Volvo IT
Execute Volvo Group Strategy
OBJECTIVES
REACH TARGET IT COST
SIMPLIFY THE APPLICATION &
INFRASTRUCTURE PORTFOLIOS
DELIVER STRATEGIC IT PROJECT
INITIATIVES
SUPPORT VOLVO GROWTH IN ASIA
VOLVO GROUP
STRATEGY END-TO-END
DELIVERY
ITSM
VPS4IT
INNOVATION
HIGH
PERFORMANCE
CULTURE

Objectives

  • 1.
    Volvo IT Execute VolvoGroup Strategy OBJECTIVES REACH TARGET IT COST SIMPLIFY THE APPLICATION & INFRASTRUCTURE PORTFOLIOS DELIVER STRATEGIC IT PROJECT INITIATIVES SUPPORT VOLVO GROWTH IN ASIA VOLVO GROUP STRATEGY END-TO-END DELIVERY ITSM VPS4IT INNOVATION HIGH PERFORMANCE CULTURE

Editor's Notes

  • #2 Change Area EMT owner: Björn Ekman Change Area driver: Reach target IT cost: Apollon Nikolouzos / Ingemar Johansson In 2020, Volvo IT is a strong contributor to Volvo Group’s market leadership, customer satisfaction and brand perception. The business knowledge, proactively supported by Volvo IT skills creates a differentiated offer to the Volvo Group customers, superior to competition. New business opportunities are realized fast due to flexible and efficient processes and IT development. Volvo IT is a decisive competitive advantage for the Volvo Group. In the Trucks strategy, there is one explicit strategic objective owned by the IT Community “1.6: IT Cost on 2% of Volvo Group total cost by 2015”. The focus areas are: Drive synergies and best practice Build capabilities for flexibility and agility Move costs from running existing applications into initiatives that grow or transform the business, and manage this change effectively Maintain the 2% expenditure target and move from 30% / 70% distribution towards the 50% / 50% between new development (incl. enhancement) and operations For Asia, Volvo IT decided in 2008-2009 to start a sourcing program with three main drivers: Customer, Volvo’s current presence and ambitions on new markets demand a shift in geography Competence, We are a competence company and leverage competencies on a global level and will further improve the possibilities for competence development Cost, We leverage the different cost levels for similar competencies in different parts of the world Until 2012, the main focus has been on leveraging competencies in the production side of the organization and on cost efficiency delivering more from BPIC. Moving forward, focus will also be on growing solution and customer facing capabilities in India, China and Japan. By that, Volvo IT should be able to support Volvo growth in Asia, focusing more on customer added value and increasing customer satisfaction. Additional information for objective “Support Volvo growth in Asia”: Build resources and skills to support the growth, as well as deliver on IT specific needs in Asia and Africa Volvo IT Japan fully integrated in the Volvo IT global organization. Global implementation projects are used as enabler for the competence shift, moving from a legacy maintenance focus organization to a customer facing organization contributing to the maintenance and support of global systems and solution. Volvo IT India and China develop customer facing roles and are able to manage the customer relationship end-to-end Grow a new generation of global leaders in Volvo IT, coming from Asia with cross cultural knowledge Africa: Volvo Group Strategy has ‘investigate business opportunities for Volvo IN Africa’, via a project 2012. We use that result as input for our investigation