German Handelsblatt: Car manufacturer: Master plan failed – Zetsche renounces Daimler comeback000399

Dieter Zetsche

The former Daimler boss will not chair the supervisory body of the automotive group.

(Photo: dpa)

Munich The timing is maybe just a coincidence. But almost exactly two years ago to the day, Daimler supervisory board chairman Manfred Bischoff and then CEO Dieter Zetsche sealed the succession at the head of the car manufacturer in an ad hoc announcement to the shareholders. Everything was neatly arranged. The power structure in Stuttgart’s Mercedesstrasse seemed to be cemented for years. And initially everything went as planned.

In May 2019, Zetsche handed over the management of the Dax Group to his professional foster son and board colleague Ola Källenius. But the second part of his master plan came under increasing criticism. After a two-year cooling-off phase, Zetsche actually wanted to inherit Bischoff as supervisor at the 2021 Annual General Meeting and return to Daimler. Nothing will come of that – Zetsche waves it away himself.
“Of course I would have liked to have done this job. I also think I would have done them well. But in the end I decided that I don’t want that, that I do without it, ”said the 67-year-old of the“ Frankfurter Allgemeine Sonntagszeitung ”(FAS).
A number of larger shareholders had spoken out against a comeback of the manager with the distinctive mustache. The American investor Harris Associates and the German fund houses Union Investment, Deka and DWS see Zetsche as one of the main people responsible for the billions in payments in the diesel scandal and the late turn of the Mercedes manufacturer towards electric mobility.

“The fact that after 40 years of professional life some people don’t see me as a bearer of hope, but rather as a burden – no, I don’t need that,” Zetsche stated. Daimler himself took note of his withdrawal “with great respect”. The move is expressly welcomed by critics such as Michael Muders, fund manager at Union Investment: “This enables Daimler to consistently realign itself under the new management, which we believe is urgently needed.”
Surprises cannot be ruled out, Enders as an alternative
It is still completely open who will head the 20-member Daimler Supervisory Board in the future. The requirement profile of the candidate is clear: He or she should have a lot of experience in the industry, understand the automotive industry and have learned to deal with crises, it is said in corporate circles. In addition, the successor would have to exude an international “standing” in terms of his curriculum vitae and be experienced in the German culture of co-determination, i.e. in balancing various interests.
In the current supervisory board there is hardly an alternative to incumbent Bischoff. Ex-BASF boss Jürgen Hambrecht would have the format, but at 74 years of age, he would not exactly represent the desired generation change. Theoretically, Telekom boss Timotheus Höttges would be ideal – but he is currently out of the question as acting DAX CEO. According to an insider, only Joe Kaeser remains among the ten councilors on the capital side. At the age of 63, the outgoing Siemens boss is young enough and at the same time equipped with the necessary expertise to take over the chairmanship of the control board.
If an internal solution is found, Kaeser is the clear favorite, according to corporate circles: “Everything speaks for him.” However, the manager’s public urge to be recognized does not go down well everywhere in Stuttgart. In the end, an external candidate could win the race, especially since the still incumbent chief controller Bischoff is always good for a surprise.

For example, when the 78-year-old had to fill the CFO position after the resignation of long-time CFO Bodo Uebber in spring 2019, the FAS already announced that a candidate “within the group, from the closer circle of power will be preferred”. A few days later, however, Bischoff did not appoint Mercedes CFO Frank Lindenberg to the board, but the external applicant Harald Wilhelm from Airbus.
This time too, a surprise coup cannot be ruled out. Maybe it even has an Airbus connection again. Ex-boss Tom Enders would be a Kaeser alternative.
More: Daimler works council fears relocation of jobs to Eastern Europe

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