Work in the Time of Corona:

Impact of the COVID-19 Pandemic

on the HR Practices of the Volvo
Group and the Future of its
Workforce

RAJAT CHAUHAN
ROLL NO.13
SUBMITTED TO DR.URVASHI SHARMA
HUMAN RESOURCE MANAGEMENT
(MBAHRCC106)
 Work in the Time of Corona: Impact of the
COVID-19 Pandemic on the HR Practices of the
Volvo Group and the future of its workforce

CONTENT

1. The Volvo Group: Vision, Mission and Values

2. The Pandemic
3. Shifting of Priorities and Attention to Employee Relations
4. Customer Satisfaction
5. Helping the Society
6. The Future
1. The Volvo Group: Vision, Mission and Values
The Volvo Group, famously known for its buses and trucks, is a
globally spread manufacturing company with its roots in
Sweden. Apart from the production and distribution of buses and
trucks, it is widely popular for manufacturing construction
equipment, and providing infrastructure solutions, financial
services and transport solutions. The Volvo Group strictly
believes in customer satisfaction as its top priority and values
passion, trust, and the ability to change in its workforce.
Customer satisfaction being directly proportional to
employee satisfaction, Volvo Group prioritizes employee
relations only second to its customers.
In general terms, prosperity is the key value the Volvo Group
believes in: Facing global challenge and spreading prosperity in
its keys occupied sectors with the help of their infrastructure and
transport solutions. This mission guides the Volvo Group
through all its challenges so that its vision, of being the greatest
provider of infrastructure and transport solutions worldwide, is
justified.
Furthermore, the Volvo Group aspires to be respected as an
excellent employer and admired for providing satisfaction to its
customers with the aid of its exceptional services.

2. The Pandemic
The COVID-19 Pandemic came out to shape a major catastrophe
for a company functioning in the manufacturing and transport
sector. The workforce was facing the repercussions of the
pandemic both in work and their private lives and it was up to
the management to, perhaps, fulfill the true meaning of the
values Volvo Group held dear since its inception. Furthermore,
priorities were supposed to be changed in view of the current
pandemic. Important decisions were to made regarding the
safety and health of the workforce, while maintaining the
required standards for work and also providing top-notch
customer satisfaction.
Though these are the requirement of an ideal situation, such
expectations cannot be meant on such a short notice and hence,
every decision would have to be made on a small scale and the
requirements looked after on a realistic scale. So as to achieve
that, priorities would need to be shuffled while taking care of the
aspirations and the values of the company.

3. Shifting of Priorities and Attention to Employee Relations

Volvo Group shifted its priorities by making employee relations
of top priority and customer satisfaction second to it. The
company understood that it times of a global pandemic it was
important to show its employees the presence of a helping hand
in the time of need. Being a care giving employer falls in line
with Volvo Group’s aspirations and during the pandemic it was
important to show the same to its employees. Volvo Group has
always favored customer satisfaction since it adds to the positive
growth of the company as well as the society at large. Also, with
customer satisfaction being directly proportional to employee
relations, the Volvo Group understands the importance of taking
care of its employees, especially, during a pandemic.
The Service Delivery Model was given the responsibility of
making changes to the HR Policy. The Service Delivery Model is
accountable for revising the HR policies for global as well as local
operations, providing with related directives and guidelines, and
also for functions of administration and line management. Strict
work from home guidelines were initiated and production
suspended in all manufacturing operations. Employees still
required to work outside, such as the truck drivers, were
provided with sterilized safety zones inside the workshops and
made to follow the social distancing guidelines when out for
work. This short period of time (the major lockdown/work from
home phase) was taken by the top management to brainstorm
ways in which manufacturing can be restarted at a minimal scale
with all safety precautions taken care of. Furthermore, this called
for strong employee orientation guidelines and training that can
help the employees feel safe in their work space.
In a month or two, employees were called back to their work
space only in places with the highest demand for transport and
infrastructural services. This included areas such as the New
River Valley plant in Dublin, Virginia where a manufacturing
plant was initiated at a small scale. All state and CDC safety
precautions were observed and the workforce was taken care of
with utmost priority.
Here, employee orientation refers to maintaining a fine
balance of safety and functioning. It is the HR management’s
responsibility to maintain this balance. General instructions
would prove futile if not led by example. Strict social distancing
and sterilization guidelines should be adhered to and those not
as responsible should be punished accordingly. Furthermore,
any help required by the workforce to understand the changes
in functioning should be looked after.
Employee Relations is another field that needs attention in this
pandemic. Employee satisfaction is what causes a higher
employee retention and if not looked after, loss of well-trained
workforce can occur.
The above explained concept of employee orientation and
employee relations was what was discussed by the top
management of the Volvo Group and hence the required steps
were taken.

4. Customer Satisfaction
Apart from taking care of the employees, the HR management
is also responsible for taking care of the customers. Customer
satisfaction, demoted as the second priority during this
pandemic, is catered to by understanding their financial needs
and providing food and online medical services to the truck
drivers. Furthermore, certain operations such as that of spare
part manufacturing, transport workshops, etc were prioritized so
as to help ease of availability of medicines and groceries for the
customers. Financial services are being individually tailored to
meet the customers exact needs in the time of need.
5. Helping the Society
Volvo Group is also adamant to help the society during this
pandemic. With the help of 3-D printing, face masks and shields
are being produced. Volvo transportation services are being used
to deliver food. In India, the Volvo Group is helping unemployed
migrant workers in Bangalore by delivering them groceries and
assisting in COVID aid. In Sweden, the Tuve plant is making
2000 shields per day so as to help the healthcare sector.
Additionally, 20 000 protection glasses, 50 000 face shields and
100 000 face masks are being derived from the healthcare
services of France and Sweden.

6. Setbacks
Though the HR Policy has helped Volvo Group in coping up with
the pandemic, many new problems were also created. Cost
cutting had to be done and a chunk of workforce dismissed.
However, the retained workforce was provided with as many
benefits Volvo Group could manage and is trying its best to
improve upon the same in the future.

7. The Future
It is yet too early to decide for a future. Volvo Group has started
its operations in the key places with high demand for its services
but the idea of again occupying 190 global markets to its full
efficiency seem to be a pipe dream. Perhaps in the next one or
two years such a dream can be fulfilled but for that the current
workforce has to put in a lot of effort. The workforce in the future
would face difficulties such as long working hours and required
cost cutting but the top management is everyday making effort
to minimize such problems as Volvo Group strongly believes in
an adequate work-life balance. The management is trying to fit
in the values and aspirations of the Volvo Group in every decision
it makes. Perhaps the little tweaks in the HR Policy and other
related future decisions by the company would prove to be the
light at the end of the dark tunnel of this pandemic.