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Volkswagen’s PowerCo Charges Up EV Transition
As part of its efforts to accelerate the transition to electric vehicles (EVs), Volkswagen has made significant strides in setting up its battery company PowerCo. The automaker, one of the leading car manufacturers globally, has taken the bold step of vertically integrating the battery value chain by founding PowerCo in 2022.
To achieve this ambitious goal, PowerCo required a cloud-based ERP system that could support its rapid growth and meet the demands of its fast-paced industry. SAP’s S/4HANA Cloud solution proved to be the perfect fit, allowing the company to set up a fully operational system in less than six months.
The project, which was completed with remarkable speed, demonstrated the importance of having standards in place for such large-scale operations. According to Andreas Eckle, CIO of PowerCo SE, “We have a very high demand that we need to satisfy for electric vehicles, and from our understanding this will only work if we have the right standards in place.”
PowerCo’s partnership with SAP enabled the company to quickly deploy its first gigafactory in Salzgitter, Germany. This facility will be capable of producing battery cells for Volkswagen Group at a scale that is unprecedented in the industry. In addition to cell production, PowerCo aims to also develop and recycle battery cells, as well as explore new business models centered around energy storage systems.
The successful implementation of SAP’s S/4HANA Cloud system has provided PowerCo with a strong foundation upon which it can build its future operations. This includes the recycling of battery cells, the development of new business models, and support for its fast-growing workforce.
With its cloud ERP system now live, PowerCo is well-positioned to meet the demands of the rapidly evolving mobility sector while maintaining profitable and sustainable operations.
Source: https://www.forbes.com/sites/sap/2025/03/04/volkswagens-powerco-charges-up-ev-transition/
