Bmw Case Study

Table of contents

Chapter One ( 1.1 ):   Introduction…………………………………………. 3

Chapter Two ( 2.0 ):    Findings………………………………………………… 4

2.1: An overview & analysis of BMW’s culture, structure and internal department relationships…………………………………………………. 5

2.2: Analysis of the aims, objectives, vision and how the mission effects structure and culture………………………………………………………..11

2.3: Process mapping and how input, process and output can be improved………………………………………………………………………….14

Chapter Three ( 3.0 ):  Conclusion…………………………………………..16

Chapter Four ( 4.0 ):Reference………………………………………………17

1.0 Introduction

BMW (an abbreviation for Bavarian Motor Works) is a German manufacturing company founded in 1916 out of Munich, Bavaria, which specializes in the production of luxury vehicles and motorcycles (Kiley, 2004). In 2008, it was reported that BMW had around one million automobiles and around one hundred thousand motorcycles, equaling to over fifty three billion euros in revenue (Raisch, 2008). The purpose of this essay is to investigate BMW as a case study, and aims to investigate and evaluate the structure, culture, processes and functions of the organization.

2.0 Findings

BMW is a stand-out brand within the manufacturing industry. There is no doubt that their items are based on luxury and attract a large portion of the market. They boast a strong business structure and culture which promotes value and belonging to its employees. There internal departments work well together and also holds incredible value to one another, meaning that the majority of the work is more collaboration and that all departments are vital to one another. Through communicating with customers, which contribute to BMW’s reputation, service and quality. It shows that BMW Group aims to becoming world's leading provider of premium products and premium services for individual mobility. The only visible improvement that can be made is in manufacturing of cars. A number of recalled items could affect consumer trust. To sustain that trust, more of a reliance on man-power instead of technology is required.

2.1 An overview & analysis of BMW’s culture, structure and internal department relationships.

2.1.1

[pic 1]

(Source: Slideshare 2015)

BMW’s management board consists of six successful European Managers as well as a chairman of the board. The image above shows that a President is the leader of this structure. Five directors combined with a Treasurer, secretary and Vice president make up the position directly below him. They work closely and feed information to an Executive Director who, along with his assistant, are responsible for overseeing and managing office managers, accountant, managing editor, art director, advertising director and volunteer staff. The final row is made of up of membership, country store/mail room and receptionist, all of whom are managed by the office manager.

BMW’s organizational structure is simple, clear and predictable, and contributes to helping to understand organizational functions. This reflects a more complex reporting structure with each and every employee having a specific operational role. However, there are strains due to this fixed structure and the constant growing and changing of the strategy of the company (Sirringhaus et.al 1999). Further, it is affected by technology and network economy. These factors reduce the ability of the organizations structure (Raisch 2008).

2.1.2 The description of the culture of the company and its values & beliefs

 BMW Company is based on the global market. This means their culture is based around the markets and the corporate culture can be summarized in the following aspects:  

1)        “Production follows the market” business philosophy.

The construction of BMW's global production network follows the business philosophy of "production follows the market" (Athey 2008). According to the local market, the company established a production network, and in the production management, followed by the market demand, opted to take a flexible management approach. As for the production of BMW, all departments have a close relationship with one another and collaborate with each other during the production process (Leaf 1996). At the same time, BMW take a flexible management approach through the use of flexible deployment, working hours and logistics (Olson 2010). According to this, BMW's highly coordinated production network not only can effectively manage the very complex process of automobile production, but also can respond quickly to the needs of a certain model.

2) The focus on people's sustainable development of the concept of personnel

The sustainable development of BMW is regarded as the main factor for the success of the enterprise. At the same time, it also regarded as the first leading manufacturer in the world to ensure that the concept is implemented into the company's business philosophy (Avery 2011). As the company looks at the future of the personnel policy, it focuses more on the performance of the staff to improve, and aims to improve the efficiency of the company without reducing the cost of labour at the same time (Bangle 2001). The eight programs of BMW's personnel policy will be implemented in this policy as well as in specific daily work: 1) Mutual respect, with respect to a positive attitude; 2). Transcend national and cultural boundaries. 3) The way of thinking; work performance is paid basis; 4) Team effort than personal work and 5) Guarantee for loyalty and provide attractive job responsibility of employees; 6) Respect the human rights of employees. 7) The social standard to allow all doubt; treating suppliers and business partners well is a basic principle of doing business; the interests of employees. 8) Sense and strong social responsibility well (Meyer 2004).  

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