Volvo’s Gustafson Pronounces Death of Component 'Spec’ing'
Truck Makers May Be Forced Into ‘Alliances’
Marc Gustafson believes it is time for some changes in the way truck manufacturers operate, and as chief executive officer of Volvo Trucks North America (VOLVY), he has begun to implement new practices at his own company.
“The operating model of this industry is under reconstruction,” Gustafson said in a telephone interview.
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Gustafson broke new ground in October when he announced what he called a “milestone agreement” with Cummins Engine Co.
Under the agreement, Volvo trucks sold in the United States, Canada or Mexico will be available only with Cummins or Volvo engines. Volvo will supply 7- to 12-liter engine models while Cummins will offer its ISM, N14, ISX and Signature series models, which range up to 15 liters.
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