case study mercedes benz consulting

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Unlock the future of automotive innovation with Mercedes-Benz Management Consulting. As consultants, we leverage our expertise in strategy, software and technology, and digital business to create innovative solutions for Mercedes-Benz's top management.

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Are you eager to immerse yourself in strategy, technology, or data analytics and lead meaningful projects? Join us as a Project Lead and collaborate with our top-management clients at Mercedes-Benz AG. Your insights will be key in shaping strategic directions and innovating analytics solutions for the future success of our business.

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You are a visionary thinker with a passion for advancing the future of mobility? Join our ambitious team as a Strategy Consultant and leverage your expertise to develop cutting-edge solutions for the top management of Mercedes-Benz AG. With your expertise you will further impact long lasting decisions for the future of mobility from day one.

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You are a tech enthusiast with a passion for strategy? As Digital Consultant you will play a key role in crafting strategies for technology adoption, car software, and innovation. With your insights, you will advise our top management on how to maintain an innovative edge and drive the digital transformation of Mercedes-Benz AG.

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Are you ready to start your consulting career with a transformative internship experience? Become a Visiting Consultant at Mercedes-Benz Management Consulting and embark on a journey of exploration and growth. Whether your passion lies in strategy or digital consulting, this internship offers a comprehensive exposure to diverse profiles and projects. Join us in shaping the future of mobility through innovation, collaboration, and impactful insights.

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Mercedes-Benz bets on quantum to craft the future of electric vehicles

Despite all their flourishes of futuristic design, the rise of electric cars is founded on a far less headline-grabbing innovation that hides under the hood: years of incremental progress in battery technology.

Modern lithium-ion batteries – the same tech that powers smartphones and captures power from solar arrays – have pointed the way towards creating a more sustainable energy future. Today’s lithium-ion powered cars can lay claim to persuasive travel distances and charging times, at a range of achievable prices.

But what if the next generation of batteries wasn’t a step ahead, but a leap forward? If battery performance could double or quadruple overnight – boosting charge capacity, increasing battery life, diminishing energy loss via heat, and dramatically lowering costs – the impact on transportation alone could be world-shaking.

Target for Mercedes to have plug-in hybrids or all-electric vehicles exceed half of its car sales 10 years from now

Target for IBM to debut its first 1,000-plus qubit quantum computer 3 years from now

The engineers at Daimler AG, the parent of Mercedes-Benz, expect the next great leap may be towards more energy dense battery technologies – quite possibly the lithium-sulfur (Li-S) battery. Developing and perfecting these hypothetical batteries could “unlock a billion-dollar opportunity,” says Benjamin Boeser, Director of Innovation Management, Silicon Valley at Mercedes-Benz R&D North America. But getting from the drawing board to a commercially viable Li-S battery is, essentially, a mammoth chemistry experiment — a research initiative that could consume years of time, money, and engineering expertise.

Ideally, it makes more sense to simulate those multitudes of molecular properties and behaviors on a computer, exploring and analyzing promising options before physical prototyping begins. But there’s the rub. Even for simple molecules like caffeine – a favored human energizer comprised of carbon, hydrogen, nitrogen, and oxygen – the number of quantum states in the molecule, of electrons interacting among the system of four basic elements, can be enormous.

Creating a single caffeine simulation can overwhelm the memory and calculating power of any classical computer – even today’s most potent, room-filling supercomputers. The bigger and more complex a molecule and its environment, the more challenging this process becomes.

Enter the quantum computer – a different emerging technology, now on a developmental fast track at IBM. Quantum computing distills some very abstract physics theory into a completely new kind of computing power, seemingly purpose-built to handle problems of once-insoluble complexity. Instead of magnetic “bits” representing 0s and 1s, quantum computing relies on “qubits” that can, thanks to some very strange quantum-mechanical phenomena, represent more information than a classical bit. With the addition of every qubit to a quantum computer, its performance doubles – an exponential boost in its ability to run algorithms of once-intractable complexity.

While the underlying physics of quantum computing are dizzying, its core advantage is simple – the groundbreaking potential to swiftly perform the vast volumes of calculation needed to accurately simulate the building blocks of nature.

