"Beyond that (the Chrysler 300)," added Zetsche, "you will also see more examples of clearly defined 'project houses' where
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| The Crossfire is almost 40 percent previous-generation Mercedes-Benz SLK, which made sense for a low volume, niche vehicle. (Photo: Rob Rothwell, Canadian Auto Press) |
engineers from different divisions work together for the benefit of the whole company."
The DCX CEO cited the Mercedes-Benz and Chrysler hybrid drivetrain project as an example of such project houses, an initiative which also includes Stuttgart to work side-by-side with General Motors and BMW. Another example of such collaboration points to DaimlerChrysler's innovative BlueTec technology, which sees the automaker's Commercial Vehicles division, Mercedes Car Group and Chrysler Group developing the world's cleanest diesels.
With the advent of new technologies in mind, DCX will also be forming a corporate-wide
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| BMW Chairman and CEO Helmut Panke (left) joined DaimlerChrysler incoming Chairman Dieter Zetsche (centre) and General Motors Chairman and CEO Rick Wagoner at the Frankfurt International Motor Show in Frankfurt, Germany, September 12, 2005, to sign a "memorandum of understanding" governing the formation of an alliance of equals for the joint development of hybrid drive systems. (Photo: Olaf Gallas, General Motors of Canada) |
research and technology arm by merging current operations with Mercedes Car Group's product development division, led by board member Thomas Weber. Dubbed group research & MCG development, at least for the time being, the division will now do research and development for the entire automaker, taking on greater responsibility for Chrysler Group's advanced engineering as well as the DaimlerChrysler's other divisions. While reducing redundancies seem to be at the core of this decision as well, the automaker states that the plan will allow future technologies to enter the market more quickly while keeping research focused on customer-relevant innovations.
DaimlerChrysler AG will initiate the program immediately, a process that will take three
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| DaimlerChrysler AG will initiate the $2.8 billion ($2.5 billion USD)program immediately, a process that will take three years to fullyimplement. (Photo: Mercedes-Benz Canada) |
years to fully implement. Overall, the plan will require an investment of approximately $2.8 billion ($2.5 billion USD) starting from now until it is finalized in the end of 2008, and therefore, the overall expenditure to streamline operations, according to the automaker's estimates, should be paid off before 2010.
Oh, And what about smart? While Zetsche said that the micro-car brand wasn't for sale during his address in Detroit a few weeks ago, refering to a previous promise not to sell the brand until 2007, at which point they would wait and see if it was able to turn towards profitability, it is now being reported that investment banker Goldman Sachs has been hired to field prospective buyers already, and that Italian vehicle-maker Piaggio has been approached with an offer including
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| Removing smart from the equation would help DaimlerChrysler AG streamline its operations even further. (Photo: Shawn Pisio, Canadian Auto Press) |
the smart brand name, its Hambach, France plant, all of its tooling,intellectual property for existing and upcoming vehicles, and even alarge low interest loan to cover the cost of relaunch. Piaggio makes Vespa scooters, Aprilia sport bikes, Moto Guzzi motorcycles, Ape three-wheel delivery vehicles, as well as a micro-car dubbed the 500, which, featuring a small displacement (500 cc) diesel powerplant, is very similar to the smart fortwo.
Piaggio is not the only interested buyer, mind you, with Japan's Suzuki and Tata Motors of India showing interest. Not for sale? As the old saying goes, everything is for sale at the right price. No doubt, removing smart from the equation would help DaimlerChrysler streamline its operations even further.
