Table of Contents
I.
INTRODUCTION.. 2
Background. 4
Statement of objective. 4
2. Content and
Analysis. 4
A. Integration of operation and
development. 4
B. Process design and layout. 6
C. Process Flow Chart and Process Map. 11
D. RISK MANAGEMENT. 19
E. CORPORATE SOCIAL RESPONSIBILTY. 21
CONCLUSION.. 21
RECCOMENDATIONS. 22
References
I. INTRODUCTION of the Volkswagen Vehicle manufacturer
Companies in automobile sector look for more
specialized working outcome of the operations to earn an agenda perspective for
return on deployment and to get more of investments. The companies in such
industry have to minimize their operating costs to meet the production
companies and to make them look into such sector to enhance development and
growth and innovations with continuous parameters. This agenda is basically knowing
as scientific management which describes a theory of diversifies managerial operations
into labor activities as well as operational activities along-with operating
high costs including sales which are supposed to be very low to have high
margins to overcome all the given tasks. This requires sustainable operational
ideas to go with the company’s ideas that can become pioneer into acquainting
manufactured costs and aggregation of assembling of ideas and prospective
manufacturing which can provide minimized expenses over sales for more benefits
of employees so that they can actually line up their tasks with the moderated
models to have a start up design to go into action so that more problems can be
tackled with more customer interaction and low task hectic skills requirement
and within low time duration. This makes the company to tackle all the company
needs and problems that the valuable customers are facing with the company and
makes the company responsible towards its actions for more behavioral
satisfaction and less judgment of having industrial problems and customer
related problems. (Kazami, 2001)
Volkswagen came up with such production system that
varies into different sectors for different regions and same like in Oman with
high quality techniques and equipments for the enhanced quality provision of
its vehicles to its local customers so that more appropriate customer service
can be reached to high levels. This makes the employees of the company
responsible enough to have catered the local problems for evaluative reasons
and more enhancing problems for minimized problems. Volkswagen is a world’s
leading car manufacturer that evolves its management into such deliberate
management that sets up proper operational strategies to be run with time and
on time for less setup time and more globalization concepts kept into mind that
proves to be contemporary and makes the vehicle to be a world car and not just
a local car of any particular state. This makes the company compose its
manufacturing all over the globe with high demand because of its qualitative
features that acknowledges all the customer demands and comes up with modern
designs and ideas for more modular organization and enhanced modular
manufacturing unit.
Background of the Volkswagen Vehicle manufacturer
Volkswagen was established in 1937 on 28th
May and it doesn’t just serve as a company but a society and industry with manufacturing
of world’s famous cars that started its roots in German by Nazi Deutsche
Arbeits in a community for standard car manufacturing that has to be on the
goal of manufacturing productive cars for the organization to have such
Volkswagen cars that previously used to be known as Porsche with type sixty and
then later on many other types came into existence like type one which was
basic Volkswagen beetle. The modules of the company’s cars were designed by a
consulting firm Ferdinand Porsches that used to design all Porsche cars with
the latest layouts to be advocated by Adolf Hitler by his abutment as the
company had started making cars for the entire military family for the second
world war time and right after the battle in Europe, that too place in 1945with
British army, very famous and popular engineers with broad knowledge were taken
into authority and used for the manufacturing of new skeptical and techniques
to be employed in the production of new system of cars with illuminating
industries that can annihilate the Volkswagen with the joint system of orders
taken for the engineers with electrical and mechanical background. After that
major happening of the Second World War, the company had to chose to live with
this continued system under manufacturing of only army products for British and
them army of British had started controlling the German state with all the
values and controlled supervision that gave back control by Heinrich Nordhoff.
Ever since, the company started manufacturing the new models and started to get
the new variants in its designs which made a stake on the company by German.
Whereas, in 1965, Volkswagen had started to acquire its auto union back from
GMBH by its parenting organization known as Dailmer Benz and that started
producing subsidiary models such as Audi.
In this report, there is complete information about
the Volkswagen Company’s layout and how they manage the risks during different
operations. Moreover, it will also discuss some important points related to
process flow chart and process flow of this company.
