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Volkswagen Saves 10 Billion Euros By Making Cars Faster
It has been up in the air for a while but is now final. Volkswagen will save €10 billion in the hope of becoming more profitable.
At the end of November, it was already revealed that Volkswagen would enter a significant period of significant cuts. CEO Thomas Schäfer is said to have labeled the brand in its current form as ‘no longer profitable’. Volkswagen Group, together with the trade unions and others, has now reached an agreement on implementing €10 billion in austerity measures to increase the profitability of the Volkswagen brand.
The cuts have consequences in many areas. New models must be able to be developed and built more quickly. The development time of new models is reduced from 50 months to 36 months. Volkswagen will also use fewer test models during the development of its new models. Up to 50 percent less. The brand wants to test and measure more digitally from now on. Furthermore, (administrative) jobs are disappearing. Volkswagen hopes to achieve savings of €10 billion through these measures by around 2026.
