Mercedes Executive : Chrysler not to blame for Mercedes’ drop in quality
#1
Mercedes Executive : Chrysler not to blame for Mercedes’ drop in quality
Chrysler not to blame for Mercedes’ drop in quality
Posted on Friday 21 September 2007
The quality of Mercedes-Benz has undoubtedly dropped over the years, a fact the carmaker has admitted to, and only recently has it been brought back to a level one would expect from a car wearing the Three Pointed Star. With Chrysler now cut loose, the emphasis on improving quality levels is of top priority at Mercedes says its sales and marketing Chief Dr Klaus Maier.
Many have suggested that a loss of focus and parts sharing with Chrysler following its acquisition back in the mid-1990s were the reasons behind the drop but, according to Maier, it was Mercedes’ own mistakes and quality assurance problems that lead to its decline. “It had nothing to do with Chrysler,” Maier revealed to GoAuto.
Not surprisingly, Mercedes will attempt to maintain many of its ties with Chrysler including the behind-the-scenes cost savings and streamlining that was gained through synergies after the merger.
Product and technology is not the only aspects where Mercedes wants to be a quality leader. Service quality is one area where Mercedes admits it’s lacking in, especially compared with Lexus, which is currently dominating the U.S. luxury market. Numerous reports about poor service at Mercedes dealerships around the world have caused the company to revamp its dealer training systems, however the jury is still out as to whether Mercedes will ever return to its former glory.
Posted on Friday 21 September 2007
The quality of Mercedes-Benz has undoubtedly dropped over the years, a fact the carmaker has admitted to, and only recently has it been brought back to a level one would expect from a car wearing the Three Pointed Star. With Chrysler now cut loose, the emphasis on improving quality levels is of top priority at Mercedes says its sales and marketing Chief Dr Klaus Maier.
Many have suggested that a loss of focus and parts sharing with Chrysler following its acquisition back in the mid-1990s were the reasons behind the drop but, according to Maier, it was Mercedes’ own mistakes and quality assurance problems that lead to its decline. “It had nothing to do with Chrysler,” Maier revealed to GoAuto.
Not surprisingly, Mercedes will attempt to maintain many of its ties with Chrysler including the behind-the-scenes cost savings and streamlining that was gained through synergies after the merger.
Product and technology is not the only aspects where Mercedes wants to be a quality leader. Service quality is one area where Mercedes admits it’s lacking in, especially compared with Lexus, which is currently dominating the U.S. luxury market. Numerous reports about poor service at Mercedes dealerships around the world have caused the company to revamp its dealer training systems, however the jury is still out as to whether Mercedes will ever return to its former glory.
#2
Don’t blame Chrysler !
Don’t blame Chrysler !
All our fault: Quality issues "had nothing to do with Chrysler".
Mercedes-Benz admits its past quality and service problems were of its own making
By BYRON MATHIOUDAKIS 21 September 2007
REDOUBLING its efforts in retaining core Mercedes-Benz values will be the upshot of Daimler’s split with Chrysler, according to Dr Klaus Maier, executive vice-president of Mercedes Car Group sales and marketing.
“The reaction so far has been quite positive all around because everybody expects us (now) to be more focussed on our Mercedes-Benz brand and the related Daimler brands we still have in the company,” Dr Maier said.
“It gives us internally new momentum for the company, being focussed on the brand.”
Speaking at this year’s Frankfurt motor show, Dr Maier said that the German and American companies would nonetheless continue a meaningful relationship.
Mercedes-Benz and Chrysler will attempt to preserve much of the behind-the-scenes cost savings and streamlining that was gained when the two firms joined forces in 1998.
From the top: Chrysler 300C, Mercedes-Benz SLK, Chrysler Crossfire and Jeep Grand Cherokee.
“Still we have a lot of relations and co-operations, especially in the markets where we will still have to provide back-office functions for our Chrysler colleagues.
“We will not totally give up the relationship (with Chrysler).”
In fact, contrary to media reports suggesting that the American acquisition served only to distract Mercedes as it increasingly fell behind its German rivals in quality, Dr Maier insisted that any issues perceived or otherwise that Mercedes has suffered was all its own doing.
“Sometimes it is argued by the press, maybe by public opinion leaders, that we have lost focus on Mercedes in the past.
“(But) I think it is different. We have made our own mistakes… with Mercedes – in our processes and in the quality of our products,” Dr Maier admitted.
“And it had nothing to do with Chrysler. Our mistakes – to some extent – were homemade.”
Furthermore, Dr Maier argued that Daimler has already addressed the problems with solutions implemented well before its disentanglement with Chrysler.
“We have wiped out these issues in the last past years, and we are back to our traditional strengths even within the DaimlerChrysler set-up of the past.
“So I think (Chrysler) was not the real issue. Processes were wrong. We corrected it. And we are back to our former strengths. It is not a Chrysler issue.”
