BASF is accelerating the transformation of its Global Business Services (GB Services) organization to enhance cost competitiveness, improve resilience, and deliver consistent, high-quality services across its global operations. As part of this next phase, the company will consolidate key functions into scalable global hubs, enabling greater standardisation, automation, and operational efficiency.
India to Host New Global Hub
To better support evolving business requirements, BASF plans to establish the global hub in India, where it will bundle finance and human resources services under one integrated structure.
By centralising these functions, BASF aims to:
*Streamline processes
*Improve service consistency
*Reduce operating costs
*Enhance digital and automation capabilities
Meanwhile, Supply Chain-related services will be consolidated at BASF’s established hub in Kuala Lumpur, Malaysia. At the same time, activities that require close operational alignment will continue to be delivered locally or regionally to maintain responsiveness. The hub-based model forms part of BASF’s broader strategy to create a consolidated service portfolio while leveraging cost-efficient global locations.
Driving Efficiency Through Standardisation and Automation
Through the transformation, BASF intends to simplify structures and implement uniform processes across regions. By doing so, the company expects to accelerate digital adoption and improve scalability. “With this step, we plan to systematically strengthen Global Business Services to support BASF’s strategy with the most competitive service structures,” said Dr. Dirk Elvermann, Chief Financial Officer and Chief Digital Officer, BASF SE. “Bundling services into scalable global hubs will be a cornerstone for reliable internal service delivery while ensuring long-term cost competitiveness,” Dr. Elvermann added.
Existing Regional Hubs to Continue Operations
Importantly, BASF’s current regional hubs in:
*Berlin, Germany
*Kuala Lumpur, Malaysia
*Montevideo, Uruguay
will continue to operate and deliver services at the regional level.
Tobias Dratt, President of Global Business Services, emphasised, “Global Business Services has always thrived on an entrepreneurial spirit — finding smart solutions, adapting quickly, and supporting BASF with a strong service mindset,” he said. “This project gives us the opportunity to build a more agile, fit-for-purpose organization that continues to unlock value for BASF’s businesses.” He added that BASF will prioritise transparent communication and ensure timely consultation with employee representatives in line with local regulations.
Supporting BASF’s Global Operations
Currently, BASF’s Global Business Services organization employs around 8,500 people worldwide and supports operations across multiple functions, including:
*Finance
*Logistics
*Human Resources
*Communications
*Regulatory and Intellectual Property
*Environment, Health, Safety and Quality (EHSQ)
By strengthening its global hub network, BASF aims to deliver faster, more reliable, and cost-effective services that directly support its businesses worldwide.
A Step Toward Long-Term Competitiveness
Ultimately, the new hub strategy reflects BASF’s commitment to building a leaner, more digital, and resilient service model. By combining consolidation with regional flexibility, the company is positioning its Global Business Services organization to drive sustainable value and long-term competitiveness.
