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Volkswagen Faces New Crisis

Volkswagen's reputation is suffering
Karina Chowaniak
22 October 2015• 1 min read
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The German automotive giant is struggling with major delays in delivering spare parts, while parking lots at authorized workshops are filling up with broken-down vehicles waiting for repairs.

The reputation of Volkswagen, as well as the entire German industry, has been severely damaged.

System ET2000 at the heart of the delays

The blame lies with a new IT system implemented at Volkswagen’s distribution center in Komorniki near Poznań, Poland. Issues with spare part availability began just two months after the warehouse opened.

Poland as the test ground

The Polish market became a victim of the German company’s experiment. Poland is the first country where Volkswagen Group deployed the ET2000 system with an extended inventory management module — the very cause of the supply delays.

Diesel scandal still hanging over the company

Volkswagen's crisis in Poland: ET2000 system and spare part delays

Recall that this is not the only problem facing the company. Berlin admitted that Volkswagen may have manipulated emissions in Europe across multiple engine types — criminal proceedings in this matter are still ongoing. Economists fear the scandal could hurt the entire German economy.

Trying to calm the mood is the German Chamber of Commerce, BGA. Its representatives aim to reassure public opinion, claiming there is no indication that foreign customers have started doubting the quality and reliability of German brands.

Summary

The new ET2000 IT system with an extended inventory management module, deployed at Volkswagen’s distribution center in Komorniki near Poznań, has caused serious delays in spare part deliveries. Authorized workshops are seeing their parking lots overcrowded with broken-down cars awaiting repairs, and the problems began just two months after the warehouse launched. Poland is the first country where Volkswagen Group took such a step.

This is not the company’s only issue — concurrently, criminal investigations continue into emissions manipulation in various engine types. The German Chamber of Commerce BGA is attempting to ease concerns, asserting that foreign customers have not yet lost confidence in German brands.

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Audio version · ~1:51

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