MMK Conference

MMK Conference

Moving Towards the NEXT LEVEL

ŠKODA AUTO’s transformation picks up speed thanks to electric offensive

n the days leading up to the MMK conference, heavy rain clouds hovered over Prague. However, when 350 managers reunited in person for the management conference on 29 August following a two-year hiatus caused by the COVID-19 pandemic, the skies gradually cleared. In the halls of the O2 Universum, the outlook was also much more positive than in the past.  

I see ŠKODA AUTO as a highly motivated international team with great enthusiasm.

Klaus Zellmer 

ŠKODA AUTO CEO

Klaus Zellmer, ŠKODA AUTO’s CEO, began by reflecting on how he, as a “newcomer”, views the carmaker, which is in the midst of the biggest transformation in its history. “I see ŠKODA AUTO as a highly motivated international team with great enthusiasm,” said K. Zellmer. The commitment, flexibility and perseverance of the ŠKODA team and the entire automotive company are now paying off. “Business is strong, demand is stable, and customer loyalty remains high,” he continued. This is admirable given the challenges ŠKODA AUTO is currently facing – in particular, the war in Ukraine, the ongoing semiconductor shortage and the overall economic situation.

NEXT LEVEL – made visible

The change is also evident thanks to the new corporate identity that the carmaker unveiled on Tuesday, 30 August, leading the ŠKODA brand into the electric digital age. The advantage of the new two-dimensional logo is that it is easier to apply online. Everything about the new design and logo and its history can be found in the online ŠKODA Storyboard magazine, as well as on the pages of this issue of ŠKODA Mobilu.

On the fast track

The CEO also cited other good news. Some of the goals are already being met one year after the presentation of the company-wide NEXT LEVEL – ŠKODA STRATEGY 2030. Particularly in the case of the electric offensive, all indications show that it will accelerate. Already by 2026, three more pure electric models will be launched: a compact car, a compact SUV and a seven-seater. “With these and other upcoming e-models, the target of a 50–70% share of BEVs in the EU model portfolio will rise to more than 70% by 2030,” K. Zellmer expects. Accordingly, the Mladá Boleslav plant is preparing for the transition to electric car production.

Cool as ICE

From a global perspective, internal combustion engines are not coming to an end but continue to contribute to sales results. A new SUPERB and KODIAQ are in the pipeline, and an upgrade of the OCTAVIA is also planned. In Asia, in particular, conventional powertrains continue to be very popular, and in India, for example, ŠKODA has been the most successful brand so far this year.

All eyes on the customer

In these disruptive times, it is important to keep the customer in sight throughout the entire product lifecycle. A decisive factor for success is that the brand delivers a reliable and convincing customer experience. For ŠKODA AUTO, this means offering the right service at the right time.

Driver Diversity

Under the Fast Forward slogan, K. Zellmer also calls for solution speed in terms of diversity. “The pace here is still too slow. If we’re not as diverse as our customers, we can’t produce cars that meet their needs 100%,” he says. This is one of the reasons why every one in four management positions at ŠKODA AUTO is to be filled by women by 2030. 

What's next for NEXT LEVEL?

Everything is moving forward in great strides. The Board is making it clear that in the second half of 2022 and the coming year, every effort will have to be made by all ŠKODA employees to achieve the goals set and lay the foundations for the carmaker to successfully navigate the coming decade of change in the spirit of NEXT LEVEL – ŠKODA STRATEGY 2030. ED