Mercedes achieves world standard accreditation

By Russell Williamson

MERCEDES-BENZ Group Indonesia has become the first automotive manufacturer in Indonesia to receive the prestigious ISO 9001 certification.

The certification is supported by the International Standards Organization and follows a rigorous audit of Mercedes' operations here by the ISO-accredited firm, TUV Rheinland.

The awarding of the ISO 9001 certification verifies that the quality systems for designing, manufacturing and distribution operations of all three companies in the Mercedes Group are of an international standard.

The three local companies, PT German Motors Manufacturing (sole agent - manufacturer and assembler of Mercedes products), PT Star Motors Indonesia (main distributor), and PT Star Engines Indonesia (manufacturer and assembler of engines, transmissions and axles) manufacture and distribute Mercedes-Benz trucks and passenger cars through 25 outlets across Indonesia.

The ISO certification caps off what has been a good year for Mercedes in Indonesia following the successful launch of the midsize E-Class sedan earlier this year and completion of the company's extensive US$7 million factory upgrade.

The factory at Wanaherang now produces three lines of passenger cars; the C, E and S-Class, the four wheel drive G- Wagen and Category II (MB700) and Category III (NPR truck and OH bus) vehicles.

Production at the factory has nearly doubled in the past five years, rising from 4,479 cars in 1990 to 8,266 cars in 1995 with a correlating rise in turnover from Rp 398 billion to Rp 742 billion over the same period.

While sales of passenger cars continue to grow with the introduction of new models, it is on the commercial side of the business where Mercedes' Indonesian operations have surged ahead.

Since launching the MB700 locally in 1994, Mercedes has continued to develop strong market penetration with this vehicle and last year, began exports of completely built up cars within the member countries of the Association of Southeast Asian Nations (ASEAN).

These exports are expected to continue to grow with the future availability of completely knocked down kits and the introduction of the MB800 next year. Delivery agreements have already been signed with Vietnam and Nigeria, while other countries in Africa and ASEAN are expected to provide potential markets.

The popularity of this vehicle is such that Mercedes expects to be producing about 5,600 a year for domestic and export markets by 1999.

In addition to the changes in the organization of the factory, Mercedes' management also underwent some changes during the year with the appointment of Frank Messer as the new president director and Dr. Roberto Klimmek as the new financial controller.

Both men have considerable experience working for the Daimler- Benz Group in various positions around the world.

Meanwhile, Mercedes-Benz in Germany has developed a new four- wheel drive system for the E-Class sedan and wagon which is due to begin production next month in Europe.

The system, called 4MATIC, is a full-time four-wheel drive system which provides 35 percent of the driving torque to the front axle and 65 percent to the rear through a five-speed automatic transmission.

Combined with Mercedes' ETS electronic traction system, 4MATIC removes the need for diff locks to improve traction under slippery conditions.

When the car's computer detects wheel slippage, the ETS unit increases the brake pressure at the slipping wheel thereby sending more torque to those wheels with better grip.

The 4MATIC can also be combined with Mercedes' advanced traction control system ESP, which in addition to increasing brake pressure, also reduces power when skidding occurs, making the car more stable easier to control under adverse road conditions.