It can be noted that in Volkswagen Company the process
of operation and development is completely different. The main reason is that
the company is extremely old and following different past strategies. Ever
since Volkswagen has initiated to become a global brand, it has adopted the
‘together-2025’ strategy for extensive portfolio under a high name brand as
compared to its rivals and competitors. This describes the strengths of the
company that has its roots embedded with assortment strategy as well and also
it reduces the costs for all the Volkswagen underlying projects especially with
the Chinese producers that has given combined efforts for the brand and to
create the retention for the brand in the mind of consumers. Whereas, the weaknesses
of the brand are quite subsequent which was quick abrogating in its policies
that puts forward questions like marked on Volkswagen as a brand and makes the
company recall its cars in the states with high impacts like U.S as the grab in
market is very low for this brand and nut much people are familiar with the
brand as much as people are in European states. But still the company
entertains many opportunities like immediate access to skills and more
competency with acquisition of opportunities and having hiking fuel rates soon
in the state where it is currently being projected as a hub of Middle Eastern
state Oman and where there is high demand of vehicles with autonomous
characteristics. As well as the company is entertained with the benefit of
building branding of even the damage caused with most highly equipped resources
that given concentration and day to day rates of exchanging amount that can be
taken down anytime of its procurement. Apart from all these opportunities, the
faces threats like heavy competition in the market as the people of Oman are
all high demanding in luxurious cars as they all are rich enough to afford any
type of car they want which makes the company to comply with the governments
rules as well as they just can’t make excessive promotions to endorse more of
their cars in the same region as they have to deal with all the governmental
penalties all by themselves.
It is defined as an attribute for a company that
outperforms the viable competitors in the industry in same generic products or
services. It is rather an advantage over other competing companies by offering
greater value to customers through productive benefits like lower prices and
justified product quality in contrast to higher priced products offered by
competitors and to gain superior marginal benefits to generate value for
shareholders and the company itself. A competitive advantage that’s easily
copied by other companies is not even considered a reliable competitive
advantage. (Pfeffer, 1994)
There is no single measure or factor to that
contributes towards the calculation of competitive advantage for the company,
rather there are many factors such as return on assets, brand reputation, valuable
resources and high profit margins. To efficiently achieve competitive
advantage, the simplest way used by companies is cutting the costs low and
making the prices lower from their rivals so that more customers can be
attracted. (Barney, 1995)
Operational resources should effectively be implied in
internal matters of the organization for smooth functioning of processes
required for unique competencies in a way that can achieve innovative products
or services as compared to competitors. This makes the company to analyze and
implement those factors for internal environment with integration of culture,
reputation, copyrights, brand equity, trademarks and patents to serve as
intellectual property and all of these internal factors can be achieved
smoothly through valuable, rare, hard to imitate and organized factors that
makes a company to earn edge over other company through its systematic use.
In this section, there is complete information about
the process design of the Volkswagen Company. The purpose of designing
operation management of the company is mainly to reduce costs and to reduce the
complexities by the company with all additional standardization that has all of
his components for the improvements of its all fundamental product aspects that
can help in maintaining the suitability of the categorical products offered by
the company. It also adds value to the manufacturing and engineered values
under procedural laws and developments that are concentrated into the
production of maintained products for higher value and for the improvement of
designs as well as all the specifications that has its research and development
into concern with utmost production stages lined up with the developmental
strategies at work to achieve maximum goals and missions with already set plans
to have higher goals penetration in the market. (Dahl, 1974)
Figure 1: Layout of Volkswagen
The most famous strategy used by Volkswagen is till
date the ‘Strategy 2018’ that had aimed at making the company a leader
worldwide with all beneficiary products for the company especially in that year
with later on corresponding years and this provided a long term appeal to strategies
that aimed at increasing the unit sales with higher production rate and more
than 10 million vehicles had to manufactured for a year with the aim and
intention of increased returns so that high sale rates can be achieved with the
exposure of such manufacturing designs that has good platforms for sustainable
designs that can make the company excel in all aspects as it plays a vital role
in the overall success of the company and brand name.
