Volkswagen Group CIO Interview: Information System Management Analysis

This report provides a comprehensive analysis of an interview with Martin Hofmann, the Chief Information Officer (CIO) of the Volkswagen Group. The core theme of the interview revolves around the integration of quantum computing into Volkswagen's information systems to address traffic management challenges and enhance smart mobility solutions. The report delves into the CIO's views on quantum computing as the future of IT and its potential to revolutionize various aspects of the automotive industry, including autonomous driving. It examines Volkswagen's recent IT history, including the development of technologies like traffic jam pilots, autonomous parking systems, and connected car systems. The analysis explores the CIO's vision for using quantum computing to optimize traffic flow and presents the CIO's perspective on the importance of smart mobility. The report also critically appraises the CIO's views, discusses potential issues and problems, and suggests future strategies for the CIO to consider. The report highlights the evolution of Volkswagen's IT strategies and the potential benefits of implementing quantum computing and artificial intelligence in the field of traffic management.

Running head: MANAGEMENT OF INFORMATION SYSTEM
Management of Information System
Name of the Student
Name of the University
Author Note

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Table of Contents
Introduction:....................................................................................................................................2
Themes and Views of the Interview:...............................................................................................2
Overview of Organization’s Recent IT History:.............................................................................3
Analysis of the Interview:................................................................................................................4
Explanation of the Interview Theme:..........................................................................................4
Stories and Tasks:........................................................................................................................5
Context of Recent IT History of Volkswagen Group:.................................................................6
Critical Appraising of the CIO’s view:........................................................................................7
Issues and Problems:........................................................................................................................8
Suggestion for Future Strategy and Direction:................................................................................8
Conclusion:......................................................................................................................................9
References:....................................................................................................................................11

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Introduction:
The information systems are the socio technical, formal and organizational system which
are used for collecting, processing, storing and distributing information. Within a socio technical
perspective information systems consists four important components and those are people, task,
technology and structure (Pearlson, Saunders and Galletta 2019). In the current aspect, business
organizations are dependent heavily on the information systems for executing various of business
operations and for interacting with the stakeholders including the customers. These information
systems are also used for inter-organizational supply chains and for the electronic markets
(Cassidy 2016). Thus, in an overall perspective it can be stated that information system is one of
the essential part for the organizations in the current situation.
Respective with information system, in this report an interview of Chief Information
Officer will be analysed. Here, the selected CIO or the Chief Information Officer is Martin
Hofmann from Volkswagen Group. Here, the themes and views of this interview process will be
identified. Also, in the further section the theme of this interview will be also explained and the
view of CIO will be critically appraised. Here, investigation of background of the management
of information system will be also done and from this investigation any type of problems and
issues will be identified. Suggestion for the future strategy will be also shared in this report
which the CIO should be pursuing.
Themes and Views of the Interview:
In this aspect, the interview has been taken of Martin Hofmann who is the Chief
Information Officer (CIO) at Volkswagen Group (Saran 2020). In this interview, the main theme
of discussion was D-wave. In this interview of Martin Hofmann discussion is done regarding

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how Volkswagen Group working with the D-Wave to research uses for quantum computing. As
per view of the CIO the quantum computer will be the future of IT and a vast discussion has
been done regarding how it can be the future of IT. Also, it is discussed that currently, the
Volkswagen Group is planning to implement quantum computers so that they can bolsters the
digital competency programme of them (Saran 2020). Here, the main aim is developing an
innovative creating application that is impossible to program traditionally. There are some
important view behind the implementation of this quantum computer. As per the view of the CIO
implementation of the Quantum computer technology is capable of bringing a high amount of
progress within Volkswagen (Saran 2020). A wide range of possibilities are there including the
autonomous driving and for this reason the quantum computing is very much vital for
Volkswagen in current situation.
Overview of Organization’s Recent IT History:
In the aspect of information technology history there are several of technologies which
has been recently developed by the Volkswagen. Currently, traffic jams is one of the important
issue in the roads. Thus, to help the drivers during this type of situation, Volkswagen introduced
traffic jam pilot using the information technology (Davins-Valldaura et al. 2016). This
technology takes complete control over the car during the traffic jam situation at a speed limit of
64 kmph. Here, various of sensors and scanners are used to assistant the driver during the traffic
jam situations.
Another technology that has been developed by Volkswagen in recent time is the
autonomous parking system (Yi et al. 2017). The autonomous parking system developed by
Volkswagen automatically parks the car within a suitable amount of space. In this information
technology the whole system first connects with the smartphone of the driver and this allows the

