VW works council chief Bernd Osterloh only wants to support stricter cost targets under the pressure of the corona crisis, industry upheaval and increasing competition from Tesla if the board of directors also tackles further internal streamlining of the group. “With such a wild growth, our size and scalability suddenly don’t help us much,” he told the German Press Agency with a view to the large number of battery cell variants used for electric cars. Volkswagen currently has around two dozen more versions than its US competitor. “For the customer, it’s all about the result, namely maximum range with optimal consumption and good loading capacity,” said Osterloh.

Less variety in the equipment The “layout of the individual cells hidden in the vehicle” must be standardized more “in order to be able to fully exploit our clout as a group,” said the top employee representative who also sits on the VW supervisory board. “Special ways and extra sausages of the brands must be a thing of the past.” The Wolfsburg-based car manufacturer has been looking for further savings potential for a long time – but the works council is also demanding that top management focus on reducing the variety of equipment and on better coordinated processes instead of additional staffing.

” More efficiency is always good, “said Osterloh about the recently confirmed productivity targets of CEO Herbert Diess. “The only question is: how do I get there?” Before Christmas, the supervisory board had given Diess backing in principle for the plan to reduce fixed costs by a further five percent within the next three years – the exact plan is to be worked out in more detail in the first quarter that has just started. As a stage victory for the works council, the management’s promise to implement possible new savings only within the framework of existing programs was considered.

A flash in the pan für die Börsenwelt From Osterloh’s point of view, VW can still mobilize reserves from a closer agreement between development, procurement and production: “It is of little use if you develop a great car that makes production can only be built with difficulty afterwards. The model must already be planned in such a way that the assembly sequence works fully afterwards. ” In the coming years, VW will pump billions into e-mobility and networking.

He only rejects more speed or “staff cuts according to the lawnmower method”: “That’s where you start when you don’t know what to do next wants to have a flash in the pan for the stock market world. ” 2020 because of the high pressure and technical problems in golf production, there were again disputes between the works council and the executive board. Diess recently stated that US corporations such as Tesla or Apple have much better financing opportunities on the capital market, and that is why VW should pay more attention to internal costs and efficiency. The company must “improve significantly in order to be competitive in the future and get a better ranking”.

Link executive salaries to environmental goals and social leadership In addition to business success, goals relating to the environment, social issues and good leadership will soon also be included in the calculation of the VW executive board salaries – something that had already been introduced but has since been postponed. The next general meeting should now decide on this. “That surprises and annoys me a bit,” said Osterloh. “If we had simply refined what we had and improved something, we would have had everything we need.”

In the meantime, even financial market greats such as Larry Fink – head of the world’s largest asset manager Blackrock – have recognized that such topics are also important in order to measure management success: “How corporations look after the environment, their workforce and the regions at their locations, all of this is a tough competitive factor and of central importance for customers’ purchase decisions.”

Suppliers important, “but they have to move themselves” The persistently difficult pandemic situation, which is currently leading to bottlenecks in important Supplying parts such as semiconductors also makes life difficult for Volkswagen, admitted Osterloh. “We don’t know exactly how Corona will develop.” It is possible that other key suppliers will be affected by staff and work losses. According to reports, VW is already calculating internally with a noticeable reduction in production due to missing components.

For electric models, suppliers are in greater demand overall, warned Osterloh. “If we want to build electric cars, we need everything that goes with it. If an important part such as the battery is missing in sufficient quantities, it won’t work.” He could not understand complaints that auto companies are increasingly producing components themselves. “Of course, the suppliers are still an important economic factor in the German auto industry – but they have to move themselves.” The battery cell business is profitable, but you need advance payments in good time. “I think German suppliers are giving away real opportunities.”

Software Department – “Nothing has happened for a long time” The works council chief has high expectations of the new software department on the group board. “Nothing happened for a long time,” he said. “2017 I said again that we need someone at the highest level for this. Someone who thinks creatively about: How must What will IT look like in such a large company in five years? We need more coordination. ” Top responsibility for the topic is important. “Last but not least, it is also about our attractiveness as an employer.” Osterloh spoke out in favor of occupying the leadership of the area with a manager.

(bme)