Central to these strengths, according to the senior Mercedes executive, is having reliable and high-quality product.
“I think we are back to where we have came from,” Dr Maier promises.
“We have made it a target – we want to be number one in quality, and not only in product and technology, but also in service quality.
“This is where we should be in Mercedes-Benz, and this is what we are working towards.”
Although Mercedes’ annual production figures have increased significantly over the last decade, Dr Maier disagrees with criticism that chasing big volume numbers has had an adverse effect on quality.
“I do not believe this is a reason why we should have lost ground in that respect,” he responded.
“I think we had to focus internally in order to make clearer what our position should be.
“We have been very honest with ourselves that we were not in the leading position in many countries when we were in the past.”
Dr Maier suggested that it was only after exposing its weaknesses to itself that Mercedes could act upon them.
“We had to make it transparent; put the processes in place; get the backing from the board; and then work hard all around the world.
“What we have seen in many countries – starting with getting a top service level – is progress... and it must be on a consistent basis because otherwise we will lose it again and we will fall back.”
All our fault: Quality issues "had nothing to do with Chrysler".
Mercedes-Benz admits its past quality and service problems were of its own making
By BYRON MATHIOUDAKIS 21 September 2007
REDOUBLING its efforts in retaining core Mercedes-Benz values will be the upshot of Daimler’s split with Chrysler, according to Dr Klaus Maier, executive vice-president of Mercedes Car Group sales and marketing.
“The reaction so far has been quite positive all around because everybody expects us (now) to be more focussed on our Mercedes-Benz brand and the related Daimler brands we still have in the company,” Dr Maier said.
“It gives us internally new momentum for the company, being focussed on the brand.”
Speaking at this year’s Frankfurt motor show, Dr Maier said that the German and American companies would nonetheless continue a meaningful relationship.
Mercedes-Benz and Chrysler will attempt to preserve much of the behind-the-scenes cost savings and streamlining that was gained when the two firms joined forces in 1998.
From the top: Chrysler 300C, Mercedes-Benz SLK, Chrysler Crossfire and Jeep Grand Cherokee.
“Still we have a lot of relations and co-operations, especially in the markets where we will still have to provide back-office functions for our Chrysler colleagues.
“We will not totally give up the relationship (with Chrysler).”
In fact, contrary to media reports suggesting that the American acquisition served only to distract Mercedes as it increasingly fell behind its German rivals in quality, Dr Maier insisted that any issues perceived or otherwise that Mercedes has suffered was all its own doing.
“Sometimes it is argued by the press, maybe by public opinion leaders, that we have lost focus on Mercedes in the past.
“(But) I think it is different. We have made our own mistakes… with Mercedes – in our processes and in the quality of our products,” Dr Maier admitted.
“And it had nothing to do with Chrysler. Our mistakes – to some extent – were homemade.”
Furthermore, Dr Maier argued that Daimler has already addressed the problems with solutions implemented well before its disentanglement with Chrysler.
“We have wiped out these issues in the last past years, and we are back to our traditional strengths even within the DaimlerChrysler set-up of the past.
“So I think (Chrysler) was not the real issue. Processes were wrong. We corrected it. And we are back to our former strengths. It is not a Chrysler issue.”
Central to these strengths, according to the senior Mercedes executive, is having reliable and high-quality product.
“I think we are back to where we have came from,” Dr Maier promises.
“We have made it a target – we want to be number one in quality, and not only in product and technology, but also in service quality.
“This is where we should be in Mercedes-Benz, and this is what we are working towards.”
Although Mercedes’ annual production figures have increased significantly over the last decade, Dr Maier disagrees with criticism that chasing big volume numbers has had an adverse effect on quality.
“I do not believe this is a reason why we should have lost ground in that respect,” he responded.
“I think we had to focus internally in order to make clearer what our position should be.
“We have been very honest with ourselves that we were not in the leading position in many countries when we were in the past.”
Dr Maier suggested that it was only after exposing its weaknesses to itself that Mercedes could act upon them.
“We had to make it transparent; put the processes in place; get the backing from the board; and then work hard all around the world.
“What we have seen in many countries – starting with getting a top service level – is progress... and it must be on a consistent basis because otherwise we will lose it again and we will fall back.”
#3
Mercedes has a lot of work to do to bring back their former glory. And there are a bunch of MB loyalists and enthusiasts that are willing to wait for such glory to return.
I would love to see them evolve. They definately are capable of doing it, and it starts with engineering. I think MB has focused too much on sport performance and luxury amenities instead of solid quality engineering...
I would love to see them evolve. They definately are capable of doing it, and it starts with engineering. I think MB has focused too much on sport performance and luxury amenities instead of solid quality engineering...
#4
It takes a big man (and company) to take ownership of your failures when there's a VERY easy scapegoat so close at hand.
