Daimler CEO Dieter Zetsche with Chairman Manfred Bischoff admire the maker's new E-Class.
Dr. Manfred Bischoff is set for another term as chairman of Daimler AG. But while he has won the support of the maker’s all-powerful Supervisory Board, Bischoff faces some tough challenges, over the next five years, as the German maker struggles to bring rising costs under control.
The German executive must still win a vote by stockholders during Daimler’s annual meeting in April, but will once again be proposed as candidate for the Chair of the Supervisory Board, which is responsible for overseeing the work of Daimler’s board of management. That usually translates into an overwhelming vote in favor of senior management’s candidate.
But it could be a case of be careful what you wish for. Despite the major league improvement in earnings the company’s CEO Dieter Zetsche reported last month, Daimler is facing extensive cost pressures that it is struggling to overcome. (Click here for more on that story.) The company is also struggling with its long-troubled Smart car operation — and last month decided to consolidate that unit with flagship Mercedes-Benz, in the process pulling the U.S. Smart car franchise from entrepreneur Roger Penske.
The Supervisory Board has also nominated Petraea Heynike for election as a member for five years in a bid to expand the number of women in board positions. Heynike is executive vice President and member of the Executive Board of Nestle SA. She is also a member of the Boards of Life Ventures SA and Nutrition-Wellness Venture SA, both in Switzerland. Heynike will step down from her positions at the Nestle Group as of May 1, 2011.
Lynton R. Wilson also was nominated for reelection for another two years. Manfred Schneider, who has been a member of the Supervisory Board since 1998 and whose period of office expires at the end of the Annual Shareholders’ Meeting on April 13, 2011, will not stand for reelection.
Bischoff, 68, has been a member of the Supervisory Board of Daimler AG since 2006. He stepped down from the Board of Management of DaimlerChrysler AG in December 2003. He is also a member of the Supervisory Boards of Fraport AG, Royal KPN N.V. and Unicredit S.p.a. He is the Chairman of the Supervisory Boards of Voith GmbH and SMS GmbH.
Lynton R. Wilson, 70, has been a member of the Supervisory Board of Daimler AG since 1998. He is also the Chairman of the Board of CAE Inc. and is the Chancellor of McMaster University. He is a Founding Co-Chairman of Historica Foundation of Canada, Chairman of the Board of the Daimler Canadian Advisory Council and was Chairman of the Canadian Government’s Competition Policy Review Panel.