Essays on Rewards and Benefits in Volkswagen Case Study

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The paper 'Rewards and Benefits in Volkswagen' is a great example of a Management Case Study. Technology is indefatigably advancing, and risk capital is cautiously discovering its way back into the market while modernism continues to progress in the manufacturing and technology fields (Sahoo & Jena, 2012). Arguably, Ferguson (2001) asserts that most corporations’ talent pool has slowly begun to dry up and with vastly varied motives than during technology thunder climax. Ferguson (2001) further claims that the fundamental reason for this is based on the fact that the baby boomers generation has started retiring while the global population growth rate is reducing.

In this regard, many professionals who will be left in the industry when the technology bubble burst will no longer have the technical knowledge necessary for the modern companies. Essentially, recruiting is costly and time-consuming, and with the fact that the pool of available technical talent is flinching, rather than developing, talented staff retention is rapidly becoming the most cost-efficient strategy for maintaining the company's needs (McDonald, Bailey, Oliver, & Pini, 2007). Workforce initiatives influence organizations by helping them to strategically align their talented employees and formulate strategic goals of the company, which implicitly improve the relationship between the organization and employees, strengthen the organization culture, and lead to massive yield and competence.

As a result, a stronger and more important competitive advantage and positive ROI is generated. In this regard, the study seeks to review the Human Resources activity: rewards and benefits, in Volkswagen Australia Company. Volkswagen Australia Overview Generally, Volkswagen Company is a company involved in automotive manufacturing. In 2011, it was the world's largest manufacture in terms of unit sales; also, it enjoys a large market share in Europe for over three decades now (Hammonds, 2003).

Historically, Volkswagen Company was founded in 1937, producing its first car branded ‘ beetle’ . Volkswagen production has increased since 1965 when it acquired Auto Union, granting it an opportunity to manufacture the first post-war Audi models (Hammonds, 2003). Some of the Volkswagen cars include Volkswagen Passat, Golf, Touran, Toureg, and Sharan. Presently Volkswagen company shares are inscribed and traded in both domestic and worldwide stock exchanges. According to Ferdinand K.

Pië ch, Volkswagen Company chairman, the company focuses on positioning itself as a global economic leader among the automobile manufacturers. Ferdinand outlines four goals defined by the company aimed at making Volkswagen the most enchant and prosperous automaker in the world by 2018. The first goal aims at spreading out sensible novelty and technologies in order to emerge world leader in customer gratification and excellence. The second goal aims at raising the unit sales to more than 10 million a year. The third goal aims at heightening returns on sales by 5% before tax.

The final goal intends to make Volkswagen company building a first-class team, by becoming a top employer. In addition, the company focus is producing cars that are environmentally friendly, which will remain successful products even at daring economic conditions. To overcome completion and become a top performer the company has been employing enthusiastic workers who offer their best in terms of performance. The company believes that a balance between results and demand performance is the best prerequisite for maximum performance and outcomes. For this reason, the company ensures that they do not overstretch or under stretch workers so that they can deliver top performance and drive the company to success.

In addition, the top management ensures that they lead by example; to achieve this; the company management demonstrates exemplary leadership and ensures there is a constructive corporation between the management and employees (Sahoo & Sahoo 2009). Moreover, the company introduced a ‘ mood barometer’ , which offers employees to express their opinions so that they can actively involve themselves in the organization of the company (Hammonds 2003). A research conducted by Pendse (2011), established that work objectives, job assignment, compensation and pay for performance are the problems faced by Volkswagen Company.

These problems originate from performance management and if not taken into consideration can push the company below the market average. Statistically, the company directly employs Over 450,000 workers worldwide (Pendse 2011). The company is an outstanding player in automobile manufacturers, an industry that has implemented E-commerce to design complex vehicles with computerized components. In addition, most automobile manufacturers use E-commerce to facilitate customer communication through the internet (Gunaratne & Plessis 2007).

Presently, automobile manufacturers are forced to produce more with less. Volkswagen Company aims at reducing the employee’ s supervision, whereby employees are expected to schedule their own work and at the same time manage their team. The company offloaded unskilled labor and replaced them with multi-skilled workers who can help the organization fulfill its objectives and goals of becoming a global leader in the automakers in terms of quality and customer value.


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