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driver to abort the manoeuvre instantly if any type of danger is detected. With this technology
the car can park itself within some tight spaces.
Another technology that has been developed by Volkswagen is the facility of connected
cars. This technology developed by Volkswagen is aiming to connect all the cars running on the
road. Here, the main aim of connecting the cars is making the cars a host function for each other
(Gora and Rüb 2016). By this, the cars will be able to pass information to each other regarding
road conditions, traffic condition, hazards on road and many more.
Also, Volkswagen has developed smart accessories by using the information technology.
In this technology, the supported accessories can be linked with the car through cloud services.
By this technology if there is any chance that those accessories are going to be stolen then an
alert will be sent over the smartphone of the driver. Here, the main aim of Volkswagen is having
an increased connectivity among all type accessories through the car.
Analysis of the Interview:
Here the interview has been taken of Martin Hoffmann who is the Chief Information
Officer of the Volkswagen Group. In the following section these interview is analysed briefly.
Explanation of the Interview Theme:
The main theme of this interview is quantum computing and in this interview a vast
discussion has been done regarding how the quantum computing can become the future of
information technology. In this interview, the CIO of the organization has discussed their
collaboration with the D-Wave for identification of quantum computer applications within
Volkswagen (Saran 2020). Thus, in this interview, the main focus has been given on solving
traffic related problems by using the applications of quantum computer. So, from the interview it

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can be stated that Volkswagen is currently determined include the quantum computer
technologies within their organization and in their products. Through this, Volkswagen will be
able to create better products for their customers. The first aim of Volkswagen by implementing
the quantum computer is traffic flow optimisation in Beijing City. Here, the optimization
problem considers how a particular type of resource can be utilized in a best possible way in a
certain scenario. In this type of tasks there are high amount of complexity is related with it. The
high performance computers can take near about one hour for solving this type of complex
problems where the quantum computer can solve the same problems within only three seconds
(Muschik et al. 2018). Thus, by the implementation of quantum computer, Volkswagen is
looking to optimise the overall flow of the traffic.
Stories and Tasks:
In the current situation with rising number of vehicles everyday traffic jam is becoming a
serious issue for the peoples. Peoples are losing a large part of their precious time due to the
reason of traffic jam (Saran 2020). Thus, it is important to improve the current situation so that
important time can be saved. Here, the CIO of Volkswagen believes that smart mobility is the
only solution for this kind of traffic jam situation. Martin Hofmann believes that quantum
computing is the solution through which smart mobility for the vehicles can be achieved (Saran
2020). Through this information system, optimistic flow of the traffic will be achieved as
computer systems will be calculating the locations of individual vehicles, driving at any instance
of time. By determining the location of the vehicles in real time, the computer system will be
able to determine where traffic congestion will form. Depending on this forecast, it is also the
task of computer system to route the individual cars so that traffic congestion can be avoided.
This type of calculation is a highly complex calculation which involves billions of data items.

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Most importantly, the output of this calculation must be provided in real time situation which is
the main challenge in this case. High performing computers will also take near about one hour
for providing output this type of complex situation. Thus, in this case the ultimate solution is
quantum computing which will be providing the output of this complex calculation in real time
(Lekitsch et al. 2017). In this way, the traffic congestion issue can be solved by a large margin.
Also, Volkswagen is looking to integrate the Artificial Intelligence features in this within the
quantum computer so that the overall system for removing traffic congestion can be strengthen
more. As per the CIO of Volkswagen Group present time might be too early for commercializing
quantum computers within organization but current objectives will surely strengthen area of
quantum computing for Volkswagen Group.
Context of Recent IT History of Volkswagen Group:
From the interview of Martin Hofmann it is quite clear that Volkswagen currently wants
to improve the traffic flow regarding the road vehicles. There is large amount of time wastages
only due to these traffic jams. Thus, solution of these issue is very much important in this case.
For this reason Volkswagen is initiating a system for real time tracing of the vehicles and
directing a proper route to them so that traffic jam can be avoided. For this, Volkswagen has
decided to use quantum computing mechanisms so that output results can be provided instantly
(Martinez et al. 2016). Regarding this Volkswagen group has also has an IT history which was
having similar type of aim. This IT system was the connected cars system. In this system the aim
of Volkswagen was connecting all the cars running on the road. By utilization of this system the
cars will be able to communicate with each other. Here, the aim of connecting all the cars with
the cars with each other is transferring information from one car to another (Koesdwiady, Soua
and Karray 2016). More specifically, in this system all of the cars will act as a host functions for

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each other. In this way a chained system can be created for transferring crucial information from
one car to another. Through this system some crucial information will be shared which includes
information about traffic condition, road hazards and road conditions. As all the drivers will be
having crucial information regarding the roads they will be able to choose correct route for their
destination and ultimately it will make the flow of traffic smoother and faster. This system is
very much similar with their current initiated system of smart mobility. Though there are several
of similarities in both system, the previous system is not efficient as the new smart mobility
system. Here, the new smart mobility system is actually derived from the old information
technology system but is an improved one. The old system was only capable of determining the
condition of the traffic, roads and the hazards on the road but was unable to provide direction to
the driver for avoiding traffic jams. Thus, depending on the information the driver need to set
optimal path for him which can be confusing in many cases. In the new system direction will be
also provided to the drivers so that they will achieve optimal path. In this way new system will
be able to provide solution for the traffic jams.
Critical Appraising of the CIO’s view:
Considering the current view of CIO, it is very much positive for the society. The current
view of the CIO will solve the problem regarding traffic jam which will be ultimately benefit the
society. The strategy taken by the CIO is also quite good for the implementation of smart
mobility system which will be achieved through quantum computing. Quantum computing is
very much helpful for real time computing process (Veldhorst et al. 2017). Thus, current
approach is also correct in this case. As per the CIO quantum computing can implement
tremendous progress in the field of IT which is actually correct. By the implementation of
quantum computing in information technology the data processing section can be improved

