, and I consider myself a speck on a page of his Contacts Book, but he never fails to say hello, and he's a straight-shooter, which I'm sure you know.

I've met him at race meetings, business meetings when I worked with Ford, official dinners, and motor shows all over the world.

He'll stop for a chat, and invariably remembers some subject that we may have been discussing at a previous meeting.

With Jackie at "Eyes On Design", Detroit 1993

He has an uncanny memory, with fantastic recall.

The last time we saw each other was at the 2003 Pebble Beach Concours d'Elegance

I was accompanying my Best Man Graham Johnson on his first, and only visit to the famous Concours. Graham was in the last months of his life, suffering from terminal cancer.

We were wandering the field taking in the show, when we caught up with Jackie Stewart. My friend, Graham, was desperate to meet him so I asked Jackie if he would pose for a photo.

Jackie and my Best Man, Graham Johnson, Pebble Beach 2003

I had to be quick to get the photo, which doesn't accurately show how warmly Jackie greeted Graham.

At that stage Jackie knew nothing about my friend's condition, and not only stopped for a photo, but took him to one side to ask about the area of motor sport which interested him most, and they talked for more than 15 minutes about F1 and Le Mans.

I know that after attending the 2003 24 Hours of Le Mans

Graham and Derek Bell

with Team Bentley, and then meeting Jackie Stewart, and his hero Derek Bell at Pebble Beach, Graham died a happy man.

But, that's Jackie. A generous man, and an honourable one. Is it any wonder that even though he has cut back on his personal contracts, he's still valued by all those who signed him up.

With Will Hagon at Jaguar XF Launch

 My good friend, Will Hagon, heard regularly commentating motor sport events for the ABC, and one of the finest voices in broadcasting, recently drew my attention to a film starring Jackie, and made by Roman Polanski.

It's called "Weekend of a Champion" and documents the 1971 Monaco Grand Prix, won by Jackie for the Ken Tyrrell team.

Unusually, for the time, the FIA even allowed Polanski to mount a camera on the race car!

If you like F1 and racing documentaries, you'll love the intimacy in this one. Jackie and Roman's close friendship; the intimacy with the race and all the players.

The film begins Thursday before the race and includes practice in torrential rain.

The late Ken Tyrrell with Jackie Stewart

Then discussion between Ken Tyrrell and Stewart over tyre choice, and even a sequence of Jackie 'coaching' his teammate Francois Cevert.

I love Monaco, it's a great circuit and these photos are some of a swag that I took in 1976, and they bring back great memories.

Gilles Villeneuve, Casino Square 1981

The shot below is taken from above the entrance to the tunnel, at Portier, after the descent from Mirabeau, and the Grand (Loewes) Hotel hairpin.



The 1971 Monaco winner in his Tyrrell-Ford

Jackie and Roman were good friends with Prince Rainier and Princess Grace, so naturally they had unprecedented access to make the film, and there are some great candid shots of Grace Kelly in the closing stages at the race celebrations.

 

Stewart and Polanski in Cannes



You can buy the DVD from entertainment stores, like the ABC Shop, or you can rent or buy it on iTunes. It runs 1 hour 39 minutes, and it's a terrific docu-drama. Check it out!

Driven Personalities - Adrian Hallmark

The big product news from Jaguar at the 2014 Geneva Salon was the teaser shot of the new XE sedan, and a few small tidbits of detail about new engines, and whispers of a launch price for XE of around £29,000 (AUD$52,000).

Fortunately, however, I was able to corner Jaguar Land Rover’s Global Strategy Director, Adrian Hallmark, who until recently held the position of Jaguar Global Brand Director, to discuss more deeply some aspects of the Jaguar business, and his responses will warm the hearts of Jaguar enthusiasts, owners, finance analysts and the media.

 

Adrian Hallmark, Geneva 2014

I had the great pleasure of working with Adrian Hallmark at Bentley Motors, when he was the Member of the Board for Sales & Marketing, and I was PR Director for Bentley Motors North America.

Bentley Boy Adrian Hallmark at Le Mans 2002

 

He is not only one of the brightest ‘car guys’ around, but he is a gifted marketer, and a wise strategist.

