Daimler shared service center moves to new office
DAIMLER AG’s newest group subsidiary, Daimler Group Services Philippines Inc., (DGSP), moved to its new office at the Creativo IT Center in Cebu Business Park last Saturday.
The company, which has roots in Germany, is the maker of popular premium passenger car Mercedes Benz and other commercial vehicles and trucks.
DGSP is the company’s only shared service center in the Philippines located in Cebu. It will provide financial administration, accounting and consultancy services for all Daimler Group subsidiaries in Asia Pacific region.
It started its operation in Cebu in 2011 in a temporary office at the Robinsons Cybergate in Fuente Osmeña.
Klaus Eser, chairman of DGSP, said their relocation to Cebu Business Park signifies their strong commitment to grow longterm in Cebu, which he described as being known for producing quality and highly-skilled graduates. Eser admitted looking for the best location for the shared service center was a battle between India and the Philippines, but they opted to pick the latter because of its culture and people, which they consider fitting to the company’s culture and strategy.
“It was easier for us, Europeans to work together with our Filipino colleagues because they are professional, dedicated to work, friendly, warm and hospitable,” said Eser.
Aside from Cebu, Daimler AG also has existing shared service centers in Berlin and Madrid. The company was founded 127 years ago. It currently has 275,000 employees globally, 113 of whom are based in Cebu.
Eser said their growth strategy for Cebu is not merely just for the shortterm. “We are clear with our strategy to bring in new processes for Cebu. We are here for the long-term, which means more job opportunities for Filipinos here,” he said.
DGSP will primarily serve wholesale Mercedes Benz companies and support the group’s diverse product portfolio, including car and truck brands like Smart Electric Cars, Mitsubishi Fuso, Freightliner and Western Star, Thomas built Buses, and MB Vans and Buses.
Eser said that aside from finance and accounting, the firm will eventually offer other high-level services like controlling management report, human resource and other admin processes.
By next year, Heiko Nitsche, DGSP president and chief executive officer said the firm would be providing support to five new countries such as South Africa, Malaysia, Vietnam, Japan, and Thailand.
Daimler AG ended 2012 with total revenues of $150 billion.
Michael Hasper, dep- uty head of commission of the German Embassy, said Daimler’s entry to the Philippines is not only an investment of asset but of trust.
“Their coming here is a great compliment and a proof of trust to the Philippines in its human resources and infrastructure,” said Hasper, adding that Daimler is the first German big ticket investment in Cebu, so far.
He noted that Daimler’s operation also signifies the strong economic partnership between the Philip- pines and Germany, whose bilateral trade volume amounted to 3.8 billion euros or more than P220 billion in 2012.
Germany is the Philippines’ largest trading partner in Europe. Trade from the Philippines to Germany include electronics and semiconductors; agricultural products and a broad range of consumer goods while imports from Germany include machinery, machine tools, electronic products and chemicals.
“Daimler is an example of Germany joining the fresh investment trend in the Philippines. Germany and the Philippines have been working hard to provide strong basis of framework to grow the economic partnership,” said Hasper.
As proof to this, Hasper announced that Finance Secretary Cesar Purisima is in Germany to sign the new bilateral double taxation agreement aimed to boost the two countries’ trade and investment ties.
“The upswing of the Philippine economy doesn’t come unrecognized in Germany. There is much more (investments) to come,” said Hasper.
More than 150 German companies are operating in the Philippines.