As the names suggest, the brands will be divided according to product value, with the likes of Volkswagen, Skoda and SEAT found in the Volume category, while Lamborghini, Porsche and Bentley will make up the Super Premium segment of the business. Apart from this, Oliver Blume, Porsche CEO will be joined to the group Board of Management.
"The Volkswagen Group's goal is and remains to align the company and its brands with future needs, to safeguard its position among the leaders of the worldwide automotive industry with innovativeness and profitability and to be instrumental in shaping tomorrow's personal mobility with the strength of our Group brands", said chairman of the Supervisory Board Hans Dieter Pötsch in the statement announcing the changes.
VW's powerful labour chiefs took pains to endorse the new boss ahead of Friday's news conference.More news: Britain's United Nations ambassador denies Russian accusation over alleged chemical attack in Syria
Among the other changes at the company, Frank Witter will lead company IT and Rupert Stadler will lead group sales. The board of directors turned to longtime company employee Mueller, who started at Audi in 1978.
Mueller, 64, has already steered the mammoth carmaker into a massive restructuring, aiming to offer electric versions of many of its models and slim down its operations over the coming decade.
But he has himself landed in prosecutors' sights over suspicions he may have known about the cheating before it became public and failed in his duty to inform investors. It is a scandal that continues to plague VW in Europe.More news: Winnie Mandela Bore the Scars of Battle, Helped Heal a Nation
Shares in Volkswagen were up 0.7 percent to 177.88 euros by 1415 GMT, against a similar rise for the STOXX 600 automotive index.
The move is a piece of far-reaching developments declared by the German organization, which likewise possesses a few different brands including Audi and Porsche.
Since then, Diess has worked to cut costs and increase profits at the core Volkswagen brand.More news: Timmy Matley shared tweet to 'future husband' leading up to his death
"Diess has no problem making enemies", the Sueddeutsche Zeitung daily wrote, recounting how the "tough-as-nails" executive drove a hard bargain with suppliers as head of purchasing at BMW. He inherited the top role from Martin Winterkorn, who resigned when the scandal broke.