VW introduces steering model for leaner Brand Group Core Boards

The Brand Group Core within the Volkswagen Group is taking the next step in its successful cooperation. Since January, a steering model lays the foundation for a more efficient and competitive organisation. As the main BGC management body, the newly established 'Brand Group Core Board of Management' will in future make cross-brand decisions. The overall objective is to streamline processes, structures and decision-making paths. A stronger prioritisation of decisions in the interest of the brand group will lead to a higher level of efficiency within the BGC. In future, the functions of production, technical development and procurement will be managed cross-brand by the Brand Group Core Board of Management. Overall, the new steering model with the Brand Group Core Board of Management will simplify the executive bodies of the brands: as a first step, the total number of board members within the four volume brands that make up the BGC will be reduced by approximately one third by the summer.

In the medium term, the planned reorganisation will progressively streamline the management structures within the Brand Group Core further. The new steering model will make even more consistent use of existing synergies and economies of scale, thereby generating cross-brand cost benefits. The implementation of operational activities within the Brand Group Core will be faster, while the focus at Group level will be on strategic synergy areas such as software and batteries. Responsibility will be distributed more evenly in the future: regional and specialised competencies will be deployed where they generate the greatest benefits for the entire organisation.