A main aim of molecular simulation is to find a compound’s “ground state” – its most stable configuration. Qubits themselves operate according to the laws of quantum mechanics, just like the molecules that researchers need to simulate. Though in their infancy, the stability of qubits should become much better over time. The hope is that, as this happens, quantum computers can greatly speed the simulation process – not to mention dozens of other data-intensive tasks, with applications across every industry. Working with Mercedes-Benz on real-world battery research is just one aspect of the foundational work that will eventually bring quantum computing to commercial fruition.

“The field is advancing at a healthy speed,” says Mercedes-Benz' Mr. Boeser. “But everybody who’s close to the technology and research knows it’s still in its infancy, and we still need to do a lot of work.” Mercedes-Benz is pushing ahead with the transformation to emission-free mobility. Sustainability is one of the key elements of Mercedes-Benz' corporate strategy and at the same time a benchmark for corporate success.

And the goals are clearly defined in one term: Over the next 20 years, Mercedes-Benz Cars aims to have a carbon-neutral new passenger car fleet and aims to have plug-in hybrids or all-electric vehicles to make up more than 50% of its car sales by 2030.

“A decade sounds far away, but in reality, for many businesses, a decade is totally within the normal horizon of planning and the investment,” says Dario Gil, Director of IBM Research. Look down the road, and there may be a lithium-sulfur powered car just around the bend.

Mercedes-Benz is one of the biggest producers of premium cars and the world's biggest manufacturer of commercial vehicles with a global reach. It provides financing, leasing, fleet management, insurance and innovative mobility services.

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© Copyright IBM Corporation 2020. IBM Corporation, IBM Cloud, New Orchard Road, Armonk, NY 10504

Produced in the United States of America, March 2020.

IBM, the IBM logo, ibm.com, IBM Cloud, and IBM Food Trust are trademarks of International Business Machines Corp., registered in many jurisdictions worldwide. Other product and service names might be trademarks of IBM or other companies. A current list of IBM trademarks is available on the web at “Copyright and trademark information” at  https://www.ibm.com/legal/terms .

This document is current as of the initial date of publication and may be changed by IBM at any time. Not all offerings are available in every country in which IBM operates.

The performance data and client examples cited are presented for illustrative purposes only. Actual performance results may vary depending on specific configurations and operating conditions. THE INFORMATION IN THIS DOCUMENT IS PROVIDED “AS IS” WITHOUT ANY WARRANTY, EXPRESS OR IMPLIED, INCLUDING WITHOUT ANY WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE AND ANY WARRANTY OR CONDITION OF NON-INFRINGEMENT. IBM products are warranted according to the terms and conditions of the agreements under which they are provided.

More efficient knowledge management thanks to AI

Can artificial intelligence make our internal knowledge management easier?

It can be tedious to sift through volumes of documents and files to find answers to company-related questions. That’s why we asked ourselves the question: How can we make internal knowledge even easier to access for our employees?

In a cross-team collaboration with Amazon Web Services, we developed an AI-driven question-and-answer solution and documented the process in a case study.

Read more about our use of AI technology and find out how the Q&A system makes our internal knowledge more accessible.

You can find the full case study with our technology partner AWS here .

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Mercedes-Benz races into the cloud

• What Accenture Did
• Value Delivered
• Related Capabilities

Mercedes-Benz's leaders recognized that it had a fragmented and inefficient online presence, with multiple customer-facing views and online portals.  They set out to unify the environment and believed that the cloud would enable them to roll out new content, functionality and features—such as its car configurator and test drive booking app—more quickly.

"The Accenture AWS Business Group was formed to help customers like Mercedes-Benz.io transform their businesses and innovate faster than ever before." — NIKO MYKKANEN , EMEA Partner Lead – AWS

What Accenture did

The company worked with Accenture and Amazon Web Services to bring its vision of a unified online experience to life through a consolidated cloud-based solution in order to meet customer demands.

Mercedes-Benz now has one consistent platform for delivering engaging and relevant experiences to customers, with the ability to continually improve services.

"With its marketing and sales groups taking advantage of the security, scalability, and low cost of the AWS Cloud, Mercedes-Benz's digital service is set to become as legendary as its cars." — NIKO MYKKANEN , EMEA Partner Lead – Amazon Web Services

Value delivered

Mercedes-Benz had a fragmented and inefficient online presence. The company worked with Accenture and Amazon Web Services to bring its vision of a unified online experience to life through a consolidated cloud-based solution. Within a four-month period, the team deployed the new solution to 18 countries. That speed of implementation was unprecedented for Mercedes-Benz. Over three million unique visitors access the solution each month, and the number of happy customers only continues to grow.

