Success in times of challenges

Success in Times of Great Challenges

MMK Conference: The managers explored the carmaker’s current situation and future prospects while inspiring one another in creative workshops.

In mid-November, a two-day management meeting brought around 300 managers to the Škoda Museum, where they participated in a rich programme of information sessions, debates and discussions.

The opening session on the first day featured Klaus Zellmer, CEO, who provided an overview of the carmaker’s current performance. With the exception of the Indian and Chinese markets, year-on-year sales were up: 12% in Western Europe, 4% in Central Europe and 7% in Eastern Europe. Škoda has risen to become the fourth-most popular brand in Europe this year, improving from seventh place last year and 10th the year before. The carmaker has also set a strategic goal of ranking in the Top 5 in Europe by 2030.

Klaus Zellmer highlighted that Czech production plants are among the most efficient in the VW Group and commented on the ever-increasing pressure from Asian carmakers. The theme of the event was transformation, which was conveniently illustrated with a short video recalling the triumph of the Czech team at this year’s IIHF Ice Hockey World Championship. “It’s worth watching what the champions are doing today. They are definitely not resting on their laurels. On the contrary, they are working even harder because they have proven they are the best and they want to stay that way. The same goes for us - we have to keep going because the competition is not sleeping,” Klaus Zellmer motivated all the managers. The results, he said, prove that the carmaker can measure up to the best. He cited the low production costs as an advantage. The challenge, on the other hand, is to speed up the development of new models.

Afterwards, Jaroslav Povšík, Chairman of the KOVO Trade Union, took the floor and reflected on his time at the carmaker during the first post-revolutionary transition under the VW Group. Ralph Linde, a long‑time manager within the Group, followed with an inspiring lecture on the pitfalls of transitions, offering tips on how people and society can adapt, including motivations, drivers and obstacles.  

I was intrigued by the speeches of Klaus Zellmer and Jaroslav Povšík, who gave us insight into the current situation not only at Škoda Auto but also at the VW Group. We saw that the carmaker is in very good shape but also faces big challenges ahead, including the threat of strikes, fines for non-compliance and increasing competition from Chinese manufacturers. I’m glad that we address these issues openly. I was pleased to see a very friendly atmosphere at the workshops, including fruitful discussions that clearly showed the managers understood the issues. Most importantly, they took responsibility for finding solutions themselves rather than waiting for someone else to step in.

Oldřich Šubrt

Head of SPS – Social Relations & HR Compliance

Managers put their heads together

Interactive seminars followed lunch. Topics suggested by the managers shortly before the event included production planning, meeting culture, development cost estimating, risk management and internal control, job descriptions, mobile working, mandatory training, personal planning, goal setting and evaluation. The managers split up into 20 teams to brainstorm innovative ideas for their topics. The first day’s programme concluded with five-minute presentations from each team, followed by discussions with a so-called Sounding Board. This panel, comprising colleagues from different areas and hierarchical levels, provided critical and constructive feedback on the proposed solutions. The best three ideas will be prioritized for implementation by the carmaker, while the remaining suggestions will be handled by the respective teams.

The second day opened with a presentation on global mobility and customer trends by McKinsey & Company, followed by updates from Board members on the current state of their respective areas (see What the Board members talked about).

In conclusion, Johannes Neft, Board Member for Technical Development, and Oliver Stefani, Head of ED – Škoda Design, presented new developments in the product portfolio. The two-day event closed with a short speech by Klaus Zellmer, who once again motivated all the managers.

I always view the MMK as a unique opportunity to meet colleagues from different fields, discuss current topics and visions for the future, gain fresh perspectives and draw inspiration. Lectures by external speakers are always engaging, but in today’s online world, they are relatively easy to access. For this reason, I find the presentations by the Board members from each area more important, as they summarise achievements and address both current and future challenges. And the highlight of the programme? The presentation of new products always evokes emotion in the room, and the pride that we feel in the Škoda brand and its cars is palpable.

Radka Čihulková

Head of BAR – Real Estate Asset and Travel Management 

What the Board members talked about 

Holger Peters (Finance, IT and Legal Affairs) highlighted the strong financial results for 2024 and introduced the Škoda IT ecosystem, along with updates to the IT strategy. Maren Gräf (People & Culture) highlighted the importance of developing digital skills for successful future, provided information on the new Group’s new Hello Success platform and presented plans for the transformation of indirect staff, where highlighted the important cooperation with the KOVO Trade Union. Martin Jahn (Sales and Marketing) reviewed this year’s positive sales statistics, successful collaborations such as the Tour de France cycling race and the ice hockey championship and improvements to the digital customer experience through the MyŠkoda application. He also emphasised the Human Touch pro-customer concept and the launch of the new Elroq model. Johannes Neft (Technical Development) shared updates on the ongoing implementation of the Modern Solid design language and the performance of Škoda models in the EuroNCAP crash tests. Karsten Schnake (Procurement) discussed in particular the importance of a resilient supply chain and a responsible approach to the environment and the surrounding ecosystem. Andreas Dick (Production and Logistics) spoke about the upcoming production line for the smallest battery system size in the Group’s new MEB+ electric vehicle architecture.