News of the investigation of the idea of merging with Volvo Cars and Geely Auto, and it raises a number of questions.
As usual, the so-called “ car experts to express themselves in the press and on tv, and the replies are carbon copies of what most people have responded each and every time there has been talk of a merger or acquisition, in which the Volvo group has been a part of the plans from the early 1990’s to the present day. The comments have mostly been along the same lines: ”the Volvo is too small to make it on their own. It is necessary economies of scale and capital to cope with the transition to the new requirements, and new technology.”
From the Renaultalliansen between AB Volvo and Renault in 1990, and the BANK plan of merger, which burst in 1993, with the sale to Ford in 1999, in which the Volvo was a subsidiary of one of the world’s biggest car producers for sales to the chinese Geely in 2010.
We’ve been there, we have seen that we’ve got, and we’ve created an experience that is often at odds with what the bilexperterna said. What I have learned over the last few years?
Get the English establishment to have understood what a success story for Volvo Cars, is.
That money, and the economies of scale in the development of a new technology can never substitute for a culture that allows and encourages individuals and employees to deliver at their peak, in terms of human creativity, initiative, and innovation in the world.
But After all the money is flowing in the path of the red tape and power struggles, to the ill-conceived bonus schemes and a company culture that is rewarding for the individual and not the team.
the Volvo car corporation was a puppet, controlled by a maktfullkomlig management in Detroit, which made all the crucial decisions. The board of directors of the Volvo car corporation was no more than a informationsutskott, but of power and of autonomy.
this paper is both a Renault and a Ford, the big cost advantage with its huge volume, when compared with the Volvo’s small, but time and time again, we found out that the Volvo is purchased at a better price than the big elephant. We were not, at the margin, and the Volvo was seen as a good thing, and the right partner.
the Collaboration of the technology, which should also be given to the large-scale politiserades, and was more about who was going to decide, and where the development would be located, how would we manage to find cutting-edge technology. One of the most, as my colleagues at Scania, we are now working with each and every day when technological progress will have to be coordinated between a MAN and a Scania in the new Tratonkoncernen in the VW.
the Two companies are already in the same group, and today we are working on a number of projects. The CMA platform, which was developed at CEVT the needs of both volvo out of a mix of Volvo and Saab, and Geely’s engineers are in a great success. Volvo’s best-selling XC40 model, the new model is now being introduced is that an electric car is built in the CMA, as well as Geely’s new Lynk&Co-passenger.
the Geely Holding is a conglomerate with a wide variety of companies, from Volvo Cars, Geely Auto, Lynk&Co, English, Lotus, and the us Terrafugia, which is developing flying cars.
for Li Shufu, majority owner and chairman of Geely, has had a philosophy, which has given the companies of the Geelykoncernen the freedom to operate independently but at the same time encouraging forms of cooperation between equal brothers and sisters. There is no management of staff and of strong functions. The two companies have been allowed to be led by strong, independent boards of directors and a strong independent management team. A unique recipe for success that has built the new Geely.
for Volvo Cars, been a disadvantage of plug as the owner of the company has, for the first time in its nearly 100-year history, had a board of directors with a mandate to make all the major decisions himself, without a friend in the form of an executive management team and board of directors.
No, we did not understand at the time but have learned to appreciate more and more over the first ten years, Geely holding. It has been brought to the position as Volvo car corporation has today, with the remarkable development of the products and the volumes to which we never thought was possible under the previous owners.
to Get the English establishment to have understood the success story of Volvo group, is. The employment rate in Sweden has been the closest to the explosion. Ingenjörsjobben has increased by around 6 000 jobs, with direct links to the Volvo Cars and Geely. It will be in the order of 3,000 new jobs in the kollektivsidan, and the thousands of jobs connected to the Cars and the expansion of the sub-contractors, and the automotive cluster at Lindholmen.
this is A clear factor for success has been its independence and the absence of any of the functions After a strong senior management build up in the form of red tape, bureaucracy and co-ordination, which stifled the ability to develop.
so, What can we gain by building a group of companies in the Geelysfären in which the auto companies may have an operating joint executive management and the board of directors, and what we are in danger?
Let the experience take the lead on the investigation, which Håkan Samuelsson, ceo of Volvo car corporation have received a mandate to lead.
There are a number of questions that must be answered wisely in order to be Volvo’s performance over the past 10 years, will be able to continue. Listen to the employees and their trade union representatives, who assisted in the creation of this success, during this period of time.
this Is actually the answer to a fordonskoncern with a strong senior management? Our and others ‚experience shows, on the contrary, synergies and efficiency, created by a high degree of decentralization, in which collaboration is encouraged, but will be based on consensus and ‚win-win‘ perspective, from the perspective of both parties ‚ perspectives. A management group that determines the terms and conditions.
have the Courage to think ahead in terms of, and belief in the power of the individual companies and their co-workers.
this is A question that is also on the table is one of the possible initial public offering of the common Volvo Cars–Geely Auto company. How will the power shift, and where will be the headquarters for the new one, after lie? The key issues that will be decisive for where the future development of the lands and the jobs that will remain in Gothenburg, Sweden. Folksam and AMF, which owns the shares in the Volvo group, has expressed in favour of the company, and then they have to take their responsibility and to call the store to ensure a strong and the Volvo group, with its headquarters and development remain in Sweden. From this, it can be important ankarinvesterare with a long-term responsibility, which is the first priority. And, the employees have to buy in at favorable terms and conditions?
this is The most important and absolutely essential, the question is still, how do we ensure the continued free-thinking and autonomous Cars, is the key to its success over the past 10 years. Freedom must be kept if the story will continue, which will require a high degree of autonomy, both at the Volvo car corporation board of directors and its executive officers.
Or do we want to lock on to the Volvo the tiger” into the cage again?
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