"The solution's speed enables us to continually improve our customer experiences. By bringing out functionality or information as quickly as we now do, we are able to get timely feedback from customers and incorporate that feedback into our work." — THOMAS SEIBERT , Technical Lead Architect – Mercedes-Benz.io

Related capabilities

Mobility x.0, accenture aws business group (aabg).

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Mercedes-Benz digital solutions provide fair pricing to all customers

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Business situation.

Mercedes-Benz is one of the largest producers of premium cars and the world’s biggest manufacturer of commercial vehicles. When it came to sales processes, it had no standard or centralized system for managing prices and applying product discounts. Employees had to interact with multiple legacy customer relationship management (CRM) systems when working on a particular account.

Moreover, the company’s headquarters had limited visibility into what was being offered across regions, leading to complicated, time-consuming approval and contract management practices and varying prices. It wanted more consistency and efficiency in its operations in order to continue to grow and delight customers.

“For each car, there is only one price for the whole market, for the whole country. The customer now has trust in fair and uniform pricing.” Zimeng Yang Project Manager at Mercedes-Benz

Mercedes-Benz turned to Avanade to help it deliver flexible, agile solutions that would meet the company’s goals. Using Microsoft Dynamics 365  technology, we helped implement a modern solution for its sales systems. The Pricing Engine (P.EN) is a back office pricing application that standardizes the sales price for all dealers. Additionally, it monitors the various vehicle configurations so the company can identify market behavior and tailor its marketing campaigns and manufacturing decisions to meet customer expectations.

The single, yet powerful, platform can deliver benefits across the business:

• Transparency: More accessible and user-friendly pricing and sales functions
• Mobility: Anytime, anywhere access to tools to satisfy ad hoc requests
• Assurance: Intuitive sales systems to manage accounts and sales with efficiency and speed and standard pricing
• Speed: The time to process deals and contracts has been reduced from four or five days down to an average of two days

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Mercedesstraße 120 70327 Stuttgart Germany

Phone: +49 711 17 0 E-mail: [email protected]

Represented by the Management Board: Ola Källenius (Chairman), Jörg Burzer, Renata Jungo Brüngger, Sabine Kohleisen, Markus Schäfer, Britta Seeger, Hubertus Troska, Harald Wilhelm

Chairman of the Supervisory Board: Bernd Pischetsrieder

Commercial Register at the District Court Stuttgart, Commercial Register Number 19360 Sales Tax ID Number: DE 81 25 26 315

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Case Study: Mercedes-Benz

This case study was written based on Tan and Tan’s study published in the Journal of Business Ethics in 2009.

Ethics is vital to the practice of global public relations, but it is also “one of the greatest challenges facing practitioners in the 21st Century because it impacts on the management of strategic relationships within the complex dynamics and interrelationships of a global context.”

In the Chinese market, foreign car brands have a competitive advantage over domestic car brands because of their being associated with luxury and novelty. Thus, they have experienced tremendous growth in the high-end market, especially after China entered the World Trade Organization (WTO) in 2001 when the tariffs on imported cars were significantly reduced.

However, the strength of a strong brand being associated with luxury and novelty could also be its weakness—there are high expectations for their product quality and customer service in the minds of Chinese consumers.

In 2001, German auto-maker, Mercedes-Benz, was involved in a clash with the Wuhan Wild Animals Zoo when the zoo discovered problems with the quality and reliability of the vehicle. In December 2001, a Mercedes-Benz owned by the zoo was found to be dragging into the street by an ox. The act was considered a protest toward the problems with the vehicle’s performance and quality, resulting in numerous costly repairs.

After numerous attempts to request Mercedes-Benz to replace the vehicle and cover the costs of the repairs, the zoo was dissatisfied that the company had not repaired the car like it would in the United States.

