On the Dash:
- Volkswagen will centralize leadership across four core brands under a new Brand Group Board of Management starting in 2026.
- The new structure is designed to speed decisions, cut costs and improve cross-brand efficiency.
- Volkswagen expects the changes to deliver about $1.17 billion in production savings through 2030.
Volkswagen has created a new cross-brand management structure to oversee its core brands, the company announced on Wednesday. The new leadership model aims to streamline decision-making, improve efficiency, and unlock over a billion dollars in savings.
The steering model, called Brand Group Board of Management, will oversee operations across Volkswagen’s core brand group: Volkswagen Passenger Cars, Volkswagen Commercial Vehicles, Škoda and SEAT&CUPRA. The new structure will centralize oversight of production, technical development and procurement at the brand-group level.
“The new Brand Group Board of Management brings greater speed and steering for the optimal cross-brand outcome,” said Thomas Schäfer, CEO of the Volkswagen Passenger Cars Brand and Head of the Brand Group Core. “That is why the focus is on management efficiency – and on faster process speed for more competitive products. The new governance reduces costs and structures – while at the same time increasing our efficiency level.”
The new steering model takes effect January 2026. By summer 2026, the implementation will be complete, and the number of board members across the four brands will be cut by approximately one-third. Additional management streamlining will follow, but the exact timeline is unknown. The company estimates that the new structure will generate about $1.17 billion (1 billion euros) in production savings through 2030.
