Daimler AG restructures into three divisions

By Colin Windell

 

Daimler AG, the holding company for Mercedes-Benz cars, is to create three separate corporate entities: Mercedes-Benz AG, Daimler Truck AG and Daimler Mobility AG. All will sit under the aegis of the Daimler AG group.

Following the approval by the Board of Management and Supervisory Board the corporation can now move into the implementation phase of what it calls ‘Project Future’.

Manfred Bischoff, Chairman of the Supervisory Board of Daimler AG, says: “The new structure positions Daimler to tackle the rapid pace of change in the mobility sector and the corresponding strategic challenges. Legally independent divisions will sharpen our focus on the future success of the business.”

Once the new structure has been fully implemented the Mercedes-Benz Cars & Vans division, under the leadership of Mercedes-Benz AG, will have around 175 000 employees worldwide, while the Daimler Trucks & Buses division, under the leadership of Daimler Truck AG, will have around 100 000 employees worldwide.

Already legally independent, Daimler Financial Services AG will be called Daimler Mobility AG in the future and has around 13 000 employees.

Dieter Zetsche, Chairman of the Board of Management of Daimler AG and Head of Mercedes-Benz Cars, explains: “Project Future is the consistent continuation of our strategy. We are reshaping our organisation to put Daimler in the best position for the future: technologically, culturally – as well as structurally. At the heart of all these changes are the needs of our customers around the world: With the new structure we will be able to offer them mobility solutions even better tailored to their needs.”

Bodo Uebber, Member of the Board of Management of Daimler AG responsible for Finance & Controlling and Daimler Financial Services, adds: “The new structure involves reassigning more than 700 subsidiaries in over 60 countries. Additionally, we examined the pros and cons of the new structure very closely and reached the conclusion the advantages clearly prevail. With this new structure we will sharpen our focus, increase entrepreneurial responsibility and protect our synergies and economies of scale.”

With three divisions literally operating independently of one another and without impediment, Daimler believes it will have an advantage as activity increases in terms of both electric and autonomous vehicles – and, according to managements, is implementing the (quite massive) reshaping in order to ensure it is not left behind.