Latest Automotive News

Subscribe in a reader

Made in Germany: The Porsche Success Story

Email   small font medium font large font

Porsche celebrates its anniversary. Exactly 60 years ago the cornerstone was laid for the family-operated industrial company, whose rise from modest beginnings to become one of the most important sports car manufacturers in the world no one back then would have ever foreseen.

On June 8, 1948 a new chapter in automobile history began.For on this day, the first Porsche prototype with the vehicle identification number 356-001 received its official approval and homologation for road service. “It all started when I began looking around and just could not find my dream car. So I decided to build it myself”, said Ferry Porsche – and to this day, this genius and pioneering spirit has shaped the philosophy of the company.

However, in the past six decades, Porsche has not only experienced peaks, but also troughs. Yet thanks to efficient production methods, clear branding and innovative models, such as the 356 and the 911, Boxster and the Cayenne, the once small sports car specialist quickly transformed into one of the most successful and profitable automobile manufacturers in the world.

When Wiedeking took over management in 1992, Porsche had reached the peak of its most serious economic crisis ever. The company was in danger of losing its most valuable asset - its independence. Porsche was suddenly ripe for takeover. The situation had to be handled immediately. And the shareholder families Porsche and Piëch told the Board that they would lend their support.

Wiedeking and his Board colleagues not only had the Boxster produced, but also brought about the company's turn-around through other economic measures. Under the generic terms “lean management” and “lean production”, new organizational and production workflows were introduced and the company's hierarchy and process structures were reorganized from top to bottom. It did not take long for the internal efforts to improve productivity and the newly developed model line to have a positive impact. As early as 1995, Porsche was back in the black and began to assume a leading position by breaking new revenue, sales and earnings records annually.

Not only the balance sheet, but also the reputation of the Porsche brand reflects the company's exceptional position. For the fifth time in a row, top German managers from all industries selected Porsche AG as the company with the best image in a survey from “manager magazin”. The prestigious quality study “Initial Quality Study” of the American research institute J.D. Power ranked Porsche in first place for the second time. And the J.D. Power “Appeal” Study confirmed that the Stuttgart-based sports car manufacturer had, for the third time in a row, been ranked by American customers as the most appealing brand.

Over these 60 years, Porsche has worked very hard to achieve this special image, mainly through its most varied innovations and also, in particular, in the area of environmental protection. Porsche engineers are never satisfied with only meeting current environmental regulations passed by lawmakers. It has always been their goal to exceed them. Porsche vehicles should also set an example when it comes to environmental protection. So, as early as 1966, the first authorized emissions test in Europe was performed using a 911. Not long after, a separate department was established that also tested the emission values from vehicles produced by other manufacturers.

Porsche develops new technologies not just to improve driving features, but also to continuously optimize the cars for environmental sustainability. In the last 15 years, Porsche has succeeded in reducing the fuel consumption in its new cars, and thereby also CO2 emissions, by an average of 1.7 percent annually. With regard to engine performance, Porsche currently already ranks among manufacturers with the lowest CO2 emissions. And by 2012, the fuel consumption in Porsche vehicles is going to be reduced by a further 20 percent - new innovative engine technologies and the hybrid drive for the Cayenne and Panamera will make this possible.

Former Chancellor Gerhard Schröder once said: “Porsche is a model for Germany.” By this, he was not only referring the company's engineering ingenuity which the company stands for, hhe also meant the David principle with which Porsche, as a small automobile manufacturer, has been able to keep up with the Goliaths of its industry over the last 60 years. With the quality seal “Made in Germany”, its rejection of subsidies as well as its sense of social responsibility toward its employees and society, Porsche has unflinchingly pursued its own path.

This includes Porsche's step toward a new future in September 2005: its majority holding in Volkswagen AG. With almost 31 percent of the voting share capital, Porsche is now the largest shareholder in VW. During the course of this year, its share will be increased to over 50 percent.

The goal of this path is clear: Under the umbrella of Porsche Automobil Holding SE, not only will growth for Porsche and Volkswagen be ensured thanks to their proven development and production partnership over the decades, but also the independence of both companies. And the Chairman of the Board, Dr. Wendelin Wiedeking promises that in the anniversary year of the Porsche sports car: “Porsche will remain Porsche in the future. Just as Volkswagen will remain Volkswagen. That is the recipe for success.”

Receive the latest automotive news by email!

Enter your email address:

Related news
Porsche AG's chief executive said Wednesday that his company has made no decision on whether to raise its stake in rival German automaker Volkswagen AG, and suggested that it was in no hurry ...
Porsche continues to meet and exceed the quality demands of consumers in its largest export market, the United States. Porsche recorded the top ranking of all brands surveyed in the 2008 J.D. ...
This morning Porsche AG, Stuttgart, received the award “Best Automobile in the World” in the Cabriolet category for the Porsche 911. Almost 95,000 readers of the German specialist journal “auto motor und sport” ...
BERLIN (AP) _ Germany's financial regulators have approved automaker Porsche AG's takeover offer for Volkswagen AG, which it was obligated to make after acquiring more than 30 per cent in ...
Huge customer interest for the fourth Porsche model series. Stuttgart/Leipzig. Today, just three months after the new Panamera went on sale the 10,000th car rolled off ...
PARIS (AP) _ Renault SA is counting on the success of its new Laguna upscale sedan to help turn around the French carmaker's fortunes, deputy Chief Executive Patrick Pelata told Le Monde ...
They can plumb the Internet for the latest movie times, news headlines, stock figures and gas prices. They'll even help you skirt traffic, find a parking spot or make a phone call. Oh, ...
NEWARK, N.J. (AP) _ A U.S. tire importer said Thursday it will recall 255,000 Chinese-made tires it claims were defective because they lack a safety feature that prevents tread separation. The recall involves ...
DaimlerChrysler AG is looking at selling cars made by China's Chery Automobile Co. Ltd. in the United States through its Chrysler group, a German magazine reported Monday. That could help ...

Best Investment Newsletter

- 46% in 2008

- invest in the best performing US stocks only and sell them when the uptrend is over

- very easy to follow, simple buy/sell signals

- no need to have investing or trading experience

Find More Now!

Made in Germany: The Porsche Success Story
> © 2006-2017 except where otherwise noted