Volvo 2006 Annual Report Download - page 45

Volvo do Brasil voted best employer
For the consecutive year, Volvo do Brasil was
voted the best employer in the Brazilian transport
sector. The poll was conducted by business
magazines Exame and Você S/A. Volvo also
achieved the highest work enjoyment rating
among major companies and was named the
company with the best occupational health ser-
vices. Volvo also ranked highly in the categories
of Identity, which measures the company’s val-
ues, products and visions, Personal Development,
and Work Satisfaction and Motivation. 150 com-
panies in 20 different industries participated in
the survey.
Award for health-enhancing project
The ergonomics team at Mack’s Macungie facil-
ity recently received the newly instituted Volvo
Group Health and Wellbeing Award at a cere-
mony in Allentown PA, in the US. Craig Souders,
Greg Mikols and Dave Peirson have been work-
ing since 2002 to improve ergonomics at the
Macungie facility.
This work has lead to a dramatic reduction in
the number of muscular strain injuries – from
around 200 to just over 10 injuries. The team won
first prize for “contributing to a substantial rise in
the standard of ergonomics efforts, which may
provide great inspiration to other companies in
the Volvo family”.
The Volvo Group Health and Well-being Award
2006 is a newly instituted award designed to
recognize and reward health improvement proj-
ects in the Group.
In recent years, the Volvo Group has
placed increased emphasis on health
and on sickness absenteeism.
Reduced sickness absenteeism can improve
the quality of life of the individuals concerned
and also help cut costs for the Volvo Group.
These efforts encompass workplace ergo-
nomics, health risks and how to prevent them,
various support programs, health examinations
and health issues in connection with work-
related travel and stationing abroad.
Continuous competence development
Competence development is a continuous pro-
cess that is supported by an internal training
organization. This organization offers em-
ployees a wide
range of cour-
ses and train-
ing programs in
such areas as
diversity and culture, leadership development,
project work, business understanding, eco-
nomics, technology, personal development,
communication, IT and languages. All courses
are designed to help achieve the Group’s busi-
ness targets.
It is the shared responsibility of managers
and employees to ensure that each team has
the necessary skills, expertise and resources
to become successful. Each employee should
attend an annual performance appraisal inter-
view with his or her immediate supervisor.
Leaders throughout the organization are
expected to involve their teams in the decision-
making process and subsequently focus on
execution. Customer focus, open dialog, feed-
back and personal commitment are key prin-
ciples in The Volvo Way, aimed at aligning
Group strategies and objectives with daily
teamwork. Objectives and goals are estab-
lished for each unit, department and work team
and to a large extent also for employees them-
selves during the individual performance
appraisal interviews.
Future leaders
A so-called Leadership Supply Process is used
to secure access to future leaders. The aim is to
identify, develop and retain employees with a
talent for leadership in a systematic, transpar-
ent manner, in order to secure access to quali-
fied, motivated leaders in key positions at all
levels.
The Leadership Supply Process is linked to
the Group’s strategy process. Its starting point
is the annual Performance Development
Appraisal process, where leaders and employ-
ees meet to discuss the employee’s perfor-
mance during the year in relation to the agreed
targets, personal competence, future potential
and other issues. The appraisals also offer
employees an opportunity to clarify and obtain
feedback on their professional ambitions.
At the next stage, the leadership teams are
used at all levels to link the discussion regard-
ing strategy and business to the competence
required to meet the company’s business tar-
gets and to the employees’ current compe-
tence. The employees’ performance, future
potential, competence development and career
development are also discussed.
values is rewarded. Extra efforts, qualifications
and responsible attitudes are valued highly.
Other highly valued attributes are innovation,
internal mobility, international work and, par-
ticularly, strong leadership. The principles gov-
erning wages, salaries and remunerations
should be clear and familiar to everyone.
Wages and salaries should be individual and
differentiated, and should be based on the
same grounds for all employees. Wages and
salaries should:
• reflect the task’s level of difficulty and the
employee’s performance
• be clearly linked to the
company’s business and
results
• stimulate a desire for
competence development
leading to new or broader duties
• encourage cooperation and knowledge
sharing
• be market-linked.
Work environment
The Volvo Group works to promote a creative,
healthy and energizing work environment with-
out health hazards, a positive environment that
helps make the company more profitable and
attractive. Work environment efforts include
examining, implementing and following up
activities in order to prevent illness and acci-
dents and achieve a healthy work environment.
Improving the work environment should be a
natural part of the daily routines.
As part of Volvo’s work environment efforts,
more and more of the Group’s operations are
being certified in accordance with OHSAS
18001, the international standard for work
environment management systems. This sys-
tem is a tool for checking work environment
risks and making any necessary improvements,
which in turn are subsequently followed up.
Preventative health care and
rehabilitation
In recent years, increased emphasis has been
placed on health and on sickness absenteeism.
Sustainable development 2006 41