I really hope they do recover, the last 5-7 years have been an embarrassment to the M-B name. It'd be nice to see a bulletproof model like the old W124 return.
I really hope they do recover, the last 5-7 years have been an embarrassment to the M-B name. It'd be nice to see a bulletproof model like the old W124 return.
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#8
This presupposes there has actually BEEN 1 year of average results. Mercedez is DEAD LAST in Consumer Reports Reliability rankings this year (released in April). Maybe they'll improve next year--after all they have nowhere to go but up--but that is far from a forgone conclusion.
#9
It's kind of like Jaguar. When I was a kid everybody looked up to them. I bet there's not a 20-something alive today, though, who aspires to own anything in their current lineup of gussied-up Fords.
#11
You know, next to my shop there's a car dealer shop, and the owner buys old cars, repairs/restores them, and sells them for big bucks. So I was in his shop a few days ago, and he brought an old Mercedes 250 - I have no idea what year it is or anything, but I would say it's from the 70ies if not the 60ies, judging by the looks of it. The car just amazed me, it starts as soon as you turn the key, you can't even hear the cranking, but what amazed me even more, is the sound it's doors make when closing. I've never heard a solid "thud" like that in any car, for instance, my parent's S500 doesn't even begin to compare. MB hasn't been building car's like that in a long time, way bofore their merge with Chrysler, so they should only blame themselves.
#12
Where it probably is fair to blame Chrysler is in the fact that all the Benz execs spent their time working on the merger rather than fixing the problems in their own house. In that way, what could have been a minor downtick in Mercedes' quality became a multi-year plunge that has irreparably damaged their reputation with a whole new generation of car buyers.
It's kind of like Jaguar. When I was a kid everybody looked up to them. I bet there's not a 20-something alive today, though, who aspires to own anything in their current lineup of gussied-up Fords.
It's kind of like Jaguar. When I was a kid everybody looked up to them. I bet there's not a 20-something alive today, though, who aspires to own anything in their current lineup of gussied-up Fords.
How is it fair to blame Chrysler when Benz execs made the decision to fire all the Chrysler execs? Bob Lutz is just one name that comes to mind, remember at the time of the so called merger Chrysler had the highest profits of the big three and huge cash reserves which made them ripe for acquisition, Benz has always understood performance but did not understand American car styling, a couple of mistakes that come to mind are the Prowler, why discontinue it instead of giving it the V8 it always deserved, look up the original Charger four door coupe concept (looks a lot like the CLS hhmmm) vs the car they call Charger now, big mistake.
#13
J.D. Power 2007 Dependability Survey
The results are as follows (problems per 100 vehicles)
Buick: 145
Lexus: 145
Cadillac: 162
Mercury: 168
Honda: 169
Toyota: 178
BMW: 182
Lincoln: 182
Subaru: 192
Oldsmobile: 196
Jaguar: 197
Acura: 207
Mercedes-Benz: 212
Infiniti: 215
Industry Average 216
Jeep: 219
Pontiac: 220
Scion: 220
Ford: 221
GMC: 222
Chevrolet: 226
Hyundai: 228
Mitsubishi: 228
Volvo: 230
Audi: 234
Dodge: 236
Hummer: 242
Mini: 247
Chrysler: 249
Porsche: 252
Nissan: 274
Saturn: 274
Kia: 288
Mazda: 289
Volkswagen: 298
Saab: 319
Isuzu: 322
Suzuki: 324
Land Rover: 398
The results are as follows (problems per 100 vehicles)
Buick: 145
Lexus: 145
Cadillac: 162
Mercury: 168
Honda: 169
Toyota: 178
BMW: 182
Lincoln: 182
Subaru: 192
Oldsmobile: 196
Jaguar: 197
Acura: 207
Mercedes-Benz: 212
Infiniti: 215
Industry Average 216
Jeep: 219
Pontiac: 220
Scion: 220
Ford: 221
GMC: 222
Chevrolet: 226
Hyundai: 228
Mitsubishi: 228
Volvo: 230
Audi: 234
Dodge: 236
Hummer: 242
Mini: 247
Chrysler: 249
Porsche: 252
Nissan: 274
Saturn: 274
Kia: 288
Mazda: 289
Volkswagen: 298
Saab: 319
Isuzu: 322
Suzuki: 324
Land Rover: 398
#14
Part of the problem was Lexus nipping at Mercedes in the 1990s and they had to cut corners somewhere to begin. True, the W124s/W126s had a few quirks here and there, MB had to adapt to new technology - and it just got worse under Mopar. The W140/R129/W210 were the first "modern" Mercedes, so to speak. The W123/124/126/201 models had proven ideas from the older cars.
#15
Believe me if they ever make a car like that again I would drop the Lexus and jump on that right away. My dad has a S320 1999 with 185k and lemme tell ya when I drive it I just fall asleep from the gliding suspension.