Being a German multinational, Volkswagen has to keep
its high standards and such manufacturing rates and quality enhancing measures
with its headquarters in Wolfsburg where it started becoming the world’s
leading manufacturer of cars and achieved success as a high brand with various
contribution of high brands such as Audi, Bentley, Porsche, Volkswagen, SEAT
and Skoda. In general terms, all the automobile designs have to comply with
such specific designs that can penetrate in the market segment without any
complexity that can produce cars with similar size for all the users. The
typical market for Volkswagen has a diversified platform for different
underlying brands that produces several variants for the company to create
shared modules that also serves as a
platform for beneficial needs and all of its subsidiary needs at different
levels. (Sudha, 2008)
Figure 2: layout of internal car
Volkswagen leads with its prominent features that
makes it outstand with other brands as it has all the designs of the engines
with maximum accommodation of cylindrical engine cars that creates a new
variant for an engine without orthodox qualities and makes the company excel
with maximum achieving in its higher versions of designs with all current and
prospective designs that aims at producing higher assembling of products that
can be used for breakeven for maximum level differentiation and that make
versions with lined-up assembling for alternative concepts taken into
consideration to enable mounting positions that have not been introduced by
other companies with such hybrid versions of cars. This make Volkswagen to have
such modular designs that produces electric versions for easier driving soon
with its higher impacted modules and such branding concepts that makes the
simplifications in design manufacturing of the brand with easy assembling and
more easier repair and replacement procedures to have more advantages for the
customers such as interchangeability of parts, easy diagnosis and analysis of
the customers facing issues and treating them all with standardization
procedures and providing them all with such remedies to overcome failures. This
allows Volkswagen to have its nationwide reachabiltiy and resource deployment
to have its advantageous technological system into consideration by all of its
customers with extremely high and competitive costs for a long span of time
that can also direct the synergies for new and enhanced technologies to boost
up the sales of the company with each of its car. This strategy is the most
advantageous operational strategy with its roots in all of its global industry
to have reduced costs and high optimization of standards and competitive
advantages. (Gerling, 2014 )
Process design of
the company of the Volkswagen Vehicle manufacturer
BODY SHELL FRAME
STAGE
|
DOOR ASSEMBLING
STAGE
|
BODY ASSEMBLY
STAGE
|
PAINTING STAGE
|
FRONT CAR
SECTION STAGE
|
REAR SECTION
& INTERIOR STAGE
|
WIND SCREEN DOOR
& WHEELSTAGE
|
FINAL ASSEMBLY
OF DOOR STAGE
|
STARTUP
|
·
Body shell frame
stage of the Volkswagen Vehicle
manufacturer
This levels starts with the assembling of
material required for the total planning of the overall systematic design of
the car with a carbon file that has a list of materials and ploven designs that
rides the assembling support to the first and initial structure of the car with
a body frame that ensure high quality pitch and strong base on which the whole
car will be standing for designation and tough procedures and withstand ideas.
·
Door assembly
of the Volkswagen Vehicle manufacturer
Doors for Volkswagen are assembled in this
step with all the instrumental and précised charges and measures so that very
metal can easily be detected at every stage with all the diligence and
restructures requirement can be eliminated for easy procurements.
·
Body assembly
of the Volkswagen Vehicle manufacturer
The final frame for the structure is made
in this step where all part whether small or big are adjusted into the frame
that keeps the assembling very smooth and provides fixes for gaps on the
surfaces and to overcome internal issues.
·
Painting of the Volkswagen Vehicle manufacturer
The complete structure is forwarded to the
next stage for first layering of paint that lifts up the body strength and also
makes a carbon file with colored layer that gives strength to the structure
where the whole car is painted that also reduces the weight of the structure to
half the percentage as the parts get assembles and need for more adhesives ends
in the mean time.
·
Front car section of
the Volkswagen Vehicle manufacturer
In this section, all the other parts that
have previously been assembled are now assembled with the front portion of the
car that has been structured separately with all engine supplies and
structures.
·
Rear section and
interior of the Volkswagen Vehicle
manufacturer
In this stage, all the rear section of the
car detailing is focused onto so that interiors can be made more classic and
more luxurious with all advanced techniques deployed inside and on rear side as
well.
·
Winds screen,
doors and wheels
This section involves the assembling of
the additional permanent and useful featured of the car that includes doors and
wind shields to save from rain and also wheels are to be installed in the
vehicle so that it can be tried for a test drive.
·
Final assembly of
doors of the Volkswagen Vehicle
manufacturer
The final assembling includes the
adjustments of all the parts and mechanisms to run a smooth new structured car
so that it doesn’t contain any flaw and here the doors are attached with the windows
which are bifurcated.
·
Start-up of the Volkswagen Vehicle manufacturer
The last stage includes the starting up of
the vehicle for a test drive with the computer order and assembling and
includes the detection of the indicated flaws so that all problems can be
detected with digitalized monitors in a single go without having to go through
a manufacturing of a new model from scratch, only the defected areas are
modified further.
