Herbert Diess steps down as chairman of the board of Volkswagen. His place is taken by Oliver Blume, president of Porsche.
Volkswagen is in the midst of a management transformation. The automaker has announced that group chairman Herbert Diess will step down at the end of August. It will be Porsche President Oliver Blume who will take his place, retaining his current one, from 1 September. The company did not explain the reason for Herbert Diess’ departure, but said the decision was the result of “mutual agreement”.
Herbert Diess steps down as chairman of Volkswagen
Herbert Diess has a rather mixed history with Volkswagen. He replaced Martin Winterkorn when the dieselgate case became public in 2015. Then he had to help Volkswagen put an end to this darkest chapter in its history. However, in 2019 German prosecutors accused Herbert Diess of market manipulation by allegedly delaying reports of corporate fraud in order to minimize the impact on the company’s shares. Lawyer Herbert Diess argued that his client joined Volkswagen too late to understand the consequences of the scandal, but these allegations have clearly damaged the leader’s reputation.
Oliver Blume, President of Porsche, takes his place
At the same time, Herbert Diess orchestrated a great turnaround in Volkswagen history. The man helped the manufacturer initiate the transition to electric and autonomous vehicles. He also prepared the company to reduce car ownership by accelerating the delivery of mobility services. Most of Volkswagen’s business is still dependent on conventional thermal cars, but by 2030 electric vehicles should make up half of its sales. Where the diesel engine has clearly linked Volkswagen to a bygone era, the company, led by Herbert Diess, is now fully focused on the future.
However, big changes under the leadership of Oliver Bloom should not be expected. According to Volkswagen, the new president will further “accelerate” the transformation that has already begun under Herbert Diess. Then Oliver Blume has to become captain to keep that course going, but it shouldn’t be very difficult if the company continues to expand and improve its electric range.