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heavily which is an essential part of IT. In this way, the quantum computing can bring
improvements in the field of IT. The main positive aspects regarding the theme is that it can
bring improvements in the road traffic system as it can prevent the traffic jams in an effective
way. The negative aspects of this theme is that the whole system is based on a relatively new
type of technology so, it will take a long time for the commercialization.
Issues and Problems:
In this aspect the Volkswagen Group is aiming to develop a system which will be able to
solve the current issue of the traffic flow. For solving this system quantum computer technology
will be utilized but there are some of issues and problems associated with it. These issues has
been also acknowledged by the CIO. Currently, the quantum computing is primarily used within
the scientific institutes, aerospace sector and in the government agencies and the application of
these system is limited which is the main problem associated with quantum computing (Mueller,
Tarasov and Venugopalan 2019). This technology is very much complex in nature and for this
reason designing a commercially viable application using the quantum computing is very much
challenging. Here, Volkswagen has done a collaboration with D-Wave still, it is quite possible
that several of problem will occur during the development of the applications using the quantum
computer technology. Also, current time is too early for considering any possibility of
commercial use of quantum computer system at the Volkswagen Group due lack of proper
knowledge. Thus, there is always an uncertainty regarding this technology which is another
problem in this context.

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Suggestion for Future Strategy and Direction:
Here, Martin Hofmann the CIO of Volkswagen Group has selected quantum computer
system for solving the current issue of traffic flow. It has been assessed that the quantum
computer is having the ability of performing various operations on data in a quickly. This ability
of quantum computer system can help to achieve a smooth flow of traffic but it is also assessed
that there are some problems associated with the idea of using quantum computers. Regarding
this, in the following section some important suggestion is shared for future strategy and
direction that the CIO must pursue.
 Currently, Volkswagen has collaborated with the D-wave for the implementation of
quantum computers, but still it is suggested to CIO to establish a separate department for
performing a research on quantum computing which will be helping to implement
quantum computers in Volkswagen in much more effective way.
 Qualified and experienced engineers should be hired by Volkswagen for performing
research on quantum computing.
 The quantum computing requires some specific type of hardware system. So, proper
hardware resources should be available to the team for performing research on the
quantum computer system.
Conclusion:
From the above discussion it can be concluded that quantum computer is one of the
important technology which can bring significant improvements in information technology
sector. Here, interview has been taken of Martin Hofmann who is the CIO of Volkswagen
Group. From the interview it has been assessed that Volkswagen is looking to achieve a system

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which will be helping in smart flow of the traffic and for the development of this system they are
relying on the quantum computer technology. In this report, brief analysis of the interview has
been also done. In this report, first themes and views of the interview has been discussed.
Regarding the analysis process the interview has been explained briefly and the critical
appraising of the CIO’s view has been also done. Here, issues and the problems associated with
the current approach has been discussed and in the further section of this report suggestion has
been provided for future strategy and direction regarding the quantum computer system.

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References:
Cassidy, A., 2016. A practical guide to information systems strategic planning. Auerbach
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Gora, P. and Rüb, I., 2016. Traffic models for self-driving connected cars. Transportation
Research Procedia, 14, pp.2207-2216.
Koesdwiady, A., Soua, R. and Karray, F., 2016. Improving traffic flow prediction with weather
information in connected cars: A deep learning approach. IEEE Transactions on Vehicular
Technology, 65(12), pp.9508-9517.
Lekitsch, B., Weidt, S., Fowler, A.G., Mølmer, K., Devitt, S.J., Wunderlich, C. and Hensinger,
W.K., 2017. Blueprint for a microwave trapped ion quantum computer. Science Advances, 3(2),
p.e1601540.
Martinez, E.A., Muschik, C.A., Schindler, P., Nigg, D., Erhard, A., Heyl, M., Hauke, P.,
Dalmonte, M., Monz, T., Zoller, P. and Blatt, R., 2016. Real-time dynamics of lattice gauge
theories with a few-qubit quantum computer. Nature, 534(7608), p.516.
Mueller, N., Tarasov, A. and Venugopalan, R., 2019. Deeply inelastic scattering structure
functions on a hybrid quantum computer. arXiv preprint arXiv:1908.07051.
Muschik, C., Martinez, E., Schindler, P., Nigg, D., Erhard, A., Heyl, M., Hauke, P., Dalmonte,
M., Monz, T., Zoller, P. and Blatt, R., 2018. Real-time dynamics of lattice gauge theories with a
few-qubit quantum computer. Bulletin of the American Physical Society.
Pearlson, K.E., Saunders, C.S. and Galletta, D.F., 2019. Managing and using information
systems: A strategic approach. John Wiley & Sons.