Volkswagen Group’s Production Process: An Overview

ICON College of Technology and Management
Department of Business and Management Studies
BSc (Hons) Business and Management
DataLab: Generation, Analysis, Iteration
Coursework Title
Data Analytics Portfolio
Tutor: Dr S. Soroosh
Submitted by:
ID No: ............
Session: February 2023

Department of Business Management Studies DataLab: Generation, Analysis, Iteration
Table of Contents
Introduction...................................................................................................................... 4
1. Task 1: Company Operations and Business Procedures..........................................5
1.1 Flowcharts and Maps of Business Processes.....................................................5
1.2 Main/Key Business Decisions..........................................................................8
1.3 Business Digital Transformation........................................................................10
1.3.1 Human Resources Recruitment......................................................................10
1.3.2 Inventory Management...................................................................................10
1.3.3 Keeping Client Data in Custody......................................................................11
2. Task 2: Data Management Systems........................................................................12
2.1 Information/Data Management Systems...............................................................12
2.2 Systematic Database Management...................................................................13
2.3 Big Data for Business........................................................................................14
3. Task 3: Business Intelligent (BI) Tools....................................................................16
3.1 Opportunities for Intelligent Tools and Systems....................................................16
3.2 Business Intelligent (BI) Support.......................................................................17
3.3 Reflection on the BI tools...................................................................................18
Conclusion..................................................................................................................... 18
Reference List................................................................................................................19
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Department of Business Management Studies DataLab: Generation, Analysis, Iteration
Introduction
A set of repetitive, flexible but not inflexible, business duties and activities known as a
"business process" is more specifically defined as a set of business actions and
activities that, when carried out by a single person, result in an outcome that advances
company objectives (Gaikwad, 2022). Organizational goals are the source from which
business procedures are created. The successful running of businesses and expansion
depend heavily on the repetitive and continuous execution of business processes. The
focus of the report that follows is business processes and the related activities. There
are a few procedures that are used globally throughout all of these business sectors,
regardless of the kind, industry, location, etc., of the firm. Operational processes, sales
processes, and customer service are a few examples of business processes. The
following piece will just explain the production process for the sake of clarity and to
make it easier for the readers to understand. The company of choice is Volkswagen
Group, often known as Volkswagen AG, a significant German automaker. Volkswagen
is the 182nd most valuable corporation in the world based on its assets and brand value
as of April 2023, with a market valuation of $78.21 billion (Companies Market Cap,
2023). It was founded by the German government in 1937 to mass-produce an
affordable "people's car." At the outset of the business, Wolfsburg, Germany, served as
the headquarters. Fast-forward to 2022, Volkswagen will have sold nearly 4.56 million
cars (Bruce, 2023). The production business process includes procedures for gathering
raw materials, performing manufacturing operations, preparing the product,
guaranteeing quality, and ultimately distributing it to the places of sale.
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Department of Business Management Studies DataLab: Generation, Analysis, Iteration
1. Task 1: Company Operations and Business Procedures
Business procedures might vary from one firm to another depending on the product or
service produced and provided to the customer segment. Business processes can
directly influence the effectiveness of business operations and growth since they are
carried out by people or systems in a systematic manner to achieve a pre-defined aim
(Kiss Flow, 2023). In particular, the production procedure of Volkswagen AG will be
examined in this section.
1.1 Flowcharts and Maps of Business Processes
The "Gesellschaft zur Vorbereitung des Deutschen Volkswagens mbH" (Company for
the Preparation of the German Volkswagen Ltd.) was officially founded on May 28, 1937
(Volkswagen, 2019). Later in 1938, the firm changed its name to "Volkswagenwerk
GmbH" and constructed its primary factory in what is now Wolfsburg. Today,
Volkswagen AG is both a marquee name in the automotive sector and a representation
of Germany's economic miracle. Volkswagen AG produces automobiles in the mid-
range to luxury categories for both middle-class and upper-class consumers. Along with
that, it also owns several iconic luxury automobile brands that are renowned for their
performance and elite status, including Audi, Bugatti, Bentley, Lamborghini, and
Porsche. The Group's global production network will include 118 locations in 2021, 70 of
which will be automobile manufacturing facilities (Volkswagen Plants, 2021).
Additionally, it has the capacity to produce about 40,000 units each day. The center of
production hub is still in Europe. Ordering raw materials, suppliers, and equipment,
creating the desired things, controlling inventories, upholding the production process,
and finally distributing the automobiles are the operations that make up Volkswagen
AG's business process.
Input- Volkswagen produces distinctive cars that are all unique. Therefore, when
individual clients select their automobiles from a wide range of options and then sign a
contract, the plant receives the signal to begin manufacturing. The production process
for automobiles begins at the body shop where rolls of steel are purchased from
vendors. The steels are then treated using cutting-edge hydraulic technology. Most of
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