Article Link: http://calleam.com/WTPF/?p=7666
This article explains about how the Volkswagen (VW) cheated government around the world for emission testing. Volkswagen has been a top-selling or the second largest auto maker in the world, behind Toyota. But now the recent and most expensive scandals of emissions testing would face the biggest problem and market loss by the Volkswagen company. Volkswagen cars violate clean air standards after the carmaker used illegal software to bypass emissions tests. The point is that VW diesel car produce nitrogen-oxide 40 times more the other car does. VW not only violate the ISO standard but also created a severe threat to public health. For this reason, Volkswagen has made a recall noticed of 11 million vehicles world-wide. This issue is really a terrible catastrophe for Volkswagen Company to regain its market power, reputation and building trust.
As we have just learned in chapter 9 about Project Planning and Project Management that some projects fail because of various reasons such as poor project management and lack of resources, financial crises and economy downturn. But, in the case of Volkswagen Company, they failed by neglecting operations strategy, and placing too much emphasis on product and service design and not enough on process design and improvement on environmental process. The main reason they failed to meet the quality of air. Due to this reason Volkswagen definitely loses their market competitiveness and loses its opportunities to grow their demand and operations. The successful competing is to determine the needs and wants to costumers and their expectations along with the profitability and sustainability. In this article, this project failed because of man-made and intentional decisions.
This information is helpful for business students because being technological student should able to find out the loophole and able to patch up with innovative creations. Instead Volkswagen need to focus on product research, product design, and comparative performance and develop environmental friendly car with new information technology.
I read this article and those related to it. One could argue that it's poor project management, but that is not why Volkswagen behaved the way they did. Submit another project management article. When a company breaks the law, they will of course try to cover it up, or deny they knew anything about it, to avoid losses. More about ethics than PM.
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