“Initiative Kehrwoche” - How CIO Katrin Lehmann is Steering Mercedes IT on Course.

The interview with CIO Katrin Lehmann first appeared in Automobilwoche  and was kindly provided to us with the permission of the editorial team.

Mrs. Lehmann, you took on your CIO role a year ago with many challenges. How did you prepare?

Katrin Lehmann: Before my CIO role, I led the Sales IT at Mercedes-Benz for a year and was responsible for the Tech Hubs. During that time, I already saw what, in my opinion, needed change. I spoke a lot with the teams and developed my Five-Pillar Strategy from these conversations.

What do these five pillars entail?

Katrin Lehmann: The first point is “Rock Solid Operations.” This means our IT ensures that all systems run stably. Without this foundation, we cannot work successfully. The second point is “Radical Standardization.” For historical reasons, we have an incredible number of systems, some of which are outdated, and we are now removing them from the IT landscape. The third point is “Tech Frontrunner” – we want to be at the forefront of new tech topics like AI or Digital Twins. We want to help shape and define them. Point four: “End-to-End Acceleration” – how do we work internally with other business areas, and how smoothly do the processes run? And finally, point five “Best Team.” Because we need the best employees and a strong team dynamic to be successful.

Let's talk about the point of “radical standardization.” How many IT systems have you already removed?

Katrin Lehmann: We are taking a very radical approach here. We used to have around 9,000 applications company-wide. Now there are significantly fewer. Each system less means less complexity, fewer integration points, and lower costs. This will please Harald Wilhelm, the Mercedes CFO. Of course, we have very clear KPIs that we regularly review and against which my team and I are measured.

Are your employees able to let go of programs easily?

Katrin Lehmann: We had to communicate thoroughly. I called it the “Initiative Kehrwoche” (editor's note: Swabian Tradition where residents take turns in cleaning shared areas like sidewalks and stairwells). Of course, you could simply shut down numerous applications we want to part with. But you can also do it charmingly.

And how?

Katrin Lehmann: We announced small challenges. The team with the cleanest data wins a small golden broom and a team breakfast. We also celebrate sundowner parties. Every team that shuts down a system in the IT architecture gets drinks for an evening. These cultural initiatives are needed to increase motivation to part with things that have been cared for a long time.

So the savings program is omnipresent. Where are further levers? And can you quantify how much you need to save?

Katrin Lehmann: I won't quantify anything. But of course, one looks at IT and asks the legitimate question: Can it be even more efficient?

And? Does it?

Katrin Lehmann: We're back to my strategy and the five pillars. The fewer systems and the more standards we have, the lower our operating costs. The fewer downtimes we have in the systems, the fewer additional costs we have to get the systems running again. The more GenAI we use, the more processes we can optimize and make more efficient. The closer we work with other business areas and the less friction we have, the less it affects costs. And lastly: If we train our people well and use 100% of the workforce effectively, it contributes to profit. Therefore, all five pillars are aligned with corporate goals. I am tracked on this, and that's fair.

Let's talk about AI. Is the hype understandable?

Katrin Lehmann: AI is one of my main topics. But AI only works if you have a good data basis. Even the best AI delivers incorrect results if trained with outdated and incorrect data.

AI and GenAI are expected to not only support workers in the future but also replace jobs. Even with you?

Katrin Lehmann: From my perspective, GenAI is part of the solution, not part of the problem. The solution must be that we work as efficiently, digitally, and integrated as possible. and important thing – is that these teams know exactly what they have to do, and then they work on it together.