 

 

Adrian Hallmark, IAA Frankfurt 2001

As well as working at Porsche and Bentley, he went on to hold a number of senior positions in the Volkswagen Group, and joined Jaguar Land Rover in 2010

 

 

 

 

I asked Adrian to detail the key business metrics which underscore his immense confidence in Jaguar’s future:

JC:      Tata Group acquired Jaguar Land Rover in 2008 for just USD$2.3 billion (about half of what Ford paid for the companies originally), but within a couple of years Tata was faced with refinancing the borrowings, plus big interest charges, for the acquisition – which caused analysts to question the wisdom of buying the companies. How seriously did this stretch Tata’s finances?

AMH: The timing of the acquisition coincided with the Lehman’s crash and subsequent Global Recession. Like most companies, the impact of the rapid and global drop in revenues created huge pressures to re-finance businesses in a credit squeezed environment. Despite these challenges, a combination of JLR management effort in restructuring, and refinancing by the Tata Group, ensured the survival of the business, and created the foundation of the business that you see today

JC:      Has Tata ‘loaded’ JLR’s balance sheet with the borrowings and interest charges? This is common practice with large scale acquisitions and often makes the payback very difficult.

AMH: Quite the contrary. We have highly competitive gearing thanks to the combination of restructuring, and subsequent solid internal Free Cash Flows from the JLR business. We have become a self-funding unit with no onerous burden in respect of debt, specifically half the level of some of our competitors in percentage terms

JC:      Since the refinancing Tata Group has again invested heavily in product research, clinics, design studies, facilities, new products and upgrading current product features – roughly how much has Tata spent on these activities?

AMH: As I mentioned, the investment is not Tata now, but comes from our own profits. With a keen eye on bringing to customers still more innovative products, we invest over-proportionally in a landscape where the industry norm is 11% of revenue. We are the biggest automotive R&D investor in the UK, where all of our vehicles are designed and engineered. .

JC:      Have Jaguar sales repaid this financial gamble? Where does Jaguar now stand in respect of the purchase price for the company, investments and spending on future models?

AMH: Jaguar is in the middle of the growth plan with the first stage complete. Sales in the FY13/14 grew by over 40% to be the fastest growing global premium brand. The launch of new more affordable products into new bigger segments will be the real breakthrough for the brand and you will start to see this from next year.



Jaguar XE test mule

JC:      The new XE announced here in Geneva will use an all-aluminium platform, body and suspension and launch with brand new engines. This is a huge investment in one model. How does Jaguar now fund its investments, with borrowings from Tata Group?

AMH: As mentioned, all funding comes from JLR resources, free cash flows, and conservative borrowing levels.

JC:      What provides the most confidence to you for the business going ahead? Do you consider Jaguar is now operating in a manner which gives it economic stability now, and in the immediate future?

AMH: Over the next three years when all new models are activated, Jaguar will be in a position to compete in the biggest premium segments on a global basis, with competitive high technology and affordable products. This is the formula which will be the foundation for growth and sustainability. Across the company, we plan 50 new product actions over the next five years. With British engineering creativity coupled with world-class designers from the Royal College of Art, we will have more opportunities to give customers experiences they love, for life.

JC:      In 2013 Jaguar increased overall sales by 34%, reaching 58,000 units sold, and you have been quoted as saying that Jaguar will double its annual sales within the next two or three years, plus increase participation in more segments. This exponential growth promises to be impressive, but under Ford ownership the forecasts of 120,000 sales a year were never likely to be achieved. What is it that says Jaguar can reach the sales you’re projecting?

AMH: In the FY to end of March we achieved over 80000, so from a year ago without major launches, we have already halved that gap. With exciting new products like the Jaguar XE, we believe we can appeal to an even greater consumer base.

Jaguar XF Sportbrake (Geneva 2014)

JC:      Does this suggest that all Jaguar’s future investments, marketing and advertising costs, dealer development and research will be funded from entirely within the company? That sounds very ambitious?

AMH: Yes, and yes, but it is manageable as described

JC:      Under Ford ownership Jaguar never looked like turning a profit? Will the success you are talking about mean that Jaguar may even contribute returns to its parent, Tata Group?

AMH:  I believe the company is in the most exciting period of its history. Jaguar Land Rover is investing around £3.5 billion into product creation this fiscal year, across both iconic brands, and with those 50 new product actions coming up soon, you can look forward to seeing much more excitement in the years ahead.



