Case 1: VOLVO GROUP
Assar Gabrielsson and Gustaf Larson founded Volvo in 1924, but it was officially founded on April 14, 1927, when the first car left the factory in Hisingen, Göteborg. Till then the Volvo Group has become one of the leading Swedish automobile manufacturing company offering products such as buses, trucks, construction equipment, drive systems for marine and industrial applications as well as aircraft engine components (Volvo annual Report 2006). Key Business Strategies:
One of the Groups HR statement is “Our customers’ needs govern our strategy” (Volvo annual Report 2006), which clearly indicates that the Group is customer centric. Volvo Group pursues a differentiation strategy. The bases of differentiation are superior quality, brand image, quick product delivery. A key feature of the Volvo Group’s growth strategy is to increase its presence in emerging markets, primarily in Asia and Eastern Europe thus spreading its brand image. Another, key long term business strategy which Volvo Group adopts is business by acquisition (Volvo annual Report, 2006).
Key HR Strategies:
Volvo’s HR Vision:
“The Group’s employees and their knowledge and competence are a crucial prerequisite in achieving the corporate vision.’’(Volvo annual Report, 2006). The above statement clearly depicts the company’s intentions to involve employees knowledge and competence in developing their corporate and business strategies.
Recruitment: Recruitment of personnels takes place in all a similar fashion in all business units for both managerial and executive level. Recruits skilled and competent workforce at all levels and institutes various promotion activities aimed at giving employees every opportunity in fully utilizing their skills gifts at work.
Training and development strategy: Along with the basic training, the Group also believes in continuous competence development, which involves an internal training, this offers employees a wide range of courses and training...