“Is Quality Ensuring to Get Competitive Advantages in Auto Manufacturing Industries?” —A Study of Volvo Group

Abstract

In today’s business world “Total Quality Management” strategy is utmost important for a company in order to survive in the rapidly growing competitive market. It helps a company to increase the level of competence and allows it to compete in the market. To meet expected superior need of customers, Volvo delivers cleaner, safer and smarter transport solutions by concentrating on solutions-based approach since its inception. This core value of Volvo is urging to conduct a qualitative study on quality of Volvo toward attaining competitive advantage. This study attempted to investigate the role of quality management on Volvo’s competitiveness through a case study method. While exploring the secondary data, this study found that attributes such as dynamic leadership, positive and ethical corporate culture, customer centric orientation, empowering employees helped Volvo to achieve competitive advantage over its competitor. This study also found that practicing Six Sigma, maintaining quality and ISO standards, and establishing quality council have a positive role in attaining Volvo’s operational excellences and in achieving well-functioning society. Volvo’s strategy of winning competitive advantage is an example which should be followed by others to achieve competitive advantage in order to be able to sustain in today’s highly competitive market and keeping pace with rapid changes.