Surprise departure of Volkswagen boss Herbert Diess - Business

Surprise departure of Volkswagen boss Herbert Diess – Business

The boss of the automobile giant Volkswagen Herbert Diess will leave the management of the group to be replaced from September by the current chairman of the management board of Porsche, Oliver Blume, a subsidiary of the group targeting the stock market, Volkswagen announced on Friday.

This surprise departure was decided “by mutual agreement” during a meeting of Volkswagen’s supervisory board, according to a press release. Herbert Diess was on the hot seat for months within the giant with twelve brands engaged in a forced march towards the electric and connected car. But he had hitherto always saved his head.

“Herbert Diess played a key role in the continued transformation of the company during his tenure” at the helm of Volkswagen and the eponymous brand, supervisory board chairman Hans Dieter Pötsch said in a statement. “He not only steered the company through extremely difficult waters, but he also fundamentally realigned it strategically,” he added.

uncompromising manager

At the end of 2021, Mr. Diess, who came from BMW with a reputation as an intransigent manager, emerged victorious from a period of tension with powerful staff representatives. At the origin of the internal turbulence, the management style and the electrification strategy of the fiery Austrian boss, who took the wheel of Volkswagen in 2018 with the ambition to definitively turn the page on dieselgate, the rigged engine scandal that tarnished the group’s image in 2015.

Hand over responsibility for operations in China, a strategic market

Since the beginning of the year, Mr. Diess had already had to cede responsibility for operations in China, a strategic market, to another heavyweight in the company, obtaining in compensation the supervision of the entity Cariad, a Volkswagen unit responsible for coding software at the heart of the electric and connected revolution initiated by the automotive industry. Ironically, due to the slow progress made by Cariad, Porsche recently decided to break off the partnership with this unit to develop its own IT solutions.

Oliver Blume © Reuters

The future strongman of Volkswagen, Oliver Blume, joined the group in 1994 having since held management positions within the Audi, Seat, Volkswagen and Porsche brands, which he has led since 2015. He has been a member of the Volkswagen management board since 2018. “Which is decisive for the success is team spirit, fair play and passion,” said Mr. Blume in a final trip to the outgoing.

This surprise departure was decided “by mutual agreement” during a meeting of Volkswagen’s supervisory board, according to a press release. Herbert Diess had been in the hot seat for months within the giant with twelve brands engaged in a forced march towards the electric and connected car. But he had so far always saved his head. “Herbert Diess played a key role in continuing the company’s transformation during his tenure” at the helm of Volkswagen and the eponymous brand, the chairman of the board said. Supervisor Hans Dieter Pötsch in a statement. “He not only led the company through extremely difficult waters, but also fundamentally realigned it strategically,” he added. emerged victorious from a period of tension with powerful staff representatives. At the origin of the internal turbulence, the management style and the electrification strategy of the fiery Austrian boss, who took the wheel of Volkswagen in 2018 with the ambition to definitively turn the page on dieselgate, the rigged engine scandal that tarnished the image of the group in 2015. Since the beginning of the year, Mr. Diess had already had to cede responsibility for operations in China, a strategic market, to another heavyweight in the company, obtaining in compensation the supervision of the Cariad entity, a Volkswagen unit responsible for coding the software at the heart of the electric and connected revolution initiated by the automotive industry. Ironically, due to the slow progress made by Cariad, Porsche recently decided to break off the partnership with this unit to develop its own IT solutions. Future Volkswagen strongman Oliver Blume joined the group in 1994, having since held management positions within the Audi, Seat, Volkswagen and Porsche brands, which he has led since 2015. He has been a member of the Volkswagen management board since 2018. “What is decisive for success is team spirit, fair play and passion”, underlined Mr. Blume in a final trip to the outgoing.

.

Comments

0 comments

Leave a Comment

Your email address will not be published.