agent Entrepreneur logo
MenuMENU
SearchSEARCH

VW Production Chief Leaves Amid Production Troubles

Volkswagen has replaced its production chief Michael Macht, who oversaw the introduction of a manufacturing platform which was designed to cut costs, a day after the company reported a drop in operating profit, reported Reuters. VW is increasingly relying on its MQB modular platform, a production system introduced two years ago, to save money by ... Read More »

August 4, 2014
2 min to read


Volkswagen has replaced its production chief Michael Macht, who oversaw the introduction of a manufacturing platform which was designed to cut costs, a day after the company reported a drop in operating profit, reported Reuters.

VW is increasingly relying on its MQB modular platform, a production system introduced two years ago, to save money by using more common parts across its range of brands and models.

Ad Loading...

But the drive to produce a greater variety of cars is proving tricky, particularly at VW’s main Wolfsburg factory, leading to costly overtime and delays in production of its top-selling Golf model.

Macht’s resignation follows the publication of second-quarter results on Thursday which highlighted the growing troubles at the core VW brand, where operating profit plunged by over a third to 572 million euros.

Macht will leave VW with immediate effect after almost four years in the job, Volkswagen said. Macht, a former Porsche executive, became VW group production chief in October 2010.

“Michael Macht has furthered development of the VW production system,” Chief Executive Martin Winterkorn said in a statement. “We thank him for his achievement.”

Analysts have hailed MQB as the most important automotive initiative for years. The new platform features a far greater degree of flexibility and parts commonality than at Toyota, General Motors and other competitors.

Ad Loading...

“MQB is the central tool for VW to improve margins,” Hanover-based NordLB analyst Frank Schwope said. “They can’t allow any slippage here.”

VW has enjoyed a period of unprecedented growth, boosted by emerging-market buyers of its upmarket Audi brand. Its sales have risen more than a half to 9.7 million vehicles in 2013 compared with levels before the financial crisis, and it is set to hit a 10-million sales target in 2014 – four years early.

But the rapid expansion has led to a costly proliferation of models, especially at the VW brand. Winterkorn has now ordered a cost-cutting drive at the division with the goal of increasing savings to 5 billion euros per year from 2017.

Last month, Winterkorn had called on managers to step up their game to achieve a universal roll-out of MQB.

VW said Thomas Ulbrich, head of production at the carmaker’s main passenger-car brand, would take over duties from Macht on an interim basis until a successor is found.

More Industry

F&Iby Lauren LawrenceFebruary 27, 2026

Price Driving Insurance Churn

Over half of insurance holders ages 18 to 29 reported to be 'somewhat' likely to change providers in the next 90 days, according to CivicScience, which found that interest was lower among older age groups.

Read More →
Industryby Lauren LawrenceFebruary 26, 2026

AI Drives Dealer Website Traffic

Total visits to dealer websites from generative artificial intelligence platforms grew more than 15 times year-over-year, signaling a shift in how many consumers shop for cars online.

Read More →
Industryby Hannah MitchellFebruary 26, 2026

Automakers Tops in Fuel Economy

In the U.S., Honda has the most efficient gas-electrified combo lineup while Tesla beats all automakers in annual EPA ranking as brands built their alternative-fuel offerings.

Read More →
Ad Loading...
F&Iby Lauren LawrenceFebruary 25, 2026

Report Finds Year-End F&I Strength

Deal volume ebbed and flowed throughout 2025, but product performance remained steady, according to automotive technology and data intelligence solutions provider StoneEagle.

Read More →
Industryby Hannah MitchellFebruary 24, 2026

Overall Consumer Confidence Up

Americans’ view of present business conditions, the labor market and family finances, though, are still in the dumps, and if they plan to buy cars, many target used units.

Read More →
Auto Financeby Lauren LawrenceFebruary 23, 2026

Auto Loan Forecast Bucks Market Trend

Auto loan originations rose over 6% year-over-year in the third quarter of 2025, but TransUnion predicts a slight decline in auto loan growth this year, making it an outlier in the company's overall lending forecast.

Read More →
Ad Loading...
F&Iby Hannah MitchellFebruary 23, 2026

Some Auto Brands Cheaper to Insure

A new top 10 list ranks the least expensive for average full insurance coverage on a clean driving record and high driver credit scores.

Read More →
Industryby StaffFebruary 20, 2026

Learn to Manage the Mayhem at Agent Summit

Rob Mancuso – president of Mancuso Automotive – will present a Keynote at the 2026 event.

Read More →
Fixed Opsby Hannah MitchellFebruary 20, 2026

Auto Recalls Sank Last Year

2025 Sedgwick data indicate that the number of vehicles affected fell to its lowest point in more than a decade.

Read More →
Ad Loading...
Industryby Lauren LawrenceFebruary 19, 2026

Affordability Leads Top-Rated List

Edmunds’ editorial team tested 300-plus vehicles to help determine the Top Rated Awards for 2026, and one brand stood out with multiple rankings, including Best of the Best.

Read More →