One of the most prevailing methods for overall
maintenance of the company resources and budgeting for manufacturing essentials
includes the use of outsourced contract maintenance whereas, in-house
manufacturing and staffing is a hybrid and coherent process including both
outsourcing and in-house manufacturing and third there is one complete
outsourcing option. The manager of the companies need to analyze what’s best
suitable for the company product manufacturation that can produce progressive
and excellent output for overall success of the business operations that too
based upon unique needs and driven extents that makes a company require for
some better options.
Outsourcing is very crucial for not just simple
manufacturing of resources but to maintain and increase the assets of company
with multiple coherent industries including IT and manufacturing and aviation
that serves prevalent methods for best incorporation of resources and assets.
The three approaches to maintain management is important to many levels for the
pure manufacturing are; complete outsourcing, in-house staffing and hybrid of
in-house and outsourcing. (Barrett, 2015)
This section will discuss the process flow chart and
process map of this company in detail.
Figure 3: Process map of Volkswagen
It is a process to minimize and reduce the inventory
for maximum sale productions within qualitative measures and customer lead for
time and keeping the manufacturing sorted for constant rates and store
management at Volkswagen stores for all the physical locations as the company
deals with all authentic dealings and no excessive operating charges are to be
incurred from customers. This approach makes the customers satisfied with
utmost dedication and trust in the brand for life-long quality experience with
Volkswagen vehicles that serves for long span of time. It uses the
organizational integration to deduce plans and to maintain the operational
plans intact for customers’ prosperity and satisfaction that makes the
organization at top level meetings with the budgeted and high productive ideas
to be used in near future. (Holmström, 2010)
This process keeps the inventory lead and
manufacturing rates to be highly managed for constant provisions of value added
funds and rates consistent with the company’s generic vehicles that determines
the smooth planning and execution of all the systematic operational plan layout
that shows how the product needs to be assembled and from what stages it has to
go through before the final assembling and ultimately ready for a test drive
and even then if there will be any problem, a test drive can immediately detects
all the prospected dangers and issues related to a vehicle and can be altered
on the spot within the manufacturing site. (Holmström, 2010)
Volkswagen uses coordinated mediums to execute
operational planning of procedures so that term planning and other specific
schedule maintenance can be achieved with all the considerations of beginning
stages that can make it suitable for further explanations that specifies the
company with all the economic and technical designing of projects that are to
be used for correlations at business level. The company takes advantage of the
designing in order procedure that designs the projects for execution of
planning at the company to teach the employees with designing of the interior
parts of the vehicle according to the strategic planning that takes place at
minimized creation of products, processes and markets for final formulations
within different sectors that ensures economic and technical fronts. Stages are
evaluated on the basis of time scale that what time needs to be dedicated to
what stage of the plan and this is how maximized results are achieved. This
also adds to the unit sales that are made in cognition with catches of the
market that have segmented growth that works with term planning and acquires
the volumes of the companies with the preferred delivery on time. Volkswagen
takes all the planning locations at individual levels with full capacity and
utilizations and full authoritative measures to enhance the quality. (Koplin, 2007)
The strong and clear momentous strategies employed by
Volkswagen has made the company to entertain significant success factors that
has allowed it to become a leading automobile company in the world with strong
signaling of its launches in various countries that lays the foundation of
significant success and opportunities with ambitious goals in minds of the
employees as well the customers feel like a part of the organization when to
get a Volkswagen vehicle as it goes with their fundamental needs and
suitability of new technologies and strategies to be employed by the company. (Masondo, 2010)
The makes the assess its objective of operations so
that the company can have its successful and fascinating achievement of goals
with all sustainable long term plans that can have high achieving skills to
have more defined basis for alignment of its tasks as follows:
·
Deployment of
intelligent and up to mark innovations to be a leading provision source of success
worldwide with high quality and high standards for satisfaction by the
customers so that all the customers can have key advantages of their
requirements for long term success of the plan of the company to have perished
by the customers for proposed designs of the models of the cars.
·
The company aims
at generating higher units of sales with the manufacturing of higher number of
vehicles that can intend at capturing the above-average portion and share of
growth for less tax invasions and high market periods so that more benefits can
be achieved with less task and its less hectic procedures so that not just the
quality of standards but also the financial state of the company can be made
sustainable for higher and long term plans.
·
Volkswagen has the
aim of positioning itself as an attractive employer at an industry that focuses
on the team capabilities and all sectors of the industry with the best team and
more qualified and higher motivated staff that can have all the best resources
to be used for the success of the company.
