How Sustainability is Fuelling Škoda's Leadership Transition

Škoda Auto has appointed Michael Kerschensteiner as its new Chief Procurement Officer, overseeing procurement operations for both Škoda and the Region East division.

The appointment, effective from 1 February 2026, brings two decades of Volkswagen Group experience to the role as the automotive manufacturer strengthens its procurement capabilities amid a strategic shift towards electrification and sustainability.

Michael succeeds Karsten Schnake, who has transitioned to senior roles within the Volkswagen Group, including Member of the Extended Executive Committee and Member of the Board of Management of the Volkswagen Brand responsible for Procurement.

The leadership change comes as the automobile company implements its "Next Level – Škoda Strategy 2030", which positions procurement as a strategic driver of innovation rather than simply a cost optimisation function.

Leveraging Volkswagen Group expertise

Michael's career trajectory within the Volkswagen Group has spanned various senior procurement positions since 2004. Beginning at Audi in Ingolstadt, Germany, he progressed through management roles focused on electronics and infotainment purchasing before moving to China as Executive Director Supply at FAW-Volkswagen.

Between 2021 and 2023, Michael returned to Germany to work for Audi AG, where he oversaw product strategy purchasing and the industrialisation of all-electric and combustion-engine models.

Most recently, he served as Senior Vice President Group Procurement – New Product Launches at the Volkswagen Group, shaping procurement product strategy across the Group's brands.

Klaus Zellmer, CEO of Škoda Auto, says in a statement: "With the appointment of Michael Kerschensteiner, we are gaining an internationally experienced executive with a proven record of building sustainable supplier partnerships and implementing innovative, forward-looking strategies.

"His leadership will be instrumental in further strengthening the vital work of procurement at Škoda Auto, enhancing synergies within the Brand Group Core and driving overall efficiency."

Shifting towards sustainable procurement

Škoda's procurement strategy, aligned with both the company's "Next Level – Škoda Strategy 2030" and the broader Volkswagen Group sourcing strategy, could signal a comprehensive shift from cost optimisation towards innovation, sustainability and resilient supply chain management.

The company places strong emphasis on the circular-economy principle, prioritising the sourcing of recycled and recyclable raw materials to minimise environmental impact across the entire product lifecycle.

This strategic approach positions procurement as a connector to identify and integrate innovation potential from external partners. Initiatives include exploring new materials, such as upholstery made from recycled PET bottles and leveraging technologies like AI in procurement operations.

The goal is to reduce the CO₂ footprint throughout the supply chain whilst maintaining the volume and cost advantages of Volkswagen Group-wide sourcing.

Building on strong foundations

Michael's predecessor, Karsten, began his career within the Volkswagen Group in 1996, working in project management before developing expertise in procurement, cost and process management. Throughout his career, he led teams globally, including operations in Italy and China.

His tenure at Škoda Auto saw significant restructuring of the procurement function, contributing to enhanced resilience and performance across the organisation. The transformation positioned the department as a strategic partner in the company's broader sustainability and innovation objectives.

Klaus adds in a statement: "Karsten Schnake has successfully restructured Škoda Auto's procurement function in recent years, making a decisive contribution to the company's resilience and performance.

"On behalf of the entire Board of Management, I would like to thank Karsten for his outstanding achievements and at the same time welcome our new colleague Michael to this important function."

The leadership transition coincides with significant product developments at Škoda. Klaus announced on LinkedIn: "This is going to be an exciting year. We will host two major world premieres that will double our BEV portfolio with options for the different needs of everyday explorers. It will be another epic chapter in our journey to offer attractive and pragmatic choices in emobility."

The announcements include the Škoda Epiq, described as an innovative all-electric crossover, alongside a new 7-seater model launching later in the year.

These developments, combined with the procurement leadership change, could demonstrate Škoda's strategic alignment between operational excellence and product innovation as the company advances its electrification ambitions.