Similarly, in 2002, a Mercedes-Benz owner performed a public act of destruction after numerous attempts to repair the car. The quality problems of the vehicles resulted in the formation of an anti-Benz organization, Association of Victims of Benz Quality Problems. In other words, a public-initiated public relations (PPR) problem arose as publics formed into active and activist groups to collectively solve the problem.

Their problem recognition was high as a result of the gap between their expected state and their experiential state. The following factors contributed to the perpetration of the problem:

Discrepancy between U.S. and Chinese laws: The Chinese consumers heard that the U.S. had a law which would require the company to replace the defective car with a new car after the third repair. They felt discontent to have been treated differently.

Class action lawsuits not allowed in China: The Chinese government actively suppressed class action lawsuits because they could cause social instability. Thus, individual consumers were not protected by the legal system and had to use other means to have their problem resolved.

Expectation of the adoption of Western principles: Because Mercedes is a Western company, consumers expected that it would favor the “customer is always right” principle.

Course of Actions

After numerous attempts to repair their vehicles and negotiate with Mercedes-Benz, the issue was escalated into a crisis as consumers attributed Mercedes-Benz’s lack of interests in resolving the matter as the result of “the arrogance of Western multinationals.” Thus, they responded by smashing more cars which resulted in extensive media coverage and hostilities against the company.

Mercedes-Benz responded by:

Declining the request: It did not offer explanations for the malfunctions and attributed responsibility to consumers for their use of Grade 93 gasoline instead of the Grade 97 gasoline recommended. Chinese consumers responded by saying that it was not written in the manual in Chinese.

Reasserting consistency in customer service: In a statement published after a widely publicized event of car smashing, it claimed that it dealt with all reasonable concerns and issues in the same manner all over the world. Chinese consumers had claimed that the way Mercedes-Benz treated its Chinese consumers caused them to lose dignity.

Condemning publicized acts of car smashing: The company described the highly publicized acts of destruction as “unreasonable and senseless” and requested apology for the public defamation of their reputation. They even threatened to take legal actions against acts of consumer protests.

Consequences

The activation of public sentiment through consumers’ smashing of their own cars showed that Chinese consumers were no longer seeking dialogue or negotiation. The issue became framed in the media as a matter of national dignity and resulted in Chinese consumers’ gaining a new understanding of consumer rights and responsibility.

In 2008, when Mercedes-Benz discovered a manufacturing error in its vehicles, it announced a massive recall in China and established a hotline for consumers to report their concerns. Mercedes’ announcement of product recall reflected its having learnt a lesson from its previous experiences.

Moral of the Story

Lesson #1 highlights the contestation of the adoption of a global vs. a local standard of ethical practices. It is problematic when there is a gap between Chinese consumers’ expected state and experiential state. On one hand, Chinese consumers expected that foreign companies would adopt the same principles as they would in other markets. On the other hand, they experienced that foreign companies were just like domestic companies. Public relations, as a relationship building function, should recognize that publics have different expectations for local and global companies. Although country-specific factors, such as political system, economic system, culture, media system and level of advocacy, are relatively static, publics’ expectations for companies could differ from one company to another. Instead of asking what country-specific factors should guide us in adopting one standard of ethical practices for one country, we should ask what standards are expected of my company. 

Discussion Questions

• What are the ethical problems in this case?
• What are the global ethical problems present in this case?
• How was public relations practiced in this case?
• How should public relations be practiced in this case?

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Mercedes-Benz: We found the 'holy grail' of communications platforms

Discover how Mercedes-Benz joined the digital operations revolution, informing all their employees with their all-in-one platform.

Operations Pro

Miscommunication

Dispersed operations

Informed employees

Increased company culture

AN INTRODUCTION

Mercedes-benz.

The automotive industry is known for being a frontrunner in technology and innovation. However, when you actually take a peek into their internal procedures, many auto operators still rely on manual processes. This includes piles of papers, files full of documents, and messy bulletin boards.

The result? Disorganization. Lost operational paperwork. Disconnection between employees across locations and departments. And finally. A lack of knowledge sharing.

This is exactly what Mercedes-Benz was experiencing. They needed to swap their intranet, PowerPoint presentations, and emails for an all-in-one communications and operations platform. Once they did, they found their employees were more engaged, and their sales figures skyrocketed.