·
Volkswagen aims at
focusing the environmental orientation of its procedures and products that can
enrich its resources with the profitability margins and high conditions for
projective sales and focused vehicle achievement with its orientation of its
individual brand and to have its systematic competitive advantages to be used
later in its all sectors with all the best and enhanced qualities for higher
optimization of standards.
·
The primary
designs of the brand are focused on the new and up-to-date standards for more
derivative allocation of its designs and procedures that can give it maximum
strength and usage of material for high end quality cars that can also increase
the efficiency of the cars with enhancing features for on-going survival in the
market and expansion of the brand name in the worldwide market that can make
the company to have its adapting products for various users and regions of the
world so that any kind of customer can enjoy the capable features of the new
models that can treat the flexibility of the company and its customers. The
lightweight construction of models gives a more advantageous impact for drivers
who feel difficulty in driving heavy vehicles as they can’t easily control the
vehicles with all of its prevalent procedures to have been impacted by the
whole society and also makes it an environmental friendly source as less damage
of roads can be incurred and more advantageous features can be entertained with
high modular costs and long term plans that can benefit the local suppliers of
the adaptive products and systematic procedures that can cut the economic
situations for regardless of the quality insurance yet high requirements cannot
be achieved. The special growth market is seen to be difficult with less
procurement of sustainable advantageous procedures that has high efficiency and
more flexible profitable costs for improved productions and overall efficiency
of the company and its products.
·
The more
derivative vehicles offered by the company has more satisfaction of the
standards that have high demand in the long term planning of the prospective
customers and timing for throughout manipulation of strategies for indirect
costs and its local suppliers that can make the output increased with
standardized operations and features with key qualitative measures that makes
the company withdraw its current positions and saturation of the design of the
brand with high investments and solid plans for long-term success and processes
that has made the company to run its smooth operations with particular
standards and designs to be fit in all situations.
·
This also safe
guards the liquidity and profitability of the company with its high sourcing
challenges in the new markets and all of its vocational strategies for
excellent delivery of resources that makes the human resources of the company
to deploy excellent strategies so that the company can have consistent
successful strategies
·
Volkswagen has the
objective of delivering satisfied customers and such motivated employees that
can increase the work quality and can show the customers the quality of work
even in products and services with all maintained tracks for present as well as
future to have its roots laid down in the track with the additional alignment
of resources that can make the company to be successful enough to have control
over tackling issues like sustainability, digitalization and integration of
legal affairs for long term services of the company.
To become a world’s leading sustainable vehicle and
mobility provider, Volkswagen has adopted a brand new strategy called
‘strategy-2025’ which aims at targeting the highest of aims of the company that
have never been achieved in history to increase the core business of the brand
and to have a range and hold over potential segments that are prospective for
the transformation of company’s history.
Following are the inclusive strategies for the company
that its uses for its name a high mobility provider in the industry forever:
·
Provision of the
biggest strategies of all times in the history that focuses on core business
and potential segments for prospective customers and to have their remarked
features and transformational procedures that turns them into a successful
brand name.
·
The company
initiates at crucial planning of electrification that aims at increasing the
sales of the company annually for more new vehicles in the industry and such
designs that are still to be launches in the industry with less impacted
resources that can make the company achiever even more than it already like
more than 30 million.
·
Volkswagen aims at
using more digitalization into its designs to cop up with the modern and
qualitative resources that has a hold on technological resources so that latest
features can be introduces in its new car models.
·
The company
focuses at the realignment of its resources and components in all new
dimensions.
·
The new mobility
solutions and strategies are aimed at escalating the business with its expansion
strategies and mobility.
·
The projection of
the company is to have improved skill set to gain higher efficiency and
optimization of its opportunities that can be used for long term improvements
that makes the company to have its range in digit billions for remarkable
investments and wide improvements.
·
Volkswagen aims at
high end expansion of business solutions for mobility and quick expansion for
the overall brand name in the industry with high quality sources.
·
The company aims
at achieving high capital on return by the year 2025 as it is working on its
automotive operations and divisions for estimated sales and high percentages of
profits.
·
To ensure enlarged
profitability by the company, Volkswagen aims at brand efficiency with key
achieving resources and higher profitable resources.
