Personnel Policy Report
- AGL AG -
An Example from the Manufacturing Industry
| |Table of Contents |Page |
|1. |Introduction to AGL |2 |
|2. |Hiring |3 |
|3. |Education and Training |4 |
|4. ...view middle of the document...
Thereby AGL currently employs nearly 370,000 people globally (+12.3% to previous year). The company’s automotive division is engaged in the development, production, assembly and sale of passenger and commercial vehicles, trucks, buses as well as its engines and vehicle parts.
Upon completion of numerous design-, planning- and testing phases, the actual production and the assembly stage take place. Here AGL avails itself of state of the art technologies, practices, processes and human labour, in order to turn raw materials and supplies into a value-providing final product. Production and assembly processes at AGL take place in form of production streets or respectively assembly lines. A main line traverses the different production/assembly processes on which the carriage, that is the motor vehicle, gets complemented gradually. After final assembly the finished product undergoes a series of quality checks to ensure immaculate production and certain quality standards. In contemporary automobile manufacturing, production of specific component- and body parts has progressively been outsourced to highly specialized suppliers in form of so called elongated workbenches (modulization). Consequently automotive manufacturing’s value adding activities have increasingly been reduced to being much more assembly- rather than production-related. Moreover, high cyclicality within the industry and the innovative and dynamic nature of the latter as well as proceeding globalization lead to severe competitive pressures and sustained struggles for cost savings. In effect, manual labour in automobile production is increasingly being transferred into low cost regions or even replaced by continuing automatization. Noticeably, despite a steady increase in automotive production, the number of employees in the sector has been declining constantly over the last decades.
Having briefly introduced the AGL AG and its production system, this paper will report on the company’s personnel policy with regard to several key principles from the field of personnel economics. However, please note that due to the very complex nature of the AGL AG with its numerous divisions, subunits and sheer endless functions, the authors decided to limit the subsequent analysis to production workers at the final assembly stage.
Despite increasing automatization in the production and assembly process of AGL, there still remain certain tasks where human workers are (at least until now) preferred or even indispensable. Those are generally tasks where judgement, flair, multitasking, abstraction, creativity, adaptation or recognition are required or where robots simply are not economically feasible. Consequently, several kinds of employees with different skills, abilities and knowledge levels are employed in AGL’s production facilities. Some of them are highly specialized (technicians) whereas others only need rather basic skills as for instance for mere assembly activities. The...