Feeling disconnected

Mercedes-Benz was facing one major issue daily. Their mechanics, technicians, and salespeople had no access to a computer during their workdays. And as a consequence, most of their employees missed vital information and updates, weren’t aligned with the company’s KPIs, and felt detached from HQ, the core business, and their own colleagues. Everything changed when Mercedes-Benz launched their communication platform. 

When I saw the app for the first time, it was like I found the holy grail. I know it’s a strong word, but it encapsulated everything that I saw in front of me, that we needed to have.  Mikael Olsson CEO Mercedes-Benz FÖRSÄLJNINGS AB

The Solution

Accessible information, operations, and sales success.

To figure out how to address this issue, Mikael Olsson didn’t just follow his gut feeling or what he thought to be best. He knew he had to ask all non-desk workers and employees from HQ where they wanted to access all their information. The answer was resounding: on their phones. So the Relesys Platform was a natural fit. And the app has proved its worth. Mercedes-Benz has seen increased employee commitment and satisfaction amongst employees. Not only that, but productivity has increased exponentially thanks to the structured information flows, internal social groups, and gamification elements like points and badges.

The main ROI for us has been increased productivity just because of the gamification module.  Peter Magnell Business and Organizational Developer

Mikael Olsson really sees the positives of their platform and the impact of their employee engagement. Not only do workers have a higher level of satisfaction, but the business as a whole is more profitable. The platform is now an integral part of their daily operations and workflows.

We have measured things, and we have seen employee commitment and satisfaction skyrocket. The same development is seen in sales, revenues, and financial figures.  Mikael Olsson CEO Mercedes-Benz FÖRSÄLJNINGS AB

Close colleagues – both professionally and personally

Before their app, it was hard for their non-desk and garage workers to stay in the information loop due to the limited access to work computers. Plus, they rarely had time to actually check emails or information from HQ. The app has made the daily working lives of all their mechanics and technicians more meaningful as they are now:

• More well-informed about the company initiatives and activities from HQ, no matter time or place.
• Closer to HQ and the core administrative side of the business.
• Updated about their fellow coworkers through posts and comments on the social wall.

Mia Krogsböll, Mechanic on Personal Cars, and Amalja Omeragic, Rent Agent, are both really excited about the social wall feature. They now know what is going on amongst their colleagues, creating a much stronger community feeling.

The app has helped us to get the people and the business closer , especially the employees who normally are not close to the business, but also are a part of the business.  Mikael Olsson CEO Mercedes-Benz FÖRSÄLJNINGS AB 

Tiger of Sweden: A Modern IT-Solution That Supports Sales

It was essential for Tiger of Sweden to create an inclusive working atmosphere that involved everyone from HQ to their part-time sales assistants.

Bauhaus: A Communication Platform was the Perfect Solution

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Deloitte plays both sides of the field in Mercedes-Benz case

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Mercedes-Benz dealers have discovered long-time auditor Deloitte was banking huge fees from them while secretly working with the German parent company to write reports that would “disguise” the damage a switch in the business model would do to dealers’ profit margins, a court has heard.

Deloitte Motor Industry Services, a division of Deloitte Australia that was engaged by almost all local Mercedes-Benz car dealers for their advisory services, was also engaged by Mercedes-Benz Germany as an independent consultant in 2019.

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Case Study on Competitive Analysis of Mercedes Benz

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Answer to 1: Mercedes-Benz AAV Face lot of competition from different companies lg ...

635th Anti-Aircraft Missile Regiment

635-й зенитно-ракетный полк

Military Unit: 86646

Activated 1953 in Stepanshchino, Moscow Oblast - initially as the 1945th Anti-Aircraft Artillery Regiment for Special Use and from 1955 as the 635th Anti-Aircraft Missile Regiment for Special Use.

1953 to 1984 equipped with 60 S-25 (SA-1) launchers:

• Launch area: 55 15 43N, 38 32 13E (US designation: Moscow SAM site E14-1)
• Support area: 55 16 50N, 38 32 28E
• Guidance area: 55 16 31N, 38 30 38E

1984 converted to the S-300PT (SA-10) with three independent battalions:

• 1st independent Anti-Aircraft Missile Battalion (Bessonovo, Moscow Oblast) - 55 09 34N, 38 22 26E
• 2nd independent Anti-Aircraft Missile Battalion and HQ (Stepanshchino, Moscow Oblast) - 55 15 31N, 38 32 23E
• 3rd independent Anti-Aircraft Missile Battalion (Shcherbovo, Moscow Oblast) - 55 22 32N, 38 43 33E

Disbanded 1.5.98.

