Chrysler 2000 Annual Report Download - page 31

The service operations of the Fiat Group, which traditionally
focused on providing financing support for the sales organization,
have grown steadily. Initially, they were expanded to include
insurance (Toro Assicurazioni) and later evolved into an
integrated spectrum of product-related solutions, ranging from
mobility services for Fiat Auto, CNH and Iveco to maintenance
services for Comau and FiatAvio. The Group is establishing an
increasingly significant presence in these areas not only to
address the specific needs of its customers, but also to
capitalize on the opportunities offered by businesses that are
inherently non-cyclical, require minimal invested capital and
provide a high rate of return.
During the second half of the 1990s, Fiat concentrated a
number of administrative, infrastructural and industrial services
that were provided on a Group-wide or countrywide basis in the
hands of specialized companies. The goal of this strategy was
to develop centers of excellence that could offer high quality
services at competitive prices to all Group businesses, while
enhancing the professional competencies of service personnel.
The development of these service companies is consistent
with the goals pursued by the Group in recent years. These
goals consist of reducing the complexity of the Group’s
businesses, maximizing the synergies and competencies
of its Sectors and lengthening the value chain.
Recently, as a further step in the implementation of this
strategy, the units that provide shared services to corporations
have been grouped into a new operating Sector called
Business Solutions, which will service clients both within
the Group and in the external market.
This Sector, which became fully operational during the second
half of 2000, is determined to establish a significant presence
in the market for integrated corporate services.
With combined revenues of about 1.2 billion euros in 2000
and approximately 8,000 employees, Business Solutions will
pursue growth by:
❚focusing on the use of new technologies in its traditional
businesses and in the development of e-business
applications and online services;
❚choosing as its market not only Italy, but all those countries
where the Fiat Group operates, particularly Poland and Brazil;
❚quickly achieving a leadership position in all the businesses
in which it operates, by means of acquisitions, partnership
arrangements and commercial agreements with top
companies in each area.
Business Solutions, which acts as a holding company that
coordinates and controls a number of operating units, is active
in the following areas:
Human Resources
H. R. Shared Services S.p.A. With over 120,000 positions
under management, Human Resources Shared Services offers
clients an integrated personnel management system, ranging
from attendance verification to the processing of wages,
salaries and social security contributions and the updating
of statutory and contractual provisions, for a complete
outsourcing package.
Isvor Knowledge System S.p.A. This company, which
was originally spun off by Isvor, offers clients technical and
management training with a complete and integrated portfolio
of competency-enhancing solutions. One of the strong points
of this unit is its unique expertise in the areas of e-learning
and online training.
WorkNet lavoro temporaneo S.p.A. In January 2001,
Business Solutions acquired a 51% interest in this company,
which specializes in providing temporary staff to a wide range
of clients located throughout Italy (over 30 offices in 2000).
Worknet has an ambitious growth program with the goal of
achieving a leadership position in Italy within three years.
Administration Services and Corporate Consulting
Fiat Gesco S.p.A. Gesco’s services range from consulting
to project implementation and the outsourcing of financial
processes. They cover the entire spectrum of administration,
reporting and professional services related to tax, legal and
corporate issues.
In March 2001, it entered into a joint venture with KPMG
to establish a consulting company specializing in the area
of finance.
Sadi S.p.A. Sadi is a reference partner that can supply complete
services in the areas of customs and excise taxes. Sadi also
provides a full range of consulting services to exporters.
S.C.C.M.T. S.r.l. This company offers a broad range of
services to help clients throughout Italy handle administrative
requirements associated with operating passenger and
commercial vehicles, particularly with regard to administrative
procedures associated with motor vehicles.
Servizio Titoli S.r.l. This company is a joint venture of Fiat,
Pirelli, Gemina and Byte in which Business Solutions holds
an interest of approximately 26%. It develops software and
provides consulting, administrative and data processing
services to publicly traded companies to help them comply
with stockholder service requirements.
Utilities, Facilities & Property Management
Fenice S.p.A. Fenice offers Italian and international clients
(it operates through three affiliates in Spain, Poland and Brazil)
FIAT SERVICES – BUSINESS SOLUTIONS