Volvo 1999 Annual Report Download - page 13

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Dealing with stress
Volvo started the “ Prevent burn-
out” project in Decem ber 1998.
It was form ed because there had
been a growing num ber of signs
that employees were experiencing
greater stress in their jobs. In
January 2000 a com prehensive
program was presented for both
preventing and detecting “ burn-
out” and providing guidance on
what can be done when som eone is
afflicted. The project includes a
training course that will be part of
all management developm ent
programs.
Detailed information on Volvo’s personnel and personnel costs, and on the benefits accruing to
members of the Board of Directors and senior executives, appears in Note 30 on page 73 and on
pages 100, 101 and 106.
Volvo Com pany Pension
Since 1995 Volvo has offered
employees in Sweden an extra
pension-savings plan via Volvo’s 60-
Year Fund. Effective in 2000, as a
result of the changed conditions for
pension-savings, this plan has been
replaced by the Volvo Com pany
Pension, a defined-contribution
pension insurance policy that is paid
for by Volvo. The objective is the
sam e as that of the 60-Year Fund:
to im prove the financial position of
employees when they retire on
pension.
Diversity
It is important for Volvo to utilize
all expertise regardless of a person’s
gender, nationality, age, education,
experience, etc. Diversity is an
im portant part of the program to
achieve a m ore responsive and
more efficient com pany with
creative and motivated em ployees.
Diversity also increases the oppor-
tunities for effective international
cooperation and greater under-
standing of Volvo’s custom ers who
more and m ore often are active
globally. In addition, Volvo has
programs that support the recruit-
ing process designed to increase
the diversity of em ployees.
problems, for example. Customers and suppliers can also be included in team work. The
results of teamwork are generally superior to those individuals are able to achieve.
Employee participation
Volvo’s employees should participate in the Company’s business; they should have both
responsibility and the courage to exercise influence and be influenced. Learning and
development are an important part of daily work. Knowledge of the outside world and
of the Company increases the possibilities to develop ways and methods of working so
that they become more purposeful.
Interviews involving managers and employees should occur regularly in order to
clarify and reach agreement on objectives and ambitions. Measures designed to raise the
level of expertise are important investments and should therefore be goal oriented,
planned, implemented and followed up on a regular basis.
Leadership
Volvo’s managers should shape strategies and objectives, establish guidelines for opera-
tions and communicate this information to employees in a stimulating manner. A good
manager follows up activities and results systematically and notes good performances; he
or she initiates and encourages the development of expertise and ensures that employees
have conditions in which to perform their work. A manager in Volvo shall be an
employee and team player. Good leadership means being involved and listening, and also
communicating actively. Less effective leadership must be corrected through measures
designed to increase expertise, or by replacing the manager.