Goals & Actions

Unless otherwise indicated, the goals set out below relate to the Volkswagen Group and are aligned with the three sections of this report: Strategy, Economy, People and Environment.

They include specific goals defined in the new Strategy 2025 which were presented at the Volkswagen Group’s annual general meeting on June 22, 2016. Strategy 2025 replaces our previous strategy, Mach 18. The resulting strategic modifications (reformulation of existing goals; definition of new goals; completed goals) have in some cases already been included below. Further modifications made after the editorial deadline for this report will be published in the next report. 

In addition, the main brands and companies within the Volkswagen Group have set up detailed sustainability goals of their own which are aligned with the Group’s corporate goals. These goals are included in their publications, links to which are provided under “Brands” and “Regions”. 

Strategy & Coordination

Action areas Goals and action Deadline Implementation status
Management Ensure similar management of sustainability within the Group and by the brands 2015 Management structure introduced at Volkswagen Commercial Vehicles

Sharpen positioning of brands 2025 Ongoing
Transparency Establish IT-based sustainability management system at Group, brand and company level 2016 Already in use

Stakeholder Dialogue
Establish stakeholder management system at Group, brand and company level 2016 Definition of criteria and indicators for the Stakeholder Relationship Management System
Market Transform core business 2025 New
Build Mobility Solutions business 2025 New
Secure funding and strengthen innovation power 2025 New

Economy

Action areas Goals and actions Deadline Implementation status
Customer satisfaction
Achieve top customer satisfaction with product, dealer and last workshop visit in all core markets 2025 New goals were formulated as part of Strategy 2025.
Customer satisfaction index score: 8.80 in 2015.
Quality Strengthen innovation and technology leadership 2019 2015- 2019 investment program: €85.6 billion earmarked for intelligent innovations and technologies.
Investments of €11.9 billion in R&D  in 2015.
Stability & profitability

Operating return on sales for the Group before special items 7- 8% 2025 New
Return on capital: Automotive Division before special items >15% 2025 New
Ratio of capex to sales revenue in the Automotive Division ~6% 2025 New
Efficiency enhancements: boost operational excellence across all divisions and brands. R&D ratio ~6 % Boost overall cost efficiency in sales and administration. Ratio of costs to sales revenue under 12%
2025 New
Compliance Strengthen networking of compliance organization and activities Ongoing

All Group brands involved in information exchange in Governance, Risk & Compliance (GRC); regional network meetings and GRC wiki as information and exchange platform for GRC organization

Further integrate compliance culture and improve awareness of relevant compliance values and principles among employees
Ongoing Information supplied to specific target groups via different media across various brands and companies
Continuously optimize of Compliance Management System (CMS)
Ongoing Further development of CMS taking account of international legislation and internal Group benchmarks
Continuously optimize integrity checking of business partners (Business Partner Check) Ongoing Further development and roll-out in new companies
Reorganization of the Group-wide whistleblowing system Ongoing Group-wide minimum standards established; start of rollout in 2017
Risk management and internal control system (RMS/ICS) Operate and further develop risk management and internal control system (RMS/ICS) in operating business units Ongoing Operating business units advised during ongoing implementation of RMC/ICS guideline
Standardize and further develop risk management methods and processes to safeguard the future viability of the Volkswagen Group Ongoing Introduction of an additional quarterly risk report on all executive functions at Volkswagen AG and all brands

Further development of the GRC IT system to ensure consistent, standardized risk reporting
Supplier Relations
Extend e-learning tool and sustainability questionnaire Ongoing In terms of procurement expenditures 80% coverage for e-learning tool and 91% for sustainability questionnaire; planned increase of coverage to 83% for e-learning and 93% for sustainability questionnaire in 2016
Perform in-depth sustainability audits Ongoing 26 audits carried out in the reporting period; extension to 30 audits planned in 2016
Provide supplier training in sustainability Ongoing More than 900 suppliers trained on the subject of sustainability
Implementation of OECD Due Diligence Guidance 2015 In 2016, the Volkswagen Group requirements regarding sustainability in its relationships with business partners were expanded to include a passage on OECD Due Diligence Guidance
Vehicle safety Vision Zero: develop innovative driver assistance systems with the goal of accident-free mobility
Ongoing Active accident research to reconstruct and analyze accidents and integrate findings into vehicle development, e.g. Front Assist, Lane Assist and Automatic Post-Collision Braking System
Awards in 2015: Euro NCAP awards 5 stars to Touran, Audi Q7, Audi A4 and Skoda Superb; Latin NCAP awards 5 stars to Vento

