Volvo A.B., the Swedish auto firm, operated a car assembly plant at Uddevalla in 1988. The idea

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Volvo A.B., the Swedish auto firm, operated a car assembly plant at Uddevalla in 1988. The idea was to have a small team of highly skilled workers build an entire car. According to the proponents, this would reduce the tedium associated with the conventional assembly line and cut absenteeism and turnover among workers. In 1991 there were reports that it took 50 hours of labor to assemble a car at Uddevalla, in contrast to 25 hours at Volvo's conventional assembly plant at Ghent, Belgium. If you were Volvo's chief executive officer, what questions would you ask Uddevalla's managers, and what steps would you take?
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Managerial Economics Theory Applications and Cases

ISBN: 978-0393912777

8th edition

Authors: Bruce Allen, Keith Weigelt, Neil A. Doherty, Edwin Mansfield

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