MUNICH -- Volkswagen Group is planning to replace CEO Matthias Mueller with Herbert Diess, the head of the namesake brand, people familiar with the matter said.
The change will be discussed at a supervisory board meeting on Friday, said the people, who asked not to be identified speaking ahead of an official announcement.
A VW spokesman could not immediately be reached for comment.
VW said in a statement on Tuesday that Chairman Hans Dieter Poetsch is currently in discussions with top executives and supervisory board members about management board changes and that Mueller, 64, has "showed his general willingness to contribute to the changes."
The release did not provide any specifics.
In tapping Diess for the top job, Volkswagen would elevate a senior executive from its own ranks, while at the same time relying on a relative outsider to run the company.
Diess joined VW from BMW Group in mid-2015, months before the diesel crisis erupted. As the executive overseeing VW's biggest unit, he routinely butted heads with the powerful labor union as he sought to cut costs and simplify the carmaker's structure.
