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mb cut jobs

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Old 06-17-2004, 02:59 PM
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mb cut jobs

FRANKFURT (Reuters) - DaimlerChrysler aims to cut 10,000 jobs at its luxury car unit Mercedes-Benz after consultancy McKinsey said it could reduce headcount without affecting quality and production, a German paper said.
Die Welt said on Saturday, citing company sources, that some of the job cuts could come at Mercedes' factory at Sindelfingen in Germany due to technical innovations to improve productivity.

The report on possible job losses comes less than two months after DaimlerChrysler decided in late April not to give the top job at Mercedes to Wolfgang Bernhard, a move insiders said was prompted by fears of drastic cost cuts.

The Sindelfingen site makes Mercedes' C, E and S Class cars and the ultra-luxury Maybach, the paper said.

Die Welt said Mercedes aimed to reduce the workforce through natural attrition and non-renewal of limited-term contracts.

It said McKinsey, which was appointed two years ago, had said Mercedes had ten percent more staff than required.

A Daimler spokesman reached by Reuters declined to comment on the reported McKinsey study and would only say that the unit would work to improve efficiency.

"The Mercedes car group is continually working to improve its efficiency to maintain its top position in the luxury passenger car business," he said.

Sales at Mercedes-Benz fell 9.2 percent in May, though its compact "smart" cars took up some of the slack. Overall sales at the Mercedes Car Group, which include Mercedes-Benz, the "smart" range and the Maybach, fell 5.8 percent.
Old 06-17-2004, 04:06 PM
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Cuts..

Gee... and I was about to fill an application there!

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Old 06-17-2004, 10:05 PM
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I prefer to see Daimler take action than to "stay the course" of the past 5 years.
Old 06-18-2004, 12:12 AM
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Cutting from the top...

Originally posted by MTI
I prefer to see Daimler take action than to "stay the course" of the past 5 years.
Yeah, cut those jobs I say.. lay them off...

Wiedermann
Old 06-18-2004, 01:13 AM
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If you bothered to read the article, they're hoping to reduce workforce through attrition (hiring freeze) and non-renewal of contract work. One can only hope that the company can reduce op costs enough via passive means than handing out termination slips.
Old 06-18-2004, 11:53 AM
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Without Affecting Quality

<<reduce headcount without affecting quality >>

Quality can't get much lower than it is now...

<<and production>>

Why should it, when MB contracts the build of the E class to an oursourcing company all together...
Old 06-18-2004, 01:40 PM
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Reduce headcount without affecting quality...

Mr. MTI
Originally posted by MTI
If you bothered to read the article, they're hoping to reduce workforce through attrition (hiring freeze) and non-renewal of contract work. One can only hope that the company can reduce op costs enough via passive means than handing out termination slips.
As Mr. EddieGTP has pointed out, and it seems that I also read, I don't know too much about "bothering".. though I can try to!..
<<reduce headcount without affecting quality >>

I don't know what your interpretation of "...reduce headcount...".... oh yeah... you thought they will chop their heads off maybe???.. I was more in the approach of letting them keep their heads attached to their sockets (necks in this case ) ...



Wiedermann

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Old 06-18-2004, 02:43 PM
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Mr.Wiedermann,

Should I take it that you belive that Daimler should 1) Do nothing to improve it's operations when it's own consultants tell it that they're overstaffed?; 2) Only trim executives?; 3) Some other business strategy that you'd share with Daimler for some stock options and vehicle incentives?

From my POV, Daimler has been making the tough decisions in focusing its business back on track. Stopping the bleeding in their Mitsubishi and Hyundai investments was probably a good thing and the trickle down engineering to Chrysler may be sucessful given the popular reception to the Crossfire. As for the Mercedes division, perhaps it's time to kill the M-Class and refocus the company on quality road cars.
Old 06-19-2004, 04:09 AM
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Thumbs up Progress ahead

Mr MTI:
Originally posted by MTI
...From my POV, Daimler has been making the tough decisions in focusing its business back on track. Stopping the bleeding in their Mitsubishi and Hyundai investments was probably a good thing and the trickle down engineering to Chrysler may be sucessful given the popular reception to the Crossfire. As for the Mercedes division, perhaps it's time to kill the M-Class and refocus the company on quality road cars.
I am in total agreement with you!

Wiedermann

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