The Volvo Uddevalla Plant

Volvos plants at Kalmar and, more recently at Uddevalla, have become noted throughout the world for their sociotechnical design and high levels of performance, breaking with mass production norms. Hence the statement from Volvo that both plants are to be closed, in order to meet the competitive threat from Japan, has come as a shock and a disappointment to those who saw them as embodying a viable alternative to lean production. This paper makes the case that Uddevalla had a productive and commercial potential unmatched elsewhere in the Volvo group, and that the decision to close the plant must have been taken on other grounds.