People

Action areas Goals and actions Deadline Implementation status
Employer attractiveness Strategic goal: Become top employer Ongoing The Volkswagen Group and its brands aim to be attractive employers for all groups of employees. Within the framework of our Personnel Strategy, we are working on numerous projects and initiatives that address issues such as flexible working hours and balancing work and family. Numerous awards and high scores in various rankings reflect the success of this strategy.
Qualification Strategic goal: Provide excellent qualification within all “Berufsfamilien” (professional families)

Ongoing 90% of the 36 Berufsfamilien at Volkswagen have already introduced their own specific qualification programs, while preparations have continued at the remaining 10%. Qualification is coordinated by a current total of 14 Berufsfamilien Academies, which are grouped under the umbrella of the Volkswagen Group Academy to leverage synergies and ensure an outstanding level of employee qualification across the Group, with the ultimate aim of building a strong future.
Strategic goal: Strengthen dual education model of vocational training internationally. Introduce personnel development in leadership and management to consistent standards worldwide

2018 More than three-quarters of all apprentices at the Volkswagen Group learn their profession in line with the principle of dual education and vocational training. It is our goal to provide all our apprentices worldwide with qualifications that meet the high standards of the German dual education model of vocational training. In 2015, we continued to make progress in expanding the dual model. This year, the Volkswagen, Audi, MAN, SEAT, ŠKODA and Porsche brands began developing uniform standards for career tracks for employees covered by collective agreements.
Participation Personnel policy: Enhance performance and ensure all employees share in success: establish three-part pay system with basic pay, performance-related component and entitlement to profit-sharing as Group standard

Ongoing Across the Volkswagen Group, the three-part pay system is increasingly being established as a standard, among others by Audi, ŠKODA, the Volkswagen Group Rus (Kaluga plant), and Volkswagen de México.
Health Strategic goal: Promote health, fitness and ergonomics: extend the Checkup and follow-up screening and training programs

Ongoing In recent years, the Checkup, a free and comprehensive preventive medical examination, has been successfully rolled out at all German and many international sites. In 2015, a total of 109,958 Checkups were conducted across the Volkswagen Group.
Occupational safety

Personnel policy: Continuously improve the Group’s occupational safety management system (KAMS) at all production locations

Ongoing In 2015, Volkswagen carried forward the continuous improvement of its occupational safety management system. Since the end of 2012, KAMS implementation audits have been performed in 17 locations worldwide.
Diversity and 
equal opportunities

 

Strategic goal: Increase the proportion of women at all levels of management and target women for advancement. Female graduates to account for 30% of graduate recruitment in the Volkswagen Group in Germany

2021 In 2015, around 30% of graduate recruits at Volkswagen AG were female. In the medium to long term, this will lead to a tangible increase in the proportion of women in management roles within the Volkswagen Group in Germany. In 2015, the proportion of women in management within the Volkswagen Group in Germany rose to 10.3%, from 10.2% in 2014.

Social responsibility

Introduce Group-wide analysis of the effectiveness of CSR projects and incorporate into sustainability management system 2015 Criteria-based assessment of CSR projects will be introduced in 2016
Introduce guidelines for developing and carrying out CSR projects at Group, brand and company level 2015 Partial: update of Group platform for sharing best-practice projects
Foster volunteering by Volkswagen Group employees

Ongoing The Volkswagen pro Ehrenamt office supports all Group companies in providing strategic support for employee volunteering. A volunteer database provides effective assistance in matching supply and demand, as well as providing information. By the end of 2014, 2,034 employees had been successfully placed in volunteer roles.
Foster a multi-faceted, Group-wide approach to refugee assistance, focusing primarily on language training and pre-qualification measures in the future

Ongoing The corporate Refugee Relief office coordinates and supports the many different aid projects run by the Group, its brands and its employees. In the summer of 2015, the Group focused on emergency relief measures for refugees arriving at reception centers. Going forward, the Group sees the greatest need for action in language training, pre-qualification measures and social interaction – the keys to preparation for vocational training and professional integration.

