The Volkswagen Auto Group (VAG) has announced that they have appointed a new CEO to lead the company. Succeeding Matthias Muller is Herbert Diess, formerly from BMW and moved to Volkswagen in 2015. Along with the announcement of Diess taking the helm of Volkswagen Auto Group, the company also announced a major restructuring of the brand.

Diess has been in the motoring circles since the late 1980's with Bosch. He joined the manufacturer side in 1994 with BMW as the head of the company's purchasing department and eventually moved up to research and development. Diess stuck with BMW for 20 years until Harald Kruger was promoted to CEO. A year later, he moved to the Volkswagen and has been with the board since then.

He was just a few months in the new post when the Volkswagen emissions scandal rocked the industry which saw Martin Winterkorn step down as CEO and Muller take on the new role. Just a few years into Muller's stint, Volkswagen appointed Diess to take the helm of the company and, at the same time, will also overlook research and development across the company. Some of his primary objectives as CEO will be streamlining costs, boosting profit margins and continue the groundwork for building electric vehicles.

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With that, VAG has said that there will be a restricting of the brands, which seen them divided into six different groups. The six groups include Volume, Premium and Super Premium for cars, Trucks and Buses, Research and development, and a division solely focused on the Chinese market. Muller will be making an announcement later this week to present his plans for the group to the press soon.