Auto Special: Daimler executive Walker recalls many milestones

Daimler AG reached more than 90 percent of its milestones in China in the past six years under the tenure of Ulrich Walker as chairman and CEO of Daimler Northeast Asia.

After laying the groundwork for the latest development, a new joint venture sales company, Walker recalled the unprecedented years of development with China Daily reporter Li Fangfang on the eve of his retirement.

Q: What were your first impressions in 2006 and are they today after working and living in China for six years?

Well, first and foremost when I took the position in 2006, our wholesale sales in China did not even compare to those in Netherlands. It was challenging, but also exciting, as the potential here was huge and I was very eager to start building strong personal relationships with Daimler's key stakeholders in China. It was also very exhilarating being immersed in a new cultural environment. China is a wonderful country and Beijing in particular is a very interesting city, so it was a refreshingly different daily life here, as well as a new work environment.

After six years living in Beijing, I should say I found a home for myself and my family in China, not only as a guest, but also as a proud member of this wonderful community. Now I am leaving, I feel I have been part of China.

I do not speak Chinese but have found a common vocabulary with the many Chinese people in my heart - they are people with hope and passion, warmth and character, ambition and affection, openness and generosity.

Q: What was your main vision for Daimler's engagement in China and your own personal contribution?

Mercedes-Benz, Daimler's passenger car brand, already had a presence here importing cars. But Daimler also manufactures premium trucks and vans, so the overall vision was to expand and be responsive to the local market in all three segments through local production right here in China with joint venture partnerships.

At the same time, we focused on full support on the retail and after-sales side with a country-wide dealership network, along with Daimler's spare parts distribution company, and last but not least, our innovative financing company Mercedes-Benz Finance.

Over the past six years I have worked together with a great team, but perhaps my most important personal contribution was forging close and respectful relationships with my Chinese counterparts at our partner companies. Strong personal relationships based on mutual respect are very important in doing business in this country, and it has been a real pleasure building up communication channels and establishing bonds with some of the most talented and dynamic business people and government officials in China. All of these were based on mutual trust.

Q: So it sounds like you achieved your goals in China.

We have laid a strong foundation on which a promising future is being built.

Between 2006 and 2012, many milestones have been achieved.

Our wholesale volume has grown seven-fold while our wholesale net revenue increased 10-fold. Even the number of our corporate dealerships has tripled.

During the period, Mercedes-Benz Cars has been the fastest-growing premium auto brand in China, even though BMW and Audi started in the market long before us.

We also built an extensive network of valuable partnerships with Chinese companies, which is also one of the reasons why we are the first premium manufacturer to launch a locally produced electric vehicle in China in cooperation with our partner BYD.

Further, we're building middle and heavy-duty Auman trucks in our joint venture with Foton. And speaking of trucks, Mercedes-Benz Trucks is currently the market leader in imported trucks from Western Europe.

We are the only automotive company to offer a full product portfolio spanning passenger cars, trucks and vans, and we will no doubt continue to increase the breadth and depth of our portfolio.

The same goes for our parts services. This year we established our fifth parts distribution warehouse, in Chengdu, to better meet customer demands.

In August this year, we became the first premium automobile maker to offer leasing services, marking yet another pioneering effort by us, since leasing is essentially a new concept to customers in China. This service complements our already successful financial services.

On Dec 7, we obtained the business license for our new Mercedes-Benz Integrated Sales Company, a 50-50 joint venture between Daimler and BAIC. This is expected to help our business regain the momentum to have further development in China.

Last but not least, we are setting up an important framework for future growth in the market with our "China 2020" strategy.

Q: What does the future hold for you personally?

I am very happy that my position has been upgraded to Daimler's board of management, which shows how important Chinese market is. I will support a smooth handover with my successor Hubertus Troska. He brings with him a wealth of experience, and I know from my own experience that I've learned something new here every day, so I'm sure Troska will enjoy exploring China with the same open spirit. When my last day with Daimler finally arrives, I'm very confident that I'll be leaving the future of the company in very capable hands.

After that has been accomplished, I'm pleased to say that I will be enjoying my retirement.

However, after six years, Daimler Northeast Asia and China have really become a part of me.

During my retirement, I'll certainly be following events here in China very closely, both from the perspective of Daimler's continued success, as well as China's growing role in the world economy as a whole.

And of course I'll cherish the memory of many great friends and colleagues, as well as a lasting affection for Chinese culture.

Q: What accomplishments make you particularly proud?

My six years at the head of Daimler Northeast Asia saw some dramatic developments at Daimler as well as being a thrilling personal journey for myself. We have proudly established the Daimler brand as one of the best employers in China as we actively invest in the local workforce at all levels. Technical training is provided at the Daimler China Automotive Academy and five Training Centers in China, and we have a very innovative training program for retail management based in China spanning three continents at the Carl Benz Academy. This year we've seen 11 Chinese staff promoted to the executive management level.

Apart from activities at Daimler, I also enjoy serving as chairman of the Beijing German Chamber of Commerce in China and felt privileged to play a role in creating stronger ties between China and Germany.

lifangfang@chinadaily.com.cn

(China Daily 12/19/2012 page15)