Subordination:

• 1st Special Air Defence Corps , 1953 - 1.6.88
• 86th Air Defence Division , 1.6.88 - 1.10.94
• 86th Air Defence Brigade , 1.10.94 - 1.10.95
• 86th Air Defence Division , 1.10.95 - 1.5.98

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• Kontinental Hockey League

Gagarin Cup Preview: Atlant vs. Salavat Yulaev

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Gagarin cup (khl) finals:  atlant moscow oblast vs. salavat yulaev ufa.

Much like the Elitserien Finals, we have a bit of an offense vs. defense match-up in this league Final.  While Ufa let their star top line of Alexander Radulov, Patrick Thoresen and Igor Grigorenko loose on the KHL's Western Conference, Mytischi played a more conservative style, relying on veterans such as former NHLers Jan Bulis, Oleg Petrov, and Jaroslav Obsut.  Just reaching the Finals is a testament to Atlant's disciplined style of play, as they had to knock off much more high profile teams from Yaroslavl and St. Petersburg to do so.  But while they did finish 8th in the league in points, they haven't seen the likes of Ufa, who finished 2nd. 

This series will be a challenge for the underdog, because unlike some of the other KHL teams, Ufa's top players are generally younger and in their prime.  Only Proshkin amongst regular blueliners is over 30, with the work being shared by Kirill Koltsov (28), Andrei Kuteikin (26), Miroslav Blatak (28), Maxim Kondratiev (28) and Dmitri Kalinin (30).  Oleg Tverdovsky hasn't played a lot in the playoffs to date.  Up front, while led by a fairly young top line (24-27), Ufa does have a lot of veterans in support roles:  Vyacheslav Kozlov , Viktor Kozlov , Vladimir Antipov, Sergei Zinovyev and Petr Schastlivy are all over 30.  In fact, the names of all their forwards are familiar to international and NHL fans:  Robert Nilsson , Alexander Svitov, Oleg Saprykin and Jakub Klepis round out the group, all former NHL players.

For Atlant, their veteran roster, with only one of their top six D under the age of 30 (and no top forwards under 30, either), this might be their one shot at a championship.  The team has never won either a Russian Superleague title or the Gagarin Cup, and for players like former NHLer Oleg Petrov, this is probably the last shot at the KHL's top prize.  The team got three extra days rest by winning their Conference Final in six games, and they probably needed to use it.  Atlant does have younger regulars on their roster, but they generally only play a few shifts per game, if that. 

The low event style of game for Atlant probably suits them well, but I don't know how they can manage to keep up against Ufa's speed, skill, and depth.  There is no advantage to be seen in goal, with Erik Ersberg and Konstantin Barulin posting almost identical numbers, and even in terms of recent playoff experience Ufa has them beat.  Luckily for Atlant, Ufa isn't that far away from the Moscow region, so travel shouldn't play a major role. 

I'm predicting that Ufa, winners of the last Superleague title back in 2008, will become the second team to win the Gagarin Cup, and will prevail in five games.  They have a seriously well built team that would honestly compete in the NHL.  They represent the potential of the league, while Atlant represents closer to the reality, as a team full of players who played themselves out of the NHL. 

• Atlant @ Ufa, Friday Apr 8 (3:00 PM CET/10:00 PM EST)
• Atlant @ Ufa, Sunday Apr 10 (1:00 PM CET/8:00 AM EST)
• Ufa @ Atlant, Tuesday Apr 12 (5:30 PM CET/12:30 PM EST)
• Ufa @ Atlant, Thursday Apr 14 (5:30 PM CET/12:30 PM EST)

Games 5-7 are as yet unscheduled, but every second day is the KHL standard, so expect Game 5 to be on Saturday, like an early start. 

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Elektrostal

Elektrostal Localisation : Country Russia , Oblast Moscow Oblast . Available Information : Geographical coordinates , Population, Altitude, Area, Weather and Hotel . Nearby cities and villages : Noginsk , Pavlovsky Posad and Staraya Kupavna .

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