Company-specific production systems’ effect on continuous improvement work and organizational learning : A case study on Volvo Group Trucks Operations

Learning organizations in combination with quality management practices and continuous improvement are well known and have throughout the decades seen many successful implementations. Implying that there are assorted collections of tools, strategies and implementation techniques which are accessible for organizations today. However, what has been seen as a strong and contemporary inclination across many manufacturing industries is to develop and deploy company-specific production system (XPS) in order to obtain a competitive advantage in today’s global and changing business domain. The purpose of this explorative and qualitative study aims therefore to inspect and explore the occurrence of how a tailored company-specific production system (XPS) attempts to assist as an improvement program to contribute to the continuous improvement work and organizational learning in a multinational organization. The study includes a case study conducted at Volvo Group Truck located in Skövde and their tailored XPS called VPS (Volvo Production System). A review of previous literature was conducted and therefore included in order to provide an understanding of the topic as well as the empirical findings for further grasping of how a tailored specific XPS has benefited the company towards an enhanced improvement work thus becoming a learning organization. Interviews and documentation as well as observations from a previous internship at the plant in Skövde were conducted and utilized in order to obtain the employee's perspective on the contribution towards the continuous improvement work and organizational learning. Further on, in order to get a wide-ranging perspective on this matter, interviews were also held with persons with different positions within the plant. Findings from the analysis indicated that the difference with implementing a tailored company specific production strategy in comparison to other systems is that it aids the organization towards developing an organizational culture, which will further assist in enhancing the continues improvement work and organisational learning. Empirical findings also suggested that supporting functions together with XPS makes the transition towards the changes happening in an organization much easier. It also appears that the infrastructure of support with the tools and structures that VPS brings, is an important aspect in how the VPS assists in fostering continuous improvement work. Furthermore these tools, methods and structures are developed and designed to support and encourage every employee to think outside the box in a more creative and innovative way which foster employees learning process. The conclusion is that supportive functions together with a tailored XPS contributes to a joined organisational culture where improving and learning is a natural activity therefore fostering continuous improvement work and becoming a learning organization