Inside Volkswagen’s Next Era of Supply Chain Leadership

Volkswagen has named Karsten Schnake as the new board member responsible for procurement at Volkswagen Passenger Cars, with effect from 1 November.

The change sees him succeed Dirk Große-Loheide, who exits the role as part of a long-planned retirement. Karsten steps into this position while continuing his duties at Škoda Auto until the end of the year, ensuring continuity during the handover.

The reshuffle places Karsten at the centre of one of the most complex and high-stakes functions within the Volkswagen Group – managing procurement across multiple brands and markets.

From sourcing raw materials for electric vehicle batteries to navigating unpredictable semiconductor supplies, the job goes far beyond negotiating contracts.

Stepping into the hot seat

Karsten brings nearly 30 years of experience to the role, beginning his journey at Volkswagen in 1996 in Wolfsburg, working in project management. Over the years, he has built a reputation as someone deeply familiar with global procurement structures, moving through leadership positions across Europe and Asia.

At Volkswagen Group Italy, he leads procurement with a focus on global coordination, capacity control and cost discipline. In China, as Executive Vice President for strategic procurement, he handles procurement activities for all group brands operating in the region.

Since July 2020, Karsten has held the position of Board Member for Procurement at Škoda Auto. Now, as he takes on procurement leadership for the core Volkswagen brand, the Brand Group Core and the wider Group, the challenge expands to reshaping supply chains at scale.

Writing on LinkedIn, Karsten shares: “I’m honoured to follow Dirk Große-Loheide, whose leadership has left a strong legacy across the group. Thank you, Dirk, for your trust and inspiration.” 

“Throughout my career, I’ve helped drive group-wide initiatives – from harmonising procurement processes across all brands to leading teams through major global challenges such as the Fukushima aftermath, the global economic downturn and the semiconductor supply crisis.

"These experiences have shaped how I see resilience – not just as a strategy, but as a shared mindset across the group. For me, it has always been one group, one journey – no matter the brand or location. From Wolfsburg to Verona, Beijing to Mladá Boleslav, the mission has remained the same: shaping progress together.”

From Wolfsburg to Mexico – Dirk’s long journey

Dirk Große-Loheide retires from the position after a career that spans decades, beginning with machine procurement in Wolfsburg and including senior roles at SEAT, Volkswagen Commercial Vehicles and Volkswagen de México.

In 2014, Dirk moved into Group Procurement and in 2017 joined MAN Truck & Bus, becoming part of the Volkswagen Truck & Bus Board of Management.

In 2019, he re-joined Volkswagen AG and takes on procurement responsibilities at Audi before becoming a member of the Board of Management at Volkswagen Passenger Cars in January 2023.

As procurement lead, he works to embed sustainability into purchasing practices, increase transparency in critical supply chains like battery materials and enhance cost and risk control mechanisms.

Group CEO, Oliver Blume, says: “In challenging times, Dirk Große-Loheide has realigned procurement and developed a forward-looking procurement strategy. I would like to express my special thanks to him for the impulses he has given the Volkswagen Group.

"I’m very pleased that Karsten Schnake is his successor. He will successfully continue on this path thanks to his substantial experience and expertise.”

Supply chains under pressure

Procurement is more than contracts and spreadsheets – it shapes how Volkswagen responds to global volatility.

From battery materials to microchips, the Group's supply chain management must now account for geopolitical tensions, environmental scrutiny and tight timelines for electrification. The challenge is to ensure availability of critical components while keeping a tight grip on risk exposure.

Dirk’s legacy includes building a framework for greater transparency, particularly around raw materials for electric vehicles. These materials – such as lithium, cobalt and nickel – come with both cost volatility and environmental scrutiny.

His successor is expected to build on these structures while also addressing emerging supply chain risks, including potential restrictions on Chinese goods and logistics bottlenecks in Europe.

Thomas Schäfer, CEO of the Volkswagen brand, adds: “Thanks to his many international positions, he has in-depth brand and regional expertise and has already successfully established many new business areas.

"This means that Karsten brings with him the very know-how we need for the next steps in our transformation.”

Karsten now faces a global procurement landscape defined by uncertainty. His ability to build on Dirk’s work, navigate risk and push for further standardisation across group brands will define the pace and resilience of Volkswagen’s transformation.

From his perspective, it is a shared journey – and it starts with the supply chain.