of a new era
here are clear milestones for the car manufacturer and its employees in 2020. This year’s Target Assessment took place at the STC Kosmonosy on 14 January and was attended by the ŠKODA AUTO Board of Directors, as well as their subordinates and representatives from abroad. At the workshop, they jointly evaluated last year’s results, which, at 1.24 million vehicles delivered worldwide, were 0.9 percent lower than in the previous year. This decrease is due to a continuing slump in the overall passenger car market in China. In the rest of the world, however, ŠKODA increased its deliveries by 5.3 percent. The participants also discussed the 2020 targets at length and, in addition to the milestones for each area, laid out five specific, superordinate ones (see 2020 Targets). The workshop programme focused on fulfilling them, and the participants defined their personal commitments. The time has come to meet them. Moritz Silzer
Goals for 2020
The INDIA 2.0 project is on track, and the Auto Expo in New Delhi in February will see ŠKODA present the VISION IN and offer the first details of the INDIA 2.0 model portfolio. On the Russian market, the trends are positive, too, and the brand’s objective this year is to continue its dynamic growth. The key goal in China is to consistently implement what is known as the “Master Plan”.
Electrification / decarbonisation
This year, ŠKODA will introduce its first all-electric car based on the VW Group’s modular electrified platform. To meet the stringent CO2 legislation, it is essential for the brand to expand its electric car portfolio.
The transformation process is regaining momentum this year. ŠKODA still has a huge potential to introduce new areas of focus, according to the Innovation Mindset Index. Digital transformation is part of the overall package of transformation efforts. To this end, ŠKODA has reached an important milestone by establishing a new subsidiary expected to shelter all its digital projects in the future.
ŠKODA has the potential to reach the threshold of selling 2 million vehicles annually within a decade. The key factor in this respect is whether the brand will receive the adequate product and capacity go-aheads. And what needs to be done to make this happen? The carmaker has to improve profitability, build new and/or expand existing market shares and cope with the transition from conventional to electric vehicles.
Achieving adequate results
The transformation process is expensive, and the brand has to invest billions in future technologies. Therefore, consistently fulfilling the ATTACK Plan is all the more important. Our goal is to improve our financial result by nearly EUR 5 million by 2025 in order to continue making sustainable investments in products, markets and employees.