DaimlerChrysler's supervisory board has decided that Dr Wolfgang Bernhard will not now take over from Jeurgen Hubbert as boss of Mercedes-Benz. In a statement issued yesterday, the company said that Hubbert will continue to be responsible for the Mercedes Car Group until further notice.

Industry insiders say that Bernhard's aggressive manner and 'know-it-all' approach have cost him the job. Hubbert is said to have been behind the move to oust Bernhard. Automotive News reported that sources said that in just two months Bernhard managed to alienate suppliers, unions and management colleagues.

Bernhard was also said to have planned massive Chrysler-style restructuring at Mercedes-Benz, something that his colleagues said was simply not needed.

The Automotive News report said that under fire DC boss Juergen Schrempp had tried to protect his protege, blaming his youth and inexperience. However, Hubbert prevailed and it is now unclear what the future holds for former rising star Wolfgang Bernhard.