Volkswagen moves ahead to prevent another diesel scandal

Germany: Volkswagen AG is working on a new ideology and providing developer more responsibility and time for observing the car through different stages to the end of production in order to prevent another diesel scandal.

Volkswagen is well prepared to provide its development teams control over the vehicle’s quality, technology and cost for the first time. This decision was taken unanimously by the all the top executives and discussion with different boards and committee.

In last September, the German car maker was found to deceive the consumers and regulators by rigging engines to pass emission test since 2009. Explanation is still pending from the company’s side regarding this flaw and the has hired U.S law firm Jones Day for the investigation.

The chief also announced that four new development workforce will be invested to focus on vehicle type, including small cars, compact, mid and full-size autos and battery-powered vehicles. This restructuring mainly aims to make a better brand name and also offset the cost that has incurred due to scandal, as a result of regulatory fines and lawsuits unresolved. The scandal is considered as a catalyst for the transformation of work culture in the company. 

The recent report published by TechSci Research, “ Germany Tyre Market Forecast and Opportunities, 2020” Germany, which is one of the Europe’s leading car market is dominated by players like Volkswagen, BMW, Audi, Mercedes Benz, etc. In the last few years, the German automotive industry has established itself as one of the global players in the world. In 2014, it manufactured around 6.09 million new vehicles, which was an increase of around 3.5% as compared to 2013. Further, in 2013, R&D expenditure touched USD19.87 billion in German automotive industry. The amount was equivalent to one-third of the total amount spent for R&D in Germany in the same year. With the increasing focus of German automotive manufacturers on quality, the tyre manufacturers in Germany are also investing substantially in R&D activities to improve their technology.