Student: Danilo Quevedo Orjuela

1. WHAT WAS THE VOLKSWAGEN SCANDAL? PLEASE EXPLAIN

The scandal of the Volkswagen company, or also known as the Dieselgate, began with a
Project that was in charge of the organization ICCT (International Council On Clean
Transportation) of the University of West Virginia, which consisted of the study of diesel
models from Europe and their emissions, and this was to check if the American
standards for NOX gas emissions were met.

This project started with three models of diesel vehicles, two of them Volkswagen jetta
and Passat, both from the 2012 range. In this study it was determined that Volkswagen
cars on the road exceeded up to 29 times the legal maximum emission of gases .

In September 2015, the Volkswagen fraud came to light through an EPA conference that
revealed the car company's use of software to bypass NOx emissions testing.

As a consequence of the success of the “clean diesel” campaign, the EA 198 engine, the
protagonist of the scandal, had achieved worldwide acceptance and not only in
Volkswagen vehicles. This type of engine was also found in vehicles of the Audi, SEAT
30 and Skoda brands, as well as in certain Porsche models. This was a consequence of
the strategy of sharing as many components as possible among the group companies,
which had a drawback: the large number of cars affected by fraud. The figure reached 11
million units worldwide, the majority in Europe. Volkswagen was facing a problem of an
international dimension.

2. WHICH WERE THE REAL VOLKSWAGEN GROUP VALUES? PLEASE EXPLAIN

After the scandal, the Volkswagen group used the tool of communication and
transparency to be able to regain the public's trust.

In order to find a solution with the affected customers, the first step was to make a
buyback option by the company or the correction of the device, to the owners of the
vehicles at no cost, as a second value was the truth they began to conduct an internal
investigation to clarify the whole truth.

Likewise, the reorganization that the company needed in order to provide greater
independence to the companies that make up the group, with a more decentralized
management, efficiency in the processes will be gained, as a last step, continue with the
strategy of turning the automotive company into the most successful, fascinating and
sustainable in the world, with four clear objectives that are innovation and technology to
achieve customer satisfaction; increase the level of production and sale, acquire a solid
financial position and retain the talent of the workers for the formation of a qualified and
motivated team.

3. WHICH WERE THE VALUES THAT VOLKSWAGEN IGNORED IN THE CASE?

PLEASE EXPLAIN

I believe that this company lacks the following values:

Respect: Respect others, do our best to understand, take responsibility and do our best
to build mutual trust, which I lacked when they knew they were doing things wrong and
continued to sell these cars.

Continuous improvement: Since no process can be considered perfect, there is always

room for improvement, we must continually improve.

Challenge: Maintain a long-term vision and face all challenges with the courage and
creativity necessary to realize that vision, because Volkswagen only began to review its
processes when it was in trouble.

go and see for yourself: Go to the origin to discover the facts that allow making correct
decisions, create consensus, and achieve objectives, because the company was not the
first to realize it denotes that its processes did not have perfect quality control .