Mercedes 2006 Annual Report Download - page 52

Strategy
Target system. DaimlerChrysler’s strategic goal is to achieve
sustainable profitable growth and thus to increase our enterprise
value. We intend to be one of the most successful automobile
manufacturers in the world in the medium term.
To achieve this goal, we have defined a strategic framework – the
DaimlerChrysler target system – which is based on six strategic
dimensions:
– Superior Products & Customer Experience
– Leading Brands
– Innovation & Technology Leadership
– Global Presence & Network
– Operational Excellence
– High Performing, Inspired People
The foundation of our target system comprises the four basic
values of Passion, Respect, Integrity and Discipline. We believe
that acting in accordance with these values will enable us to
deliver excellent performance.
Target profile and priorities. The DaimlerChrysler target system
makes our targets explicit by defining the actual situation and
the target for each dimension. To improve the execution of the
strategy, targets have been defined at both Group level and
division level. In the dimensions “Superior Products & Customer
Experience” and “Leading Brands”, we aim to reach the leading
position worldwide. With all the other dimensions, we intend to be
among the top competitors.
One aggregate effect of the measures taken to achieve the
target profile will be a significant improvement in profitability,
ensuring that we hold a position among the top performers
of the automobile industry.
DaimlerChrysler ScoreCard. The DaimlerChrysler ScoreCard
supports us with the implementation of our strategy. It is the link
between our target system and the operational management of
the divisions; with its help, the status of implementation and target
achievement is tracked regularly and effectively. The ScoreCard
serves as an additional management instrument that supplements
the financial controlling instruments with the use of non-financial
performance indicators.
All dimensions are regularly measured and collated in the
ScoreCard reports for discussion by the Board of Management.
Deviations from the target path are thus recognized at
an early stage and the required adjustments are initiated.
To assist the achievement of our targets, measures have been
defined for each of the six strategic dimensions:
– Superior Products & Customer Experience: We want to
inspire our customers with outstanding products and services.
Exceptional results in terms of quality, customer satisfaction,
customer perception, total vehicle costs and product appeal make
a decisive contribution to our overall success. These success
factors are quantified in the DaimlerChrysler ScoreCard; for
example, “quality” and “customer satisfaction” are evaluated
by external quality studies and internal surveys.
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DaimlerChrysler target system
Profitable
Growth
Operational Excellence
High Performing, Inspired People
Passion Respect Integrity Discipline
Leading
Brands
Innovation &
Technology
Leadership
Global
Presence &
Network
Superior
Products &
Customer
Experience