Volkswagen aims at more efficient, sustainable and
innovative and efficient growths with geared up sustainable strategies and
objectives for profitable growth and systematic provision of high-quality
products and services. The 2020 operational strategy focuses mainly on the
following enhancive qualities such as:
·
Perfect product
planning that has made the Volkswagen cars to be world famous and renowned
vehicles for quality insurance policies.
·
The products of
the brand have been positioned in a systematic way that makes the growth of the
company deployed of all the innovative procedures and qualities.
·
The cars have been
developed in a way that ensures all the qualities of the whole brand in a
productive way to ensure qualitative insurance.
·
The brand power
trains the vehicular lightweight communication resources for the integration of
the cars with the modern inclusive features of the modern world.
·
Volkswagen uses
the world-famous technologies to integrate innovations in its operations so
that it can become the world leader with cognitive quality and customer
satisfaction.
·
The company
expects to meet the highest achievement of sales in its future embankments and
resources by hiking million units for a year to capture maximized market chunks
in the same industry.
·
Volkswagen has all
of employees at all levels with high aiming qualities to ensure they reach the
maximized sales for the brand.
·
The company excels
in delivering the vehicles on customer’s doorsteps on time given the expected
delivery dates and what works best for the timely provision of resources.
·
It aims at
achieving the maximized revenues with highly enforcement of atomized sales and
strategies.
·
The company earns
its operational profits with the in-due and timely procedural benefits and
resources for execution.
·
It has attained
the capex revenue at high magnitudes and costs.
·
The operating
returns on sales is higher than the inclusive costs used for all input
expenditures.
·
Volkswagen earns
the benefit of having highest returns on investments with profitable cash
flows.
·
The net cash flow
of the company runs systematically with the range of vehicles broadened with
high level capacities and consistent advantages of competitive sources which
allows localization and positions the brand for merchandized broadened range to
be adopted with standard basis.
It is the most critical step where the company has to
meet the documentation layout for procedural benefits and operations of the
working system of the company to ensure its success in its later years with all
operations management at hand to hold and press the global perspectives at once
under one platform with major inclusive forces and tasks as well as strategies.
These operations are to be looked deeper to the number of leaders that play
their part for the successful execution and to see who have benefited and
contributed to the achievements of the company and how the tasks have been
accomplished. The looks take a clear look on systematic procedures of technical
goals and ways to achieve those goals with fabricated modules and maximum
liquidity so that economic and technological perspectives can be set easily
with high projects and low taxes to see what number has been achieved as of
yet. Volkswagen has catered its unit sales with all dictative measures in
relation to maximum utilization and capacity of the different sectors of the
company that works in the market for execution of high strategies by the
settlement of all the planning and frames of work with automotive streamlining
for the final reporting of the company operational procedures. (Angell, 1999)
Volkswagen should
evaluate its upper seized opportunities in contrast to competitors with faster
changing organizations that can attain superior Operational benefits from other
companies and understanding how your competitor companies are responding to
those factors. Whereas, Operational management planning involves political,
economic, socio-cultural and technological factors that a company should
evaluate beforehand or with consistent functionalities of the organization’s
procedures to attain hold on external environment. The change in these factors
very effectively change the opportunities for growing system of the firm that
can eventually exploit the organization’s matters against its competitors e.g.
deploying new equipment and machinery with more effective manufacturing
capabilities can increase the production rate and can reduce the net costs
which can ultimately reduce the consumptions costs for users making customers
more attracted towards your firm than others. This also shows a contrast
between different companies using different resources that can make it achieve
valuable products and services at lower costs. (Porter, 2002)
Other than two important factors, accompany also need
to analyze two of the main factors for authentic competitive advantage as:
Ø Unique
competencies of the Volkswagen Vehicle manufacturer:
It is the ability used for successful performance of
tasks that works in cognition with multiple skills, capabilities, knowledge and
various processes and a company has to attain these competencies for temporary
advantages so that replication can be minimized.
Ø Innovative
capabilities of the Volkswagen Vehicle manufacturer:
Innovation is a key factor to earn competitive
advantage through such processes that can initiate the manufacturing of
technological and innovative products to bring companies an edge over other
competitive companies and to be in trend demanded by customers.
There are four basic strategies suggested by Porter
required for the adoption of competitive advantage and these strategies are the
generic ones for summarized business competitive advantage that allows
businesses to earn unique business activities. (Barney, 1991)
D. RISK MANAGEMENT of the Volkswagen Vehicle manufacturer
·
Loss of Control –
although outsourcing has too many benefits but on the same time, there can be
one disadvantage that the company might lose its control over its own resources
with subjective inability to keep the direction of management and contractors
and maintenance of core functions.
