WHAT INNOVATION MEANS TO AUTOMOBILE MANUFACTURE

WHAT INNOVATION MEANS TO AUTOMOBILE MANUFACTURE
From the start, Volkswagen's success was underpinned by sensible technology which delivered reliability, economy and practicality at an affordable price. The company's history of innovation has stretched from the initial concept of a "people's car" in the 1930s, through the then novelties of all-independent suspension with torsion bar springs and a four-cylinder, horizontally-opposed, air-cooled engine, to more recent developments such as diesel technology, automatic transmissions, high temperature fuel cells and advances in passenger safety.
The company has even gone as far as developing the Transparent Factory in Dresden, where customers can watch their cars being made.
In Germany, Volkswagen has an obligation to take back any old VWs that are handed back to VW garages for recycling. Therefore, cars are designed with maximum recycling efficiency in mind.
But there are non-technological areas where Volkswagen has also shown initiative.
For instance, more than 20 years ago Volkswagen AG entered a joint venture in China as the first Western automotive manufacturer. The company soon realised that we needed to ensure all of the local staff were motivated and working as productively as possible. Given the closed economy and automotive market in those early days, this was not going to be an easy task.
Workers of the time were used to the communist/collective approach of their being totally managed by the company with practically a seven-day work week. Volkswagen wanted to get more out of the workers and understood that things like annual leave and then later productivity incentives would be an important part of productivity improvement as well as motivation.
These changes in working conditions were slowly "dripped" in over time so as not to cause concern among the political leadership.
Jutta Dierks, managing director, Volkswagen Group Australia