Volvo 2010 Annual Report Download - page 30

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BOARD OF DIRECTORS’ REPORT 2010
ORGANIZATION
Organized to be close to
customers and drive economies
of scale
Volvo 3P
Volvo 3P is responsible for product planning, product development and purchasing for the Group’s truck companies. Product planning
involves having the right products over the longer term. Product development focuses on chassis, cabins and electrical systems. In
purchasing, Volvo 3P offers signicant size and negotiating strength. Number of employees: 3,748 (4,022).
Volvo Powertrain
Volvo Powertrain coordinates the Volvo Group’s driveline operations and is responsible for the development and manufacturing of medium-duty and heavy-
duty diesel engines, gearbox and driveshafts. Volvo Powertrain also manufactures light-duty engines for external customers and is responsible for ensuring
that the Volvo Group is supplied with drivelines for medium-duty applications from external manufacturers. Number of employees: 8,305 (8,143).
Volvo Parts
Volvo Parts provides services and tools for the aftermarket. The services start with the suppliers and proceed via the dealers all the way to
the end-customers. This entails planning, purchasing, shipping and storing parts, as well as inventory management, order management, and
tools for workshop maintenance and other services for the aftermarket. Number of employees: 4,063 (4,133).
Volvo Logistics
Volvo Logistics develops and provides transport and logistics solutions to the automotive and aerospace industries worldwide. Its customers come partly from
outside the Volvo Group. Volvo Logistics provides customeradapted services throughout the logistics chain – everything from the design of complex logistics
systems to packaging, insurance and distribution solutions for finished products. Number of employees: 1,194 (1,157).
Volvo Business Services
Volvo Business Services provides administrative services to Volvo Group companies. Its operations include accounts payable, accounts
receivable, accounting and human resources administration. Number of employees: 902 (910).
Volvo Information Technology
Volvo IT’s business concept is to manage complex IT systems. Volvo IT delivers solutions for all segments of the industrial proc-
ess and provides unique expertise in product lifecycle management, SAP solutions and IT operation. Its customers include, for
example, the Volvo Group, Volvo Cars and other large industrial companies. Number of employees: 4,952 (4,984).
Volvo Group Real Estate, Volvo Technology, Volvo Technology Transfer, Volvo Group NAP
63% (63)
The Volvo Group’s product-related companies in the different segments work closely
together with customers while Group-wide resources in the business units work to create
economies of scale. Approximately 70% of the Group’s 90,000 employees work in the
product-related companies and 30% work in the business units.
Trucks
The truck operations product portfolio is sold and marketed under five different brands:
Volvo, Renault, UD and Mack and also Eicher from VE Commercial Vehicles (50% owner-
ship) in India. The product offer stretches from heavy-duty trucks for long-haulage and
construction work to light-duty trucks for distribution.
Number of employees: 38,533 (37,575).
Number of delivered trucks: 179,989 (127,681).
BUSINESS UNITS SEGMENT
NET SALES AS
PERCENTAGE OF
VOLVO GROUPS
SALES
26