Volkswagen Group Technology Solutions India
Background
Volkswagen Group Technology Solutions India (VWITS) is a strategic internal technical delivery arm of the Volkswagen Group, established in 2016. With a vision to be "Globally the Best Software Development & IT Solutions Organization in the Group (Brands & Regions)," VWITS offers digital solutions, application development, and product innovation. The company operates from three locations in Pune, Gurugram, and Bengaluru, employing over 2,600 IT professionals.
Key Strategic Focus
VWITS plays a pivotal role in Volkswagen Group's NEW AUTO strategy, aiming to transform the company into a software- and data-driven provider of sustainable mobility. The organization focuses on developing state-of-the-art technology solutions for various digitization initiatives within the Group. Key areas of specialization include:
- Digital Solutions: Developing and delivering cutting-edge digital products and services.
- Application Development: Creating robust applications to support various business processes.
- Product Innovation: Driving innovation through the development of new products and services.
VWITS is equipped with competencies in machine learning, cloud computing, artificial intelligence, Java, SAP, and Microsoft technologies. The company has developed in-house products like AISHA-Chatbot, IRIS (an OCR-based invoice processing tool), and a desk booking tool. Additionally, VWITS has a strong talent pool with SAP HANA and cloud expertise, leading S4/HANA migrations within the Volkswagen Group.
Financials and Funding
As a wholly owned subsidiary of the Volkswagen Group, VWITS operates as an internal technical delivery arm and does not engage in external funding rounds. The company's financials are integrated within the broader financial structure of the Volkswagen Group.
Pipeline Development
VWITS is involved in over 180 projects and services for various Volkswagen Group brands, including Volkswagen, MAN, Scania, Traton, Audi, VWN, Škoda, Bentley, and Navistar. These projects span across regions such as Asia-Pacific, Africa, and the Americas. The company focuses on building IT mobility solutions using Agile development methodologies, including Test Driven Development, Pair Programming, and Code Sharing techniques.
Technological Platform and Innovation
VWITS leverages a robust technological platform to deliver innovative solutions:
- Proprietary Technologies: Development of in-house products like AISHA-Chatbot and IRIS for enhanced operational efficiency.
- Scientific Methodologies: Utilization of Agile development practices, including Test Driven Development and Pair Programming, to ensure high-quality software delivery.
- AI-Driven Capabilities: Integration of artificial intelligence and machine learning to develop intelligent systems and applications.
Leadership Team
The leadership team at VWITS comprises experienced professionals driving the company's strategic initiatives:
- Sidharth Yadav: Managing Director, emphasizing the development of VWITS into a key technology innovation hub for Volkswagen's Group IT.
- Hauke Stars: Member of the Board of Management, Volkswagen AG, overseeing IT and digitalization, and spearheading the NEW IT strategy.
- Dr. Cornelius Menig: Head of Application and Infrastructure, focusing on building in-house expertise for key applications serving critical business processes.
Leadership Changes
In February 2022, Hauke Stars joined Volkswagen AG as a Member of the Board of Management, responsible for IT and digitalization, marking a significant addition to the leadership team.
Competitor Profile
Market Insights and Dynamics
The Indian IT services industry is highly competitive, with several major players dominating the market. According to a 2022 report, the top Indian IT services companies by revenue are:
1. Tata Consultancy Services (TCS): $27.5 billion
2. Infosys: $18.2 billion
3. HCL Technologies: $12.3 billion
4. Wipro: $11.2 billion
5. Tech Mahindra: $6.5 billion
6. LTIMindtree: $4.1 billion
Competitor Analysis
VWITS operates in a niche segment, providing specialized IT solutions exclusively for the Volkswagen Group. While it does not directly compete with the aforementioned companies in the open market, it benchmarks against them in terms of technological capabilities, talent acquisition, and operational efficiency.
Strategic Collaborations and Partnerships
VWITS has established significant collaborations to enhance its service offerings:
- Škoda Auto Partnership: Strengthening strategic partnership with Škoda Auto to advance app portfolios, artificial intelligence, data analytics, and technology services. This includes opening a VWITS regional office in Prague to foster collaboration and create new links with specialists in India.
Operational Insights
VWITS's strategic considerations include:
- Talent Acquisition and Development: Aiming to double its workforce to 3,500 employees by the end of 2024 to support the NEW AUTO strategy.
- Gender Diversity Initiatives: Launching the "EVOLVE" program to groom female talent for leadership roles, addressing the dip in women's representation at the managerial level.