Environment

Action areas Goals and actions Deadline Implementation status
Climate and environmental protection

Volkswagen welcomes the outcome of the UN's COP 21 Climate Change Conference, which was held in the reporting year. The negotiators agreed on an ambitious target of limiting global warming to less than two degrees Celsius. The Group has set itself science-based targets in support of this goal. 2018 Status of fleet CO2 emissions in 2015:
EU: 120.8 g CO2/km;
China: 161.5 g CO2/km;
Brazil: 137.2 g CO2/km; USA: 163 g CO2/km.
Status of reduction in environmental impact from production activities in 2015: 21.5%
In advance of the climate conference in Paris, Scania and Audi contributed their ideas on low carbon freight and low carbon fuel to the WBCSD's Low Carbon Technology Partnership Initiative.
Environmentally friendly products / electrification

Cut European new car fleet CO2 emissions by around 30% to 120 g CO2/km over the period 2006 to 2015 2015 EU fleet CO2 emissions in 2015: 120.8 g CO2/km (9.2 g under the legally required 130 g CO2/km).

Cut European new car fleet CO2 emissions to 95 g CO2/km 2020 EU fleet CO2 emissions in 2015: 120.8 g CO2/km
Win top places and scores in selected product rankings, ratings and awards 2015 Awards in 2015: VCD list: e-up!: winner in power consumption category; AUTO TEST: eco-up! and Golf GTE: winners in the subcompact and compact classes; ADAC EcoTest: Golf TGI BlueMotion, eco-up! and e-up!: best scores

Continuous reduction of carbon footprint 2025 Overall reduction in CO2 emissions (Scope 3 emissions) from 329,943,981 t/a in 2014 to 315,575,476 t/a in 2015
Electrification initiative Until 2025 e-up! and e-Golf already on market, to be followed in 2015 by Passat GTE, Audi Q7 e-tron, Audi A3 e-tron and other plug-in hybrid models. The Volkswagen I.D. concept car, a highly automated all-electric car with a range of up to 600 km (375 miles), will be presented at the 2016 Paris Motor Show
Be consumption leader in each vehicle class (Volkswagen brand) 2015 87 models below 95 g CO2/km
Intelligent mobility and connectivity Develop new Mobility Solutions business as rapidly as possible – Ride hailing as top priority, to be expanded into other market segments; sales target well into billions 2025 Strategic partnership with GETT (launched in 2016)
Become leading provider of autonomous vehicles – Rapid market launch planned: fully autonomous vehicles featuring self-driving system developed in-house from 2021; additional investment programs, plus around 1,000 additional software specialists 2025 In 2015, an Audi A7 research vehicle drove some 900 km (560 miles) from Stanford in California to Las Vegas in 93% piloted (automated) mode
Carry out or participate in research projects

2015 Sustainable Mobility 2.0 project (WBCSD); completion of INEES/URBAN project for user-friendly assistance systems and network management (completed in October 2015 after four years)
Forecast and analyze mobility trends; derive challenges and approaches for future mobility

2015 and ongoing Presented and discussed in internal Group and brand strategy groups and as part of stakeholder dialog (CeBit/Hanover, IAA/Frankfurt)

Expand portfolio of products and services

2015 Quicar/Greenwheels, Paketauto, VRent (China)

Resource conservation across the life cycle

Reduce energy and water consumption, waste and emissions per unit produced across the Group by 25% (baseline: 2010) 2018 21.5% reduction in environmental impact achieved by end of 2015 (cars and light commercial vehicles)

Reduce greenhouse gas emissions associated with energy supplied to production operations in Germany by 40% per unit by 2020 (baseline: 2010) 2020 Successively advised Volkswagen dealerships by providing customized recommendations; some 385 dealerships advised to date, 50 more planned for 2016

Increase efficiency at Volkswagen dealerships in Germany by reducing CO2 emissions by 25% by 2020 (baseline: 2012)

2020 Over the next few years, VW Kraftwerk GmbH is planning to invest in a new combined gas and steam (combined cycle) power plant in Wolfsburg, and in the further development of renewables. In the period to 2015, the company invested around €26 million in renewables – primarily wind farms and photovoltaic power plants. As part of the company’s fuel conversion strategy, VW Kraftwerk GmbH also invested some €15 million in a combined heat and power (CHP) plant in Braunschweig, and around €65 million in a combined cycle plant in Kassel.
Fit TSI and TFSI engines with particle filters

2017

Starting in 2017, all direct-injection TSI and TFSI engines in the Group fleet will gradually be fitted with petrol-engine particle filters, reducing emissions of fine soot particles by up to 90%

Ensure that future emissions tests are generally evaluated by independent third parties. Real-world random tests of vehicles' emissions behavior on the road will be introduced 2025 Starting in 2017