BASF is streamlining its global service model to increase agility and reduce costs
BASF advances the transformation of its Global Business Services organization, aiming to take the next step to secure long-term cost competitiveness, resilience, and consistent service delivery for its businesses worldwide.
BASF is streamlining its global service model to increase agility and reduce costs. Under this plan, Finance and HR operations will transition to a new hub in India, and Supply Chain activities will centralize in Kuala Lumpur. By maintaining local support for essential on-site tasks and leaning into automation at these core hubs, we are building a more scalable, cost-efficient organization.
“With this step, we plan to systematically strengthen Global Business Services to support BASF’s strategy with the most competitive services structures,” says Dr. Dirk Elvermann, Chief Financial Officer and Chief Digital Officer, BASF SE. “Bundling services into scalable global Hubs is targeting to be a cornerstone for reliable internal service delivery while ensuring long term cost competitiveness.”
The existing regional Hubs in Berlin (Germany), Kuala Lumpur (Malaysia), and Montevideo (Uruguay) will continue to deliver services where bundled on a regional level.
“Global Business Services has always thrived on an entrepreneurial spirit – finding smart solutions, adapting quickly, and supporting BASF with a strong service mindset. As we take this next step, early and transparent communication is essential to us,” says Tobias Dratt, President of Global Business Services, and adds: “The upcoming project gives us the opportunity to build a more agile, fit-for-purpose organization that continues to unlock value for BASF’s businesses.” Further details are being developed. The involvement of the respective employee representatives will be ensured timely in accordance with local laws and regulations.
BASF’s Global Business Services consists of around 8,500 employees and delivers services out of various legal entities and three regional Hubs (Berlin/Germany, Kuala Lumpur/Malaysia and Montevideo/Uruguay) to BASF’s businesses worldwide, including Finance, Logistics, Human Resources, Communication, Regulatory and Intellectual Property as well as EHSQ (Environment, Health, Safety, Quality).
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