Jaguar XE test mule

JC:      As this post was being published senior financial commentators and brokers in India were recommending 'buy' orders for Tata Motors. They see growth coming in the second half of 2014, and even though they say that the domestic operations of Tata Motors is facing headwinds, they believe it will perform well in the medium term. No doubt thanks to significantly increased sales for all JLR models!

Jaguar F-type coupe

Some pundits in London even suggest that Jaguar Land Rover's continuing excellent financial performance and JLR's contribution to the Tata bottom line could see 'JLR funding Tata's growth!' What a reversal from a few years ago when it was Tata's investment that dragged JLR off the floor!

(NOTE: In the interests of accuracy and for fear of misquoting Adrian out of context, I have not edited this interview. You will notice some repetition in the questions, but I was fixated on clarifying how Jaguar is funding itself)

Daniel The Winner - Well done!

So Daniel Ricciardo has won his first Grand Prix with a top tier team. Red Bull's racing manager Christian Horner was clearly, very impressed with Daniel's drive in Montreal.

Even a casual study of his driving performances so far this year suggests this will definately not be the only time he takes the chequered flag.

Congratulations and well done, Daniel.

Talking with lots of F1 fans, including Alan Jones, at yesterday's Queensland State Funeral for Sir Jack Brabham everyone who knows him says he is tenacious, talented and gifted - but at the same time down-to-earth, feet well planted and a gracious competitor.

Everyone should be proud of such a skilled, young professional showing such promise at just 24, regardless of where he comes from.

Spin Twisting

Have a look at these two photos. Do the cars look familiar?
They do, don't they?

The story behind this similarity captures all the elements of spin, but it does have a happy ending.

The Toyota racer is the GT-One - a car which grew from collaboration of three entities - Toyota Team Europe/TOMS Toyota/Racing Technologies Norfolk.

The Bentley is the Speed 8.

As Pulitzer prize-winning automotive writer Dan Neill later wrote in CAR AND DRIVER in 2003: "National identity in big time motor sport is irrelevant."

The Bentley Speed 8 has a somewhat convoluted history, linked very closely with the Toyota LM-GTP car above.

Volkswagen Group (VWAG) acquired Bentley in 1998, and in 2000 decided, along with Bentley Motors management, to rekindle Bentley's long and successful participation in the 24 hour classic.

At the Detroit Auto Show in January 2001, Bentley announced a three year program to return, and win at Le Mans. And, this is where the story gets interesting.

In the mid 90s Toyota Team Europe (TTE) got together with Dallara to developed a car to compete in the Prototype division at Le Mans. A great deal of the development work was sub-contracted to the late Richard Lloyd in Norfolk, England. 

Lloyd had an impressive reputation in British motor sport, as a driver, tuner and constructor.

(He unfortunately died in a plane crash in March 2008)

The TTE-Toyota prototypes subsequently endured an inconsistent racing performance in France, and in 1997 TOMS Toyota (a private Japanese racing company, funded almost totally by Toyota) joined Richard Lloyd, who had now formed RTN (Racing Technologies Norfolk) to develop the Toyota GT-One.

The GT-One competed in 1998 and 1999, finishing second in 1999. As the worm turns, Volkswagen had also contracted RTN to develop the Audi prototype R8C and R8R racing cars for Le Mans, initially using a modified version of the Dallara-Toyota chassis, and a new Audi-designed V8 engine for the R8C.

In 2000 Volkswagen decided to acquire RTN completely to prepare, manage and run the Bentley race program, and RTN's in-house designer Peter Ellery was commissioned to re-design what was the GT-One for Bentley's campaign.

So the Bentley campaign follows Neill's dictum that national identity in big time racing is irrelevant. Regardless of whatever spin the Bentley boys created for the media.

We have a British-designed body, on a Japanese-British chassis, using a German engine, which combined to ultimately win the 2003 24 Hours of Le Mans.

Thereby providing a happy ending for the Crewe-based manufacturer of some of the world's most beautiful high-performance luxury cars.

Bentley Boys, Le Mans 1929

In the late 1920s and early 30s Bentley won Le Mans five times in seven years; then returned in 2003 to deliver a victory to bolster its modern credentials.

As of last month, Bentley's latest foray into motor sport produced another great win, this time in the GT3 category at Silverstone!

Last year Bentley Motors produced and sold a record number of cars, and for Volkswagen the profits from that result makes for a really happy ending!