Learning to work with interdependencies effectively: the case of the HRM forum of the suppliers teams at Volvo Cars Gent

Abstract

Purpose The purpose of this paper is to profile the way in which Volvo Cars Gent (VCG) Belgium and its suppliers succeed in managing their interdependencies on HRM issues through a shared HRM collaborative, called the Suppliers Team Volvo Cars HRM forum (STVC-HRM). Design/methodology/approach - A case study approach is used to develop understanding of the critical factors that contribute to the forum's success. Findings - It was found that the critical success factors concern the way STVC-HRM members enacted trust common ground, leadership, shared responsibility, and representative-constituency dynamics. Research limitations/implications - To understand the Toyota system of successful collaboration and learning with suppliers, it is necessary to look into the actual assembler-supplier relationships and practices developed. Practical implications - Building lasting manufacturer-supplier relationships is considered to be one of the elements that contribute to Toyota's competitive advantage in supply chain management. However, other organisations struggle to improve manufacturer-supplier relationships despite applying seemingly similar principles. The paper helps in recognising and managing the main collaboration issues at hand. Originality/value - The work suggests how to build and maintain deep mutually beneficial manufacturer-supplier relationships through the VCG-suppliers case. Other organisations that want to develop those much-needed relationships may learn from the successful VCG-suppliers way of doing things.