Comment: One year in office: The meager balance sheet of VW boss Herbert Diess

Herbert dies

The manager has identified many players who are responsible for the misery of VW. He excludes himself.

(Photo: Bloomberg)

Herbert dies is Chairman of the Board of Volkswagen failed. Measured at least at the current level. A year ago he sat on the executive chair – and he did so with a promise: he wanted to lead the automaker into a secure future, master the challenge of electromobility and digitization, and at the same time increase its return on investment.

This had the major shareholders Porsche and Piëch, the country Lower Saxony and the works council promised by him. For this they threw his predecessor Matthias Müller out of office and installed him on the post.

This has not met the expectations so far. The automaker, based in Wolfsburg, is still the world market leader in terms of sales, but last year’s earnings fell short of expectations. Also for this year no improvement is to be expected. On the contrary, especially with the core brand VW threatens a further erosion of profit.

There are many reasons for this: for example, external reasons – such as the early switch to the WLTP test procedure, which allows the emission values ​​to be better measured. Also like the sales weakness in some regions of the world and those of US President Donald Trump threatened import tariffs for German cars burden the balance sheet of VW and Diess.

Current club events



Monday, 06.05.19, 11:00 Berlin: Book presentation “Europe can do better”



Tuesday, 07.05.19, 09:15 Frankfurt am Main: Handelsblatt Annual Meeting “Restructuring”



Wednesday, 08.05.19, 18:30 Munich: How far do you go to be popular?



Tuesday, 21.05.19, 18:30 Dusseldorf: award ceremony Marken-Award 2019



Wednesday, 25.09.19, 08:30 Düsseldorf: Campus for Corporate Transformation 2019

To the business club

Heavier weigh but homemade topics. The most obvious change is the conversion to WLTP, which has so far burdened the Group with around 3.6 billion euros. Because the developers could not make the engines licensable in time, VW sold fewer cars,

Decline in sales: Dieter Zetsche leaves behind many problems at Daimler

That’s something that needs to be addressed personally. Since mid-2015, he has been responsible for the core VW brand, and as the chief executive, he must ensure that people can do their job in due time. If necessary, through the exchange of executives.

In general, the development in Wolfsburg is the problem area of ​​the group. There are the best engineers in Europe. But it hangs in the workflow, which shows not only in the WLTP conversion. Internally there is concern that important models such as the Golf 8 and the electric stroller I.D. can not come to the market on time.

The consequences would be fatal. VW would not only lose sales, but threatened for the coming year fines. Without e-cars VW would not be able to reduce the carbon dioxide emissions of vehicles sold in Europe to the required level.

Volkswagen has to move

The problems in the development are not the only reason for the bleak balance. This is in the way with his desire for provocation itself. Especially in the past three months, the 60-year-old has angered almost everyone against him: the works council with the powerful Bernd Osterloh at the top, the state of Lower Saxony as the second largest shareholder after the families Porsche / Piëch, competitors and politics. But that’s not enough. Even managers are against him, many refuse Diess followers.

Asked about this displeasure, the environment of Diess points to the necessity of rebuilding. Volkswagen has to move, without question. This tackles the right topics. So he has a coherent strategy for the conversion of burners on the electric drive. But such a change is not about confrontation. He will succeed only by consensus.

Volkswagen is a colossus run by an alliance of family owners, the state of Lower Saxony, and employees so far. That does not make it easy. But it applies in principle: the profound conversion succeeds only if everyone pulls along.

However, the necessary consensus is currently a long way off. What is also founded in nature by Herbert Diess. He provokes to get people moving. At a meeting he recently stamped most of his top people to shortage workers. No loyalty grows on this ground.

Analysis: The climate prescriptions from Brussels are putting so much pressure on carmakers

Politicians are also challenging Diess by accusing the government of inaction in setting up a charging infrastructure for e-cars. That this is primarily the responsibility of industry, he says.

This has identified many players who are responsible for the misery of VW. He clings to himself – despite the glitches in the VW development or the crisis at the daughter Audi, Although the premium brand has announced a conversion, the success is doubtful. One reason for these abuses is that while this is hard, but human consequences shy.

This has three more years to improve his record as VW boss. The foundation is there. His strategy of fully aligning the Group with electric cars is correct. In order for the plan to work, he has to convince the individual actors instead of provoking them. He must make them fellow combatants or part with them.

*/
]]>
The most important news every morning in your inbox.

Go to source