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General VW Discussion This is a place for General VW topics (the company, not your vehicle). General topics about a specific vehicle should be posted in the General TDI Dicussion Forum sections for that vehicle platform. A4, A3 & B4, B5, etc.

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Old December 15th, 2007, 08:13   #1
BogdansTDI
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Default VW CEO here to stay until 2018 target


Volkswagen has made it no secret that it wants to challenge Toyota for the number one carmaker spot, going so far as to set a 2018 target date as the year when its manufacturing numbers will surpass those of Toyota. The CEO with the vision, Martin Winterkorn, has now claimed he wants to stay at VW until the goal is reached.

Speaking with Automotive News Europe, Winterkorn boasted that “German perfectionism and better design” are the advantages VW has in its arsenal to overcome Toyota. He didn’t want to state the exact date when VW’s target would be achieved, however, he stressed that by as early as 2010 he wants VW to be where Toyota is today. Over the past 12 months Toyota managed to sell close to nine million vehicles while VW moved just over 5.7 million vehicles.
VW must improve its productivity by around 10%, Winterkorn claimed. Each Toyota vehicle manufactured in Japan has a cost advantage above a VW of around €3,000 to €4,000.
That’s why the German giant will be investing up to €9.5 billion over the next three years to help develop more than 20 new models around four basic platforms. At the same time, VW will also try to boost sales in the U.S. market, including manufacturing more unique models in North America.
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Old December 15th, 2007, 13:56   #2
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Quote:
Speaking with Automotive News Europe, Winterkorn boasted that “German perfectionism and better design” are the advantages VW has in its arsenal to overcome Toyota.
Oh please.... I respect German engineering and all (after all, it's why I'm working and studying engineering in Germany, to fulfill a lifelong dream), but the above statement is just soundbyte-ing.

What VW and the Germans need to get over is this high-horse superiority complex mentality that they make the world's best engineering. Toyota has continuous improvement at the heart of its corporate engineering philosophy, meaning they recognise that in everything there's room for improvement.

The Germans, on the other hand, pat themselves in the back and admire themselves for a job well done. "Vat? Ve don't make mistakes!"
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Old December 15th, 2007, 14:43   #3
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Quote:
Originally Posted by BogdansTDI
Winterkorn boasted that “German perfectionism and better design” are the advantages VW has in its arsenal to overcome Toyota.
Yeah. Good luck with that, Marty. I see where they've gotten you so far: almost out of the U.S. as a market and nowhere near as ubiquitous as Toyota anywhere below the equator (Brazil excepted).

The trouble is that both "perfectionism" and "better" are wide-open to interpretation. If those terms mean "state-of-the-art-you-can-tell-the-pioneers-from-the-arrows-in-their-backs" cutting-edge engineering, you're not only going to miss the bullseye, you'll miss the entire target. If those terms mean a simple, well-engineered (or over-engineered) vehicle that can handle "third-world" roads and fuels as well as lazy "how-many-cupholders-are-there" N.A. buyers, then they have a shot at it. But Toyota isn't exactly going to stand still, either. And I don't think the whole idea of continuous improvement is a cultural value at Volkswagen.

OTOH, it certainly seems to be in place at Porsche....
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Old December 15th, 2007, 15:03   #4
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Toyota Buys Half of All German Billboards

Toyota Buys Volkwagen -Jan 05, 2017
Martin Winterkorn becomes CEO of Toyota....
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Old December 16th, 2007, 07:59   #5
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VW has been changing management like dirty socks. If they want to get anywhere, they need to stop doing that.

Usually rapid management change means that there are fundamental flaws in the organization. Jumping on every latest buzzword is not the best long-term plan. If expectations are too unrealistically high, and you fire management for not living up to it, yet the replacement management is subject to the same situation, the problem is not the management, it's the unrealistic expectations.
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Old December 16th, 2007, 08:48   #6
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Originally Posted by GoFaster
VW has been changing management like dirty socks. If they want to get anywhere, they need to stop doing that.
That is the basic rule followed by every lethargic management organisation.

You can't just fire the big guns in your organisation, you, as chairperson hire bigger guns who work around the ones you don't wish to see on your memos, board meetings and/or seated at your conference room tables.

Hiring around those you don't want at your executive water coolers means BIG BUSINESS.

Quote:
Originally Posted by GoFaster
Usually rapid management change means that there are fundamental flaws in the organization. Jumping on every latest buzzword is not the best long-term plan.
Marketing seems to be the issue in so many words then?

Again, you're making an excellent point by all measures but the key drivers [no pun intended] in a launch or release of a brand is though paying millions upon millions of dollars for fancy eye wear hip and cool marketing execs to draw up a marketing plan on short term goals.

What are those short term goals? Stock holders looking for dividens and momentary gains in market share. It's all about year end numbers and quarterly reports ...and HOW do we obtain these objectives NOW!

Volkswagen is no different then any other company in its industry, matter of fact they're junior to the aimless marketing likes of monies dumped on campaigns that add little to no value to a core mission statement, example Daimler Chrysler, GM or Ford. Complicated and lethargic is GOOD!

LOL



Quote:
Originally Posted by GoFaster
If expectations are too unrealistically high, and you fire management for not living up to it, yet the replacement management is subject to the same situation, the problem is not the management, it's the unrealistic expectations.
Excellent statement. Bravo.

But if you look deeper into what causes big and quick changes you don't have to look further than a quarterly report or annual report that's in the RED! If a CEO has a vision, his vision is only limited by his quarterly earnings report or at the annual year end meeting. Share holders have a lot more impact on fast and unpredictable paths taken inside lethargic managements. May I add, many shareholder don't even drive the car brand they've invest stock in ...they ...they are looking for a dividen check and anything less means a chopping block for management that can't provide the needed.

All this to say ...it's great for share holders to hear Winterkorn announce that it's plans are to be the BIGGEST and GREATEST entity in the automobile arena by 2017. It's what makes shareholders HOLD onto their stocks.

Bottom line, volkswagen made it in the 50's and 60's by being simple, not complicated. And I think the Phaeton was a brilliant step, the V10 Touareg too... I mean? Heck everyone has $68,000 - $100,000 for a "People's Wagen."

My bad.

Gaining market share in the automotive industry is not being a Jack of All Trades. It's being simple and staying small while simply staying in control.

Back to my water cooler and seeing who I can eliminate off the memo' cc: list on this lethargic business we call management, dah'upper management.

Complicatedly,

j/k

LOL

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Old December 16th, 2007, 14:19   #7
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I'd have to say that the various Up! concepts are a step in the right direction and it's representative of VW's traditional values but with modern technology. (As opposed to Phaeton, and the W8 Passat, which were steps in the *wrong* direction.) And I like the new Polo.

Let's see if they make the Up! happen and do a good job of it AND sell it HERE!
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