·
Staff turnover –
when the in-house employees find out about company outsourcing its core
operations, then many staff members actually quit the job as they don’t feel
facilitated enough anymore and feel as if the company isn’t meeting their
expectations enough to keep them a viable part of the organization.
·
Reduced management roles – since most core functionalities have already been
shifted to the outsourced company so the in-house employees are left with less
tasks and have no other choice of completion of management roles.
·
Cost Savings of the Volkswagen Vehicle manufacturer:
Maintaining costs is the most crucial element of
saving costs for the overall operations of companies so that increased and
waste expenses can be controlled so that subsidized procurement operations can
be tackled such as pensions, mean standards costs, medical expenses and
vocational costs. It is also important to keep the factors flexed and faster in
pace with absorbent hiring costs and house-staffing costs whereas, the
outsourcer has to bear the burden of these costs and other financial liabilities
for workers.
·
Personnel issues of the Volkswagen Vehicle
manufacturer:
Many factors related to core personnel of the company
such as maintenance of functions, disciplinary actions, accusations and
responsible issues for contractors. Many in-house activities including labor
relations, human relations, benefits, payroll and time saving are mainly
handled by contractors that makes the management more responsible and keener
towards managing time issues.
·
Expertise and staffing flexibility of the Volkswagen
Vehicle manufacturer:
Required skill set and proper management of resources
of for up-skill and tailored staffing are beneficial for flexible and quick
managing costs to deliver timely investments and high level of expertise with
low time involvement and less costs that too with the provision of expertise
that can impact the performance of working capacities of the personnel of the
company with more utilizing services with specialized in-house staffing that
can decrease the inadequate performance factors. But this can also serve as a
potential weakness depending on the location and market as well as skills of
management and their provided services for the acquired summarization of
overall functioning.
·
Equipment’s and technology of the Volkswagen
Vehicle manufacturer:
It becomes the responsibility of an outsourced
contractor to provide with all updated technologies and new deployed resources
to make the use of new told and equipment’s for well-versed staffing resources
that can curate the technical utilization by the company into deploying
training for the staff for in-house usage and to have complete hold on the
costs and acquisition of supply chain resources that can outsource the required
skill set.
·
Core business focus of the Volkswagen Vehicle manufacturer:
By deploying outsourcing into businesses, managers can
easily manage and focus solely on their core functionalities of their
proficiencies with higher driver towards business and integrated objectives for
high skills.
(Oldenkamp, 2016)
Volkswagen being an international and widely renowned
brand takes all necessary steps to contribute its part to the corporate social
responsibility and uses all the procedures necessary for all the necessary
staffing and usage of material that are required for the manufacturing of cars
under environmentally friendly constraints such as:
·
Eco-innovation –
it is used at the paint shops of the Volkswagen manufacturing factory outlets
that are to be harvested for small projects so that no paint material can be
wasted for power generation and ceilings of the vehicle of the painted areas so
that quality cannot be compromised for long term assembling and ordering.
·
Waste management –
Volkswagen uses all the sustainable measures for easy procurement and usage of
waste materials as well so that enough money can be generated to overcome
wastage especially chemical wastage that brings drastic changes in the
communities.
·
Employee awareness
program – the employees are given special due and training programs for all the
certain needs and requirements that can be adjusted within the achievement
levels so that the employees can run the operating procedures smoothly.
(Koplin, 2007)
CONCLUSION of the Volkswagen Vehicle manufacturer
Operation management and planning is way too important
for all the companies and Volkswagen uses these strategic and systematic
planning with utmost dedication and directions at all steps that are to be used
for proper handling and manufacturing of cars that involves the management of
operations at all levels so that the holistic approach can be achieved with the
terms of company. Volkswagen uses all such strategies that makes it necessary
for the thorough operations of the collective system of the significant impact
of the cohesive workforce where systematic procedures can be worked smoothly.
RECCOMENDATIONS of the Volkswagen Vehicle manufacturer
·
To create wining
vehicles so that trained driving portfolio can be achieved
·
Model line
organizations can be implemented
·
Autonomous system
for self-driving system should be used with intelligence and artificial sources
·
Regional players
can be run with segmented with economy that have significant partners
·
Positioning of the
sharpen procedures should be used
·
Modular
architectures should be employed for reasonable usage
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