High Job Stress at 'Volvo'

Paper Summary:

The Volvo car plant in Sweden is a workplace where employees on the production line experience high levels of stress. The paper first looks at the reasons for the high stress levels. It then examines steps which could be taken to reduce the stress, including the introduction of floor managers and consultation committees to ensure employees have control over their situation; the implementation of reward systems that focus on rewarding positive behavior; the introduction of job rotation to give employees variety and the improvement of the general working environment.

From the Paper:

"The next step is to add a reward system that links with the overall mission statement. A reward system is an important part of an organization as it gives employees something to work towards and is a major source of motivation. A reward system for Volvo needs to focus on the overall goals of the organization, while limiting the potential for employees to be singled out. This is necessary to reduce the current environment of fear. A suitable solution would be to introduce a system of job rotation where employees work on different tasks. The overall team could then be rewarded based on the amount of cars produced and the quality of those cars. This would ensure that quality is emphasized as much as quantity. In addition, a set volume could be stated that must be made, with this number low. Employees could then be rewarded for production levels above this number. Since the target is low, this would not cause fear in employees but would motivate them into working hard. To encourage the improvement of processes, it is also recommended that employees are rewarded for making suggestions for improvement."

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