How did the financial crisis affect the approach to projects? - A case study of Volvo Trucks

Abstract

Background: The term investment have over time grown larger and wider, from mostly considering “hard” investments such as machinery, factories and plants to include also education, projects, marketing etc. Corporation investments have trough history been correlated to the economic situation with recession and good times effecting investments, as the uncertainty and risk increases during a recession, combined with debt financing becomes more limited. Purpose The target is to describe how the financial crisis affected Volvo Trucks approach to projects. This by comparing the corporations decision system prior, during and post the financial crisis and the changes made to it, during this period, with the theoretical framework regarding project investment decisions. Positioning: This thesis has focused on Volvo Trucks and its project approach, before during and after the financial crisis. Method: A qualitative case study of a corporation were conducted with an abductive research approach a descriptive design, using semi structured interviews. Results: The approach to projects prior and post the financial crisis is similar, with a different approach during the crisis. The prominent lasting change post the financial crisis is the change in employment policy.